ISPs warn shutting down internet service, MoCIT seeks assurance for payment

 Kathmandu, Apr. 30

Internet service providers (ISPs) have warned that the internet facility could be shut down across the country from next week.

The Internet Service Providers' Association of Nepal (ISPAN) said on Saturday that since the Ministry of Communication and Information Technology (MoCIT) ceased to recommend for the foreign currency needed to pay to the upstream providers companies like Tata, Airtel and Siffy, Nepali companies couldn't pay for the service. Upstream providers are large ISPs that sell internet service to small local ISPs.

"As a result, companies have not been able to pay for the past six months and the internet will be shut down across the country from next week," ISPAN said in a statement.

According to it, at present, the MoCIT seems to have deliberately blocked the recommendation of foreign currency to block essential internet services. This problem had begun about four years ago when the Auditor General mentioned the royalty discount as arrears and suggested the ministry to raise the money. But the Public Accounts Committee of the Federal Parliament had directed the government to exclude the discount from arrears since the Telecommunication Bylaws 1997 exempts the support charge, annual maintenance, technical charge and monitoring charge from royalties.

"Ignoring the decision, the ministry has been forcing to shut down private sector internet services by withholding foreign currency recommendations on a number of pretexts," President of ISPAN Sudhir Parajuli said.

Meanwhile, Supreme Court, last year, had issued an interim order to the Nepal Telecommunication Authority not to collect arrears from World Link Communications Limited when the former send a letter to the company asking to submit the dues.

Likewise, the ISPAN said that the television service providers are also on the verge of shutting down due to the same problem. According to it, emergency services are not restricted to foreign exchange recommendations.

It also raised the issue of high tax on internet service which is above 45 per cent at present.

"There is a bitter truth that Nepal is one of the countries that imposes heavy taxes on the internet. Due to the fact that the taxes levied on the Internet have not been reduced, the development of the internet, telecommunications sector and the perception of digital Nepal as a whole have been ignored," read the statement.

In a sad note, the ISPAN announced a boycott to all the activities being organised on the occasion of National ICT Day 2022 which falls on Monday, 2 May.

"We have decided not to hold any programme or activity related to this year's ICT Day. We are compelled to make a sad decision not to be the organizer, not to participate, not to be the sponsor and to stop all kinds of support to the programmes related to the day," it said.

But the MoCIT said that the information provided by the ISPAN is misleading as the royalty wave off was only for 2017/18 and the companies need to pay their liabilities incurred in the following years.

Secretary of the MoCIT, Dr. Baikuntha Aryal said that the government had no intention to trouble entrepreneurs and obstruct the service. "The ministry has asked them to clear the dues in a condition that if there were decisions against it, the money would be refunded. Likewise, we are positive to solve the present crisis if the ISPs assured to pay their dues next time," he said.

According to the ministry, the government had provided all required facilities to ISPs even though it has been under pressure to raise the arrears but the companies are deferring from their liabilities.

The ISPs have not reached the MoCIT for a dialogue in recent months.

President of CAN Federation, Nawaraj Kunwar said that the issue is critical, so the government and ISPs should sit together and address it at the earliest. "Government should provide the foreign exchange facility to the businesses. Shutting down the essential service like internet will create obstructions in every sector of business and society," he said. 

Published in The Rising Nepal daily on 1 May 2022. 

Nepal organises tourism promotion in New York

Kathmandu, Apr. 30

The Consulate General of Nepal in New York hosted a tourism promotion event 'Nepal-The Wonderland of Natural, Cultural and Spiritual Beauty' in collaboration with the Pacific Asia Travel Association, New York Chapter on Friday.

The programme which coincided with the celebration week of 75^th anniversary of the establishment of Nepal-US diplomatic relations provided an opportunity to the Consulate to work in collaboration with the professional tourism body to showcase the importance of tourism connectivity between Nepal and USA and promote Nepal's tourism in New York, the Consulate General informed in a statement.

The programme gave a platform to showcase Nepal's tourism potential and major attractions.

Acting Consul General Bishnu Gautam talked about the major tourism features and attractions of Nepal, recently added tourism infrastructure, facilities and new travel facilitation measures taken by Nepal.

Jeannatte M. Juricic, Regional Director of US State Department of Office of Foreign Missions, Regional Office New York joined the event in solidarity to promote Nepal-US ties and tourism connectivity.

Ambassador Amrit Bahadur Rai, Permanent Representative of Nepal to the UN in New York, shared Nepal's perspective on international tourism and the unique potentialities of Nepal to become an international tourism hub of adventure tourism, recreation, cultural and spiritual learning and yoga and meditation, among others.

The event was held as a part of the Consulate's efforts to convey a message that after pandemic Nepal is re-open for travel and tourism and Nepal is eager to welcoming US tourists in Nepal.

Dr. Seth Sicroff, writer and a 14 times visitor of Nepal since 1974 and CEO of Sir Edmund Hillary Medal Project and Vanessa O' Brien, British-American Mountaineer, Everest Summiteer, and holder of Guinness World Record including the first woman to reach earth's highest and deepest points on earth (Everest and Challenger deep) shared their experience in Nepal, and what keeps them attracting to Nepal. 

Published in The Rising Nepal daily on 1 May 2022. 

Mahabaleshwar launches Reva milk

 Kathmandu, Apr. 30

Mahabaleshwar Dairy and Beverage Industries Pvt. Ltd. has launched Reva, MDI brand milk drinks in the market.

Meghraj Bhandari, Managing Director of the industry, said that the industry had been using indigenous materials other than tin cans to produce the product.

The company had started the production one year ago and currently produces 2,000 liters of processed milk and 12,000 cans of almond milk in a day.

It has employed 30 people. Along with its parent company, Pavitra Dairy, the company pays about Rs. 10 million to farmers in a month.

According to Bhandari, the industry has set up its own micro lab for quality control. The industry has been using automatic milk processing, filling and sterilization machines.

Published in The Rising Nepal daily on 1 May 2022. 

Investment promotion event held in Tokyo

 Kathmandu, Apr. 30

With a view to attracting Japanese private sector investment to Nepal and promoting Nepal in Japan, the Embassy of Nepal hosted a meeting of Asia Africa 20 (AA20) in Tokyo on Friday.

The AA 20 is a platform that helps create direct connection between the Embassies of Asia-Africa region in the Japan and various Japanese companies looking for the expansion of their business, informed the embassy in a statement.

Charge d’ affaires at the embassy Ambika Joshi Joshi underlined investment needs as well as investment potentials of Nepal. He also talked about Nepal’s readiness to welcome foreign investment and encouraged Japanese investors to invest in Nepal.

On behalf of the AA 20, he welcomed the representatives of various Japanese corporations, ambassadors and other diplomat of the embassies of a number of countries from Asia and Africa, and representatives of Nepali business community in Nepal.

Second Secretary, Jit Bahadur Karkee threw light on investment potentials, laws and regulations governing foreign investment, and the government’s efforts to ensure safety and security of foreign investment in Nepal.

Published in The Rising Nepal daily on 1 May 2022. 

Minister Shrestha urges Malaysia to hike Nepali guards' pay to 3,000 Ringgit

 Kathmandu, Apr. 30

Minister for Labour, Employment and Social Security, Krishna Kumar Shrestha, has urged Malaysia to increase the salary of Nepali security guards to 3,000 Malaysian Ringgit, said the Embassy of Nepal in Malaysia.

The minister, who is on a visit to Malaysia, has proposed for increment in the monthly salary of Nepali security guards to Malaysian Home Minister Hamzah Bin Jainudin at a meeting held at the Ministry of Home Affairs in Putrajaya on Saturday.

The ministers discussed Nepal-Malaysia relations as well as various issues of mutual interest like the service facilities and rights of Nepali security guards and other workers in Malaysia.

Praising Nepali workers for their hard work and honesty, Home Minister Jainudin said that Nepalis have a good influence in Malaysia as Gurkha Guards.

They also discussed enhancing the skills of Nepali youth, and providing more employment opportunities, making selection and placement 'zero cost', as well as health, social security, and the provision of insurance facility.

They also discussed training of security guards in Nepal. Those who go to work security guards from Nepal are ex-army or ex-police as well as youths who have received basic training. Secretary of the Ministry Eknarayan Aryal, who participated in the meeting, said that due to the influence of the former British Gurkha soldiers, Nepalis have high goodwill in Malaysia.

Acting Ambassador of Nepal to Malaysia, Moti Bahadur Shrees was also present at the meeting. Earlier, Minister Shrestha had held a bilateral meeting with his Malaysian counterpart M. Saravanan and agreed to implement the labour agreement effectively. It has also been agreed that the third meeting of the joint task force between Nepal and Malaysia will be held in Kathmandu soon.

A high-level delegation led by Minister Shrestha also visited the Social Security Organization (SOSCO) in Malaysia.

Published in The Rising Nepal daily on 1 May 2022. 

Economy set to grow by 5.8%

Size of Nepali economy reaches Rs. 4105.5 billion

 

Kathmandu, Apr. 28

The Central Bureau of Statistics (CBS) has estimated that the economy will grow by 5.84 per cent at consumer price in the current fiscal year 2021/22. At basic price, the growth would be 5.49 per cent.

The statistical body under the National Planning Commission (NPC) has made the projections on the basis of the calculation of nine months real statistics and three months estimated economic activities.

It is the highest projection of the growth in the Gross Domestic Product (GDP) of the country amidst the liquidity crisis and external sector pressures when the multilateral donors like the World Bank and the Asian Development Bank have put the expansion estimates at 3.7 per cent and 3.9 per cent (at market price).

Although there are threats from the new wave of the COVID-19 pandemic and external sector shocks inflicted by Russia-Ukraine war, we have assumed that there wouldn't be much harm to economic activities in the remaining period of the fiscal year, said Nebin Lal Shrestha, Director General of the CBS.

Presenting the Annual Estimates of National Accounts of Fiscal Year 2021/22, Director of the CBS, Ishwori Prasad Bhandari said that the economic growth for the previous fiscal year 2020/21 was adjusted to 3.8 per cent from the earlier projection of 4.3 per cent.

Likewise, growth of economy during the first wave of COVID-19 in 2019/20 was set to -2.4 per cent. As per last year's projections, it was 1.99 per cent. Last year, the CBS had rebased the national accounts statistics from 2000/01 to 2010/11.

Size of economy Rs. 4105.5 billion

With this growth, the size of Nepali economy at current price has reached Rs. 4105.5 billion from Rs. 3662.4 billion in 2020/21. The size is measured Rs. 4851.8 billion in constant price.

Agriculture is witnessing a slow growth of 2.3 per cent this year while real estate and food services will expand by 11.4 per cent, construction by 9.5 per cent, trade and vehicle servicing by 9.1 per cent, and electricity and gas by 36.7 per cent.

But non-agriculture sector is growing by 6.9 per cent – industry by 10.29 per cent and service by 5.93 per cent.

Last year, agriculture, industry and service sectors witnessed the growth of 2.95 per cent, 4.36 per cent and 4.19 per cent respectively.

In a decade from 2010/11, contribution of primary sector to GDP is decreased to 25 per cent from 34 per cent while secondary (industry) sector has remained unchanged at 14 per cent, and tertiary (service) sector has climbed to 62 per cent from 52 per cent.

Elections support economic growth

Dr. Ram Prasad Phuyal, Member of the NPC, said that elections in this and next fiscal year will help to expand the size of the economy, it will provide some respite to the current contraction.

"We must focus on and strengthen the primary and secondary sector rather than imports to enlarge the economy," he said. According to him, the NPC has begun reviewing the 15^th periodic plan and growth projections will be adjusted considering the impacts of the pandemic on economic and business activities.

Likewise, Kewal Prasad Bhandari, Secretary of the NPC, said that Nepali economy has not contracted as the neighbouring and other economies shrunk. Large size of informal economy such as agriculture and businesses had prevented it from further contracting.

He maintained that the calculation of the CBS was different from the projection of the World Bank and ADB since the former used more robust data and analysis than these multilateral donors.

Bhandari also said that the confidence of people and entrepreneurs had gone up significantly. However, emergence of new variant of the COVID-19 continues to pose threats to the Nepali economy as well.

GDP per capita increases by 12.3 per cent

GDP per capita of Nepal at nominal price has reached Rs. 164,598 this year. It was Rs. 146,521 last year. It is a growth of 12.34 per cent against the growth of 8.94 per cent last year. This calculation is made by dividing the total production or income by the number of people in the country. This year, the updated demographic data generated by the Census 2021 is used.

Similarly, Gross National Income reached Rs. 165,649 from Rs. 147,318, and Gross National Domestic Income reached Rs. 201,923.

However, remittance inflow as the per cent of GDP reached 19.81 per cent. It has come down from 22.47 per cent last year. Nepal exported goods equal to 6.6 per cent of the GDP.

Likewise, final consumption of expenditure as percentage of GDP is 90.73 and domestic saving is 9.27 per cent.

Nepal had begun GDP compilation from 1961/62. It takes three years - preliminary, revised and final phase - to get the final statistics of economic indicators. 

Published in The Rising Nepal daily on 29 April 2022. 

FM instructs staff to provide improved seeds in time

Kathmandu, Apr. 27

Finance Minister Janardan Sharma Prabhakar has directed agencies under the Ministry of Agriculture and Livestock Development (MoALD) to provide improved varieties of seeds to the farmers who plant paddy in coming May-June.

The Ministry of Finance (MoF) held a discussion with MoALD and its agencies including Nepal Agricultural Research Council (NARC) and the Department of Food Technology and Quality Control, and Nepal Bureau of Standard and metrology under the Ministry of Industry, Commerce and Supplies.

The discussion was focused on increasing the production of paddy, operating quarantine in a well-managed way, and standard certification.

During the discussion, FM Sharma said that there was a pressure to reduce the growing import of rice from this year. "I have been asking for two months to come up with a plan to distribute improved paddy seeds to the farmers but you (staff of the MoALD) have not shown any interest," he said.

He has directed them to come back for the second round of discussion on Thursday with the list of improved varieties of paddy seeds listed in Nepal, the importers, traders and the estimated data on the increase in production from the use of improved varieties of seeds.

"If we use improved varieties of seeds, we will produce at least three times more paddy this year. Let's not delay in doing this," he said while pledging to provide grant money to subsidise the cost of improved seeds on the part of the farmers.

"If you need a subsidy for improved seeds, tell us how much money you need. We will give it. It is seen that rice import can be reduced by billions by spending less money,” said the Finance Minister.

Agriculture Secretary Dr. Gobind Sharma said that instructions have been given to bring the seeds of listed quality after holding continuous discussions with the businessmen importing improved varieties of seeds. He informed that the productivity of paddy is 3.5 tons per hectare on an average.

Finance Secretary Madhu Kumar Marasini said that entrepreneurs should be encouraged to import seeds.

Published in The Rising Nepal daily on 28 April 2022.