NCC urges FinMin to manage imports without affecting BoP

KATHMANDU: Representatives of Nepal Chamber of Commerce (NCC) today called on Finance Minister Janardan Sharma to discuss the recent economic situation of the country and homework for the preparation of budget for next fiscal year 2022/23. During the meeting with Minister Sharma, NCC President Rajendra Malla said the import should be arranged without affecting the balance of payments (BoP) of the country. Malla suggested that industrial raw materials and consumables should be allowed to be imported in a systematic manner to prevent shortage of essential commodities. The export promotion should be facilitated to reduce trade deficit, President Malla said during the discussion held at the Finance Ministry. He suggested that reference prices should be scrapped and transaction prices should be validated at the customs office. The NCC officials complained that export promotion could not take place due to lack of facilitation at customs procedures. President Malla suggested the government establish a high standard laboratory at the main customs checkpoints so that only quality goods could be imported. This will naturally reduce imports, asserted. NCC President cited the high import of petroleum products as the cause of an increase in trade deficit. He opined that budget for the next fiscal year should be formulated in such a way that it would encourage maximum use of electrical appliances. The president of private sector's organisation hinted that arrangements could be made to provide permanent account number (PAN) cards to all the citizens while issuing them citizenship certificates. This could be a convenient way to bring all under the tax net. He argued that real estate transactions should also be brought under the tax net by allowing transactions only through a broker-dealer company. President Malla stressed the need for a policy arrangement to maintain a single-digit interest rate. The chamber officials also urged the finance minister to legalise the cultivation of cannabis. Malla argued that medicines and clothes made from cannabis could be exported as an alternative to reduce trade deficit. On the occasion, Finance Minister Sharma emphasized the importance of cooperation between the government and private sector for the economic development of the country. He said the private sector accounts for 70% of the overall economy. According to Sharma, the government is making policy arrangements so that traders can invest in the productive sector as well. He expressed his commitment to industry and business friendly environment. READ ALSO:

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