Internal Airfare to Increase after a week of Price Slash

December 13: Internal Airfares are set to increase by 20-25 per cent after a week of price slash by the private sector. "Along with the government's approval of raising the airfare, 20-25 per cent raise in all internal flights has been decided," said Buddhi Sagar Lamichhane, Assistant Secretary of Aviation Industry Management Division under Culture, Tourism and Citizens Aviation Ministry.

According to Lamichanne, the government had set a maximum and minimum airfare for internal airways companies on 2010. Till date, the airfare was fixed on the basis of the same directive. However, the airways operators were demanding a raise in airfare since last one year. Accordingly, the board of directors meeting of Civil Aviation Authority of Nepal held on December 9 has decided to increase the airfare, informed a source.

"The airfare should also be raised as per the increased rate of inflation and due to the rise in tool, equipment, maintenance, employees' facility and other various expenses. However, taking NRB's statistics on inflation as a base, the decided raise is way too low," said Lamichhane.

"The airfare which is being raised after nearly 6 years will be implemented from the current month," informed Lamichhane.