Less than a month after the formation of the new government, the private sector has hailed five major initiatives announced by the Ministry of Finance as crucial steps toward fostering greater transparency, economic reform, and business optimism. Presidents of the Federation of Nepalese Chambers of Commerce and Industry, Confederation of Nepalese Industries and Nepal Chamber of Commerce praised the government’s recent moves to push businesses ahead and re-boost private sector morale during a meeting with Finance Minister Rameshore Khanal on Monday.
The five big initiatives of the government are tax relief for reconstruction, initiation of banking facilities to ease financial access to reconstruction and trade activities, and streamlining of insurance procedures. Likewise, abolishing the system of reference values at customs, long desired by the traders, and introducing an online customs database system were hailed as great reforms to make the system transparent and accountable. The new digital platform, according to the Ministry of Finance, will monitor the prices of cleared goods, facilitating analysis and comparison of customs statistics and preventing irregularities.
Finance Minister Khanal indicated that the government was gradually involved in strengthening the morale of the private sector and establishing an environment conducive to business. FNCCI President Chandra Prasad Dhakal, CNI President Birendra Raj Pandey, and NCC President Kamlesh Kumar Agrawal expressed gratitude for the reforms and urged the entrepreneurs to utilize the new database system appropriately. The system, launched by Minister Khanal on Sept 25, is going to refresh its reference catalog every six months and clear the grievances of traders through regular updates.
Private sector representatives also presented strong criticisms against acts of vandalism, looting, and arson in recent times in the youth-led GenZ movement, which allegedly were directed toward the business community. They added that infiltration in the movement had led to targeting of private companies, highly discouraging an industry that has a contribution of 81 percent to Nepal’s economy and 86 percent to national employment. They called on the government to act swiftly and prosecute the perpetrators in the courts, warning that doing nothing would further discourage businesspeople.
Minister Khanal assured the delegation that the government was firm in defending the private sector and respecting the rule of law. The entrepreneurs, once again espousing their policy of “zero tolerance toward corruption,” invited the government to create space for entrepreneurs to operate freely and responsibly. They also noted that even if holding elections is critical for the government in the short run, it cannot afford to let go of the opportunity to establish pillars for sustainable economic reforms.
Moreover, the private sector leaders suggested calling for a multilateral finance conference to be led by them in order to draw in investment and instill confidence among all actors. They also confirmed willingness to collaborate with the government on the conduct of timely elections, averring that democracy and an open market system can only thrive through regular electoral processes.
