Money

Govt agrees to act as guarantor for NAC wide-body jet purchase

- Post Report, Kathmandu

Apr 20, 2017-The government has agreed to act as a loan guarantor for Nepal Airlines Corporation (NAC) for the procurement of two wide-body aircraft. A cabinet meeting on Thursday decided to this effect.

 The cabinet decision to stand surety for the NAC has finally paved the way for the national flag carrier to translate its two-decade-old dream of flying wide-body jets into reality.

 The NAC had already signed the final purchase agreement with US-based AAR Corp to acquire the aircraft. The $209.6-million contract signed on April 7 for two A330-200 marks the largest-ever jet purchase deal in Nepal’s aviation history.

 NAC has been attempting to fly the A330 since 1997. The two jets are expected to arrive in Nepal by the second quarter of 2018.

Published: 20-04-2017 15:27

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