Kathmandu, Oct. 10 -- Airfares in Nepal can vary sharply by route, travel date and seat availability, with domestic flights sometimes costing more than international journeys to neighbouring countries. Here is an explainer on how airlines set fares, how domestic ticket prices are regulated and why international airfares are largely determined by market forces.

How do airlines set airfares?

Airlines consider operating costs, fuel prices, airport charges and market demand and supply when setting fares. Their costs include direct fixed costs, direct variable costs and indirect operating expenses.

Fares can vary depending on passenger demand and the number of seats available on a flight.

Why can a Kathmandu-Dhangadhi ticket cost more than...