Islamabad, Oct 18 (PTI) Pakistan on Thursday said its flag carrier PIA was facing problems with regularisation of its accounts in India.

"We have underscored to the Indian side the need for facilitating smooth operation of Pakistan International Airlines in line with its obligations under the Air Services Agreement between India and Pakistan. Failure to do so would be a setback not only for the airline and people-to-people contacts but also bilateral relations. We expect the matter to be resolved amicably," Foreign Office spokesman Mohammad Faisal said.

He said the court in Delhi hearing the case was informed at the last hearing that India's Ministry of Home Affairs has refused security clearance.

He said despite repeated requests, India has not extended the visa of the PIA manager's family forcing them to return to Pakistan.

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