July 20, 2024, Saturday
Nepal 1:37:26 pm

New monetary policy to uplift private sector’s confidence: Gov. Adhikari

The Nepal Weekly
July 9, 2024

The upcoming fiscal year’s monetary policy is being prepared to uplift confidence in the private sector, ensure market vitality and end the country’s economic slowdown, according to the Nepal Rastra Bank.

During a discussion meeting of the Finance Committee of the House of Representatives (HoR) on Monday, central bank’s Governor Maha Prasad Adhikari claimed that the coming monetary policy will be supportive of the fiscal policy of the government and will uplift confidence in the market.

The monetary policy will contribute to the government’s target of attaining 6 per cent of the annual economic growth rate, he pointed out.

“Now, business confidence has lowered. We need to introduce some positive measures to uplift this and ensure positive results,” Governor Adhikari said. The construction and industrial sectors have posted negative growth in recent times, he added.

Governor Adhikari said that the economy that suffered due to the COVID-19 pandemic was yet to become vibrant, demand for loan has not increased despite lowered interest rates and the loan has not expanded in the productive sector.

Likewise, Finance Secretary Madhu Kumar Marasini expressed confidence that the monetary policy will be help implement the government’s policy and programme document and budget.

“The monetary policy should create a favourable environment to attain the targeted economic growth rate through capital mobilization that we have,” he noted.