High consumer spending will be a boon for the economy

Apart from bringing celebration and joy, Dashain comes with a promise of better economic times.

As every type of consumption is high during the festival, the supply of goods and services also increases. Last year, the situation was a bit different due to covid, and Dashain didn’t lift the economy at all.

However, this time, the situation is calmer. The lockdown has been eased, the number of daily reported infections has been declining, and people are returning to their normal lives. This will definitely help the economy.

If we look at our budget for this fiscal, the government has decided to provide Rs 10,000 to each family living below the poverty line, which comes to around half a million people. Because of this package, people from every walk of life will be able to fulfill their basic requirements during Dashain, which ultimately keeps the economy humming, even in this crisis period.

What we are seeing today is nothing new. During the 1920s, English economist John Maynard Keynes proposed a theory of economy based on spending. It helped to move the economy forward during the Great Depression.

Also read: Pandemic made many businesses more resilient

Similarly, in Nepal too, we have modified our economy a little this time and decided to give funds to a certain group of people to change the status quo of both the citizens and the country. So, I think there are many things to be optimistic about this Dashain.

Dashain is also a time for internal tourism, regarded as a vital part of the national economy. Keeping that in mind, the government has brought relief packages for large and small-scale industries, including tourism. Moreover, officers are provided allowance and a seven-day holiday, especially to visit and promote new places. This helps spur internal movement of people, which positively influences the national economy.

Last time, almost 90 percent of activities were completely shut during Dashain. The situation is the opposite this time. Perhaps only around 10 percent of the enterprises are down now. People are excited to get back to normality.