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Nepal Airlines Corporation request China to grant 8 aircraft
27-03-2012

By Karan Shrestha :- Nepal Airlines Corporation (NAC) is in process to have eight additional aircraft to extend its domestic flights all over Nepal. As per the proposal made by Ministry of Tourism and Civil Aviation (MoTCA), the Ministry of Finance (MoF), Nepal had requested the Chinese Embassy regarding eight small and medium sized aircraft as a grant.

The Government of Nepal has appealed China to provide all eight aircraft in grant if possible or as a soft loan, said Finance Secretary, Mr. Krishna Hari Banskota. So, NAC is seeking five small and three medium sized aircrafts from China. NAC is planning to extend its domestic as well as cross domestic flights all over through small and medium sized aircraft.

NAC previously have seven Twin Otters granted by Canada International Development Agency in 1972. But, only three are in good condition which are  operating at present. It has been suffering a loss of Rs. 50 Million from each of the aircraft while serving to the remote areas of Nepal. Despite of competition with large private airlines and decline in the market share by 3.5 percent it’s struggling, nonetheless to survive in the Nepalese market.

Like other private companies, NAC is having more concentration on the remote areas of Nepal offering all those services at subsidiaries rates. So, the corporation will only be able to increase its market share and revenue, if it obtains more aircraft in coming days to expand its services to more profitable sectors. 


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