MP Vidushi Rana questions feasibility of 16th periodic plan’s economic goals

Kathmandu – Rastriya Swatantra Party (RSP) MP Vidushi Rana has raised serious questions about the goals and implementation aspects of the 16th periodic plan proposed by the National Planning Commission.

Speaking at a meeting of the Finance Committee under the House of Representatives on Monday, she expressed concerns over the credibility of the commission’s ambitious target to expand the economy to Rs 10.3 trillion and achieve high economic growth by the fiscal year 2085/86.

MP Rana clarified that the success of any plan is determined not just by its goals but by its effective implementation.

During the meeting, she sought clarifications from the Planning Commission and the government on various points.

Although the 16th plan has made employment and prosperity its main objectives, she noted that there is no clear outline on how many jobs have been created so far and how many will be added by the government and private sector in the coming days.

Similarly, she argued that the inclusion of only 3 projects (1.3 percent) out of 231 in the ‘project pipeline’ in the industry and mining sectors indicates the government’s low priority on industrial development.

Expressing dissatisfaction over the weak monitoring of national pride projects, MP Rana pointed out that only 3 out of 231 projects have been monitored on-site, which fails to clarify the actual status and implementation aspects of these projects.

Recalling that capital expenditure has been limited to only 60 to 70 percent in past years, she also questioned what new arrangements the government has made to increase its spending capacity this time.

She stated in the meeting, “If the goal is to achieve over 7 percent economic growth and import substitution, why is the industrial sector being neglected? On one hand, the private sector is reducing investment and industries are closing, while on the other hand, youths are migrating abroad. In such a situation, merely writing about a Rs 10.3 trillion economy on paper will not bring prosperity.”

Although the private sector’s share in total investment is estimated at 67.2 percent, she accused the government of not taking any concrete steps towards creating an investment-friendly environment, credit flow, and regulatory reforms.

She highlighted the contradiction between the Planning Commission’s high economic growth targets and the Nepal Rastra Bank’s monetary policy, which has slowed down investment due to credit shortages and strict provisioning. MP Rana emphasized the need for effective coordination between the Planning Commission and the central bank and urged the government to immediately bring concrete plans to boost the private sector’s confidence.

She concluded that unless an environment that encourages investors to expand their investments is ensured, achieving the plan’s targets will be difficult.