FM Mahat pledges to cut administrative budget

By Ranju Kafle,Kathmandu, May 11:  Finance Minister Dr. Prakash Sharan Mahat has announced to reduce the administrative expenses in the new budget. Responding to the questions raised by the lawmakers in the pre-budget deliberations in the House of Representatives on Wednesday, Minister Dr. Mahat said that unnecessary administrative expenses would be curtailed from next year. 

 Minister Dr. Mahat further said he would urge the provincial and local governments to follow the policy of economical expense. “I will ask them not to spend money to buy new vehicles from next year,” he added. 

He also said that he would discourage the practice of constructing unnecessary buildings. He said, "We need to cut our coat according to our clothes. The government will work according to the resources and means."

Mentioning that there is a problem in the Public Procurement Act, he said that the government was also planning to remove the obstacles. He also said there would be revision on existing bank interest rates in a bid to make the economy vibrant.

The Finance Minister said he would try to include all the suggestions provided by the MPs while drafting budget for coming year. According to him, trade deficit gap was widened and revenue collection decreased in last few years which had increased loan liability. 

“This year tourism is growing, reserve is growing again and we are in comfortable position,” he said, adding that remittance could be saved, activities that have been slowed down could be revived.  

He said that the government would draft a clear policy and programmes for the year ahead. "National pride projects will not suffer in lack of the resources as previous years,” he added. He said the new budget will be socialism-oriented. 

“Though it's not mentioned in words, it will be implemented in practice because we are committed towards that,” he added. He said the government would welcome foreign private investment from the budget. 

“Dubai became an economic hub by welcoming foreign private investment, we will follow the model for the betterment of the national economy,” he said. He said the government would take all possible measures to increase the size of foreign assistance. Earlier, 35 MPs participated in the discussion today. With this, the deliberation on principles and priorities of the Annual Appropriation Bill (except tax) for the coming fiscal year 2023/24 concluded in the both Houses of Federal Parliament on Wednesday.

Meanwhile, the pre-budget deliberations had to be deferred for 15 minutes after the MPs from the Rastriya Prajatantra Party protested against the Speaker. They were seeking time from Speaker Devraj Ghimire and protested when they were not given the time. 

Policy and Programmes on May 17 

The government was also preparing to bring the policy and programme of the government on May 17. According to the constitutional arrangements, President Ram Chandra Paudel will unveil the policy and programme of the government in the Federal parliament.