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Home Prime News

“Govt will subsidise NAC if it controls leakage”

CEO TAB by CEO TAB
December 15, 2020
in Prime News
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Kathmandu, December 15 : Minister for Culture, Tourism and Civil Aviation Yogesh Bhattarai has instructed the Nepal Airlines Corporation (NAC) to be serious towards maintaining good governance by controlling the leakage. Receiving the 10-year integrated commercial plan report of the NAC yesterday, Bhattarai said that the government would subsidise the national flag carrier if it did so.

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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 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 per cent 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 aircrafts are needed for the flights in 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. RSS

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