Nepal Airlines Marks 67 Years Amid Rising International Reach, Domestic Decline, and Mounting Debt

Hamrakura
Published 2025 Jul 01 Tuesday

Kathmandu: Nepal Airlines Corporation (NAC), the country’s national flag carrier, marked its 67th anniversary today, commemorating a journey that began on July 1, 1958, with a 28-seat Douglas DC-3 Dakota aircraft. Over the decades, the airline has evolved to operate wide-body A330-200 aircraft on major international routes.

Currently, the corporation operates international flights to destinations such as New Delhi, Mumbai, and Bangalore in India, as well as Hong Kong, Malaysia, Thailand, Narita (Japan), Doha, Dubai, and Riyadh. The international fleet includes two wide-body A330s and two narrow-body A320s, which are reportedly operating at full capacity, according to NAC spokesperson Subash Dangi.

Despite growing international operations, the airline’s domestic presence has diminished. The lack of Twin Otter aircraft has limited NAC’s ability to serve remote destinations effectively. This has hindered efforts to expand its domestic network, even though the airline continues to operate flights to some remote areas.

The corporation is grappling with a substantial debt burden of approximately Rs 50 billion, largely stemming from loans taken from the Employees Provident Fund and the Citizens Investment Fund for the purchase of its wide-body aircraft. While NAC has struggled with competition from budget airlines and operational inefficiencies in the past, improvements in ground handling services and international marketing are believed to have slightly improved its reputation.

Although several study committees have been formed to reform the corporation, their recommendations have yet to be implemented. Plans announced by the Ministry of Culture, Tourism and Civil Aviation also remain largely on paper.

To celebrate its 67th anniversary, the corporation organized various events, including a friendly football tournament at the ANFA Sports Ground in Satdobato, attended by the Tourism Minister. The tournament featured separate matches for male staff, female staff, and executive teams. An open poetry competition and table tennis tournament were also part of the celebration. A morning rally was held at NAC’s central office premises to mark the occasion.


 



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