Nov 24 (Reuters) - India's Hindustan Aeronautics Ltd

(HAL) said on Monday the crash of a Tejas fighter jet

in Dubai last week was an isolated occurrence caused by

exceptional circumstances, without providing further details.

On Friday, a Tejas fighter jet crashed in a ball of fire in

front of horrified spectators during an aerial display at the

Dubai Airshow. The Indian Air Force has said it will set up a

court of inquiry to investigate the cause.

State-owned Hindustan Aeronautics manufactures the aircraft,

which is powered by General Electric ( GE ) engines. Both

companies have said they will support the investigation.

Tejas, which means brilliance in Sanskrit, is seen as

crucial for India's efforts to modernise its air force fleet of

mainly Russian and ex-Soviet fighters.

The crash, which killed the pilot, dampens New Delhi's hopes

of exporting the home-built jet and leaves it reliant on Indian

military orders to sustain its role as a showcase of domestic

defence technology. Such a public loss could overshadow India's

efforts to establish the jet abroad after a painstaking

development over four decades, experts have said.

Hindustan Aeronautics said on Monday that the crash will not

affect its business operations, financials or future deliveries.

Shares of the company, which were trading 3% lower since

morning, were unchanged after the statement.