Finance Minister Assures Classification Of Vehicles As Luxury Items Will Be Reconsidered

A delegation led by NADA's chairman Dhurba Thapa has met with the Deputy Prime Minister and Finance Minister Bishnu Poudel to discuss the issues crippling the Nepalese automobile industry. In the meeting with the Minister of Finance, the visiting delegation raised related topics like the classification of automobiles as 'luxury items' and the complications caused by the interest rates of banks and auto loan financing, etc.During the meeting, the Minister of Finance assured that the government will discuss the issue of vehicles being classified as luxury items during the preparation of the budget for the next fiscal year.Similarly, the businessmen also called for the cancellation of current capital loan guidance, modification of monetary policy, interest rate control, rescheduling of loans for the revival of the automobile business, special concessions on interest rates, removal of 50 percent cap on auto loan financing, and the adjustment in the bank's interest rate. The visiting delegation demanded that the current capital loan guidance issued by Nepal Rastra Bank, 2079 should be suspended for the time being.

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NADA General Secretary Surendra Kumar Upreti stressed the need to facilitate trade with India and attract Indian investment by building a special 'Indian Economic Zone'. He laid emphasis on the need for the establishment of vehicle assembling and spare parts industry. He also urged the Finance Minister to establish a world-class exhibition center in Kathmandu Valley.Listening to the demands put forward by the businessmen, Minister Poudel assured that the new government is positive about meeting the demands of the automobile industry and has assured to put the Nepalese automobile industry on track.