The government announced the full-fledged budget of 16 kharab, 47 arab, and 57 crore via ordinance despite calls for a minimal budget due to the dissolution of the House of Representatives. The hon. finance minister Bishnu Prasad Poudel announced the budget live from Singh Durbar. The Finance Minister highlighted claimed features of the Rs. 1,647.57 billion budget. which is Rs. 172.93 billion more than the current fiscal year.
In the past, the government has allocated the amount going to the local and provincial levels from the federal this year. As a result, the current budget has been reduced.
Here is the full text of the budget in Nepali: Budget Speech (Final)_20210529015226
In FY 2078/79, the government has allocated Rs. 678.61 billion towards current expenditure. In FY 2078/79, Rs. 347.26 billion has been allocated for capital expenditure. Rs. 207.97 billion has been allocated for financial management. The lower level grant is Rs. 386.71 billion.
The government has also increased the revenue collection target in FY 2078/79. The government has set a target of collecting Rs 1.024 trillion from revenue. This year, the target is to receive Rs 63 billion from foreign grants. A loan of Rs. 309.29 billion will be taken from foreign development partners.
VAT Benefits On QR Pay
From next fiscal year, you will receive a 10% VAT amount for the goods you purchase and pay via QR code. This policy will encourage online payment and bring digital habits among consumers.
National Payment Switch
According to the finance minister, the government will bring the waited National Payment Switch into operation from the next fiscal year.
The switch will integrate various online payment gateways and facilitate electronic transactions easier. The Finance Minister stated that National clearing House Ltd. currently working on it and will introduce the Switch soon.
Th government will integrate a QR code into Passport from the nest fiscal year.
There will be a biometric feature to render its passport and visa proceedings advanced and digital.
NTV’s Global Version (NTV World TV)
Nepal television, the pioneering television channel in Nepal has four sister channels at the moment: NTV PLUS, NTV News, NTV Kohalpur, and NTV Itahari.
But today it is announced that the government will add another iteration titled NTV World. The channel will have a broader appeal to Nepalese living within and beyond the borders.
The government has announced various plans to increase connectivity and the efficiency of mobile broadband in the next fiscal year. From MDMS to proliferation of 4G networks were the keynotes under this category.
It was also announced that the government will lay optical fiber across the country in two years. The fiber across major highways as planned will install information highway for the enhanced and highly capacious transmission backbone network.
Similarly, the internet cables in cities will be shifted underground to rid of the cables which have corrupted the look of cities as well as risked safety for people.
Broadband Internet Via RTDF
The government will continue its broadband net expansion in the next fiscal year utilizing the Rural Telecommunications Development Fund.
The policy seeks to provide broadband fiber internet at every local level in the country for a high-speed reliable connection.
Mobile Device Management System
Meanwhile, The Finance Minister also made the announcement of the Mobile Device Management System. (MDMS).
This system allows the authorities to control and enforce the government’s policies on smartphones and tablets.
Mobile device management (MDMS) is software that keeps a record of smartphones, tablets, and other network devices brought from official channels and blocks all others. The long-awaited project is aimed to curb the business of grey devices in the country.
Using MDMS, the government will disable the grey phones from Shrawan 1st onwards. The grey phone that enters Nepal through illegal channels has cost the government huge revenues every year and now it is toughening up the stance on it.
The clampdown on unauthorized phones means they will be dysfunctional regardless of any Nepali SIM it has inside.
Nepal Telecommunications Authority will incapacitate the phones whose IMEI number has not been registered in Nepal.
Free SIM Card For Students Above 16
To broaden communication and broadband access among the youth, the government will provide a SIM card each for those above 16.
The government will distribute free sim cards after confirming the eligibility in the next fiscal year. The plan will benefit the fresh SEE passed-out students who will be enrolling into +12 (previously High School).
4G Across The Country
Expanding the 4G network is another ambition for the government. Within the next fiscal year, the government plans to expand the fourth-gen network across the country to every local level.
Nepal Telecom’s share to customers
Today’s budget also had one exciting piece of news for the investors. It was announced that Nepal Telecom customers can now buy a share of the company. NTC will allocate 22% of its share up for mobile, landline and internet customers.