Finance Minister Dr Mahat expresses commitment to reduce administrative costs as pre-budget discussion ends

Published On: May 11, 2023 11:20 AM NPT By: Republica  | @RepublicaNepal

KATHMANDU, May 11: The discussion on the principles and priorities of the Appropriation Bill 2080 has ended in the House of Representatives. In the meeting on Wednesday, Finance Minister Dr Prakash Saran Mahat said that the administrative cost will be reduced in the current budget.

He said, “Where can we reduce expenses? The aim is to reduce administrative costs. Let's say it more clearly in the budget.” He said that it will be the policy of the government not to spend where it is not needed. He said that the current government will take care of the expenditure while mentioning that there has been a competition to build unnecessary buildings in the last few years.

Similarly, Finance Minister Mahat said that the purchase of new vehicles, carpets, and furniture etc. will be reduced at the center, provincial and local levels. He said that the policy of not cutting the social security allowance has been adopted. The internal borrowing and external borrowing will also be reduced.

Likewise, he mentioned that it is wrong to say that the economy has reached the state of Sri Lanka as if outside the economy, and claimed that the economy is improving a lot. He said that they will move towards increasing the investment of domestic foreigners and non-resident Nepali. He said that after the increase in income, the revenue will increase and after the increase in revenue, investment can be made in social work.

The former finance minister Janardan Sharma has said that programs to increase employment and production should be prioritized in the upcoming budget. In the meeting of the House of Representatives, giving his views on the principles and priorities of the Appropriation Bill 2080, Sharma said that budget preparation is an important aspect in the economic contraction.

He pointed out the contraction of the economy and said that if the budget starts to be reduced, the economy will further shrink, he said, "No strategy other than increasing government spending will be effective to move the economy from contraction to growth." MP Sharma said that it is necessary to pay attention to the sources of the budget system to increase economic activity. He said that arrangements should be made to encourage the private sector for this.

Meanwhile, Nepali Congress General Secretary and Member of Parliament Gagan Kumar Thapa discussed the principles and priorities of the Appropriation Bill and asked to change the way of budgeting. “Let's hold a meeting of the resource committee in, let's determine the limit of expenses,” he said.

“In November, the government should present the principles and priorities of the appropriation bill to the parliament," said Thapa, "In the Ministry of Finance, the budget of all the ministries is 'locked' and the budget has to be printed, and it will be printed in a few days. So why are we discussing this?”  Based on the principle passed by the parliament in December, Thapa said that the relevant ceiling and guidance should be made.










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