Nepali capital Kathmandu's five-star hotels have upped their rates by 25-40 percent encouraged by a steady increase in tourist inflow, local media reported on Tuesday.

According to the hoteliers, expanding arrivals, additional facilities and renovation costs are the reasons behind the increase in tariff.

The cost of a standard single room at these hotels ranges from 85-200 U.S. dollars while a double room goes for 120-250 dollars excluding service charge and taxes.

The Shangri-La hotel has increased its room rates by 30-40 percent. "With the renovation done recently, the hotel offers improved facilities, and the price is reasonable considering the additional comforts and quality of service," said front office manager Rabina Dali.

Dali said that the tariff for a single room has been revised to 100 dollars excluding service charge and taxes. A double room costs 120 dollars without taxes.

According to The Kathmandu Post daily, The Hyatt Regency charges 110 dollars for a single and 120 dollars for a double.

Travel trade entrepreneurs said that hotels used to charge 135-185 dollars for a single room in 1999 when the country recorded the highest tourist arrivals. In 2009, around half a million tourists arriving by land and air.

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