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The US has offered its sympathy and support to the Indian government, and US Secretary of State John Kerry was expected to discuss the attack with India's foreign secretary later.
BBC: India's Hyderabad hit by two explosions
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Shivshankar Menon is India's foreign secretary.
NPR: U.S. Balances Relationships with Pakistan, India
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After the approval was handed down by India's Foreign Investment Promotion Board, the economic affairs secretary said AirAsia would now have to get the necessary licences from the country's aviation regulators.
BBC: AirAsia and Tata win bid for Indian budget carrier
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Secretary of State Hillary Clinton spoke by phone with India's foreign minister, and U.S. Ambassador Nancy Powell met with Sikh community leaders in New Delhi and visited the largest Sikh temple in the city, said State Department spokesman Patrick Ventrell.
CNN: STORY HIGHLIGHTS