Kathmandu, April 3

The Confederation of Nepalese Industries (CNI) has made a request to the newly appointed Minister of Industry, Commerce, and Supply Ramesh Rijal to focus on boosting the morale of industrialists.

A CNI delegation led by the confederation's President Vishnu Kumar Agarwal discussed the current economic situation and ways to address issues faced by the industries.

Emphasising the necessity for measures to boost industrialists' morale and promote economic growth, CNI President Agarwal highlighted several challenges faced by the industries such as a significant decrease in demand, high interest rates, and limited availability of investable capital.

Agarwal informed that the current state of contraction in demand has resulted in shelving of new investment plans and significantly reduced the morale of industrialists.

He stressed the need to create an environment that supports the manufacturing industry to increase its contribution to the gross domestic product (GDP). He highlighted that the manufacturing industry's current contribution to the economy has been declining and called for measures to reverse this trend.

He urged for industrialisation be given top priority, as sustainable development can only be achieved through industrialisation.

He emphasised that promoting industrialisation can also create numerous employment opportunities, which is crucial for the country's economic growth.

The confederation has also urged the government to encourage the development of import substitution industries through public-private partnerships, as announced in the budget for the current fiscal year.

The newly appointed Industry Minister Rijal acknowledged that the private sector requires support to address the challenges faced by the economy at present.

Minister Rijal emphasised that the private sector alone cannot be relied upon to drive the country towards prosperity, and that addressing the issues faced by the private sector is crucial for overall economic progress. He stated that it is important to focus on resolving the challenges faced by the private sector to effectively promote economic growth.

'I stand with the private sector and assure you that I will do everything in my power to address the challenges faced by the industries,' he assured.

Minister Rijal also expressed his willingness to collaborate with the CNI to achieve this goal.

A version of this article appears in the print on April 3, 2023, of The Himalayan Times.