CNI Submits Suggestions for FY 2083/84 Monetary Policy
The Confederation of Nepalese Industries (CNI) has submitted its recommendations for the Monetary Policy of Fiscal Year 2083/84 to Nepal Rastra Bank (NRB). CNI President Birendra Raj Pandey handed over the recommendations to NRB Governor Prof. Dr. Biswo Nath Poudel.
In its submission, CNI highlighted that while Nepal’s external sector indicators remain strong and encouraging, domestic economic activities have continued to lag behind for an extended period. CNI urged the central bank to formulate a monetary policy that prioritizes economic revival and private sector growth.
CNI recommended that the upcoming monetary policy focus on three key areas: stimulating economic activity by boosting weak market demand, improving monetary policy practices, and advancing institutional reforms within Nepal Rastra Bank.
Key recommendations include the gradual reduction of directed lending requirements, sector-specific implementation of the Working Capital Guidelines, modernization of the interest rate determination system, extension of timelines for secured loan classification and blacklisting procedures, establishment of a dedicated credit facility for startups linked to the government’s Enterprise Facilitation Program, and the formation of an empowered Monetary Policy Committee within NRB.
President Pandey emphasized the need for a monetary policy that strengthens market demand, restores investor confidence, and supports economic recovery.
Governor Poudel, while receiving the recommendations, stated that the forthcoming monetary policy would primarily focus on maintaining appropriate interest rates and ensuring financial stability. He reaffirmed the private sector’s role as the key driver of the economy and stressed the importance of continued collaboration between regulators and industry to promote investment and economic growth.
The meeting was also attended by former CNI President Hari Bhakta Sharma, CNI Governing Council Member Shashikant Agrawal, and Chair of the CNI Banking and Financial Committee Varun Kumar Todi, among others.