In a recent development, a delegation from the Nepal Chamber of Commerce (NCC) convened with Prime Minister Pushpa Kamal Dahal ‘Prachanda’ to address the pressing economic issues gripping the nation.
Led by NCC president Kamlesh Kumar Agarwal, the delegation presented recommendations aimed at revitalizing the economy through enhanced coordination between fiscal and monetary policies.
According to a statement by the NCC, the economy has encountered stagnation due to past stringent policies, resulting in sluggish economic activities, a contracting stock market, and a downturn in the real estate sector.
The NCC emphasized that the current economic slackness has led to private sector assets plummeting by as much as 50 percent.
One of the major concerns raised pertains to the ambiguity surrounding several provisions of the Income Tax Act 2058, prompting the NCC to urge the Prime Minister for necessary amendments.
Furthermore, the delegation highlighted the urgent need to address issues plaguing the cooperative sector, which has adversely affected small and medium entrepreneurs.
In response to these concerns, the NCC proposed granting full tax exemptions to entrepreneurs grappling with severe economic downturns in the past.
Additionally, the Chamber called for the establishment of a Tax Management Commission to expedite the resolution of tax-related disputes.
Prime Minister Prachanda assured the delegation that the government is committed to alleviating the prevailing economic pressures. While acknowledging the positive indicators of the economy, he stressed the need to expand economic activities.
He further mentioned that the government is formulating comprehensive policies and programs to bolster the economic foundation, emphasizing effective coordination between monetary and fiscal policies.
Prime Minister Prachanda affirmed the government’s readiness to take decisive actions to address the challenges faced by the cooperative sector, signaling a proactive approach towards economic rejuvenation.
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