KATHMANDU: Finance Minister Dr Yuba Raj Khatiwada met Michael Bates, the minister of state in the Department for International Development, UK and member of House of the Lords, at the House of Commons London. Khatiwada is currently on a visit to the United Kingdom.
On the occasion, Minister of State, Bates inquired about Nepal’s development, states a release by the the Ministry of Finance. Finance Minister is on UK visit in a bid to bring British investment in Nepal.
During the meeting, the British Minister of State also inquired about the post-earthquake reconstruction, implementation of federalism and development-related issues.
In response, Finance Minister Khatiwada said Nepal’s constitution is one of the best democratic constitutions of the world and that Nepal has been practicing inclusiveness in its governance, adding that the women, dalit, indigenous nationalities, Muslim and marginalized communities had more than one-third representation in the parliament.
Minister Bates, during the meeting expressed commitment for continued British cooperation in Nepal’s development.
Minister Khatiwada on Thursday held discussions with the businesspersons and investors representing over two dozen British companies. On the occasion, he explained about the conducive investment climate, opportunities and returns in Nepal. He also urged the British entrepreneurs for their active participation in the investment conference being held in Nepal on March 29 and 30.
Government ministers’ foreign junkets between January 15 to February 15 cost the nation over Rs6.56 million. That is not all. The government disbursed a total of Rs70 million in December last year from the state coffers against the foreign trips made by the ministers at different times.
A team led by Prime Minister KP Oli to attend the UN General Assembly incurred a cost of over Rs40 million to the state coffers.
According to the Ministry of Finance (MoF), it disbursed around Rs2.60 million to Foreign Minister Pradeep Gyawali for his trip to the United States of America in December last year. The amount includes the cost of his delegation.
Likewise, the government spent Rs 5.6 million in the inauguration of its Social Security Program last year.
Likewise, a record by the Ministry of Finance reveals that Foreign Minister Gyawali and his team spent over four million rupees during the visits to countries like Austria, Japan, and Thailand.
Similarly, the MoF disbursed a total of Rs3.7 million in the name of foreign trips of the MoF officials.
Minister for General Administration Lal Babu Pandit’s trip to Dubai to attend the “World Global Summit” of the Third Global Dialogue for Happiness Seventh Gathering cost the nation over Rs5.6 million.
Minister for Youth and Sports Jagat Biswokarma spent around Rs1.80 million during his trip to New Delhi to receive an international award last year.
Likewise, Minister for Industry, Commerce and Supplies Matrika Yadav’s trip to India’s Mumbai to attend the 25th Edition of the Partnership Summit 2019 cost the nation Rs2.5 million.
Similarly, the government disbursed Rs 4.27 million in the name of renovating the office and secretariat of the Minister for Energy and Irrigation, Barsa Man Pun.
What is more intriguing is that state coffers have resulted in the loss of Rs.7, 50,000 as part of releasing cabinet decision.
Likewise, the government spent Rs 5.6 million in the inauguration of its Social Security Program last year.
Likewise, a team led by Minister for Forest and Environment, Shakti Bahadur Basnet during the UK visit spent over Rs3.1 million last year. The team was in the UK to attend a program “Illegal Wildlife Trade’. Similarly, an informal visit of President Bidhya Devi Bhandari to Poland incurred the state coffers over Rs200 million.
In the same vein, Minister for Communication and Information, Gokul Prasad Baskota and his team spent around two million during its visits to countries such as India, Switzerland, and Germany.
What is more intriguing is that state coffers have resulted in the loss of Rs.7, 50,000 as part of releasing cabinet decision.
Whereas the cabinet decision would be released the government spokesperson on the same day of the decision taken, the provision was later altered such that the cabinet decisions are not released once a week.
KATHMANDU: Prabhu Bank has opened its additional branch office on the premises of Nepal Oil Corporation (NOC), Amlekhgunj, in Bara district.
Pradip Kumar Yadav, regional chief of NOC, inaugurated the bank’s extension counter amid a ceremony, according to a statement issued by the bank.
Speaking at the inaugural ceremony, Yadav said, “The extension counter will help the dealers in carrying out their transactions related to petroleum products.”
Also speaking on the occasion, Chief Executive Office of Prabhu Bank Ashok Sherchan said the bank has brought its extension counter into operation in view of the comforts of the petroleum suppliers and consumers.
KATHMANDU: The government is preparing to enact a new law in a bid to attract foreign investment and to ease technology transfer.
The new act replacing the existing act on Foreign Employment and Technology Transfer Act, 1993 shall provide many facilities to foreign investors.
For example, the new act shall provide identity cards as well as business visas to foreign investors. Similarly, those investing USD 10 million or more shall be provided with residential visa until their stay in Nepal. The investor, his/her family members, and relatives will also benefit from the provision.
The act envisages that either an individual or a group can invest in Nepal. Similarly, a foreigner can invest in Nepal by establishing a branch of its existing venture.
The government is working to enact the law ahead of Nepal Investment Summit 2019 slated for the last week of March.
The act puts no bar on the amount of foreign investment. Similarly, it shall guarantee that no foreign investment shall be nationalized. As such the new act shall incorporate many issues not addressed by the current act, according to a source at the Office of the Prime Minister and Council of Ministers.
The act envisages that either an individual or a group can invest in Nepal. Similarly, a foreigner can invest in Nepal by establishing a branch of its existing venture.
Once the new act is enforced, any foreign national coming to Nepal for research and studies in terms of investment will be entitled to a non-tourist visa for a total of six months.
KATHMANDU: It may sound weird. But representatives of the Kathmandu Metropolitan City (KMC), who have been elected by the people, have embezzled over three million rupees in the name of logo procurement.
A KMC source said each ward chairperson and seven executive members received Rs. 32,000 for the purpose. Similarly, a total of Rs. 17,000 has been allocated to the ward members to purchase the logo. The gold-plated logo is to be patched on the coat.
The KMC has a total of total of 32 wards. With each ward having one chairperson and four members, there are a total of 32 ward chairpersons and 128 ward members. Besides, there are eight nominated members. In aggregate, the total sum misused amount comes at Rs. 3,456,000.
KMC sources said that some of the ward chairpersons bought logos at a far cheaper price than the amount they received from the KMC, while most of the representatives did not procure logos at all.
The representatives elected by people with high hopes of development, prosperity and unhindered service in the metropolis have been found to be misappropriating millions of rupees.
Some received money but did not procure logos
KMC sources said that some of the ward chairpersons bought logos at a far cheaper price than the amount they received from the KMC, while most of the representatives, despite receiving the money some five months back, did not buy logos at all.
Earlier, the KMC representatives had come under fire for their involvement in mobile sets purchase graft-case.
Currently, KMC provides Rs 1,500 to the mayor and the deputy mayor as meeting allowance whereas a ward member gets Rs 1,000 each for the same.
Likewise, a nominated and an invited member receives Rs 1,000 each as a meeting allowance.
Ishwor Man Dangol, KMC Spokesperson
Ishwor Man Dangol, the spokesperson at KMC, denies irregularities on the purchase of the logo. “KMC made logo mandatory to its members as part of institutional identity. The amount allocated for logo purchase is reasonable and there are no irregularities involved,” he said.
Other sources at the KMC, however, revealed that the logos were procured at far lower price and that some of the members have not bought the logo yet.
KATHMANDU: Minister for Industry, Commerce and Supplies, Matrika Prasad Yadav has acknowledged the fact that the incumbent government was yet to work as per people’s expectation.
He, however, said that the government was commitment to it. Speaking at the 6th Convention of Khichapokhari New Road Trade Association in Kathmandu today, Minister Yadav said the New Road area can be developed as a model trade hub.
He also appreciated the traders for cooperating with the government’s endeavor towards making prosperous Nepal.
On the occasion, Mayor of the Kathmandu Metropolitan City, Bidya Sundar Shakya stated that KMC would work out on a plan to develop historic New Road area. “We are trying to construct a business complex in New Road to get rid of the footpath shops,” he said.
Mayor Shakya also said the KMC was working out plans to make Durbar Marg and New Road as smart parking areas.
BARDIBAS: The District Coordination Committee, Mahottari has begun shutting down the sand and stone quarries running illegally in the district. As of Saturday evening, 12 such crusher industries have been shut down in and around the Bardibas, Gaushala, Bhangaha and Aurahi town areas. The crusher industries have posed a risk to embankments and afforestration initiatives carried out by the government. As a result they are being shut down, the committee spokesperson Sudip Kumar Jha.
As per the regulation, crusher operators are required to take permission from the local level and the DCC but many were found running without the license. As per official records, only six crusher industries are operating after being formally registered. But more than 50 of them have been found to be operated.
Uncontrolled extraction of sand and stones from the rivers in the district has led to drying up of the water sources, wetlands and induced deforestation, as well as inundation. As a result, the locals and environmental campaigners raised a voice, prompting the DCC to come into action.
KATHMANDU: Prime Minister KP Sharma Oli asked banks not to impose interest rate arbitrarily in a meeting with FNCCI delegation today.
The PM also urged the investors to investment on productive sectors to contribute to national economy. He suggested that agriculture sector should be encouraged. The meeting was also attended by Finance Minister, Dr Yuba Raj Khatiwada and Nepal Rastra Bank Governor, Dr Chiranjivi Nepal. The entrepreneurs had expressed their concern regarding investment climate. It is not good that banks float loan on one condition and impose interest arbitrarily,” the PM said, adding that government was always ready to solve the problems facing industrialists and entrepreneurs.
KATHMANDU: The government led by KP Oli has completed its one year. In a televised address to the nation on Thursday, Oli highlighted the government’s achievements, including the enactment of important laws to implement federalism. Other highlights of his speech were: one trillion investment pledged by the international community, launching of the Social Security Scheme, and the Prime Minister Employment Program. Despite his claims of prosperity, the economic indices seem to be weak. The trade deficit is huge while the development expenditure has been put at 22 percent.
Shocking trade-deficit
In the past one year, after KP Oli took charge as the country’s prime minister, the trade deficit has gone up staggeringly amounting to Rs 678.53 billion in the last six months. By the second week of October, 2017, the total trade deficit was put at Rs 493 billion. In the last six months, the capital outflow is at Rs 63 billon.
According to the record maintained by Nepal Rastra Bank, the balance sheet has a deficit of 63.68 billion. In the second week of January, 2018, the capital outflow was put at Rs 6.66 billion.
Declining foreign investment
The foreign investment has declined in the first six months of the current fiscal year. According to the statistics maintained by the government, Nepal has received Rs 4.36 billion as foreign direct investment (FDI) in the last six months.
By the second week of January, 2018, Nepal government received a total of 14.33 billion in FDI. According to the statistics maintained by the World Bank, Nepal has gone down below five positions in the terms of investment climate compared to the previous year.
Deteriorating security condition
The culprit behind the rape and murder case of Nirmala Pant in Kanchanpur, which happened after PM Oli took charge, is still at large.
Similarly, the government is still clueless on the murder of Keshav Jha, former Nepali Ambassador to France, who was murdered in Buddhanagar. The main opposition Nepali Congress has been criticizing the government saying that it failed to main law and order, with the number of rape-after-murder cases increasing ever.
Aggressive announcement, weak implementation
Even though the government at the beginning closed all the bank accounts of the transport entrepreneurs and announced it would end the transport syndicate system, it has now fizzled out. The syndicate is still intact. Likewise, the government has not arrested the main mastermind behind the 33 kg gold scam nor could it take action against those contractors blacklisted.
Optimistic diplomatic ties
The Oli government has claimed that Nepal’s relations with the international community has improved in the last one year. He has claimed that it has fostered ties with its largest development partner the United States of America. However, analysts say that the relations between Nepal and America has deteriorated following the Nepal government’s official views over the Venezuela crisis.
Social security and development initiatives
Despite having a bleak scenario on all fronts, some ministries’ performances are found satisfactory.
Labor treaty with the labor destination countries like Malaysia, employment guarantee, unemployment allowance are some of the remarkable jobs performed by the Oli government.
Similarly, the government has started implementing the social security plan and has initiated the construction of hydropower projects with the slogan ‘People’s Investment in People’s Water.’
Expediting the construction works of the Gautam Buddha International Airport and 22 hours operation of the Tribhuvan International Airport are some of the positive works of the government.
Zero tolerance policy on corruption ineffective
The government failed to take action against those involved in the embezzlement of the wide-body aircraft procurement cases in line with the report of the Public Account Committee. Nepal has gone down in the list of corrupt countries.
Federalism at jeopardy
The lawmakers from both the ruling and the opposition have accused the government of tabling bills related to Nepal Police and Provincial Police saying these bills are against federalism. They have claimed that if the bills were endorsed without any changes they will create rifts between the central and the provincial governments.
KATHMANDU: Economists and analysts have emphasized on boosting productivity to increase the country’s economy.
Participating at an interaction organized jointly by Khabarhub and Institute for Strategic and Socio-Economic Research at the Pavilion Hall to analyze the government’s performance on economic sector in the last one year in Kathmandu, they suggested the government to address this issue to avoid stagnant economy.
Former Minister of Finance, Dr. Prakash Saran Mahat said the government’s performance on economic sector has been discouraging. He said people’s aspirations have been shattered since the government failed to attract foreign investment in the country. “Foreign Direct Investment (FDI) has been decreased by 50 percent,” Dr. Mahat said citing available data.
He criticized the government for failing to control the price hike, control corruption, and failing to create employment opportunities despite assurances and publicity.
“The entire scenario is negative,” he said citing the country’s trade deficit with other countries.
Analyst Bharat Dahal queried as what is barring the government from bringing in foreign investment. He termed the government’s performance as ‘dissatisfactory’ in all sectors.
Advisor to the Ministry of Finance, Dr. Ram Saran Kharel, however, defended the government saying that the foundation has been created for sustainable economic growth in the last one year. “Tax system has been made progressive,” he said adding, “There is no point to be disappointed.”
Dr. Dwarika Thapa expressed mixed reactions over the government’s performance in the economic sector saying that it would be too early to judge the government. He, however, suggested the government towards working to carry out tasks that would increase the country’s economy.
Likewise, stating that the government has brought some encouraging programs such as the Prime Minister Employment Program and Social Security Scheme, Dr. Govinda Bahadur Thapa said the government should work towards increasing the productivity, and bring out some programs that will have direct impact on the people. “Increasing the tax rate is not the need of the hour,” he maintained.