Economy not out of control, work with high morale

Newly appointed Deputy Prime Minister and Finance Minister Bishnu Prasad Poudel has said nation’s economy has not gone out of hand, pledging to take all possible measures to bring it back on track.

During his meeting with a delegation from the Federation of the Nepalese Chambers of Commerce and Industry (FNCCI) today, the Minister said the private sector had its significance presence in the national economy and the government was sensitive towards the issues it was facing.

He further clarified that his priority to the delegation for the meeting was itself indicative of the government’s sensitivity towards the issues of the private sector.

“The very first meeting of the newly formed Council of Ministers decided to take various measures to improve the nation’s economy,” he said, adding that the combined efforts were required to find the solution.

 Urging the private sector to work with a high morale, he pledged to extend all sorts of possible support to keep the private sector consolidated. “Our understanding is that any degradation in the self-esteem and performance of the private sector will lead the economy to a downfall,” the Finance Minister assessed.

FNCCI President Shekhar Golchha said nation’s economy was at the most sensitive time and the new government’s attention and efforts should be for its recovery.

He advised the new government leadership to come up with immediate special measures to revive the economy and demanded a reduction in bank interest rates, a solution to the liquidity crisis, and improvement in the investment climate. “Though we continue to draw the attention of State’s various bodies towards measures needed to improve the economy, we are still unheard,” he said.

The FNCCI President shared that during the meeting an assessment was made that the nation’s economy was at the most difficult period of the time and it needed prompt actions for the improvement.

Stating that economy was hit by multidimensional impacts and it could not be addressed through a view of the monetary policy alone, he said the business sector was facing hard times and was in the position to coming to the street mainly due to the entire banking system. He again urged the government to help the private sector cope up with the adversity.

During the meeting, representatives for the private sector apprised the Finance Minister about a significant fall in cement and iron rods, a fall in the consumption of daily consumer goods, a shrink in the sale of electric equipment and the overall 38 percent fall in the capital market.