Kathmandu: Chief of the Economics Department at Tribhuvan University, Prof Dr Ram Prasad Gyawali, said people had expected stability through a long-term policy on the national economy once the new government is formed.
We can expect policy stability to usher in economic development and political stability after the formation of a near two-thirds majority government, Dr Gyawali said, suggesting that the new government could prioritize reconstruction of damaged infrastructures during the Gen Z movement and create an atmosphere for investment from the private sector.
Talking to the Rastriya Samachar Samiti (RSS), Prof Gyawali viewed a full-term government as in sight, which would be instrumental in bringing long-term economic policy and activities to spur developments. “In the five-year term, the new government should provide clear policy and stability so that people’s expectation of change and development can be realized,” he stressed.
The formation of a near two-thirds majority government is an end to the trend of recurring change in governments, which, he argued, had caused uncertainty in industrial and investment sectors. Prof Gyawali said, “Once the reconstruction of damaged structures is prioritized, it helps in creating an atmosphere conducive to investment. Investment promotion later contributes to making the economy dynamic.”
He, however, observed that investment from the private sector was yet to see improvement. A slight increase was recorded in government investment lately. The private sector needs a moral boost from the government because it suffered much during the uprising last September.
“Building trust and stability is urgent to restore the private sector’s morale,” he said, adding that the government can assure safety to the private sector investors, thereby making the economy dynamic.
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