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Oli criticises NACs poor management efficiency

Oli criticises NAC’s poor management efficiency

By Himalayan News Service

Photo: Nepal Airlines Corporation

Kathmandu, July 1 Prime Minister KP Sharma Oli has said that the government is not in a position to issue further loans to Nepal Airlines Corporation (NAC) citing that the national flag carrier has not been able to improve its management efficiency. Addressing a programme organised to mark the 61st anniversary of NAC here today, Oli mentioned that NAC, despite having a number of aircraft, has not been able to operate them properly and the government cannot sustain the corporation financially for a long time. “NAC has aircraft, but has not been able to operate them properly either in domestic or international destinations. Though it has been long since two wide-body aircraft were added to its fleet, NAC has not been able to start flying these aircraft to long-haul destinations,” said Oli, adding that the poor management of NAC is not only adding financial burden on NAC but also on the government. Moreover, Prime Minister Oli said that if NAC management cannot function properly and enhance its efficiency in coming days, the government will have no other option than to bring in a strategic partner at NAC. As NAC is operating its wide-body aircraft at a loss, the corporation has been seeking financial assistance from government to pay back loans that it had taken from the Citizen Investment Trust and Employees Provident Fund to purchase those aircraft. Oli, who is also leading the Ministry of Culture, Tourism and Civil Aviation, said that the government will be forced to take necessary decisions in the future if the current management of NAC fails to improve its efficiency. Moreover, he criticised the NAC management for not doing ample groundwork while identifying new international destinations to fly its wide-body aircraft. “The government is observing next year as Visit Nepal Year to promote tourism and the role of NAC is crucial to make the campaign a success. The corporation should operate all its aircraft in a full-fledged manner as soon as possible,” added Oli. On the occasion, Madan Kharel, chairman of NAC, said the corporation has been working to start flying the wide-body aircraft to various countries like Japan, South Korea, Saudi Arabia and China. However, Kharel mentioned that NAC will require government’s support until it operates all its aircraft in full-fledged manner to various destinations.