The agreement shall come into force following the ratification of the Air Service Agreement (ASA) by the Parliament.
ASA establishes a formal and legal basis for the contracting parties to operate air services. It lays down procedures and other requirements for Bhutanese airlines to follow while operating to Kuwait and vice versa.
The ASA is in line with international best practices. Nonetheless, as provided in the existing agreement, Bhutan will be bound to allow Kuwait airlines to operate into Bhutan, if they so desire, based on the principle of reciprocity. This is a universal practice and such provision exists in the signed ASA with Kuwait as well as those signed with other countries.
The signing of an agreement will enable air connectivity for Bhutan and Kuwait, facilitate the operation of air services by airlines of the two countries into and out of each other’s territory, provide choice to travelers, promote tourism and improve aircraft utilization thereby enhancing financial performance and sustainability of the airlines.
As Bhutan embarks on the development of Gelephu Mindfulness City, signing of the ASA with as many countries with mutual benefits, would enhance trade and connectivity.
No financial expenses are envisaged. Implementation of the ASA and MoU would in fact help local airlines to earn hard currencies, venture into new markets and provide employment opportunities for Bhutanese youths, in addition to facilitating mobility and people to people contact.
The cost implication will be limited to logistics support for hosting the meeting in the event of review and amendment of ASA, if necessary.
Bhutan and Kuwait enjoy cordial relationship since the establishment of diplomatic ties in 1983.
No other bilateral agreement exists with Kuwait on air services. The current ASA is consistent with internationally adopted provisions and the ICAO standard template.
Bhutan currently has ASA signed with eight other countries viz. Nepal, India, Thailand, UAE, Myanmar, Singapore, Bangladesh, and Maldives.