Budget consensus

The statement by the Nepali Congress that it is positive toward unveiling the budget on time is a welcome move, but at the same time the government should be open for talks to accommodate concerns raised by the main opposition party. This mature decision by the grand old party has greatly helped the sovereign parliament in holding smooth pre-budget discussions, for the first time in the three years since the constituent assembly elections. We believe such a democratic practice allowing lawmakers to table their concerns and demands will ultimately help the government fine-tune its fiscal policy in line with the aspirations of the general public. Moreover, it will help make the budget more representative and prevent unproductive spending.



If the government shows enough flexibility to win the support of opposition parties, chances are high Nepal will get a timely budget, again for the first time in three years. This will enable the state to make full use of its planned investments, speed up development activities and create employment opportunities. Undoubtedly, a timely budget will have a positive impact on balanced growth, inclusive development and social justice. Still more, it will also boost the confidence of the private sector, thereby helping accelerate economic growth. This can spur hope among the public, hope which had been waning over the past few years though it is very much needed for the multiplier effect it will have on the economy. We urge the political parties in government to pay serious heed to the demands of the opposition parties and engage them in more open and productive consultations.



The budget is a critical political document as the political parties, with their own economic ideologies and philosophy, wish to bring it in line with their manifestos. Hence the understanding seen among the parties toward setting aside their political differences and cooperating with each other for a consensus budget is a major departure. They have finally summoned the courage to say they will not let the economy suffer on account of the long-running political imbroglio. The maturity with which the party leaders have approached the budget brings a dash of optimism to the public that they will build on it and act responsibly over other pertinent matters also such as the peace process and constitution drafting.



In order to translate this newfound optimism into reality, the government should first take a positive step to create a congenial environment for dialogue with the NC on the issues the latter has raised. We believe the government should be open towards incorporating in the upcoming budget some of the programs that the NC had launched, as the cost of ignoring the main opposition will be far more than addressing some of its demands.

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