The private sector has called on the government to ensure policy stability and foster investment through the budget for the upcoming fiscal year (FY 2025/26).

During a meeting of the Finance Committee of the House of Representatives on Thursday, private sector representatives urged the government to declare the next decade (2025–2035) as an ‘investment decade’ and prioritize private sector development.

Senior Vice-Chair of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Anjan Shrestha, emphasized the need for a budget that promotes an open economy with social justice and drives the country into a new phase of economic reform. He said the upcoming budget should increase development expenditure over general expenditure and enhance people's purchasing power, industrial production, and productivity.

"An investment-friendly environment with long-term policy stability is essential," Shrestha said. He also urged the government to offer a 40 percent income tax rebate to production-based, tourism, and service industries that employ over 100 individuals, especially those that can replace imports.

Laxmi Prasad Subedi, National Council member of the Confederation of Nepalese Industries (CNI), echoed the need to promote the private sector by reducing income tax for production-based industries and increasing capital expenditure.

Deepak Malhotra, Acting Chair of the Nepal Chamber of Commerce, called for ensuring policy stability through the upcoming budget. He also stressed the importance of promoting electric appliances, including electric vehicles.

Lawmakers also weighed in on the discussion. Purna Bahadur Tamang urged the government to introduce an inclusive and balanced budget considering the country's development disparities. Narayani Sharma highlighted the importance of government-private sector cooperation in driving national economic growth.

Surya Bahadur Thapa Chhetri emphasized the need to consider the size of the national economy and average life expectancy while determining social security allowances. "The state should not withdraw or reduce social security benefits already provided to citizens," he said, but added that measures should be taken to prevent individuals from receiving dual benefits. -- RSS