Saturday, December 9, 2017

An Advocate Of Liberalisation

Alpaviram: BholaNathChalisekalekhharukosangraha, (A collection of articles by Dr.BholaNathChalise), authored by Dr.Chalise. Published by Chalise Family and Samriddi – The Prosperity Foundation, Kathmandu.


The major objectives to embrace federal system are to expedite the development process through inter-province competition, properly utilize the available resources, make the provinces independent in terms of development works, and make them self-reliant. 

The central planning negates all these principles therefore the central government shouldn't impose any development plans on the provinces. Central planning process is starkly opposite to the right of individuals to choose what is right for them, and it makes people slaves of the state. It kills local motivation. 

Therefore, in a true federal system people should have their say in regard to the development they need. If Karnali wants to fully focus on production, distribution and promotion of Yarchakunvu, the central planning shouldn't bar it from doing so. In addition, Karnali should also be allowed to choose the area or sectors in which it wants to spend the income from Yarchakunvu.

Before the country formally adopted the present federal structure, renowned economist late Dr.BholaNathChalisewrote these lines in a newspaper article. He always opposed central planning and even went to the extent that the National Planning Commission (NPC) should be terminated. 

It is interesting that he was the Member Secretary of the NPC while making statements that such an organisation was not needed for the country. He said that the NPC was a mechanism to promote the political philosophy of King Mahendra, and was used as an organisation to control the politicians through bureaucracy and exhort coercion to those who opposed the king's moves. 

The Vice-Chairman of the NPC used to threaten the Prime Minister, ministers and other government officials during the Panchayat era. In Dr.Chalise's view, the Planning Commission was an organisation against democracy and King Mahendra always used it for the same.

"The central planning appoints District Education Officer in a district, be that Kathmandu with more than two million people or Manang with 10,000 people. Even though only 3-5 legal cases were registered, Manang has a district court," he says. According to him such practice is a waste of economic resources.

An outspoken economist and a bureaucrat with utmost integrity, Dr.Chalise worked with Dr. Ram SharanMahat, one of the orchestrator of economic liberalisation in the country, and contributed in devising the laws and policies needed for it such as Industrial Policy 1992, Industrial Enterprise Act 1992, Foreign Investment and Technology Transfer Act 1992, and Company Act 1996. 

The liberalisation has opened avenues for private businesses in education, health, commerce, industry, agriculture, media, tourism and hospitality which supported in the economic progress of the country. It attracted domestic and foreign investment, created more employment and helped in mobilising the resources at local and national level. If there were any negative results of economic liberalisation, it's not the fault of the liberalisation per se, it was due to the corrupt behaviour of the regulator, he said.

Dr.Chalise did not see the use of the central bank and termed the Investment Board, which was not established then and was in discussion, an organisation that supported crony capitalism. He opposed the idea of government running industries and businesses and said that the same work would have been done in a much better and professional way by the private sector. Had then Royal Nepal Airlines Corporation been a private company, there wouldn't have been the Lauda, Chase Air and Dhamijascandals.

Dr.Chalise served in the Ministry of Industry for 20 years. He was Secretary at the Ministry of Industry, Ministry of Local Development, Executive Director of the Nepal Electricity Authority, and Chairman of the Board of Directors of the RastriyaBanijya Bank Ltd.

After his demise his family and Samriddi – The Prosperity Foundation have come up with the collection of 50 published and unpublished articles, Alpaviram, with comments from the personalities like Dr. Ram SharanMahat, BimalWagle, Man Mohan Bhattarai, Bhanu Prasad Acharya, KeshavGautam, GopiNathMainali, Dambar Nepali and HariBahadurThapa. 

The book deals with various topics ranging from planning, federalism, liberalisation, privatisation and hydroelectricity to private sector and business. It is filled with strong opinion on the topic and helps to understand the path of liberalisation that the country adopted after the restoration of democracy in 1990.

'Alpaviram' offers an insight into the country's process to the adoption and implementation of economic liberalisation, development efforts and industrialisation. The book is worth reading and also keeping in one's collection.


Published in The Rising Nepal Daily


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