I said this on my latest opinion piece:
… the economy does not even have the necessary conditions and institutions to sustain growth rate of over five percent even for two years. This would require a vibrant private sector, entrepreneurial citizenry, business-friendly fiscal policy, less red tape, and more importantly, infrastructure required for unleashing the entrepreneurial spirits in the economy.
The finance minister, who has so far been obsessed with revenue collection rather than focusing on achieving development and growth objectives outlined in his budget, is making overly optimistic and unrealistic claims about growth rates without fully assessing the strongest and binding constraints on economic activity in the economy.
Nepal’s Finance Minister Dr. Bhattarai says:
The Finance Minister, who reached Birgunj early Thursday to inspect Birgunj customs, the largest trading and revenue-generating point, said that the government was not just concentrating on enforcing tax laws and collecting revenue, but was also working for creating an industry-friendly environment.
I am waiting to hear what exactly are the rescue plans, if any, for the beleaguered Nepali industrial sector. It has been almost six months I am hearing such assurances, but in reality I have not seen a single executable plan so far!