Wednesday, May 30, 2012

PM lays stress on economic growth

Caretaker prime minister Dr Baburam Bhattarai today said that tourism, agriculture and hydropower are the government's major priority areas.
In a meeting with different government agencies, he urged the Finance Ministry to focus on economic growth, creating employment opportunities and inclusive growth in the new budget.
"The government has realised that the execution of policies has not been satisfactory among project implementing agencies,” he said, adding that all the agencies including the Finance Ministry should assertively execute planned projects to make people realise the change and development.
He also directed the Finance Ministry not to let the morale of the private sector go down. “The ministry should bring a plan of economic prosperity by taking the private sector into confidence,” said the Premier, who had brought a couple of populist programmes to give relief to the people but failed to implement them.
Similarly, caretaker finance minister Barshaman Pun said that the ministry has been putting its effort to expedite capital expenditure.
The ministry has done its best to create an environment of confidence with the private sector, he briefed the prime minister.
“The ministry will give high priority to projects which have national importance,” he said, adding that the next budget will incorporate the  provision of health insurance and lay emphasis on energy.
In the meeting, finance secretary Krishna Hari Baskota said that the economic sector has failed to be as dynamic as expected. “The situation of capital expenditure is unsatisfactory and the country has failed to attract foreign investment,” he said, adding that the mobilisation of foreign aid has also failed to meet its target.
“The overall export scenario has not improved, interest rate has not reduced and investment in the productive sector has not increased which will have an adverse impact in the economy,” Baskota added.
Vice chair of National Planning Commission Deependra Bahadur Kshetry and governor of Nepal Rastra Bank Yubaraj Khatiwada shed light on the situation of the implementation of monetary policy of the current fiscal year. They also suggested strategies regarding the monetary policy which the government should embrace in the coming budget.


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