'Credit rating' for sovereigns has advanced to draw in investors: Minister of Finance Paudel

Bishnu Prasad Paudel, the finance minister and deputy prime minister, has stated that the private sector ought to be heavily involved in the building of infrastructure. Speaking at the Nepal Infrastructure Conference in 2024, Paudel claimed to be fostering an atmosphere that is supportive of public-private collaboration.

The government is adamant that the building of infrastructure should heavily involve the private sector. We have thereby established an atmosphere that is conducive to public-private cooperation. According to Paudel, "the work of the country's sovereign credit rating has been carried forward so that the actual situation of the country is verified" in an effort to draw in both domestic and global investors for projects like infrastructure. Additionally, I anticipate that once its work is finished, the country's investment climate will be more assured, which will lead to an expansion of the investment flow and a rise in infrastructure spending.

He disclosed that funds had been set aside in the capital and finance systems to support increased infrastructure spending. The provisions of the banking and financial sector's regulations, along with the monetary policy procedures, have been designed to promote investment in the infrastructure sector. According to him, the government is determined to create more arrangements for this based on demands and past experiences.

According to him, the present administration in Nepal is actively and sincerely working to establish a welcoming business environment. According to Deputy Prime Minister Paudel, "We have been moving forward with reform works to maintain transparency, reduce business costs, and discourage procedural delays and irregularities. We also want to simplify laws, procedures, and processes." I think that by fostering a positive business climate, private investment in the infrastructure industry will increase.

Assertions of "prosperous Nepal and happy Nepali" are being achieved, stated Finance Minister Paudel. "Adequate, high-quality, long-term, and inspiring physical infrastructure development is the fundamental cornerstone for creating a prosperous Nepal," he declared. Without a doubt, our status of infrastructure development is lacking. Complex terrain and our landlocked location are seen to be the biggest obstacles to our infrastructure development.

According to him, the government is prepared to offer any kind of assistance in order to secure the required funding. To raise enough money for infrastructure development and to mobilize resources by luring the private sector, we must alter policies and procedures. Along with the government sector, the government is prepared to offer various forms of facilitation to raise the required investment through the use of cutting-edge equipment. Our goal is to contribute to the infrastructure development campaign by implementing policies, strategies, and programs that address current issues. Effective private sector coordination, cooperation, and partnership are required for this. He stated.

He asserted that the government's efforts cannot be used in isolation to address the lack of infrastructure development. According to him, the government values a high-quality, long-lasting physical infrastructure as well as the connections between its different components. "The government has been giving major infrastructure sectors like transportation, energy, water resources, and information technology priority when allocating and implementing budgets." "The infrastructure sector builds the foundation of economic development, which plays a significant role in determining the destination of prosperity," he stated. Equally important are quality, sustainability, sensitivity to the environment and climate, greenness, positivity, and inclusivity in infrastructure design. We won't be able to build a strong basis for economic growth and generate employment by raising productivity and output until we do this.

The growing burden of public debt, according to Finance Minister Paudel, is making it more difficult for the government to set aside funds for infrastructure development. He said that it has been stressed to concentrate on the areas of national needs and priorities by making the development aid selected.