'Gen Z protests opportunity for course correction'

By A Staff Reporter,Kathmandu, Sept. 13: Economists have said that although the country has suffered significant physical losses due to the Gen-Z protest and demonstrations, it has provided an opportunity for a 'course correction', raising hopes in the private sector for economic development.

In a virtual interaction on 'challenges of the economy in the current situation and the way forward' organised by the Society of Economic Journalists-Nepal (SEJON) on Friday, they emphasised that as the Gen-Z protests are against injustice, misrule and corruption, this time should be utilised as a course correction and move forward for the nation towards development.

Former Finance Secretary Rameshore Khanal said that people from across the country should be taken positively as they stand together against corruption.

"The fact that people from all over the country, under the leadership of the new generation, have come together against corruption is an achievement for us. The issues, such as the amendment of the constitution, are attached later," he said. "Now, by utilising this opportunity, the government should prioritise reconstruction, creating new investment opportunities and increasing investor confidence."

He said that the current problem is not a natural or epidemic disaster but an internal man-made problem, so it is not easy to receive assistance from donor agencies. 

“Such a situation was also seen during the 2036 BS and Maoist conflict. At that time, there was great damage to the physical infrastructure, there was great damage to roads and bridges, and communication services were disrupted,” he said, “But this situation is not like that, so I do not think that we will have a big problem to rise again.”

Former Secretary Khanal said that Nepal is a country that recovers faster than other countries and that moving towards stability on the third day of the protest is a positive aspect for the country. 

He responded that the protest has also sent a message to the rulers to rectify the situation by eliminating corruption and misrule.

 “The issue that Gen-Z raised and demonstrated and the form it took has helped us adopt zero tolerance for corruption and break the web of crony capitalism around us,” Khanal said, “I am confident that it will help eliminate the rampant corruption seen in the country in the coming days.”

He said that the recovery will not take long as the protests have not caused major problems in remittances, agriculture and tourism sectors that have contributed greatly to the economy. 

However, he said that it is important for the media to be truthful and restrained when reporting information.

"The media also needs to be restrained; we should not allow a repeat of the Hilton Hotel incident, where a major attack has been carried out on Bhatbhateni supermarkets due to political vendetta," he said, adding, "The media also plays a major role in building a strong economy and society." He also said that information is an important tool for the dynamism of the economy. 

Khanal emphasised that in order to build a strong economy, inclusiveness, equal financial access, and equality must be maintained. On the occasion, economist Dr. Sameer Khatiwada commented that the Gen-Z protests have given Nepal an opportunity for course correction. 

“The Gen-Z demonstration has tried to destroy ‘crony capitalism’, and the new generation has also given a message for building a well-governed society,” he said. “This is also an opportunity to remove Nepal from the Financial Action Task Force (FATF) gray list.”

Dr. Khatiwada said that despite some damage to tourism infrastructure, the tourism sector still has potential. 

He said, “Tourism, an important sector of the economy, has great potential, although there is a fear that some tourists will be discouraged due to problems at the Tribhuvan International Airport, the entry point for foreign tourists. The government needs to promote it positively in the international community.” 

He stressed the need to adopt an open, transparent, and independent policy in the future economy. He said that the Gen-Z demonstration will not have a major impact on foreign direct investment. 

"The foreign investment we are bringing in is only 0.3 per cent of the gross domestic product, which is small in itself, so there is no need to worry about it. Instead, we can now work on how to increase it to three percent," he said.