FNCCI, NCC request to halt agitation

By A Staff Reporter

Kathmandu, Nov. 11: The private sectors’ umbrella organisations - Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and Nepal Chamber of Commerce (NCC), have requested agitating businessmen to postpone their agitation regarding the issue of liquidity, interest rate and working capital loans for the time being.

Issuing separate press statements, the FNCCI and NCC asked all their provincial chapters and member organisations to postpone the protest programme.

They have asked to stop the protest activities citing that election to members of House of Representatives and Province Assemblies are to be held on November 20 and that election is important for the democratic system and open market economy.

In addition, the FNCCI and NCC have also requested support from their respective sides to make the election a success.

The FNCCI has said that the leadership of the Federation will be in continuous dialogue with the government and Nepal Rastra Bank (NRB) during the run up to the election.

The Federation is confident that the problems facing the private sector will be resolved through dialogue.

Even after the elections, if the demands of the private sector are not addressed by the concerned authorities, the Federation has said that it will announce more programmes for economic stability and the rights of the private sector.

Due to the lack of liquidity, the interest rate stabilisation that are continuously increasing and the suspension of working capital loan guidelines have also been strongly demanded by the Federation.

The FNCCI believed that the private sector had been hit hard due to the increase in interest rates and the guidelines implemented by the central bank since mid-October, when businesses were being affected due to the low demand in the market.

The Federation has also expressed its solidarity with the demands made by the member district/municipal chambers of industries and associated associations of the Federation for liquidity management, interest rate stability and postponed the implementation of the current working capital loan guideline.

"The country has moved on the path to the HoR and Provincial Assembly elections. After the election, the Chamber will continue its peaceful campaign and take initiatives to solve the problem through talks with the new government. Until then, district and municipal chambers of commerce are requested to postpone all programmes of protest,” said the NCC.

NCC president Rajendra Malla said that even though the industrialists were affected by the extreme interest rates of banks and financial institutions, there will be more problems when they protest before the elections.

He said, "Despite having various options to reduce the increased interest rate, the government has not listened to the demands of businessmen. After the election, there is no alternative to start a struggle,” he said.

"The increasing interest rate has created a situation where the commercial activities of the country will come to a standstill. If high interest rates are maintained in deposits, investment in industry will be discouraged and this will increase the risk of financial imbalance,” read the press statement of the NCC.

Earlier, Election Commission, Nepal had requested the industrialists and businessmen to support in promoting voter education and making the election a success.