Private sector expresses serious concern over recent developments

Kathmandu- Nepal’s private sector has expressed serious concern over recent developments affecting businesses and entrepreneurs, warning that the current situation could negatively impact the country’s economy, employment, and investment environment.

In a joint statement, major business organizations stated that at a time when the new government is expected to ensure stability and encourage investment, increasing pressure and actions against entrepreneurs have discouraged the private sector. They emphasized that the private sector contributes around 81 percent to the economy and 86 percent to employment, making it a crucial pillar of national development.

The organizations urged the government to follow due process in dealing with business-related issues. They stressed that entrepreneurs should only face action after proper investigation and confirmation of any wrongdoing, rather than being subjected to immediate punitive measures.

They also noted that while business owners are ready to cooperate with investigations and respond to authorities when required, recent actions have created fear and uncertainty across the entire private sector. Such an environment, they warned, could disrupt employment, supply chains, banking activities, and overall economic stability.

Although the government has recently shown positive steps by involving the private sector in policy-making and law formulation, the ongoing actions have raised further concerns. The private sector called on the government to ensure protection and promotion of businesses through clear strategies and supportive policies.

The statement concluded by urging all stakeholders to recognize that only through investment and active participation of the private sector can the country achieve sustainable economic growth and prosperity.