KATHMANDU, April 30: The Nepal Chamber of Commerce (NCC) has submitted its recommendations to Finance Minister Dr. Swarnim Wagle for the upcoming fiscal year’s budget, urging the government to prioritize private sector growth, production, and investment.
A delegation led by NCC President Kamalesh Kumar Agrawal presented policy suggestions to the Ministry of Finance, emphasizing the need for economic stability, good governance, and a business-friendly environment. The Chamber’s proposals cover agriculture, tourism, industry, information technology, energy, foreign investment, export promotion, and tax reforms.
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The Chamber has called for modernization of agriculture, concessional loans for farmers, and expanded market access to strengthen the sector. In tourism, it recommended infrastructure development, international promotion, and measures to reduce costs. For industry, the Chamber urged the government to lower production costs and streamline procedures to facilitate business operations. In the field of information technology, it suggested tax exemptions and expansion of digital infrastructure, while in energy, it emphasized the importance of promoting private investment and hydropower development.
Tax reforms featured prominently in the recommendations. The Chamber stressed the need to simplify the tax system, eliminate double taxation, and implement a one-door system across all tiers of government. It also proposed policies to utilize barren land through lease arrangements for farmers, provide export subsidies based on value addition, and deliver incentives under a single-window system. The Chamber further urged the government to harness the skills of returnees from foreign employment and channel remittances into energy and infrastructure projects, noting that most remittance inflows are currently spent on consumption.
The Chamber also suggested introducing stable loans at permanent interest rates for small and medium enterprises, making online databases effective in line with World Trade Organization standards, and carefully considering the challenges of implementing mandatory MRP labeling on imported goods. It argued that such a system should only be introduced after comprehensive discussion and consensus with stakeholders, given Nepal’s heavy reliance on imports.
Finance Minister Wagle, responding to the recommendations, said the government has already initiated several economic reforms. He highlighted the scrapping of the Department of Revenue Investigation and plans to reduce tax rates. The Minister added that the upcoming budget will aim to increase revenue, create employment, and expand the economy’s size. He stressed that the government is committed to adopting liberal policies and fostering an environment conducive to both businesses and the general public. Constructive suggestions from the private sector, he assured, will be incorporated into budget planning.
