KATHMANDU: Finance Minister Dr. Prakash Sharan Mahat has expressed confidence in the ongoing revival of the national economy, attributing the positive momentum to the government’s persistent efforts.

Speaking at a media interaction in the Ministry of Finance today, Minister Mahat highlighted the encouraging results of economic reform programs embedded in this fiscal year’s annual policies, budget, and monetary policy.

“When I assumed office, several economic indicators were less than favorable, partly due to the stringent policies adopted to manage the effects of the easy monetary policy during the COVID-19 pandemic. However, overall, economic indicators are now turning positive,” shared Minister Mahat. He pointed out the positive trends in the share market and increased real estate transactions as evidence of this positive shift.

Acknowledging that achieving growth in production and employment will take time, Minister Mahat expressed confidence that the economy is laying the groundwork for a decisive transformation. Decisions made in collaboration with the Nepal Rastra Bank, such as interest rate reductions, and ongoing efforts to address debtor issues are contributing to the positive economic trend, according to him.

The Minister highlighted the results of economic reform programs, indicating a reduction in interest rates in banks and financial institutions. He emphasized the rapid progress in awarding contracts, expecting an increased capital flow in the market. Changes in foreign assistance priorities and efforts to seek support for projects with expected results have garnered positive responses from donor agencies.

Looking ahead, Minister Mahat outlined the government’s commitment to introducing more economic reform programs in the upcoming fiscal year’s budget. He emphasized the ongoing efforts to control current expenditures, promote capital expenditures, and intensify coordination between the government and the private sector.

Positive economic indicators, including a 7.57 percent increase in revenue collection in the first quarter of the current fiscal year, were highlighted by Minister Mahat. The government aims to reflect these positive trends in consumption and investment, foster fiscal responsibility, address obstacles in government investment, and stimulate economic growth.

In addition, Minister Mahat announced the Third Investment Summit scheduled for April 21 and 22, with a focus on policy and legal reforms to benefit potential investors. He reassured that any activities related to the Ncell share sale and purchase must adhere to Nepalese laws, emphasizing that taxes would be collected from Ncell in accordance with legal provisions.