Budget positive but challenging for implementation: NCC

KATHMANDU, MAY 31: Nepal Chamber of Commerce (NCC) has observed that the new budget the government brought for the fiscal year, 2079/80 was positive, but it is challenging to implement the same. Issuing a press release, the NCC made such an observation.

"There are several positive points in the budget. But its total size amounting to Rs 1.79 trillion is too huge to mobilize, the apex body of Nepali business communities argued. "The spending capacity of government for is strictly poor because of the persistent lack of needed structural reforms."

According to it, it will be difficult to achieve the target of an 8 percent economic growth rate. The liquidity problem is not solved yet and capital spending is meager.

It however said the utilization of barren land and operation of agriculture ambulance are important priorities of the budget to boost agriculture. The NCC welcomed the plan to establish an agriculture microfinance fund of Rs 500 billion to promote agriculture and offer concessions for industrial operations.

 It said that collecting the revenue of Rs 1,240 billion will be challenging for the government.