Kathmandu, May 31
Nepal Chamber of Commerce (NCC) has said that the annual budget the government unveiled for the fiscal year 2022/23 is positive, but it is challenging to ensure its effective
implementation.
Issuing a press release, the NCC said there are several positive points in the budget Finance Minister Janardan Sharma presented at the federal parliament on Sunday.
However, the size of the budget (Rs 1.79 trillion) is simply big and not based on reality.
NCC further argued that making the budget huge without improving the capacity to spend is worrying. The spending capacity has remained lower than expected because of the lack of structural reform. The NCC maintained that it would be difficult to achieve the target of 8
percent economic growth rate as the liquidity problem has not been solved yet and capital
spending remains meager.
The business chamber, however, said the utilization of land left fallow and the operation of
agriculture ambulance are important priorities to boost agriculture. The plan to establish an
agriculture microfinance fund of Rs 500 billion to promote agriculture was a positive step, NCC said.
Similarly, the creation of industry-friendly atmosphere within the country and concession for industrial operation are other positive moves, NCC stated in the press release.
It will be challenging for the government to collect the revenue of Rs 1,240 billion, according to NCC.
(RSS)
