Rupandehi: Finance Minister Rameshwor Prasad Khanal has emphasized the need for structural reform of Nepal’s tax system, improved capital expenditure, and stronger coordination among economic policies to drive national economic development.

Speaking at an interaction program organized Thursday by the Siddhartha Chamber of Commerce and Industry, Minister Khanal said Nepal’s economy faces greater challenges in implementation than in policy stability. He highlighted poor capital spending as a major obstacle to development, stressing the need to enhance project execution and government spending capacity.

Khanal underscored that simplification of procedures at all levels is essential for effective policy and plan implementation. He also called for greater transparency and accountability in public spending and project management.

Admitting that Nepal’s tax system is cumbersome and discouraging for investment, the Finance Minister said the system must be simplified, transparent, and predictable to attract more investors. He added that building trust between taxpayers and the tax administration is crucial, and advocated for a fully digitalized tax system.

Calling the private sector an engine of economic growth, Khanal said it should be allowed to operate freely. He also pointed to the significant potential for exporting stones and pebbles without harming environmental balance.

Minister Khanal further shared that he is working to operationalize the Gautam Buddha International Airport at full capacity, noting that the business community has invested heavily in the project. Earlier, representatives of the Siddhartha Chamber of Commerce and Industry had urged the government to ensure full operation of the airport.

Chairman of the Siddhartha Chamber of Commerce and Industry Netra Prasad Acharya, FNCCI Lumbini Province President Krishna Prasad Sharma, and other business leaders also presented their views at the event.