KATHMANDU: Economic Digest, a daily morning email digest, is basically a relatable summation of important business news from Nepal into easy-to-understand summaries.

NC urges NRB to make work procedure simple for refinancing

Major opposition Nepali Congress (NC) has suggested Nepal Rastra Bank (NRB) to simplify the work procedure relating to refinancing as stated in its monetary policy.

The work procedure and circular on refinancing can be simplified to create atmosphere favorable for its maximum utilization.

NC’s central special committee on investment, infrastructure and employment stated that some important issues suggested by it earlier were also included in the recent monetary policy.

Committee coordinator and lawmaker Binod Chaudhary said the availability of monetary sources for concessional loan is good incentives to rescue the entrepreneurs who have suffered worst by the COVID-19 crisis. “Now the refinancing scheme needs to be simplified and transparent,” he reiterated.

Stating that though the monetary policy had guaranteed the availability of resources for the restoration of economy, he said the purpose of the policy would remain unmet if there was no correction for investment environment.

FNCCI welcomes monetary policy

The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) has welcomed the monetary policy saying that its suggestions have been included in the policy unveiled by Nepal Rastra Bank (NRB) on Friday.

The umbrella organization of Nepal’s private sector said it welcomes the extension of the deadline to pay the interest and installment of the loan taken from the banks.

With the new provision introduced in the Monetary Policy issued by NRB, the COVID-19 pandemic struck industries have got the expanded period up to the end of the running fiscal year 2020/21 whereas the small debtors have got six months as extra time to pay for the loan.

Stating that the refinancing arrangement will help the entrepreneurs, the federation said that increasing the Credit Resource Mobilization ratio will help increase liquidity.

Revenue collection down in Biratnagar

The Inland Revenue Office, Biratnagar has collected a total of Rs. 6 billion 957 million in revenue in the fiscal year 2019/20.

The revenue collection target for the year was Rs. 10 billion 125 million. Likewise, the revenue collection in the fiscal year is less by Rs. 155.4 million in compared to the previous fiscal year, according to Chief of the Office Bimal Sapkota.

In the fiscal year 2018/19, Rs. 7 billion 137 million was collected as revenue by the office. The decrease in the revenue collection is due to the lockdown announced by the Government to stem the spread of Coronavirus in the country.

The highest impact of the lockdown in terms of revenue collection was seen in excise duty, said Sapkota. A total of 96,508 taxpayers are registered under the office.

The office has recently expanded its services by setting up service centres in Birat chowk and Pathari of Morang.

(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.