Nepali airlines in a scramble as fuel costs spike, passengers vanish
Summary
Nepali domestic airlines face a sharp decline in passengers due to historic hikes in aviation fuel prices, with costs nearly doubling and impacting fares and operations.
Key Points
- Domestic airlines in Nepal have seen a significant drop in passengers following a hike in aviation fuel prices.
- Buddha Air reported a daily passenger decline of 1,500 and has cut 25 percent of flights due to low occupancy.
- Nepal Oil Corporation raised aviation turbine fuel prices to historic highs, increasing operational costs for airlines.
- Higher fuel costs have pushed up airfares, leading to reductions in passenger traffic and negative effects on tourism and the economy.
