KATHMANDU: Economic Digest, a daily morning email digest, is basically a relatable summation of important business news from Nepal into easy-to-understand summaries.
200 electric vehicles imported just before budget hiked tax
It has been revealed that hundreds of electric vehicles were imported to Nepal just before the new budget hiked the tax.
The budget for the fiscal year 2020/21 has hiked the tax on electric vehicles. Sources claim that the information was leaked by the Ministry of Finance itself enabling the entrepreneurs to reap huge benefits.
A source at the custom office said entrepreneurs must have imported the electric vehicles having known that the government was hiking the tax on the vehicles.
A high level official at the custom office said around 200 electric vehicles were imported two days before the Ministry of Finance was giving a final touch to the budget on May 27.
According to a source at the Ministry of Finance, a team member involved in the preparation of the budget leaked the information about it.
NAC fleeces Hong Kong-bound Nepalis of up to Rs 100,000 airfare
Nepal Airlines Corporation (NAC) charged an exorbitant airfare to Nepali people who flew to Hong Kong on Monday night. Nepali people who came to Nepal and got stuck here due to lockdown said they had to pay almost the double the usual airfare while returning to Hong Kong.
According to Tika Gurung, president of Non Resident Nepali Association (NRNA), Hong Kong they were forced to pay from Rs 85,000 to Rs 100,000 against Rs 35,000 in airfare. Among 1,400 Hong Kong ID holders, 587 returned to Hong Kong in three flights of NAC planes yesterday.
HoR approves Appropriation Bill
The House of Representatives (HoR) has passed the ‘Appropriation Bill-2077 BS’.
The meeting unanimously passed the bill presented by Finance Minister Dr. Yubaraj Khatiwada.
Responding to queries of lawmakers, Finance Minister Dr. Khatiwada clarified that the budget for the coming fiscal year is focused on the health sector.
He shared that an additional Rs 5 billion has already been allocated to purchase health supplies and Rs 2.31 billion has been deposited at the relief fund to control COVID-19 infection.
Similarly, Minister Dr. Khatiwada also tabled two bills—‘Raising National Debt Bill-2077’ and ‘Loan and Collateral Bill -2077 (24th Amendment) in the parliament.
Half of business entities not registered in Nepal: Economic Census
Almost half of the business entities in the country are found to have been not registered. As per the National Economic Census 2018 census, there are 900,924 entities in Nepal where 3,115,112 persons are engaged.
This was revealed in the report on annual sales, expenses, profit and loss by provinces and districts published by the Central Bureau of Statistics.
The report in the first-ever National Economic Census 2018 shows that 411,850 entities are in “Rented Business place” and have engaged 1,163,550 persons and 394,046 entities are in “Owned Business place” engaging 1,369,483 persons.
The three districts of Kathmandu valley alone accounted for 41.6%. This is because many head offices are located in Kathmandu valley and all financial statements are managed by head offices in Kathmandu from where their financial data are counted.
Manang came out to be the smallest with Rs. 536 million accounting for 0.018% only. In the category of “Owned Business place (Building, Single Unit)”, Bagmati province tops with annual sales of Rs. 360 billion and Karnali province with Rs. 31 billion in the lowest.
KMC provides social security allowances at doorsteps
Kathmandu Metropolitan City (KMC) has distributed the allowances to the senior citizens and people with disabilities at their home.
Arrangements have been made in which the people’s representatives of the metropolis’ wards concerned will hand over the allowances to the beneficiaries by reaching their home. KMC said it made this arrangement for the convenience of the beneficiaries during the lockdown as calling them to the ward office to provide their allowances would increase the risk of coronavirus infection.
There are 9,117 senior citizens entitled to this special allowance in the 32 wards of KMC. Women age 75 years and above and men of 80 years and above are provided this allowance.
Similarly, KMC has been providing the special allowance to 445 people who are completely disabled, at their homes.
KMC has released Rs 110 million 617 thousand to the ward offices for this purpose, KMC spokesman Ishwor Man Dangol said.
Bharatpur Airport to be upgraded to Province-level
The Bharatpur Airport would be expanded and upgraded into Province-level Airport. It was mentioned in the budget for the new fiscal year presented by Finance Minister Yubaraj Khatiwada on May 28.
To expand the Airport having only around 1200 meter runway currently of which only 900 meters could be used, the government would acquire the land occupied by the Nepal Army barrack nearby the Airport and a horse-breeding center.
The physical infrastructures encroaching upon the airport land or posing risk to flight safety would be shifted elsewhere for the expansion so that bigger aircraft with high capacity could be operated at the airport.
(Compiled and prepared by Swastik Aryal and Nitish Lal Shrestha)
Nepal Economic Digest is a daily morning email digest, basically relatable summations of the most important business news, happenings from Nepal into easy-to-understand summaries.
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