Editorial | When will it take off?
Summary
Nepal Airlines Corporation faces structural insolvency with liabilities nearing Rs50 billion, risking public funds and highlighting urgent need for reforms to protect investments and revitalize the national carrier amid Nepal's growing tourism sector.
Key Points
- Nepal Airlines Corporation (NAC) is burdened with liabilities of nearly Rs50 billion and faces structural insolvency.
- A government report warns that without immediate corrective measures, NAC could slip into insolvency, risking public savings.
- Nepal’s tourism sector contributes 6.6% to GDP, necessitating a strong national carrier fleet, but NAC currently operates only four aircraft.
- Revival of NAC requires fleet modernization, strong governance, accountability, and reforms to prevent political manipulation and secure public funds.
