KATHMANDU: CPN-UML leader Pradeep Gyawali has criticized the budget for the upcoming fiscal year, saying it fails to adequately address the concerns of poor people, farmers and workers.
Commenting on the budget unveiled on Friday, Gyawali said ruling parties have frequently accused previous governments of pushing the country into debt, yet the new budget itself proposes borrowing Rs 657 billion.
According to him, the budget includes provisions to raise Rs 247 billion in foreign loans and Rs 410 billion in domestic borrowing.
Gyawali argued that the government’s target of achieving 7 percent economic growth is highly unrealistic, noting that only around 20 percent of the total budget has been allocated to capital expenditure.
He also criticized the decision to impose value-added tax (VAT) on household electricity consumption and ride-sharing services.
The UML leader further objected to the introduction of a 3 percent “education equity fee” on parents of students studying in private schools and a 3 percent “health equity fee” on patients receiving treatment at private hospitals, saying the measures would place an additional financial burden on citizens.
However, Gyawali acknowledged several positive aspects of the budget, including the continuation of major under-construction infrastructure projects, plans to abolish unnecessary structures, efforts to keep customs duties on raw materials lower than those on finished products, and measures aimed at simplifying the tax system.
Finance Minister Swarnim Wagle presented the budget for fiscal year 2083/84 in the Federal Parliament on Friday. Reactions from both ruling and opposition leaders have continued to emerge following the budget announcement.
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