Sunday, May 15, 2016

Government targeting 6.3 per cent growth for next fiscal year

The government is targeting 6.3 per cent economic growth in the budget for the next fiscal year.
Releasing an approach paper for the 14th three-year plan during a meeting of National Development Council (NDC) today, National Planning Commission (NPC) vice chairperson Dr Yubraj Khatiwada said that the 14th periodic plan has targeted an economic growth of 6.3 per cent for the next fiscal year 2016-17. "The government is preparing budget for the next fiscal year," he said, adding that it will be based on the approach paper of the 14th periodic plan.
He also said that the plan has targeted agriculture sector to grow by 4.5 per cent in the next fiscal year, followed by 7.3 per cent growth of non-agriculture sector. "Likewise, the industry sector is estimated to grow by 8.7 per cent, and service sector is estimated to grow by 6.9 per cent in the next fiscal year," he added.
Khatiwada also said that the 14th periodic plan has targeted average economic growth of 7.1 per cent in the next three fiscal years.
The 14th periodic plan – which starts from the next fiscal year 2016-17 and last till 2018-19 – will be the fourth interim three-year periodic plan instead of the traditional five-year periodic.
The plan has envisaged economic growth of 6.3 per cent for 2016-17, 7.2 per cent for 2017-18 and 7.9 per cent for 2018-19, Khatiwada said, adding that by the end of the 14th periodic plan the country will see an average economic growth of 7.1 per cent.
He also claimed that the country most post economic growth of more than 7 per cent not only to achieve developing country status from current Least Developed Country (LDC) status by 2022 but also to upgrade to the middle income country by 2030 from the current low income country status.
However, country's economy will grow by a mere 0.77 per cent in the current fiscal year, according to the Central Bureau of Statistics (CBS). The government had targeted economy growth of 6 per cent for the current fiscal year.
Country's average annual economic growth remained 2.92 per cent in the 13th periodic plan period which had targeted an average economic growth of 6 per cent in the past three fiscal years, including the current fiscal year which was hit by subpar monsoon, five months of Indian economic blockade since September 20, and the devastating earthquakes of April and May last year.
"This fiscal year we have an excuse because of the earthquakes and supply obstructions due to Tarai-Madhesh unrest," prime minister Khadga Prasad Sharma Oli, who is also the chairperson of NDC. He, however, said that the country has to move forward toward economic prosperity.
The first periodic plan after the promulgation of constitution envisages preparing a base for the welfare state and socialism-oriented economy, though the government has also reiterated to give enough room for the private sector for economic growth. The country needs to invest Rs 2.40 trillion – for next three years – to achieve an average growth of 7.1 per cent. But the eroding government capacity to spend has been a huge challenge lately.
Premier Oli accepted that the government has been unable to spend development budget. "The depleting absorptive capacity of the development budget has to be corrected," he said without elaborating on how his government plans to boost development expenses.

1 comment:

Realestete Property said...

Visit this link for more property information: Property Market in Bangalore.

Individual House for sale in Bangalore