Kathmandu: President of the Federation of Nepalese Chambers of Commerce and Industry, Chandra Prasad Dhakal, has mentioned that although the external sector of the country’s economy is balanced, the economy has not been able to run due to low demand in the market. He said the government needs to take more initiatives to increase market demand.
President Dhakal said so while addressing the 67th Annual General Meeting of Morang Chamber of Commerce and Industry on Thursday.
He also pointed out to the need to amend the laws that the government has said it will amend before the investment summit. He stated that if the amendments are not done on time it will send a negative message to potential investors. Dhakal informed that on the suggestion of FNCCI, 12 laws and regulations have been proposed to be amended. After the amendment, it will address some complicated issues, he added.
Dhakal also mentioned that the subsidised loan facility that was being provided to businesses has been stopped and requested the government to restart the subsidised loan facility. Due to the halt in the facility it has affected entrepreneurship, he added.
He said that when domestic demand is low, the demand should be increased by exporting and attracting more tourists but the subsidy being given to exports has been stopped. In this way, there is no export incentive at the moment, he said. He urged the government to increase capital expenditure and also pay the remaining dues of contractors. Dhakal further urged the government to take steps to increase the morale of business persons.
Meanwhile, President Dhakal congratulated Morang Chamber of Commerce and Industry for its contribution to the chamber movement and in the economic development of the country. He mentioned that the Morang Chamber of Commerce and Industry has played a decisive role in promoting entrepreneurship in the region, supporting small and medium industries and enhancing the competitiveness of businesses.
Speaking on the occasion, Naveen Rijal, President of Morang Chamber of Commerce and Industry, thanked Dhakal and the FNCCI for its role in helping reduce the credit interest rate. However, since there is still low market demand businesses have been facing some problems. He was positive that the market will improve soon and the economy will be back on track.
It has to be noted that the Morang Chamber of Commerce and Industry was previously called Morang Merchants’ Association. This change in the name of the organisation was done on Thursday.
The chief guest of the program was Shekhar Koirala, who is a central working committee member of Nepali Congress and a member of the House of Representatives.