NCC submits 43 recommendations to PM Oli, advocates for flexible monetary policy

The Nepal Chamber of Commerce (NCC) has handed over 43 recommendations to Prime Minister KP Sharma Oli in a bid to address economic concerns. During their meeting on Monday, the NCC highlighted several issues and proposed solutions aimed at improving the economic environment.

The NCC has called for a more flexible monetary policy to counteract the effects of recent measures by Nepal Rastra Bank, which they claim have led to reduced credit flow to the private sector. They advocate an expansive and flexible approach to monetary policy, recommending a permanent single-digit interest rate and a 15 percent credit expansion target to support a 6 percent economic growth rate.

Additionally, the NCC advised the PM to suspend the working capital loan guidelines, easing real estate lending restrictions, and removing limits on share mortgage loans. They also called for reductions in customs rates, elimination of the bond system for imports, and less interference from the Department of Revenue Investigation. The NCC emphasized the need to create a more favorable tax environment, including re-assessment options for taxpayers involved in investigations or disputes, and introducing schemes to reduce fines, interest, and fees.