Local bodies lack capacity, resources

Kathmandu, Mar. 26

Many roads and bridge projects handed over to the States and local levels  by the Federal Government are stranded as the sub-national units lack sufficient budget and human resources to implement them.

The Ministry of Physical Infrastructure and Transport (MoPIT) is facing hard times to bring those projects back in order to create infrastructure facilities across the coutnry.

"The Appropriation Bill for the Fiscal Year 2018/19 had handed over multi-year projects and other medium-level infrastruture projects to the respective States and local levels. But due to the lack of expertise and budget priority, only a very few sub-national governments show readiness to take them further," said the MoPIT.

Speaking at the meeting of the Development and Technology Committee (DTC) of the Parliament on Tuesday, lawmakers pointed to the gap in coordination among the three levels of governmetn and criticised the central government for its indifference towards enabling the local government with required capacity and resources to execute infrastructure projects.

They said that pulling the projects back to the central government would weaken the local bodies as well as the concept of federalism.

The National Planning Commission and the concerned ministries must work to provide budge and technical expertise to the local governments, demanded lawmaker Ganesh Pahadi.

According to the MoPIT, the local bodies are not ready to accept the ownership of the projects transferred to them by the central government.

The Committee directed the federal government to send budget and technical manpower to the projects transferred to the local bodies.

However, it asked the government to implement the multi-year road and bridge projects, transferred to the sub-national governmetns, by itself. As per the Appropriation Bill, concerned governmetn agencies can implement the projects sent to the local governments with the approval of the concerned line ministries.

But the process to get the project back to central agencies is cumbersome – first the State government has to wirte to the concerned federal ministry about sending the project back, then the ministry has to receive a consent from the Ministry of Finance (MoF) for the fund transfer, and again has to obtain approval from the Cabinet.

The DTC pointed towards a greater inter-ministrial and inter-governmental coordination and directed the Office of the Prime Minister, MoF and MoPIT for the same.

Minister for Finance Dr. Yuba Raj Khatiwada assured that the the strategic projects would be given priority and would be supported with additonal budget if required. He urged the committee to direct the government to conclude the incomplete projects by the next fiscal year.

Minister for Physical Infrastructure and Transport Raghubir Mahaseth said that there was about 80 per cent physical progress at the national pride projects. He assured that the projects that are beyond the capacity of the local governments would be brought to the domain of the federal ministry and be completed in time.

Published in The Rising Nepal daily on 27 March 2019. 

Reconstruction engineers resume their duty

Kathmandu, Mar. 26

Engineers mobilised by the National Reconstruction Authority (NRA) to facilitate reconstruction of the quake-damaged structures in the districts affected by the devastating Gorkha Earthquake 2015, have agreed to return to the field and resume their work.

They expressed their readiness to call back the protest programmes and get back to their work from Tuesday following the commitment of the NRA to provide allowance and other incentives as per the Finance Ministry's circular. Nepal Engineering Association (NEA) and engineers' committee had demanded for the implementation of the circular.

Chief Executive Officer of the NRA Sushil Gyawali said that the Cabinet would make decision as per the Finance Ministry's approval.

The engineers had taken to the streets demanding allowance for over-time work and remoteness allowance.

Published in The Rising Nepal daily on 27 March 2019. 

CIAA files corruption case against its former chief Pathak

Kathmandu, Mar. 26:

The Commission for Investigation of the Abuse of Authority (CIAA) on Tuesday filed a case against its former commissioner Raj Narayan Pathak and former Director of Nepal Engineering College in Changunarayan, Bhaktapur Lambodar Neupane claiming a fine equal to Rs. 7.8 million each.

The anti-graft body said that Pathak had accepted bribe equal to that amount from Neupane to settling a dispute over ownership of the college.

The CIAA has decided to carry out a separate investigation into a matter regarding bribe money of about Rs. 1.5 million by Pathak's brother Shubha Narayan Pathak to facilitate in obtaining affiliation for a new college.

Meanwhile, the CIAA has caught Senior Livestock Development Officer Dr. Ram Gulam Yadav and Veterinary Technician Jageshwor Chaudhari red-handed from Bisahara of Janakpur Sub-metropolitan City following a compliant that they were asking bribes from the customers of the Rhizobium and Grass Seed Laboratory of Dhanusha district.

Published in The Rising Nepal daily on 27 March 2019. 

Interaction on Solutions Journalism

Kathmandu, Mar. 25:

World View Nepal Monday organised an interaction on Solutions Journalism with an aim of promoting it in Nepal.

Holly Wise, a practitioner of solution journalism and lecturer at the Texas State University of the United States of America presented a paper on the topic where she emphasised on the need to provide solutions to the problems of the people and socio-economic challenges in the society.

"This new approach of journalism tries to present possible solutions to the problems of people and society. This should be practiced by the responsible press," she said.

This new method of reporting includes responses to social problems instead of just exposing critical problems affecting contemporary society, she said.

Published in The Rising Nepal daily on 26 March 2019. 

We need investment, technology and management skills

Hari Bhakta Sharma

President, Confederation of Nepalese Industries (CNI)

With an aim of attracting foreign and domestic investment in infrastructure and other business areas, the country is hosting Nepal Investment Summit 2019 on 29 and 30 March. The Investment Board of Nepal is organising the grand event in collaboration with the concerned government agencies and private sector. It has finalised 71 projects to showcase at the summit while there were efforts to make reforms in policies and processes in order to create better investment environment and ease the doing business. 

The summit that will be inaugurated by Prime Minister KP Sharma Oli will witness about 700 international and national investors and other stakeholders. In this backdrop, the Gorkhapatra Corporation interacted with President of the Confederation of Nepalese Industries (CNI) Hari Bhakta Sharma at 'Gorkhapatra Dialogue' programme. Excerpts: 

What is private sector’s view about the Nepal Investment Summit 2019?

It is good that the government is organising investment summit to speed up the economic progress and business development. Private sector is a partner in the national economy. So far as the summit is concerned, we are working with the government through the Investment Board of Nepal (IBN). We are on the same wavelength. This is an opportunity and we must not miss its benefits.

However, the government must be conscious enough not to let the investment go to waste. There are many irrelevant and complex policies and laws which should be amended or replaced with better ones at the earliest. The private sector is encouraged with the government’s proactive steps to improve the legal regime to create better business environment. I am hopeful that the private sector will play an important role in the development of large infrastructure projects.

Does this mean that the private sector is ready to invest in the long-term development projects?

We still have challenges like inter-agency coordination and complex process which is one of the reasons that obstruct rapid industrial development in the country. While we are talking about developing international level competitiveness in manufacturing sector, there is not a single industrial zone with required modern facilities. 

It will take time to institutionalise a fast and dynamic process. But, we must not miss the new opportunities that are knocking at the door, else there is a risk of failure of the country. This is a historical event as about 600 foreign investors are coming to get idea bout investment potential in the country.

How do you assess the investment summits in the past? The country received an impressive investment commitment but their materialization was poor. What stopped the investment from pouring in?

The capacity of the government agencies was poor in the past. There should be a policy to make them smart, and they should be equipped with appropriate technology and skilled human resources. At the same time, the private sector also lacked the capacity and interest in the infrastructure development and manufacturing industries. It was more inclined to trading, especially importing goods and selling in the domestic market while the consumers increasingly began to use imported luxury goods. Consumerism flourished.

It happened because the government never knew what the country needed. It was happy to collect more revenue while the private sector was complaining about the lack of infrastructure for business development. This scenario must be changed, and industries should be developed in every region as per their competitive and comparative advantages. 

At the same time, our education system should also be overhauled and technical competence enhanced in order to make it able to produce capable manpower to meet the market demands for quality human resources. Private sector is ready to join hands with the government in developing required infrastructure in all the states.

But, there are many instances that the private sector has escaped from its responsibilities in the name of certain problem?

The country is just formulating the law to facilitate the private sector to involve in development projects. The Public Private Partnership (PPP) is getting importance now. Otherwise, there is a situation that the road built by an industrialist inside his industry premises or an electricity pole erected would be property of the government. Who will come here to run industries in such a pathetic situation? Therefore, the businessmen are happy with trading. 

There are many electric appliances which have been already outdated in the developed countries but are being dumped in Nepal.

There are land related challenges as there is a ceiling to own land. It has obstructed the commercialisation of agriculture. Land management should be modernized so that it supports entrepreneurship development. An entrepreneur finds a piece of land and establishes industry there. But, he has to face problems after a few years as the settlement developed around it wants the facility to be shut.

The country has a government with two-thirds majority which has ensured political stability. Therefore, the regulatory capacity of the government should be enhanced and both the government and private sector should be proactive in leading the country on the path of economic development. We need capital, technology transfer and management skills for it.

You enumerated so many challenges for doing business in Nepal. In such a situation, what can Nepal offer to the investors in comparison to the neighbouring Indian states like Assam and Bihar?

Yes, there is policy clarity, less complex process and required infrastructure. But, it does not mean that our situation is worst; Nepal is moving ahead with policy reforms, we are a peaceful country and political stability has created many opportunities. Nepal can be a good brand name as Nepali products are well received abroad. So far as the weaknesses in the system, it can be resolved with the adoption of modern technologies.

In your opinion, what are the priority areas for the investors?

If connected with health care, information technology sector can be an area of high potential. We must be ready to tap the opportunities unleashed by the new industrial revolution which will witness the use of artificial intelligence in every sector of business and development. Similarly, medical tourism, metallurgy and electronics are other potential areas. 

Agriculture has remained an attractive sector traditionally. World’s leading IT companies like Amazon, Microsoft and Google are participating in the summit. We should give special focus to such companies so that they come here to make investment.

Similarly, there are good business initiatives like ostrich meat, dragon food and red banana which need special government support in order to grow.

Published in The Rising Nepal daily on 26 March 2019. 

Political stability attracts foreign investors

Kathmandu, Mar. 24: Both the government and private sector have said that the interest of foreign investors in Nepal was growing with the political stability and the latest policy reforms.

More than 600 investors and businesspersons, and Non-Resident Nepalis (NRNs) are participating in the summit.

"We are also incorporating more Nepali investors in ‘matching number’ as their involvement is also equally important in motivating the foreign investors," Maha Prasad Adhikari, Chief Executive Officer of the Investment Board of Nepal (IBN) said at ‘Gorkhapatra Sambad’, a weekly dialogue organised by the Gorkhapatra Corporation, publisher of the Gorkhapatra and The Rising Nepal dailies. 

IBN’s Adhikari and president of the Confederation of Nepalese Industries (CNI) Hari Bhakta Sharma deliberated on the current investment climate and preparations of the Nepal Investment Summit 2019 which will be held on March 29 and 30.

“Nepal is a virgin land for business and investment with lots of potential, and the government has made policy reforms to attract investors to the country,” said Adhikari. “However, we should change our working model. An IBN Board meeting will decide further strategies for the follow-up on investment intents expressed during the summit,” he added.

Sharma said that the private sector was on the same wavelength in terms of attracting the investment, which was a must for speeding up the economic progress in the country.

However, he stressed the replacement of irrelevant and complex policies and said that the private sector was encouraged with the proactive steps of the government in improving the investment environment.

He also said that the government should be enhanced and both the government and private sector should collaborate to make the country investment-friendly.

“The formulation of the Public-Private-Partnership (PPP) Act will pave the way for speedy infrastructure development. Likewise, there is policy clarity, process has been simplified and infrastructure is being developed,” he said.

Published in The Rising Nepal daily on 25 March 2019. 

Mashreq donates IT equipment to Shree Krishna

Lalitpur, Mar. 23: Mashreq Bank, the largest bank of UAE, donated computer, laptop, projector, 3-in-1 printer, and internet connection to Shree Krishna Basic School, Kitachaur, Bistachap of Lalitpur district.

The bank also donated school shoes, school dresses, including educational materials to all the students of the school from grade 1 to 8. The donation worth around Rs. 1 million was handed over by the Chief Country Representative of Mashreq Bank Hema Kumari Adhikari to the Principal of the school amid a function organized in the school the other day.

Adhikari stated that the bank has its presence in countries in Asia, Europe, America and Africa and the bank has a registered Representative office in Nepal since October 2010 providing International Banking services to the business communities, commercial banks and Central bank of Nepal for over a decade.

 She mentioned that Mashreq bank’s CSR strategy leans towards community development through supporting in education of younger generation.

 She expressed her expectation that the equipment made available to the school will be helpful to teachers in keeping themselves updated with the modern technologies, educational materials and teaching methods so that they will be more efficient and can give better education to their students. Likewise, the school dresses, shoes and educational materials provided to the students will be helpful to reduce the drop-out rates.

 Speakers in the ceremony, including member of Federal Parliament of Nepal Navaraj Silwal, member of parliament of State 3 Lal Kumari Pun, Mayor of Godavari Municipality Gajendra Maharjan, appreciated the support extended by the Bank to the school.

Published in The Rising Nepal daily on 23 March 2019.