Kathmandu: Prime Minister Balendra Shah (Balen) has announced that the government's proposed 3 percent equalization fee on private education and health services will not be implemented for the time being, following widespread public criticism and concern.

In a statement shared on social media, Prime Minister Shah said the decision was taken after consultations with Finance Minister Swarnim Wagle, emphasizing that the government had listened to public sentiment before moving forward.

Government Responds to Public Concerns
The Prime Minister said the government had taken citizens' objections to the proposed fee seriously and decided to suspend its implementation.

He stressed that while the policy has been put on hold, the government's broader commitment to building a more equitable society remains unchanged.

"Our government will always place the interests of citizens at the center of every decision. If any policy creates dissatisfaction, we are prepared to review, amend or correct it," Shah said.

Purpose of the Proposed Fee
According to the Prime Minister, the proposed 3 percent equalization fee was intended to:
-Improve access to quality education and healthcare in remote and underserved areas.
-Support education for Dalit, marginalized and economically disadvantaged children.
-Strengthen the national health insurance system.
-Generate additional resources to expand essential public services.
-Broaden Nepal's tax base in a more systematic manner.

Access to Education and Healthcare Remains a Priority
Although the fee has been postponed, Shah said the government's objective of improving access to education and healthcare for disadvantaged communities has not changed.

He reiterated the government's commitment to enforcing existing policies requiring:
-Private hospitals to provide 10 percent of their beds for eligible patients.
-Private colleges and universities to reserve 10 percent of seats for deserving students through a transparent and fair process.

People-Centred Governance
Prime Minister Shah described the current administration as a government built on the trust and expectations of the public, saying its priorities remain good governance, accountability and improving citizens' quality of life.

He added that future policy decisions would continue to be guided by public interest and that the government remains open to revising policies whenever necessary.