Budget positive but challenging for implementation: NCC

NL Today

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Kathmandu: The Nepal Chamber of Commerce (NCC) has stated that the budget government brought for the Fiscal Year 2022-23 was positive, but it was challenging to implement.

Issuing a press release, the NCC said there were several positive points in the budget Finance Minister Janardan Sharma presented in the federal parliament on Sunday. The budget size of Rs 1.79 trillion was huge. It was not based on reality, NCC argued.

NCC further argued that making a budget huge on the one hand but lacking the capacity to spend is worrying. The spending capacity was slow off of the mark because structural reform has not been made for it. It will be difficult to achieve the target of an eight percent economic growth rate.

The liquidity problem was not solved yet and capital spending meager, reads the statement.

It however said the utilization of barren land and 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 welcomed.

Similarly, the creation of an industry-friendly atmosphere within the country and concession for industrial operation are other positive moves, NCC stated in the press release.

It was challenging for the government to collect the revenue of Rs 1,240 billion, according to NCC.