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Economic slowdown has led to closure of businesses, budget failed to ensure reforms: Birendra Kumar Shah

The economy is not moving in a positive direction. Regardless of the scale of business, investors do not seem confident to increase the size of business. Medium and small businesses are being closed. Even retail shops are closed. Some businesspersons are leaving the country. Overall, the investment climate has eroded over the years. 

The budget comes in the face of growing economic slowdown and frustration among the business community. The fiscal policy, however, has not introduced any measures that can expedite economic activities and boost the confidence of investors. In reality, the budget is a continuation of what the government has been doing for a long time. 

The business community is equally concerned with the implementation aspect. We have seen the trend of underspending of capital expenditure. The government has been unable to increase capital expenditure. This is not a favorable situation  for all sectors. 

Birendra Kumar Shah is president at Inaruwa Chamber of Commerce & Industry