Kathmandu: Economists have advised that Nepal should rebuild the government structures damaged during the Gen-Z movement by reallocating funds from scattered development projects, rather than relying on foreign donors.
Speaking at a discussion programme organized by the Society of Economic Journalists Nepal (SEJON) on Friday, former Finance Secretary Rameshore Khanal said budgets for fragmented projects should be scrapped and redirected to government infrastructure reconstruction.
“This was not a natural disaster—it was damage we inflicted on ourselves, so we cannot depend on outside help,” Khanal remarked. “Development partners may also refuse to invest in structures we ourselves destroyed. Therefore, there is no need to rush to rebuild everything immediately. We can reconstruct gradually over the next few years.”
Khanal noted that the service sector, particularly tourism, had taken a significant hit but stressed the importance of reviving optimism.
“The only real damage is to tourism under the service sector. Apart from Hilton Hotel, no major infrastructure has been affected. We must send a positive message and encourage visitors, especially as tourist season is approaching,” he said.
He added that the incoming government must balance two priorities—continuing development work while simultaneously investigating and punishing corrupt officials.
Khanal also highlighted the psychological toll on the business community.
“The attacks during the Gen-Z protests have severely weakened the morale of entrepreneurs. This is a challenge we must address. Most private sector infrastructure is insured, so the losses can be covered, but we must rebuild confidence and move forward with courage,” he explained.
Another economist, Samir Khatiwada, echoed this view, emphasizing that Nepal must focus on self-reliance in reconstruction rather than depending on foreign aid. He argued that all stakeholders should prioritize rapid economic recovery as a shared national goal.
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