Kathmandu, December 12:

Nepal and Malaysia today agreed on increasing direct flights by three times to 21 passenger flight and seven cargo flights a week from both the countries.

Following the two-day long review meeting on bilateral air service agreement (ASA) that concluded here today, the officials signed a memorandum of understanding (MoU) that paves the way for increasing the number of passenger and cargo flights. The existing ASA grants permission to operate only seven flights a week from both countries.

As per the new agreement, the designated airlines of both countries can operate 21 passenger flights a week, while the limit for cargo service has been fixed at seven flights. The airlines are free to use any type of aircrafts for the service.

The new ASA has also specified a provision for fifth freedom rights to the designated airlines, which could be granted following the meeting of aeronautical authorities of both countries.

According to new provision, each country will ch-oose designated airlines bas-ed on air operating certificate (AOC) issued by concerned aeronautical authorities of the respective country. The principal place of business for the designated airlines shall be its country of origin and rights for effective regulatory control will also lie on the country that designates the airlines.

Lila Mani Poudel, secretary at the Ministry of Culture, Tourism and Civil Aviation and Chandra Sekaran P, chief of Civil Aviation Department at the Ministry of Transport, Malaysia signed the accord on behalf of their respective governments.

“The new provisions in ASA have paved the way for private airlines to operate flights,” said Poudel, adding that the increased direct flights will ultimately contribute to tourism, trade and easy movement of people. He further said the increased direct flights would benefit thousands of Nepali migrant workers in Malaysia.

Nepali private airliners, with AOC for international flights, have been demanding permission to fly there.

Chandra Sekaran, leader of Malaysian delegation, also said that the new pact would boost bilateral trade and tourism. “Malaysian airlines would also look for launching operations,” he said.

In the past, Nepal Airlines Corporation had operated upto six flights a week to Kula Lumpur.