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Finance Minister Dr. Wagle Clarifies Revenue Reforms and Addressing Informal Economy

Following a 10-day deadlock triggered by Prime Minister Balendra Shah's controversial remarks, parliamentary discussions on the new budget have ignited intense verbal warfare between the ruling coalition and the opposition.

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Finance Minister Dr. Wagle Clarifies Revenue Reforms and Addressing Informal Economy

Theoretical deliberations on the budget for the fiscal year 2083/84 have commenced in parliament, pushing through a 10-day gridlock caused by Prime Minister Balendra Shah's contentious public remarks. Presented by the new post-GenZ movement government, the fiscal plan has drawn massive public interest, yet early parliamentary sessions remained deeply fractured along party lines. During Thursday's session, 40 lawmakers debated the bill, with opposition benches raising severe allegations against Finance Minister Dr. Swarnim Wagle. Opposition lawmaker Niskal Rai accused Dr. Wagle of treason over executive tax rate modifications in the economic bill, while Dr. Amaresh Kumar Singh of the ruling coalition broke ranks to brand the budget a "deflated balloon," claiming a budget crossing 32% of GDP is structurally unsustainable. Additional concerns were raised by Sandip Rana of the Nepali Congress, who criticized the 7% economic growth target as impractical, and Gyan Bahadur Shahi of the RPP, who opposed the 40% subsidy constraint that limits agricultural funding only to enterprises with a minimum initial capital of 20 million rupees. Conversely, ruling party lawmakers aggressively stepped up to defend the financial policies. Lawmaker Bidushi Rana lauded the budget for introducing historic tax system cleanups and boosting manufacturing morale by cutting customs duties on hundreds of industrial raw materials. In a unique defense, lawmaker Sulabh Kharel supported the executive branch by metaphorically comparing Prime Minister Shah, party chairman Rabi Lamichhane, and Dr. Wagle to heroic characters from the Mahabharata, though he gently suggested reviewing the 3% tax levied on fundamental needs like education and health. Responding aggressively from the rostrum, Finance Minister Wagle refuted all integrity-related allegations, stating that his entire public life would be at stake if even two rupees of dishonesty were proven against him. He justified the fiscal size as highly disciplined at 28.5% of GDP and defended the consumption-based tax expansion into private schooling as a necessary strategy to formalize Nepal's massive informal parallel economy.

Nepal Rastra Bank Publishes Thursday's Foreign Exchange Rates; US Dollar at Rs. 149.61

Nepal Rastra Bank (NRB) has published the official foreign exchange rates for Thursday. The buying rate of one US dollar has been fixed at Rs. 149.61 and the selling rate at Rs. 150.21. The British Pound Sterling has recorded the highest value among the major currencies listed, with a selling rate of Rs. 200.16.

Gold Price Plunges by Rs. 5,900 Per Tola on Dhanteras; Silver Also Declines

Gold and silver prices recorded a sharp decline in the Nepali market on Friday, Kartik 20, coinciding with Dhanteras. Gold fell by Rs. 5,900 per tola to Rs. 283,000, while silver dropped by Rs. 110 per tola.

Nepal's VAT Collection Exceeds Target as Consumer Reward Scheme Boosts Tax Compliance

Nepal's VAT collection exceeded its first-quarter target in FY 2083/84, reaching Rs. 41.04 billion, up 10% compared to the same period last year. The increase comes after the Inland Revenue Department introduced a consumer reward scheme encouraging people to demand bills when making purchases.

Nepal Estimates $5 Billion Needed for Reconstruction After Bhotekoshi-Trishuli Disasters

Finance Minister Dr. Swarnim Wagle has estimated that Nepal will require approximately $4.7 billion to $5 billion for reconstruction following the disasters in the Bhotekoshi and Trishuli regions. The government is preparing a phased financing plan, including financial support from India, China, the World Bank and the Asian Development Bank (ADB).

Maya Khola Hydropower's Net Profit Surges 124.52% to Rs 6.38 Crore in Q1

Maya Khola Hydropower Company Limited (MKHC) has reported a 124.52 percent increase in net profit, earning Rs 6.38 crore in the first quarter of FY 2083/84, compared to Rs 2.84 crore in the same period last year. Higher electricity sales revenue and lower interest expenses supported the company's improved profitability.

Khani Khola Hydropower Turns Profitable, Reports Rs 3.65 Crore Net Profit in Q1

Khani Khola Hydropower Company Limited (KKHC) has made a remarkable financial turnaround, reporting a net profit of Rs 3.65 crore in the first quarter of FY 2083/84, compared to a net loss of Rs 1.89 crore in the same period last year.