September 5: The debt of Nepal Airlines Corporation has reached Rs 50 billion. According to the corporation, the debt has reached Rs 50 billion and the accumulated loss has reached Rs 11 billion. Stakeholders pointed out that the loss is increasing due to the negligence of the management and political interference.

In a recent discussion with top government officials, including the finance minister, the corporation's managing director, Dim Prasad Poudel, blamed the corporation's frequent losses on political interference and weak legal system. He said that the financial condition of the corporation has not improved due to overstaffing. He informed that the corporation has more than 500 unnecessary employees.

Poudel said that the corporation has an average of 230 employees per aircraft while various airlines around the world have an average of 125 employees per aircraft. He expressed dismay that various committees have studied and submitted reports for the reform of the corporation but the recommendations have not been implemented.

Finance Secretary Madhu Kumar Marasini and Revenue Secretary Krishna Hari Pushkar suggested to Finance Minister Janardan Sharma that it would be appropriate to form a high-level committee to study the future course of action of the Nepal Airlines Corporation and the ongoing staff protest and submit suggestions to the government.

They have requested to include representatives of the Ministry of Finance and the NAC  as well as independent experts related to the aviation sector under the coordination of the Tourism Secretary in the committee and to submit a report with recommendations within 15 to 20 days.

The Finance Minister urged the NAC staff to end the agitation after holding discussions with the employees. He said that it would be easier for the government to take necessary decision if it studies the reports given by various committees and suggests suitable alternatives.

Finance Secretary Marasini and Tourism Secretary Koirala pointed out the need for strong political leadership for corporate reform. Likewise, they stressed that minor reforms would not help the ailing airline and instead urged for concrete decisions at the political level.