KATHMANDU, Sept 13: Thousands of cars and motorbikes formed long queues at petrol pumps in Nepal’s capital on Thursday after officials warned of a looming fuel shortage after they failed to pay their gas bills.

Landlocked Nepal has no oil reserves and relies on giant southern neighbour India to truck in petrol, gas and other fuel. But supplies have been tightened after the impoverished Himalayan country failed to pay its bills.

“Over the past few weeks, the Indian Oil Corporation has cut the supplies by 40 to 60pc to us as we have not been able to pay overdue bills,” said Iccha Bikram Shah, a spokesman at the state-run Nepal Oil Corporation.—AFP