The government has been preparing to announce the policies and programs for the upcoming fiscal year, and the work of budget translation has been expedited. In this context, I have received valuable suggestions from experts regarding addressing the existing challenges in the country’s economy and how to lead the nation towards development and prosperity.

The global COVID-19 pandemic and the disruption in supplies due to the recent Russia-Ukraine conflict have had a significant impact on Nepal’s economy and livelihoods. The economic activities have slowed down, and the expected economic growth may not be achieved accordingly. In the last fiscal year, the revenue collection fell short of the target, and the foreign exchange reserves declined to a lower level. The government has taken steps to prevent the economy from further deteriorating, and there have been notable improvements in revenue collection and the accumulation of foreign currency reserves. Additionally, there have been improvements in liquidity, interest rates, and other relevant indicators.

“Now it is necessary to focus on achieving significant economic development and prosperity by addressing the issues in various sectors of the economy. The question arises as to why we have not been able to progress further despite the work that has been done and the achievements we have made. Therefore, fundamental changes and structural transformations are necessary in every sector. In order to achieve the goals of development and prosperity, all aspects of the state, private sector, and stakeholders need to make coordinated efforts.

We have been successful in bringing about important changes in the political arena. However, similar transformations have not occurred at the economic and social levels of the general public. This has created a sense of dissatisfaction and frustration among the common people, which we have observed and felt through various means. We need to change the system, and now we must focus on changing the situation. For this, we should not work in a way that merely shifts the burden from one sector to another or breaks the sequence. We need to bring about real changes in the situation of the general public.” said Prime Minister Puspa Kamal Dahal

(“The honorable Prime Minister Pushpa Kamal Dahal ‘Prachanda’ expressed his views during the program ‘Current Challenges of the Economy and Future Directions for Solutions’ organized by the Nepal National Employees’ Organization and the Nepal Rastra Bank on May 15, 2023.”)