("Reflections from a decade back" is a regular feature of rejuvenated TND. Pramod Pandey compiles this section from materials published approximately 10 years ago.
This piece of news was originally published on TND dated Nov 7, 1993 and was submitted by agrawal@abacus.bates.edu (Dileep Agrawal)." - Ed)

NEPAL CHANGES POLICY - AVIATION

Nepal has launched a series of major changes to its aviation policy, including a degree of international liberalisation and the probable restructuring of state-owned Royal Nepal Airlines into separate international and domestic operations. 

The major aeropolitical change is that access for foreign airlines to the Himalayan country's international air routes will be extended. 'We call it air space liberalisation,' says Rajesh Dali, Nepal's deputy director general of civil aviation. Nepal officials feel it will help promote traffic and tourism growth. There is no timetable yet; the government is still working on policy details.

The new domestic offshoot of Royal Nepal will be fully privatised, adds Dali. Foreign investment is likely to be welcomed, but the government has not yet decided what size stake should be offered to foreign interests. The international operation of Royal Nepal may also eventually be opened to private investment, says Dali. 'But at the moment we are concentrating on the domestic airline.'

Royal Nepal operates two Boeing 757s and one 727 on international routes to Frankfurt, London, Paris, Bangkok, Singapore, Hong Kong and Dubai, and to Delhi, Bombay and Calcutta in India. Royal Nepal, whose chairman is also
Nepal's secretary for tourism and civil aviation, is planning more aircraft and routes.

Royal Nepal's domestic operations are being privatised chiefly because of heavy competition from six local operators: Necon Air, Nepal Airways, Everest Air, Himalayan Helicopters, Dynasty Aviation and Asian Airlines. For domestic operations Royal Nepal uses 12 turboprop aircraft, mostly Twin Otters.