KATHMANDU: Leading private sector umbrella organizations have expressed strong protest over the arrest of industrialists and businesspersons, stating that such actions have created fear and uncertainty within the business community.
In a joint statement issued on Friday, the Federation of Nepalese Chambers of Commerce and Industry, Nepal Chamber of Commerce, and Confederation of Nepalese Industries voiced their concerns.
The statement noted that at a time when the formation of a new government had raised hopes for stability and a favorable investment climate, ongoing arrests and detentions of entrepreneurs have discouraged the private sector.
“The private sector, which contributes 81 percent to the economy and 86 percent to employment, is being pushed into a state of fear. This could have serious repercussions on the economy, jobs, revenue, and infrastructure development,” the statement said, urging the government to take the matter seriously.
The organizations also called on authorities to adopt a hear first, detain later approach in cases related to economic offenses, arguing that arrests are being made based solely on reports from regulatory bodies without adequate investigation.
Despite entrepreneurs expressing willingness to cooperate with investigations and appear before authorities when summoned, arrests in financial crime cases have alarmed the broader private sector, the statement added.
They warned that such actions could affect not just individuals but also millions of jobs, supply chains, the banking sector, and the overall economic system, potentially pushing the economy toward a deeper crisis.
While welcoming recent efforts to involve the private sector in policy and legal frameworks, the organizations said the ongoing arrests have increased uncertainty, even as the government has already endorsed a strategy aimed at protecting and promoting the private sector.
However, they clarified that they do not oppose legal action against individuals proven guilty. Citing constitutional provisions, the statement stressed the right to live with dignity and the principle of presumption of innocence until proven guilty, urging the government to act responsibly.
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