Nepali govt endorses airport deal with Chinese company

KATHMANDU -- The Nepali government has endorsed an agreement signed by the country's Civil Aviation Authority (CAAN) and a Chinese company on the construction of Pokhara Regional International Airport, government sources said on Monday.

The approval, made at a cabinet meeting, marked a step forward toward the construction of airport in the Pokhara, a tourist destination. China CAMC Engineering Co will undertake the project at a cost of $215.96 million under the engineering, procurement and construction (EPC) model.

Earlier, the construction was delayed as cabinet did not endorse the agreement between CAMC and CAAN. "With endorsement, there is a hope that construction will get momentum," said an unidentified government official.

Government officials said construction will be completed by 2019. There was pressure from the local people to speed up the construction of airport.

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