Finance Minister Pun Engages Former Administrators and Experts for Objective Budget Formulation
Finance Minister Barshaman Pun has underscored the necessity of collaboration among former administrators and economic experts to ensure the forthcoming fiscal year's budget is objective and timely. In line with this objective, the Minister's Secretariat has confirmed that submissions were solicited from former finance secretaries, the previous governor of the Nepal Rastra Bank (NRB), and former vice chairs of the National Planning Commission to benefit from their insights and expertise in formulating the new budget.
During the consultation, participants advised the government to prioritize the implementation aspect of the budget, emphasizing realism. Recommendations included augmenting capital expenditures while reducing general expenditures, as well as implementing policies to boost export trade. Moreover, suggestions were made to refrain from federal government investments in small projects falling within the purview of provincial and local governments, addressing issues plaguing the cooperative sector, and effecting structural improvements in budget implementation bodies.
Additionally, there was consensus on the need to enhance cooperation among federal, provincial, and local levels to effectively implement federalism, expedite and conclude ongoing major projects, attract more foreign investment, and bolster bureaucratic morale. Notable figures present at the meeting included NPC former vice chairs Dr. Pushpa Raj Kandel, Dr. Dinesh Chandra Devkota, and Deependra Bahadur Kshetry, as well as former NRB governor Dipendra Purush Dhakal, and former chief secretary Bimal Koirala, among others.
Following the session, Minister Pun acknowledged the collective concern among government entities, political parties, the private sector, bureaucrats, and economic experts regarding the economic slowdown, stressing the imperative of aligning the government's fiscal policy with the monetary policy issued by the Nepal Rastra Bank. He advocated for gradually easing restrictions implemented during economic crises and indicated ongoing discussions with the NRB in this regard.
Furthermore, Minister Pun highlighted the necessity of restoring confidence in the private sector and bureaucracy to stimulate economic growth, noting the prevalence of negative perceptions toward politicians, bureaucrats, and businessmen. He urged political and bureaucratic leaders to demonstrate courage in challenging this mindset, calling for societal support in this endeavor.
Addressing infrastructure development, Minister Pun emphasized the importance of considering economic, agricultural, and market factors. He cited instances where infrastructure projects were undertaken without concurrent economic planning, leading to suboptimal outcomes.
Regarding tax reform, Minister Pun disclosed an ongoing examination of recommendations from a high-level tax reform committee, indicating that reform initiatives would be incorporated into the budget based on the committee's findings.
Lastly, Minister Pun lauded recent legislative amendments aimed at fostering an investment-friendly environment, coinciding with the conclusion of the Third Investment Summit. He reiterated the government's commitment to facilitating private-sector investment, emphasizing the symbiotic relationship between private-sector initiatives and government support in policy reform and platform provision.
