July 11: Around half of the business enterprises in Nepal are operating without registration, according to the Economic Census 2018.
Data provided by the Central Bureau of Statistics show that 49.9 percent of business enterprises in Nepal are operating without being registered with the concerned government agency.
The CBS made such revelation while unveiling the results of the Economic Census 2018 in Mahendranagar on Wednesday, July 10.
According to the Economic Census, out of the total 923,356 business enterprises in Nepal 462,605 firms have not been registered.
Most of the unregistered firms are in Province 3. CBS informed that 31 percent of the unregistered enterprises are operating in the province while only 4 percent of such enterprises are in operation in Karnali Province, which is the lowest among all seven provinces.
Likewise, the percentage of unregistered enterprises in Province 1 is 18 percent, Province 2 is 13 percent, Gandaki Province is 11 percent, Province 5 is 16 percent and Sudur Paschim Province is 7 percent.
Most of the unregistered enterprises include wholesale and retail business, automobiles and spare parts enterprises. They account for 53 percent of the unregistered firms followed by food and lodging (14 percent), industries (11 percent) and education (4 percent).
The unregistered firms are giving employment to 3.2 million people, according to the CBS. Among them, 62 percent are male and 38 percent female.
The CBS further said that 47.42 percent of firms have been maintaining proper accounting system while 52.43 percent of firms were found not maintaining proper records of transactions.
CBS Director Anil Sharma said that the Economic Census 2018 did not cover mobile service providers.