Kathmandu, May 30
Speaking at the post-budget programme organised
by the Ministry of Finance (MoF) on Sunday, he responded to the doubts
expressed by the economists, former finance ministers and opposition leaders
and said, "I would like to assure that the government would implement it
to the fullest and will achieve the targets set."
Although the budget pleased many sectors
including business and social, some cast doubt if the budget could be
implemented well given its large size and numerous programmes at the time of
COVID-19 pandemic and resource crunch.
FM Paudel had unveiled the budget of Rs.
1647 billion aiming to control the pandemic, rehabilitate the businesses,
strengthen the state welfare and create resilient economy. The budget is Rs.
173 billion larger compared to the current FY 2020/21.
He maintained that organised mechanism and
system would be put in place for the effective implementation of the budget.
He said that the prime focus of the budget
is to control, prevent and treat the COVID-19. Rs. 122.77 billion is earmarked
for the health sector covering the development of health infrastructure and vaccines
against coronavirus while relief and rehabilitation programmes for business and
industry and relief to affected people were also announced separately.
According to FM Paudel, the government will
put every efforts to save the lives of people from the deadly pandemic. He said
the topmost priority of the government was to manage vaccines and very soon a
significant size of population would be inoculated.
We are ready to fight the pandemic and a
significant portion of the budget is channelised to the same direction, he
maintained.
FM Paudel said that the government had
presented the budget as per the constitutional provision to make it happen on
Jestha 15 of the Nepali calendar that fell on 29 May.
"Do not be confused, we have announced
the budget as per the constitution. The legitimacy of the government cannot be
questioned by the speech of some political leaders," he stated.
The Finance Minister said that the
government has not framed the budget to influence the voters but it is the duty
of the government to formulate programmes and policies that show it is
accountable to the public.
"We cannot run away from our responsibility.
I don't think that I should be responding to the comments that the government
should not have announced good programmes that could help the people and
economy," he said.
Speaking on the occasion, Secretary of
Finance Shishir Kumar Dhungana said that the revenue target would be met as the
economic activities would significantly increase after the restrictions are
lifted while the revival and rehabilitation programmes will help the business
to grow which will result in higher revenue collection.
These programmes will help to achieve the
target of 6.5 per cent economic growth, he said.
"We are in a position to achieve 4 per
cent growth rate even when economic activities began to happen after October
last year. It shows Nepali economy bounces back quickly. When the lockdown is
lifted, economic activities will be increased," he said.
Dhungana maintained that the government had
tried to manage the resources without disturbing the fiscal framework. "This
year, the size of loan in the budget was 35.61 per cent but it is 33.94 per
cent for the next fiscal which is 11.59 per cent of the projected size of
economy," he said.
According to him, most of the foreign loan
will be mobilised to the development projects that will help in capital
formation and large projects above the investment of Rs. 5 billion will be
implemented as per the special purpose vehicle.
Revenue Secretary Ram Sharan Pudasaini said
that duty discount is offered in industrial raw materials, medicines and
household durables.
Likewise, Governor of the Nepal Rastra Bank
Maha Prasad Adhikari stated that there was a prospect of 6.5 per cent growth in
the next fiscal.
"In the immediate post-pandemic
situation, the demand and supply both go up which will instantly boost the
economy," he said.
Published in The Rising Nepal daily on 31 May 2021.
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