Finance Minister Dr Prakash Sharan Mahat has said Nepal had tremendous potential for development of information technology and tourism.
Addressing a seminar on 'Potential of Small States: Competitive Strength and Priority of Foreign Policy in Nepal' organized by the Institute for Strategic and Socio-economic Research (ISSER) here Thursday, Finance Minister Dr Mahat said, "The Government has prioritized the IT sector considering its potential. The income tax on the IT sector was reduced by half in the budget of the current fiscal year."
The Minister however said although a large number of Nepali youths are involved in IT, they are yet to be brought under tax ambit. Minister Dr Mahat claimed that Britain itself admitted that it was importing the software worth 100 million pounds from Nepal.
He opined that it would not be good to opt for foreign study unless a minimum 50 percent scholarship is granted. Education sectors also have opportunities in Nepal.
According to him, the government was worried about paying the loan taken for construction of Pokhara International Airport. The international airport was constructed for tourism promotion. "If such an airport was constructed earlier in Nijgadh, it would be better."
He argued that Nepal still had limited capacity of international airports which was discouraging to invite tourists.
On the occasion, former Finance Minister Surendra Pande viewed the country's economy was still at stress, so it is essential to change the trend in the economy. Nation's economy should be changed to reap the benefits from the rising economies of neighboring countries.
He suggested launching programmes to bring in tourists from India and China to boost the development and tourism sector. Pande further argued that support of big countries like the US is also needed to change the current economy.
Similarly, another former Finance Minister Janardan Sharma said a balanced foreign policy could be helpful to improve the national economy.
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