Private sector urges for friendly budget

The private sector, today, asked finance minister Shankar Koirala to bring a private sector friendly fiscal policy by including its suggestions in the budget for next fiscal year 2013-14.

"The private sector is expecting the budget for next fiscal year to come on time that will help boost economic growth," said president of Federation of Nepalese Chambers of Commerce and Industry Suraj Vaidya.

The delayed budget for the current fiscal year has hit the economy as the country is projected to record only 3.56 per cent growth in the current fiscal year 2012-13, against a fiscal year ago's 4.48 per cent, according to the Central Bureau of Statistics (CBS).

Development spending by the government has been the lowest and the central bank treasury has Rs 47.20 billion budget surplus in the nine months of the current fiscal year, according to the central bank data. The low appetite for public spending has also hurt private sector spending, making the economy vulnerable.

"The umbrella organisation of the domestic private sector is holding interactions across the country to get suggestions," he said, asking the minister to include their recommendations in the next budget to make it private sector and investment friendly.

Koirala, on the occasion, assured the private sector representatives, that the government will bring a private sector friendly budget. "The government is ready to encourage the private sector," he said, adding that the budget will help create an investment friendly environment and address the problems of the private sector.

Likewise, representatives of the Federation of Nepalese Cottage and Small Industries also apprised the finance minister of problems they have been facing and asked him to help promote their products in foreign expos. "We asked the minister to help us promote products manufactured by small and medium enterprises in the US and also for a Women Entrepreneurs' Development Fund," said acting president of the federation Shyam Prasad Giri.