Prime Minister Pushpa Kamal Dahal has announced different programs aimed at revitalizing the economy. The programs encompass a range of actions, from aiding individuals struggling to repay loans taken from banks and financial institutions to revising bank rates in order to lower interest rates.
Dahal believes that these initiatives will instill hope among the masses by introducing reforms in the country, given that the economy is still facing pressure despite positive indicators in various sectors.
These key measures to bolster the economy were announced during a four-hour discussion about the current state of the economy and future strategies with ministers, secretaries, the governor of Nepal Rastra Bank, private sector leaders, members of parliament and economists, and others on Tuesday.
“When I assumed leadership of the government, the economy was facing serious crises. Over the last 10 months, the government has taken various initiatives which have turned economic indicators positive,” Dahal said. “However, the economy still faces challenges. Therefore, the government’s primary focus is on further enhancing the economy and fostering optimism among the people.”
The government has said that the central bank will facilitate the repayment of loans for individuals who used the funds for their intended purposes but are struggling due to an economic slowdown. Likewise, although interest rates are coming down, the government has directed the central bank to study whether the rates can be reduced further. The central bank has also been tasked with studying problems faced by individuals in repaying loans taken from microfinance institutions.
Moreover, the government has announced plans to form a dedicated agency to regulate cooperatives and create a fund to safeguard deposits in saving and credit cooperatives.
The government has also said that it is committed to enhancing the revenue structure to make it more conducive to investment and production in line with recommendations made by past studies and commissions.
Additionally, the government has said that it would expedite mega hydropower projects such as Budhgandaki, Karnali Chisapani, and Upper Arun. It has also pledged to implement recommendations made by a team of experts for the construction of Nijgadh International Airport in Bara.
Moreover, the government has expressed commitment to address challenges in the implementation of the decision to extend construction deadlines for various development projects made in the first week of June.
Furthermore, the government has said that it will initiate the process of settling outstanding dues with contractors and form a high-level commission to address overall governance issues.
Similarly, it has decided to make the the Industry and Commerce Promotion Dialogue Council, which serves as a forum for private sector and government dialogue, more active.
