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Govt will subsidize NAC, Minister Bhattarai says


14 December 2020  

Time taken to read : 2 Minute


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KATHMANDU: Minister for Culture, Tourism and Civil Aviation Yogesh Bhattarai has instructed the Nepal Airlines Corporation (NAC) to strongly abide by the instruction for good governance and leakage control.

Receiving the 10-year integrated commercial plan report of the NAC today, Bhattarai said that the government would subsidize the national flag carrier if it controlled leakage and maintained good governance in the organization.

On the occasion, General Manager of NAC Prakash Poudel shared about the NAC’s 2021 to 2030 decade-long commercial plan.

As stated in the plan, the NAC will step towards profit-making from 2024 and will make Rs 5.30 billion in profit in 2030 though the initial three years would incur a loss to the NAC.

If things go as planned, the NAC’s expenses will be Rs 23.76 billion in the year 2021 and the cost will proportionately increase by 9 percent every year, the NAC has projected.

In order to ensure profit from 2024, the NAC should start flights to Sydney, Colombo, Shanghai, Indonesia, Riyadh, and other destinations while four narrow-body and two wide-body aircraft are needed for the flights to the new destinations.

Furthermore, Kathmandu, Nepalgunj, Pokhara, and Biratnagar should be made the major base for mountain flights to ensure reform in the domestic flights of the NAC, according to the commercial plan.

Publish Date : 14 December 2020 22:15 PM

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