Kathmandu, Mar. 19: Nepal Chamber of Commerce has submitted a 17-point proposal to Finance Minister Barsaman Pun for improving the country’s economy.

In order to make the sluggish economy vibrant, the NCC has submitted suggestions to the Minister of Finance on issues such as increase in public expenditure, customs administration reform and export promotion, among others.

According to a press statement of the NCC, a delegation of NCC led by its president Rajendra Malla submitted the suggestions to the Finance Minister and urged to recognise the transaction value by cancelling the existing reference price of imported goods into Nepal for customs purposes.

Similarly, in order to promote the export of Nepali goods, it has been requested to establish high-level quarantine labs at the customs points.

Stating that the state of the economy is currently facing challenges, the Chamber drew the attention of the newly appointed Minister of Finance to make policy arrangements to increase future expenditure, boost production and create employment.

In the statement released by the Chamber, it is said, “In spite of more liquidity in the market, investors have not been attracted. It is necessary to introduce a new budget in order to expand economic activity.”

“The budget should be focused on promoting exports and creating jobs through production growth,” he said. The NCC said that if the international companies related to information technology can be attracted to Nepal, youth who engage in IT can get employment and this will also help the economy.

The Chamber has also suggested to the government to make land available easily for the construction of IT parks in the country and to provide tax exemptions and other facilities for project operation.

It has also been requested to implement the multi-rate system for value added tax and maintain different rates for consumer goods and luxury goods. Similarly, the Chamber has suggested to amend the system of providing 50 per cent of the mortgage valuation in lending for real estate business and increase it to 70 per cent.

Malla urged the Finance Minister to create a conducive environment for investment in order to boost the morale of the private sector. He emphasised that necessary laws and acts related to economy and investment should also be amended on the eve of an international investment conference to be held in Nepal.

On the occasion, Finance Minister Pun said that the government’s policy was to work in such a way that the morale of the private sector is not weakened.

He said, “The economy is going through stagnation. In such a situation, the Prime Minister has also instructed us to take the private sector along, and I will try to create an environment accordingly.” He said that the government would not do anything to terrorize the entire private sector.

Finance Minister Pun said that preparations were being made to deal with economic offences by making a separate law. He said that plans were being made to make the economy sustainable and to increase capital expenditure further.