Strikes, insecurity stifling economy
KATHMANDU: The growing problem of insecurity in the businesses can only be solved if the private sector, government, political parties, trade unions and the general public worked in tandem. This was disclosed during the unveiling of a report ‘Business and Public Security in Nepal’ commissioned by Nepal Business Initiative (NBI) and International Alert.
According to the report, strikes, crime, violence
and extortions are increasing the cost of production and transactions while shrinking the investment and stifling the economic growth.
It showed that the recurring violence and strikes is leading to minimisation of income and employment opportunities adding to poverty and frustrations.
The report was prepared by interviewing entrepreneurs, business associates, trade unions, public sector representatives, including security providers and members of civil society
in seven different districts of Nepal. The report
had pointed out that politicised and increasingly aggressive trade union,
youth unemployment, lack of effective law and order and selfishness on the
part of the businesses as responsible for the present situation.
Speaking at the launch of the report, industrialist and NBI’s president Padma Jyoti suggested that the public needs to be fully cognisant of the ‘cost of insecurity’ - how much private sector, government and consumer is loosing due to the insecure business environment. He said that the media has its uppermost role in informing the public in this regard.
“Private sector can initiate the dialogue between government, trade unions, political parties, civil society and security agencies so that the incidences of bandhs, strikes, shutdowns and labour unrest do not arise,” he added.
The report, among other things, stressed that the business sector is reeling under forced donations, extortions and kidnappings. It further added that criminal gangs and youth groups affiliated to different political parties are involved in illegal activities, like cross-border smuggling and tax evasion.
“Private businesses should not be too selfish to concentrate only on their gains, but should engage responsibly in business practices to reap long term benefits. They should be considerate towards employees and their needs to avert labour strikes which occur frequently,” Jyoti opined.
He said that since the unemployed youths are more into such activities, the private sector should create employment opportunities to keep them engaged in productive activities.
“The government need to strengthen and empower its security mechanism to tackle this problem. The law and order situation in the country also need to be strengthened,” he added.
Nepal Chambers of Commerce (NCC)’s senior vice-president Suresh Pradhan acknowledged that a vicious cycle of insecurity is affecting the Nepali economy.
