KATHMANDU, March 13: The private sector drew the government's attention to implement a multi-rate system in Value Added Tax (VAT), impose differentiated import taxes on raw materials and finished goods, emphasize export promotion, test the effectiveness of regulatory bodies, and reduce high rates of excise duty.
In a meeting with Finance Minister Rameshore Prasad Khanal on Thursday, the private sectors have expressed their concern over a need for economic reform in the aftermath of the recently help elections of the House of Representatives. President of the Federation of Nepalese Chambers of Commerce and Industry Chandra Prasad Dhakal, President of the Nepal Chambers of Commerce Kamlesh Kumar Agrawal, President of the Confederation of Nepalese Industries Birendra Raj Pandey, and President of the Federation of Nepalese Chambers of Commerce and Industry Khemraj Bhandari were present during the discussion.
Political Instability takes Toll on Nepal’s Economic Developmen...
According to Tanka Prasad Pandey, spokesperson of the Ministry of Finance, suggestions were exchanged on maintaining macroeconomic stability, creating an investment-friendly environment, promoting exports while protecting domestic industries, making the capital market transparent, and maintaining good economic governance.
Finance Minister Khanal stated that the initial challenge was to improve the business environment and morale of the private sector, which had deteriorated due to the protests on September 8-9, and informed that the business environment has now improved through joint efforts. Khanal informed that some issues have been addressed as per the suggestions received from various sectors and due to policy complexities, the remaining work will be handed over to the next Finance Minister during his tenure.
During the discussion, representatives of the private sector expressed their gratitude to Finance Minister Khanal for the interest shown in addressing the issues of the private sector. They stated that political stability is indispensable for the development and prosperity of the country and expressed positive expectations from the results of the recently concluded elections.
