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2009-01-24T19:07:00.000-08:00

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Shakya promises use of lokta paper

2009-01-20T17:56:00.000-08:00

Shakya promises use of lokta paper
Himalayan News Service
Kathmandu, January 20:Minister for Trade Astalaxmi Shakya has assured entrepreneurs that she will lobby for the use of Nepali handmade papers as the government documents."I will help in my capacity to fulfil your demand of using Nepali handmade paper as citizenship certificates," the minister assured them while inaugurating the Nepali handmade paper expo here.Nepal Handmade Paper Association (HANDPASS) has organised a handmade paper expo on the occasion of bagging a project ‘Enhancement of Sustainable Production of Lokta Handmade Paper Production in Nepal’.The European Commission (EC) has granted the largest ever grant of Euro1.4 million — in a single commodity — to operate the four-year project that starts from January 2009."As per the agreement with the EC on December 18, the project will be initiated from January 2009 and be concluded by the end of December 2012," informed the association.The project will focus onproper method of paper production in the hills and mountains making it environment-friendly industry and be alternative source of income for the marginalised farmers in the hills and mountains."It aims to cover 18 districts reaching about 30,000 farmers, who extract lokta — a shrub that grows at an altitude of 2000 metres to 4000 metres in the most coniferous froeforestst in Nepal," said Kiran Kumar Dangol, secretary of the association.The handmade paper is made of the inner bark of the Lokta shrub. Nepalokta is also registered in Europe as Nepal’s handmade paper that has employed more than 55,000 families in the rural areas.Out of the total production,40 per cent of Nepali handmade paper is exported. But there isstill a huge untapped market at home also."We want the government to use Nepali handmade papers in various official documents like citizenship certificates in spite of importing ivory paper that is not as durable in comparison to Nepali handmade paper," said Dr Milan Dev Bhattarai, president of HANDPASS.The government could also promote local product — by using as certificates in the universities — like the Pokhara University due to its durability that is unchallenged."Pokhara University uses Nepali handmade papers for its certificates," Purushottam Baskota, vice-chancellor of the university informed.Though some institutions like Nepalokta Cooperative and GTZ are helping the HANDPASS, the government seems unimpressed from the industry that can help reduce rural poverty.

Nepal leads in GRB in S Asia

2009-01-20T17:54:00.000-08:00

Nepal leads in GRB in S Asia
Himalayan News Service
Kathmandu, January 20:Nepal leads in gender responsive budget in South Asia. Similarly, Nepal is also in the club of 62 countries — out of 190 countries — that have gender responsive budget (GRB).Gender responsive budget is one of the most effective tools to mainstream gender in policies and planning to reddress inequalities and promote women’s economic and socio-political rights, said acting finance secretary (revenue) Krishnahari Ba-nskota, chairing the concluding session today."Nepal has always given priority in inclusiveness in the society," said finance minister Dr Baburam Bhattarai, yesterday inaugurating the ‘Integrated Gender Responsive Budgeting into the Aid Effectiveness Agenda’ that concluded here today.Chairing the inaugural session, finance secretary Rameshwor Khanal also told the two-day long seminar that Nepal has been very sensitive in the gender issue. "Nepal has done more in terms of gender sensitive budget," he added.Nepal has established Gender Responsive Budget Committee (GRBC) in 2005 and started implementing it since last fiscal year’s budget. The Parliament has passed a resolution for minimum of 33 per cent representation of women in all government mechanism.

ADBL waives off Rs 2bn loan, interest

2009-01-20T17:51:00.000-08:00

ADBL waives off Rs 2bn loan, interest
Himalayan News Service
Kathmandu, January 20:
Agriculture Development Bank Ltd (ADBL) has waived around Rs 2 billion under the government’s loan-waiver programme.It has received 74,492 application to waive loan upto Rs 30,000. The total amount waived stands at Rs 1.2 billion in principal and Rs 110 in interest.Similarly, the bank received 1,114 applications for the interest waiver of upto Rs 1,00,000 above Rs 30,000. The total interest amount waived stands at Rs 83 million, it said.The government has in its budget for the fiscal year 2008-09 spelled out the loan waiver programme upto Rs 30,000 and interest-waiver from Rs 30,000 upto Rs 1,00,000, for the conflict hit and natural disaster-hit farmers.Addressing the first formal programme — the 42nd anniversary of the ADBL — after his appointment as the 14th governor of the central bank, he said that in order to move towa-rds rural-oriented economy, "we need to sacrifice."The newly appointed governor urged employees to work honestly to achieve the double-digit economic growth rate.He also urged the banks to go to rural areas as the future of the country lies in development of villages.At present the bank has to work for agriculture development and compete with modern private commercial banks as well.It serves its over 4,00,000 clients from 241 branches and sub-branches.

Biz Briefs of January 21

2009-01-20T17:49:00.000-08:00

SAFTA CoE meetingKATHMANDU: The Committee of Experts (CoE) of South Asian Countries met here on Tuesday to discuss service trade under SAFTA. Earlier in November 2008 they had a meeting and its the second one held to discuss service trade among the South Asian neighbours. Nepal has urged to be more liberal to expand regional trade, said an official. Nepal has not been able to take any advantage under the SAFTA as it has not yet exported a single item under SAFTA till date. — HNSRBB reinstate branchKATHMANDU: Rastriya Banijya Bank (RBB) reinstated its Sunuwal branch office on Tuesday. According to a press note, the branch office was shifted to Parasi during conflict. Janardhan Acharya, CEO of the RBB re-inaugurated the 120th branch at Sunuwal on Tuesday. — HNSCitizens RemitKATHMANDU: Citizens Bank International has started its remittance service, ‘Citizens Remit’. "People can get remittance facility of Citizens Bank also from 500 counters of City Express Transfer, apart from bank branches, states a press release. — HNSMalakar nominatedKATHMANDU: Surendra Bir Malakar, president of NCC has been nominated in the team formed to access impact of global financial crisis. — HNS

Nepal-Lanka ASA review

2009-01-19T14:07:00.001-08:00

Nepal-Lanka ASA review

Himalayan News Service
Kathmandu, January 19:

Nepal and Sri Lanka are reviewing their Air Sevices Agreement (ASA). Nepali authorities and a Sri Lankan team will hold talks on Thurday, said an official at the Ministry of Tourism and Civil Aviation (MoTCA).
Nepal Airlines has long stopped its flights to Colombo due to various reasons. “Our side is busy preparing for the talks, and the full operationalisation of the ASA may top the agenda,” the ministry sources said adding that the two South Asian countries’ officials are meeting on January 22 in Kathmandu. MoTCA secretary Ramchandra Man Singh confirmed that the talks between the two countries have been scheduled for January 22.
Nepal and Sri Lanka had earlier also renewed the ASA to allow direct air services between the two countries. The agreement signed in Colombo allowed designated airlines to operate four weekly flights between Kathmandu and Colombo and points beyond. However, Nepal Airlines (NAC), then Royal Nepal Airlines (RNAC), stopped its flights to Colombo since almost eight years.
The previous agreement allowed only a limited number of passengers and the number of flights by each airline was restricted to two per week.
Nepal has signed ASAs with 35 countries. However, it has been renewing the ASAs and also increasing flight frequencies for mutual benefit.
On December 29 in 2008, Nepal and Bahrain renewed their Air Services
Agreement (ASA) and signed a Memorandum of Understanding (MoU) to increase flight frequency and develop skilled manpower resources. According to the renewed agreement, both countries can now operate 28 flights per week.
Earlier, the agreement between the two countries was that they could operate only 14 flights per week. Meanwhile, Nepal is also likely to review Air Services Agreement (ASA) with India to scrap the existing restrictions on seat allocations. It is hoped that the proposed change in the ASA will allow Nepali airlines to operate unlimited number of flights to various Indian cities.
As per the existing ASA between the two South Asian neighbours, each is restricted to only 6,000 seats per week. The limit on the number of seats has impeded Nepali Airlines’ efforts to operate flights to Indian cities. After the 1990s open air policy, Nepali private airlines have also started spreading their wings. Private airliners are requesting the government to allow them to fly to various Indian cities with unrestricted number of seats.

Drowning industry, keening workers

2009-01-19T14:06:00.002-08:00

Drowning industry, keening workers

Himalayan News Service
Bhaktapur, January 19:

For the past three days, workers at Bhaktapur Craft Paper Industry are staging a protest but the management does not seem concerned about their demands.
According to worker Kamala Giri, they want the ouster of the managing director (MD) and the board manager.
“This MD has never shown concern for the industry and we are suffering because it is in loss. We have not got salary,” Giri said. Aside from demanding the MD’s and board manager’s resignation, workers also alleged that during the annual general meeting (AGM) of the industry on January 13, the MD presented annual statistics and a report whose veracity they doubt.
“Bhaktapur Craft Paper Industry was formed in 1981 by UNICEF to help women, children and 40 per cent of it is meant for the community but later UNICEF handed over the industry, with the 109 workers becoming shareholders. We are also among them,” said Giri.
Voicing concern at the industry going downhill, she said, “We used to export craft paper to the US, Japan and Australia through UNICEF, but it is three years that we are suffering huge losses as there are no orders.”
Workers said craft paper worth Rs 22-25 lakh was lying in stock. The minimum salary of a worker is Rs 5000 and the management is unable to give it.
A representative of the management said they had urged the workers to form a talks team to solve the problem. The workers admitted that they did not have a talks team, and insisted on the resignation of the MD anyhow.
Another worker accused the MD of creating false hopes among them and making them work without pay. “Orders have dried up, but we are asked to work. It costs Rs 3600 to make one frame of paper. Whatever we produce is just getting stocked here. This has resulted in complete decline of the industry.”

Handicrafts promo ad hoc panel:
KATHMANDU: With the aim of promoting handicrafts, handicraft entrepreneurs led by FHAN president Pushkarman Shakya and Lamjung Industry and Commerce Association president Pramod Kumar Shrestha formed Handicraft Industry Association ad hoc committee at Lamjung with nine members.
The committee was formed on January 17, said a release. Meanwhile, according to another FHAN release, a team of representatives of the Federation of Handicraft Association of Nepal (FHAN), under the leadership of Yagyaman Shakya conducted a monitoring and observation campaign of the Chitwan Mahotsav that had been organised from January 15 to 18. — HNS

NTY 2011 body’s pilot meeting held

2009-01-19T14:06:00.001-08:00

NTY 2011 body’s pilot meeting held

Himalayan News Service
Kathmandu, January 19:

To develop plans and policies for Nepal Tourism Year (NTY) 2011, the first meeting of the main organising committee was held yesterday.
Minister for Tourism and Civil Aviation Hisila Yami said, “We are flexible about the formation of tourism policy but there is need for great observation. For NTY 2011, the main committee should also have the presence of new organisations.”
The main committee has a facility of 61 members in it. It has forwarded a proposal to form 12 sub-committees. The sub-committees will attend to Policy Level Suggestions, Physical Infrastructure Coordination, Improvement and Development of Tourism, Festival and Programme Management, Market Management, Promotion and Preservation, Human Resources and Quality Enhancement
There will also be sub-committees for Aviation and Transportation Coordination, Source Implementation and Observation, Culture and Heritage, Law Management and Coordination and Political Coordination.
“Tourism industry is the a vital sector in the development of Nepal. Constituent Assembly members belonging to different regions with different caste people and languages are
also eager to showcase their respective places’ uniqueness,” said Yami.
The main committee will have representation from invited members of Adventure Sports Association of Nepal, Association of Media Houses, Association of Trans Himalaya Tour Operators, Nepal Municipality Association, District Development Committee Association, and Computer Association of Nepal.
Sub-committees for the five geographical regions have also been formed and the Nepal Tourism Board building has been selected as the secretariat office for NTY 2011.
NTY 2011 has a target of attract 1million tourists. The main aims of NTY 2011 is establish Nepal as the best tourist destination at the international level, enhancement of infrastructure development for tourism, increasing the tourist capacity of Nepal, promoting internal tourism and subsequently providing the tourism industry permanency.

Kohalpur fest in Feb

2009-01-19T14:05:00.001-08:00

Kohalpur fest in Feb

Rastriya Samachar Samiti
Nepalgunj, January 19:

The Mid-regional Industrial and Tourism Festival-2065 will be organized in Kohalpur of Banke from, February 5 to 12.
The festival will feature elephant safari, concerts by national and local artistes, dance competition, folk duet competition, comedy shows and industrial and cultural processions. It will have 115 stalls displaying technology, products and services. A sale proceed of 50 paisa per ticket will provided to the proposed Mid-regional University, scholarship for poor and Gyanodaya School library.

Brand watch : Bully of a bulldozer

2009-01-19T14:04:00.000-08:00

Brand watch : Bully of a bulldozer

Himalayan News Service
Kathmandu, January 19:

Continental Trading Enterprises Pvt Ltd, the authorised distributor of Komatsu construction & mining equipment for Nepal, has launched its latest D39EX bulldozer in the market.
It is highly efficient and loaded with Hydro Static Transmission Technology. D39EX has an electronic monitoring system which sends out warning signals for even the minutest malfunctioning of any internal component, helping save the machine from any substantial damage.
Equipped with large blades, it is also very easy to operate as it has Palm Command Control System (PCCS). It is more fuel-efficient, has excellent stability, exceptional blade visibility, superb steering accuracy, low noise design (78 db), automatic gears and fully adjustable suspension seat for the comfort of the operator.

Work harder, faster: Shakya

2009-01-19T14:03:00.000-08:00

Work harder, faster: Shakya

Himalayan News Service
Kathmandu, January 19:

The progress report of the first four months of the fiscal year 2008-09 of different departments, development projects and programmes under the Ministry of Industries (MoI) was presented today.
Heads of concerned departments, projects, and programmes presented their reports and pointed out different problems and solutions.
According to statistics, 12 projects and programmes under the MoI in the first four month of the present fiscal year achieved an average of 83.6 per cent physical progress and 68 per cent financial progress.
Eight are Priority One projects while four are Priority Two projects.
Minister Shakya pointed out that plans were not being implemented according to policies. MoI secretary Tana Gautam said, “There should be transparency in our plans and policies. The work implementation is going on but the real result hinges on customer satisfaction. Special attention should be paid to that aspect.”

ICC Nepal urged to play larger role

2009-01-18T18:41:00.004-08:00

ICC Nepal urged to play larger role

Himalayan News Service
Kathmandu, January 18:

Asta Laxmi Shakya, Minister for Industry today urged the International Chamber of Commerce (ICC) Nepal to create awareness about itself and ICC arbitration.
Speaking at an interaction programme on ‘Role of ICC Arbitration in settlement of Business Disputes’, Shakya said,”Disputes are unavoidable. Each organization has its own limitations, which can create hazards during work. Ionly people get to know about ICC Nepal and its programmes, it would do wonders.”
The minister said, “We should trust our mediators, and our country has qualified mediators who can resolve disputes in different contracts. ICC Nepal while fulfilling international norms should play a vital role,” she said.
The ICC of world business organisations, based in Paris, is global leader in the development of standards, rules and reference guides for international trade. ICC has three main activities: Rules setting, arbitration and policy.
According to ICC Nepal, ICC arbitration plays a vital role in settling business disputes. This is institutional arbitration, which is held under the Arbitration Rules of the International Court of Arbitration under the ICC.
ICC’s International Court of Arbitration is the most trusted system of commercial arbitration in the world, having received more than 14,500 cases since its founding in 1923.
“ICC arbitration can be the system of resolving disputes even in the banking sector,” said Radhesh Pant, president of Nepal Bankers’ Association (NBA).
According to Pant, if there is representation of Nepal in ICC, disputes in different contracts both in government sector and the private sector can be resolved at minimum cost.
“Even the banking sector has a number of disputes in various contracts. Being a part of ICC we can settle disputes regarding money laundering and abuse of letter of credit,” said Pant adding, ICC arbitration can create uniformity, make guidelines and standardize rules and regulation.
ICC Nepal chairman Rajesh Kaji Shrestha said, “The business sector here is still unaware of ICC’s functions and unaware of international market strategies. Here, information about arbitration is lacking and the business sector is also not aware of how ICC Nepal can help related bodies by settlement of disputes.”
For business-related bodies here, arbitration in foreign countries is time-consuming and very costly. ICC Nepal can help them show the easy way out, said Shrestha. He also urged business sector and its organisations to become a part of ICC.
“ Not only the private but the government sector also has disputes in contracts. ICC arbitration can be useful to everyone,” said Pant.
According to ICC Nepal, there may be one or more arbitrators depending on the parties’ agreement and the value of the claims or disputes. If the agreement is silent as to the number of arbitrators, either ICA or the ICC will ordinarily appoint a sole arbiter. The panel of arbitrators for ICC Nepal consists of ten arbitrators.

Durable fabrics from agri-waste, fowl feathers

2009-01-18T18:41:00.003-08:00

Durable fabrics from agri-waste, fowl feathers

Himalayan Newsw Service
Sydney, January 18:

How would you like to snuggle up in a warm, cozy pullover made from chicken feathers or jeans fashioned from wheat - fabrics that are green and eco-friendly?
Researchers are optimistic that new advances are paving the way for materials from agri-waste or byproducts to hit stores as alternatives to the 38 million tonnes of synthetic fabrics produced worldwide each year.
They reviewed research on the development of these next generation eco-friendly fibres, which will give a conventional feel, in the journal Biomacromolecules.
In the study, Andrew Poole, Jeffrey Church and Mickey Huson noted that scientists first produced commercial fabrics made of nontraditional materials — including milk proteins, peanuts, and corn - almost 50 years ago. Although these so-called “regenerated” fabrics had the look and feel of conventional protein-based fabrics such as wool and silk, they tended to perform poorly when wet. This problem, combined with the advent of petroleum-based synthetic fibers, caused the production of these unusual fabrics to stop, the researchers said.
Amid concerns about the environment and consumer demand for eco-friendly products, renewable fabrics made from non-traditional agricultural materials are now poised for a comeback.

Arab summit to launch mega customs union

2009-01-18T18:41:00.001-08:00

Arab summit to launch mega customs union

Agence France Presse
Kuwait City, January 18:

Arab leaders are to approve a customs union — the first step to a common Arab market — as well as a power grid and a rail network at their first economic summit in Kuwait, according to documents made available yesterday. The projects were approved along with other resolutions at a joint meeting of Arab foreign and finance ministers late Friday.
One draft resolution calls for “taking the necessary measures to announce the launch of an Arab Customs Union in 2010 and which will be completed in 2015.” The union will pave the way to set up a common Arab market in 2020.
The union and common market are aimed at boosting inter-Arab trade and luring investments from rich Arab states to poor countries.
Arab League figures show that inter-Arab trade only makes up between 10 per cent and 12 per cent of the total volume of Arab trade while inter-Arab investments have remained a small fraction of total Arab foreign investments.
Arab countries launched the Pan-Arab Free Trade Area about three years ago, but it did little to boost commerce among the 22 Arab League members.
At their summit today, the leaders are also expected to approve a resolution calling for the launch of an Arab rail network.
The resolution states the project will be implemented on a commercial basis and financing arranged through Arab, regional and international financial institutions and banks.

Hadikhola hydel project nears completion

2009-01-18T18:40:00.003-08:00

Hadikhola hydel project nears completion

Rastriya Samachar Samiti
Chautara, January 18:

The Upper Hadikhola Micro Hydro Project at Thangpaldhap of Sindhupalchock district
is to be completed before February 16.
Hydropower project managing director Umesh Kasaju said the project to be completed at a cost of Rs 160 million with private investment would produce one megawatt (MW)
electricity. Construction work of the project was begun in November 2007.
It is said the project and the Hydropower Development Division have already agreed to the purchase of electricity at Rs 4.44 per unit.
After completion, the power produced in the project would be linked to the national transmission line. A dozen VDCs of Sindhupalchwok and some others of Kavre district will benefit directly from the project. Managing director Kasaju said most of the work in the project, including 5-km transmission line, has been completed.

You’ll still get a job in India...

2009-01-18T18:40:00.001-08:00

You’ll still get a job in India...

Himalayan News Service
New Delhi, January 18:

The “India Shining” story may be under stress by the ongoing economic crisis, but some sectors and career options still hold promise for job seekers this year, according to human resource experts.
Leading advisory Boston Consulting Group says India will have a demand for 85-90 million people across various sectors, and the majority of the demand will come from high-growth industries like IT, outsourcing, banking, retail and healthcare.
Similarly, a survey by HR consultancy Manpower India projects hiring to rise steadily by around 18 per cent from this quarter in many sectors, signifying that jobs in India may not be entirely affected by the financial turmoil in rich nations.
“India poses a far more positive outlook as compared to what has been happening across the world,” said Cherian Kuruvilla, director operations, Manpower India, adding that seven per cent gross domestic product (GDP) growth for the country showed that the economy remained healthy.
“Employers in the mining and construction industries as also services sector are especially looking to scale up,” Kuruvila said, but added that new jobs would not be distributed evenly through all the regions and all industries.
India has a workforce of 484 million people, of which 273 million work in rural areas, 61 million in manufacturing and about 150 million in services, says the Boston Consulting Group that recently conducted a study on the country’s
services sector. “Going forward, the Indian economy is likely
to be overwhelmingly dependent on the growth of services. More than 70 per cent of India’s incremental GDP and 60 per cent of new jobs over the
next five years are expected to be generated by services.”
A survey across the Asia-Pacific region by TNS, a market research and business analysis firm, with Gallup International, a global human resource consulting firm, also threw up interesting findings. Sixty-two
per cent of the Indians polled felt they would be able to
hold on to their jobs in 2009 and the 57 per cent who expected unemployment to rise did
not not consider they would be the ones affected.
“It seems, despite the slowdowns and reports of downsizing, there is an overall confidence among the employed in India that ‘My job is secure! Difficulties, if any, are for others, not me’,” said TNS India executive director Chhavi Bhargava.
Experts concede that the present financial meltdown has raised doubts over the performance of some industries and its impact on salaries and perks, but hope that Indian businesses will come out of the slump more speedily than their counterparts overseas.
“The impact on salary was felt in 2008 and it may continue till some time. The payouts were significantly lower than the 15-200 per cent bonus payouts in 2007,” said chief executive of Absolute HR Services, Kunal Banerji.
“Gone are the days of experimentation with jobs. I would advise employees not to be adventurous checking different jobs. Stability is the mantra,” said Confiar Consultants managing director Vivek Ahuja.
Apart from advising employees to keep their jobs this year, HR consultants also feel these are also the times when people will turn to age-old values and ethics and play by the book.
“The old adage like no substitute for hard work for success is back in vogue,” Banerji said. “Stay hungry for work or stay hungry is the mantra for corporate India,” he added.

Biz Briefs of January 19

2009-01-18T18:39:00.000-08:00

NIBL’s 25th branch
KATHMANDU: Nepal Investment Bank Ltd is opening its 25th branch at Hetauda on Monday. It opened its 24th branch in Boudha on January 8. Both branches will provide world class services to the residents and business community of Boudha and Hetauda and surrounding areas, said a press release. Both branches will be linked through ABBS (any branch banking services) to all other 23 branches. Key services include deposit & lending, foreign exchange, retail banking, import, export, letters of credit and guarantees and remittance facility. The bank has installed at an ATM on the Boudha branch premises for customer convenience. Both branches have locker facility. — HNS

HBL turns 16
KATHMANDU: Himalayan Bank Ltd (HBL) completed 16 years of its establishment. The bank registered a deposit of Rs 32.46 billion and loan of Rs 21.42 billion till January 13,
with an operating profit of Rs 598 million, according to a press statement. The bank’s net profit during the fiscal year 2007-08 was Rs 635.9 million. — HNS

New NACCI panel
KATHMANDU: Nepal-Australia Chamber of Commerce and Industry (NACCI) has formed its new working committee. According to a press statement on Sunday, Akhil Kumar Chapagai has been chosen as committee president. — HNS

Fruit farmers glum
BABIYACHAUR: Fruit farmers in Myagdi are worried as the oranges that they had grown rotted in the groves due to the lack of market. There was no market for the oranges produced in Mudi, Takam, and Devistan of the district. Farmer Sukadal Fagami of Takam said though the harvest was bigger this year as compared to last year, most of it rotted in the trees. More than 50 farmers faced this problem and incurred loss of millions of rupees due to lacking of proper storage facility. — RSS

Fresh EU forecast
BRUSSELS: The EU economy faces a new round of bad news on Monday when the European Commission issues new forecasts against the backdrop of a worsening recession and spiraling public deficits. The EU executive arm will shed new light on Europe’s clouded economic outlook with fresh forecasts of just how deep the economy has slumped into recession. In the wake of the new estimates, EU finance ministers will also meet on Monday and Tuesday for talks focused on whether EU governments are doing enough to keep the recession from getting deeper. — AFP

FM assures of yanking down price rise spiral

2009-01-17T20:12:00.001-08:00

FM assures of yanking down price rise spiral

Himalayan News Service
Kathmandu, January 17:

Finance Minister Dr Baburam Bhattarai today vowed to intervene in the market anytime if the prices don’t come down soon.
“The government will intervene in the market anytime, if prices don’t come down,” he said adding that even after international prices have come down, prices in the domestic market had not come down.
The fuel price has been lowered four times since October 25 but transport fares have not come down, a factor which is pushing market prices higher, said Dr Bhattarai blaming the transport entrepreneurs’ syndicate. He also suspected that some of the traders were making money at the people’s expense.
The central bank has targetted 7.5 per cent inflation but it is at 14.1 per cent, double the target and threatening the government for its ineffectiveness in controlling the price hike.
“The government has also been not able to spend more on development projects due to delay in budget presentation by two months and procedural hassles,” the finance minister admitted. “The government will speed up its development activities from this month.”
Revenue collection has been considerably satisfactory, as it is 35.4 per cent in the first four months and 33.1 per cent in the fifth month of the current fiscal year. Since six months of this fiscal year have already passed, the government has only six months left to prove itself.
Apart from this, the treasury is positive. “The government has Rs 13.22 billion surplus,” he informed. But that’s because there has been no development expenses in first six months.
The Nepal Development Forum (NDF) meeting - considered important for attracting foreign aid - is planned for March or early April, he said adding that the government was preparing a vision paper for the meet.
This government has been blamed for not creating any jobs. But, Dr Bhattarai is hopeful that the Self-Employment Programme will help create jobs
in the country. “Last week’s cabinet meeting has given the nod to this programme’s regulation,” the rebel-turned-minister said, adding that any Nepali youth can now avail of Rs 2 lakh without collateral.
“The government will give guarantee to the banks,” he said.
The government has also prepared to open cooperative shops — popularly known as cheap-priced shops — for the poor in VDCs but there are doubts that without a smooth supply system people won’t benefit from such shops even though the finance minister has promised to make the supply system smooth.
Apart from various development activities waiting to get a kick-start, he also said the much-touted Investment Board regulation and other procedural hurdles are being cleared for attracting more investment and the government is moving forward in the right direction for fulfilling the people’s aspirations. Dr Bhattarai has returned one of his official vehicles so as not to burden the national coffers.

Shaky trust bloops Nepse index

2009-01-17T20:11:00.002-08:00

Shaky trust bloops Nepse index

Himalayan News Service
Kathmandu, January 17:

It was a lacklustre week, with the Nepal Stock Exchange (Nepse) index plunging by 23.10 points to drop to 651.22 points from last week’s closing of 674.32 points.
The sole secondary market also witnessed a drop in transaction amount — of 67 companies — by 11.71 per cent to rest at Rs 234.47 million against last week’s 28.65 per cent fall.
Shareholders of commercial banks, development banks, finance companies and insurance companies groups — except hydropower companies group — lost this week too.
Analysts believe that a crisis of confidence, more than finances, is making Nepali investors act in such a haphazard manner, pulling Nepse down by the day.
The sensitive index — a barometer of Group-A companies — plunged by 7.82 points to drop to 169.20 points from last week’s closing of 177.02 points. Similarly, the float index — calculated on the basis of real transactions — lost 2.05 points to drop to 63.55 points from last week’s closing of 65.60.
Nepse closed in the red zone this whole week as Wednesday was a public holiday and the domestic secondary market saw only four-day trading. The market opened in the red on Sunday at 664 .02 points from last week’s closing of 674.32 points. The index continued its downward ride the whole week, closing trading at 651.22 points.
Analysts have also blamed the non-renewal policy of margin lending for this bearish trend as this is the time that investors renew their loans.
The commercial bank group went down to 611.17 points, development bank group to 997.86 points and finance companies group to 897.41 points. The insurance companies group,
the only gainer this week, gained 7.10 points to 682.85 points. The hydropower companies group witnessed no change in its index from 916.24 points of last week’s closing.
This week saw heavy selling of NB group institutions. Nepal Credit and Commerce Bank (with Rs 54.92 million), National Hydropower Company (with Rs 43.26 million), Nepal Development and Employment Promotion Bank (with 19.70 million), Nepal Bangladesh Bank (with 19.12 million) and Standard Chartered Bank Nepal (with Rs 13.17 million) were the top scorers in terms of transaction amount.
In terms of number of share units traded, NCC Bank topped the chart with 3,40,000-unit shares while in terms of number of transactions National Hydropower Company topped with 584 transactions.
This week, Nepse banned the transaction of Infrastructure Development Bank Ltd’s (IDBL) shares as its capital plan has drawn critism from the central bank, the regulatory authority of financial market.
“After Nepal Rastra Bank’s instruction, Nepse banned the transaction of IDBL’s shares,” said a Nepse press release.

Outsourcing labour a compulsion: Minister

2009-01-17T20:11:00.001-08:00

Outsourcing labour a compulsion: Minister

Himalayan News Service
Kathmandu, January 17:

At an interaction at Reporters’ Club here today, Minister for Labour and Transport Management Lekh Raj Bhatta said that sending workers abroad for employment was a compulsion as employment opportunities in the country are not sufficient created in the country. Data reveals that 656 Nepalis leave for various destinations daily in search of greener pastures due to lack of job opportunities back home.
“Foreign employment may be an alternative but not long term solution as the development of the country depends on the creation of more jobs at home,” he said adding that in such a situation the young generation is compelled to go abroad as migrant workers.
He pointed out that manpower companies should be mindful of the financial and physical security of the workers they send abroad. “News of deaths of Nepali workers has been regular in recent days,” he said adding that the manpower companies and embassies should be more responsible. “There are 518 Nepali women in Tihar jail of India due to fraudulent manpower agencies,” he said.
Bhatta also criticised the Nepali embassies abroad. “Though some embassies are performing well, others are reluctant to resolve Nepali migrant workers’ woes,” he added.
The minister said the problem could be solved if Labour Attaches were appointed in the embassies. But even after the cabinet go-ahead two weeks ago to appoint Labour Attaches in embassies in Qatar, Saudi Arab, Malaysia and Dubai where there is high concentration of Nepali migrant labourers, the attaches are yet to posted there, it could not be implemented. “The ministry will send all four Labour Attaches within two weeks,” he promised.
Nepali labourers find Gulf countries more attractive but due to global financial crisis some of the big contractors in Gulf countries have stopped taking new employees. Israel is yet another lucrative but troubled destination.
Apart from that, Japan is being seen as a new lucrative destination for Nepali migrant workers. “The government has given the responsibility of sending Nepalis to Japan to the Federation of Nepalese Chambers of Commerce and Industry (FNCCI).” he said.
On December 3, 2003, FNCCI and Japan International Training Cooperation Organisation (JITCO) had signed a preliminary agreement on sending Nepali migrant workers to Japan. But even after almost five years, not a single Nepali worker has gone to Japan. Japan has started taking foreign workers in agriculture, construction, food processing, fishery, electronics and garments sectors from 14 countries. Bangladesh is the 14th country it has entered into an agreement.
On the occasion, some Japanese employers said that they were willing to take Nepali workers if the government permits. According to available data, between 1992 to 2003 — a 12-year duration — 2,202 Nepalis went to Japan.

Pig farmers have fat piggy banks

2009-01-17T20:10:00.003-08:00

Pig farmers have fat piggy banks

Rastriya Samachar Samiti
Hetauda, January 17:

Pig rearing has made farmers of Karra Tole of Hetauda-10 in Makwanpur district affluent.
The farmers, who started rearing pigs with assistance from the District Livestock Office in 2053 BS, are fully involved in this occupation. These farmers formed a group and started this occupation. The group has 26 members. The pigs reared here are exported to different parts of the country such as Dharan, Birgunj, Butwal and Kathmandu, said group member Usha Ranjit.
According to Krishna Bahadur Moktan, another member of the group, a mature pig is sold for Rs 20,000 whereas the price of a pair of piglets is Rs 3,000. A pig has a litter of 15-16 piglets at one time and they are sold at Rs 1,700 each.

Gold price trots on heels of global market trend

2009-01-17T20:10:00.001-08:00

Gold price trots on heels of global market trend

Himalayan News Service
Kathmandu, January 17:

Taking a cue from the international market, this week gold in the domestic market closed Rs 420 lower per 10 gram to drop to Rs 21,100 from the opening price of Rs 21,520 on Sunday.
Gold was traded at Rs 21,520 per 10 gram in the domestic market on Sunday. Monday witnessed a climb of Rs 130 to Rs 21,650 per 10 gram. However, a sharp decline of Rs 390 was noted in the price on Tuesday as gold was traded at Rs 21,260.
On Wednesday, it further decreased to Rs 21,220 while on Thursday the price came down to Rs 21,005 per 10 gram — the lowest this week.
However, gold closed in the domestic market at Rs 21,100 — an increase of Rs 95 per 10 gram. The global market experienced fluctuations in the price of the precious yellow metal due to the global financial crisis, said Nepal Gold and Silver Dealers’ Association.
According to NEGOSIDA, in the international market gold priced at $819 per ounce this week which was $852 per ounce last Friday.
This week gold rose to $854 per ounce but later fell to $819 per ounce on Friday.
However, on Saturday, the last day of trading in the international market, it crossed $843 per ounce.
Meanwhile, silver opened at Rs 303 per 10 gram on Sunday. The price remained constant on Monday at Rs 303. On Tuesday, it decreased by Rs 3 to Rs 300. On Wednesday, it further dropped by Rs 2 per 10 gram to Rs 298.
Silver was traded at Rs 296 on Thursday and closed at the same price on Friday, the last day of trading in the domestic market.

Experts fork out public sector mantras

2009-01-17T20:08:00.000-08:00

Experts fork out public sector mantras

Himalayan News Service
Kathmandu, January 17:

The Centre for Empowerment and Development-Nepal (CEMID- Nepal) has brought out its second publication, Sarbajanik Chhetraka Bahuaayamik Pakchhyaharu (Multidimensional aspects of the Public Sector).
The volume covers a wide range of comtemporary issues — economic and social — in 28 articles penned by experts having long academic and professional experience.
Dr Champak Pokharel has reviewed the much-discussed Three Year Interim Plan whereas Dr Chiranjibi Nepal has analysed the Public-Private Partnership in Economic Development where he writes that economic growth without social justice is inhuman, but social justice without economic growth is impossible.
Tula Raj Basyal has analysed the White Paper on Economy and Prof Dr Gopal Prasad Pokharel gives the reader an insight into New Nepal’s economic diplomacy.
Bimal Wagle, a senior bureaucrat, has delved into Economic Liberalisation and Financial Sector Reforms in Nepal.
At a time when everyone is pondering whether the global financial crisis will hit Nepal or not, Dr Govind Bahadur Thapa takes a serious look at the global crisis and its possible impact on Nepal and prescribes solutions as well.
The articles on Foreign Aid and challenges therein by Madhav Prasad Ghimire, Revenue Mobilisation and its challenges and possibilities by Balgovind Bista, Advantages and Disadvantages of Foreign Employment by Sthaneshwor Devkota, Local Government and Performance-based Funding in Nepal by Krishna Babu Joshi and State Restructuring by Dr Surendra KC are interesting and academic reads in the book that promises to provoke debate.

Book: Sarbajanik Chhetraka Bahuaayamik Pakchhyaharu
(Multidimensional aspects of
the Public Sector)
Publisher: CEMID-Nepal
Price: Rs 335
Pages: 346

Chhetri takes charge of NRB

2009-01-16T18:53:00.003-08:00

Chhetri takes charge of NRB

Himalayan News Service
Kathmandu, January 16:

The central bank has got a full-fledged governor after a hiatus of almost two years. Deependra Bahadur Chhetri took charge here today as new governor of Nepal Rastra Bank (NRB). He is the 14th head of the regulatory authority of the monetary market.
Talking to scribes after assuming charge, Chhetri promised action against wilful defaulters, saying, “We’ll soul-search and go after such ones.” He opined cooperatives should be under NRB and financial institutions should be encouraged to go to rural areas.
“Cooperatives should be brought under the NRB scanner as they are into monetary transactions,” he said adding that it was NRB’s responsibility to monitor and supervise the monetary market. “There has long been a demand for a second tier institution,” added Chhetri, who began his career on Asad 1, 2034 BS from the same institution he heads.
He also vowed to take note of the price hike. The monetary policy has targetted inflation at 7.5 per cent. Though economists claim that Nepal’s inflation is imported, India’s inflation has in these past two months gone down by half.
However, according to the first five months’ data, inflation is at 14.1 per cent — double the target — and does not seem to be going down.
The present liberal monetary policy is blamed for the price hike. Chhetri, however, put the blame for the price hike on the supply system. Opining that tightening the monetary
policy could hurt the private sector, he added that the central bank was in no mood to review the present monetary policy. “A tight monetary policy at the cost of the private sector will not be suitable,” he said.
The number of financial institutions is increasing in a small economy like Nepal. Due to increasing number, on one hand there is unhealthy competition while on the other the central bank is accused of lack of monitoring system and manpower. Some economists and bankers even want the central bank to stop issuing licence to new financial institutions.
“The central bank will not stop issuing licence to new financial institutions,” he said adding that competition will help financial institutions to go to uncharted areas in the rural sector.
“The central bank will provide facilities and encourage financial institutions to go to rural areas,” said Chhetri, who was a trade union leader during the 1990s movement.
Admitting that NRB faces several national and global challenges he said that there may be weaknesses on part of NRB also. The trade unionist-turned governor was also sacked by the central bank in 1994 for anti-government publications. He was founder-president of NRB employees’ union in 1990.
He worked in National Trading Ltd and Agriculture Development Bank before being appointed a member of National Planning Commission (NPC), the government think-tank, last year. He retired from the central bank as executive director of the currency management division two years ago.
The cabinet yesterday named Chhetri the 14th governor as the CIAA had indicted former governor Bijaya Nath Bhattarai two years ago. Since then, Krishna Bahadur Manandhar had been heading the central bank as the acting governor.

Remittance best foreign currency earner

2009-01-16T18:53:00.001-08:00

Remittance best foreign currency earner

Himalayan News Service
Kathmandu, January 16:

Contrary to popular belief that tourism, carpet or the readymade garments sector is the largest foreign currency earner, it is remittance that is the largest foreign currency earner.
“Remittance contributes to 50 per cent of the total foreign currency earnings,” said Ramji Regmi, executive director of Nepal Rastra Bank (NRB) speaking during Sunrise Bank Ltd’s new product ‘Suryodaya Remit’ launch programme.
“The contribution of exports stands at a mere 22 per cent,” he said adding that in recent years remittance has become the lifeline of Nepal’s economy. “Though it’s not good for the health of the country’s economy in the long run.”
“In South Asia, Nepal is the only country where remittance is invested in unproductive sectors like buying house and land,” Regmi added. He was of the view that the central bank has facilitated the remitters.
However, manpower agencies complain that the government does not recognise their contribution in bringing remittance that has kept the country’s economy afloat.
L P Sanwa Limbu, immediate past president of Nepal Foreign Employment Agencies’ Association, said the country needs to recognise their contribution.
However, of the total remittance - except for that from India - only 60 per cent comes through banking channels. The rest 40 per cent still comes through non-banking channels despite the fact that there are 39 remmittance agencies.
“To channelise remittance through banking channel,s Suryodaya Remit will be helpful apart from that that a customer can avail of various facilities and benefits with Suryodaya
Remit,” said chief executive officer of Sunrise Bank Kishore Maharjan.
The bank has assigned KRS Solutions — with 250 outlets across the country — as its authorised agent.
“The global financial crisis has yet not hit the remittance business in Nepal,” Maharjan said adding that the increase in flow of people going abroad also had not yet gone down drastically. Remittance will decrease only if there is a mass return of Nepali migrant workers due to global financial crisis in countries where they are working at present. “Till yet, the situation is not so serious,” he added.
Remittance increased by 16 per cent during the fiscal year 2006-07 whereas it increased by 25 per cent in the fiscal year 2007-08. In the first five months of the fiscal year 2008-09, it has posted an increase of 69 per cent in comparison to the same period in the last fiscal year.
Sunrise Bank started channelling money from Malaysia from today and within a week, it will start channelling from the Gulf and other countries. Till January 13, the bank was able to generate a total deposit of Rs 8.64 million and a total loan amount of Rs 8.78 billion. The bank has plans to open branches at Pharping and Chahabhil within the valley and also at Birgunj outside the valley.

Leather footwear expo from Jan 26

2009-01-16T18:52:00.001-08:00

Leather footwear expo from Jan 26

Himalayan News Service
Kathmandu, January 16:

The Leather Footwear and Goods Manufacturers’ Association of Nepal (LFGMAN) will soon organise Leather Goods and Footwear Expo-2009 with the slogan: “Use domestic products, be independent”. The expo will be held from January 26 to February 1 at Rastriya Sabha Griha.
“The expo has been conducted since the last five years and the sixth edition will consist of a variety of domestic leather footwear and manufacturers at the same spot,” said Hom Nath Upadhyay, second vice-president at LFGMAN.
Nepal has been producing leather footwear for more than a decade and set a benchmark in the domestic market.
According to the expo organising committee, the seven-day expo will boost the morale of manufacturers of leather footwear and promote domestic products.
“It will also bring different raw material producers and related businessmen to the same spot, which will be beneficial for the industry,” the organisers said.
“The Leather Goods and Footwear Expo this year will put on display leather goods and also footwear.
We have plans to rope in the maximum number of raw material suppliers,” Upadhyay said.

FCAN unit warns of revolt against govt

2009-01-16T18:51:00.000-08:00

FCAN unit warns of revolt against govt

Himalayan News Service
Kathmandu, January 16:

The Federation of Contractors’ Associations of Nepal (FCAN) has urged the government to withdraw its decision to grant consumer committees development projects worth Rs 60 lakh.
During the eighth annual general meeting (AGM) of the Banke chapter of FCAN, its president Bindubhusan Basnet urged the government to withdraw the decision as soon as possible as it would result in 11,000 professional contractors jobless.
According to FCAN, providing Rs 60 lakh to the consumer committee has a number of drawbacks. It can create financial disorder, lack of quality in development works, irresponsibility in the project and minimised revenue collection at the government level.
“The government has taken the decision in a hurry and such hasty decisions generally have a negative impact,” added Basnet.
“There should be open competition,” said Banke FCAN deputy general secretary Ram Saran Mahat. He said that this decision of the government would leave many workers jobless and that it was time to rise up and fight against the arbitrary decision.
Speaking on the occasion, Banke chief district office Chandra Prasad Timalsina said, “There should be quality construction work for the development of a new Nepal. Political interference in this sector should be prevented.”
FCAN warned that if the government does not withdraw its decision to grant consumer committees construction projects worth Rs 60 lakh, it would be compelled to initiate protest programmes.
The AGM of Banke FCAN will be electing its new representatives on Saturday, according to an FCAN statement issued here today.

Traders welcome ban on plastic bags

2009-01-16T18:50:00.000-08:00

Traders welcome ban on plastic bags

Himalayan News Service
New Delhi, January 16:

Traders and green campaigners have welcomed the imposition of a ban on the use, sale and storage of plastic bags by the Delhi government, with many calling it a long needed move.
“The ban was long overdue. Earlier the government sought to limit the ban -- saying plastic bags with thickness of more than 40 microns and those that are in vegetable dye or plain white colour would be allowed. This blanket ban was necessary,” said Kushal Yadav, coordinator and campaigner, Centre for Science and Environment.
The notification from the environment, forest and wildlife department of the Delhi government is yet to be circulated, but the ban in keeping with a August 2008 high court order has been in effect since January 9.
The notification clearly states that the use, sale and storage of all plastic bags shall be forbidden in the Five star and four star hotels, Hospitals with 100 or more beds (except for the use for bio-medical wastes), Restaurants and eateries having seating capacity of more than 50 seats, Liquor vends and Shops in main markets and local shopping centres.
In other places only the use of biodegradable plastic bags will be allowed.
To enforce the ban, “the department is mulling over various strategies. One option could be launching an awareness drive and then start slapping penalties on offenders,” said an official of the environment, forest and wildlife department. Although traders have welcomed the move, saying that they too understand environmental constraints, many feel that the alternatives are not provided for in the notification.
“We are for the ban on plastics — we too know how plastics cause harm to environment, choking sewage,” said Ashok Randhawa, a Trader.

MoTCA holds its progress review meet

2009-01-16T18:45:00.000-08:00

MoTCA holds its progress review meet

Himalayan News Service
Kathmandu, January 16:

The Ministry of Tourism and Civil Aviation (MoTCA) today carried out its progress-briefing programme at the Ministry. According to a ministry statement here, the progress report for different development projects implementation during the fiscal year 2007-08 and that for the first four months of the fiscal year 2008-09 was presented at the programme.
All head offices, Nepal Tourism Board, Nepal Civil Aviation Cooperation, Nepal Airlines Corporation, Nepal Tourism and Hotel Management Council, National Pond Conservation Development Committee and other related units presented their respective progress reports to the Minister Hisila Yami.
Speaking at the programme, Minister Yami issued directions for the planning of programmes, deciding the priority and editing the programmes before implementation. Yami also asked the leading bodies of different divisions to establish effective leadership in their sector and focus on subjects addressed in the budget statement.
Ramchandra Man Singh, secretary at MoTCA, urged for focussing special attention on the infrastructure development also at the
lower level to carry out the programme and effective implementation of the program.
Singh said that as the activities of Nepal Civil Aviation Cooperation and Nepal Airlines Corporation are directly related to the general public, these sectors also should be given priority. “The tourism industry being one of the prioritized sectors, the chiefs of these sectors should timely bring different programmes for execution, with illustrations,” he said.
During the briefing, representatives of the Ministry of Finance
and the National Planning Commission promised to provide all possible support for the execution of the programmes.

Foreign debt increasing sans effectiveness

2009-01-15T17:38:00.001-08:00

Foreign debt increasing sans effectiveness

Himalayan News Service
Kathmandu, January 15:

Assuming that the population of Nepal is 25 million, each Nepali individual has a foreign debt of Rs 8,500 as the total foreign debt stood at Rs 2.16 trillion, according to data available till July 16, 2007.
Though Nepal started taking foreign aid since 1950, its effectivessness has always
been under scanner due to its untransparent and unaccountable conditions, said the experts at a programme Foreign Aid and its effectiveness in Nepal organised by ActionAid Nepal in association with South Asia Watch on Trade, Economics and Environment (SAWTEE) and Society of Economic Journalists (Sejon) today.
“Despite complaints of foreign aid effectiveness and utilisation, Nepal needs foreign aid as it needs more resources with increasing economic activities,” Krishna Gyawali, co-ordinator of Foreign Aid Division under Finance Ministry, said.
“Is the aid making us dependent on them or not could be another debate,” he added. “But psychological dependence is more alarming.”
“The same question has been repeatedly raised because of the lack of standards and long-term vision on foreign aid that contributes a substantial portion of development expenditure, averaging about 55 per cent per year,” he said adding that the government
has been, thus, reviewing the Foreign Aid Policy that was formulated long ago. “We have a rough sketch at present.”
“Before the Nepal Development Forum (NDF) meeting — scheduled for March end — we might have a reviewed Foreign Aid Policy with clear long-term vision and standard priority set-up,” Gyawali informed.
“In the absence of such criterion, there has been confusion in priority setting,” he said, adding that aid fatigue is also not good. Apart from the new policy and donor mapping, aid monitoring and evaluation is also key for aid effectiveness.
“Aid should be for development financing not for the development itself,” Gyawali said.
Agreed Dr Posh Raj Pandey, chairman of SAWTEE. “Foreign aid is needed to enhance development capacity,” he said adding that countries need foreign aid to bridge gap between savings and investment and foreign currency.
“But in macro-level, there is no resource gap due to inward flow of remittance
and foreign currency situation is also comfortable at present,” Pandey said.
Conditionalities are much-talked about issue related to foreign aid. But Dr Pandey opined
that conditions are sometimes helpful in curtailing unproductive expenses. “Periodic evaluation might put pressure on donors and they would be more accountable, he opined.
Dr Dhurbesh Chandra Regmi, programme director of SAWTEE welcomed the participants in the programme where Paras Kharel and Kapil Gautam presented the findings of perception survey that was launched during the programme.

Safa tempos withdraw protest

2009-01-15T17:37:00.002-08:00

Safa tempos withdraw protest

Himalayan News Service
Kathmandu, January 15:

Electric Vehicle Association of Nepal (EVAN) has ‘temporarily’ halted its protest programme after it got a written commitment from the Prime Minister today to fulfil its demands.
“Prime Minister has committed us that he will fulfil our demands,” confirmed Vijay Man Sherchan, president of EVAN. “We have stopped the protest programmes for the time being but if the commitments are not fulfilled, EVAN will be moving ahead with more serious protest programmes,” he added.
According to Sherchan, the Prime Minister’s Office (PMO) has asked Ministry of Water Resource about an alternative for the charging stations.
The PMO has asked
the ministry whether it is appropriate to provide them space at the trolley bus station, Balaju Industrial District, Patan Industrial District or Bhrikuti Mandap. The PMO has also written letter for extension of the loan payment duration taken by Safa tempo owners to the authorised bodies.
The Electric Vehicles (EVs) — popularly known as Safa Tempos in the Valley — have been providing service to 1.25 lakh Valley denizens daily. But they were forced to go on strike due to increased load-shedding hours that have directly hit them.
According to EVAN, due to increasing hours of load shedding, they were unable to charge batteries that need 18 hour uninterrupted power supply to be fully charged.
The Safa tempos have an investment of Rs 500 million and provided employment — directly and indirectly — to 10,000 people. There are 700 Safa tempos plying on the Valley roads.

NB Group’s institutions dominate Nepse floor

2009-01-15T17:37:00.001-08:00

NB Group’s institutions dominate Nepse floor

Himalayan News Service
Kathmandu, January 15:

The NB Group’s institutions witnessed heavy selling today. Nepal Bangladesh Bank, Nepal Credit and Commerce (NCC) Bank and National Hydropower saw their 5,560-unit, 5,250-unit and 5,910-unit shares transactions at the sole secondary market today.
The number of shares traded of these three institutions is the largest at the Nepse today. They were traded at Rs 1,731,440; Rs 1,598,380 and Rs 767,430. “The confirmation of new governor’s appointment might have sent cold wave to the NB Group that has been in news for all the wrong reasons,” said one broker in condition of anonymity.
Whereas the market propellors like Standard Chartered Bank Nepal and Nabil Bank saw only 1,804-unit and 429-unit shares trading at teh Nepse.
Meanwhile, the secondary market closed 8.59 points lower today to 651.22 points,
The sensitive index — barometer of A group companies — ended 3.98 points below to 168.91 points from its previous close on Tuesday. Similarly, the float index was also down by 1.18 points over its previous close and ended trade at 63.55 points.
The biggest loser today is development banks group that lost 28.87 points to 910.5 points,
followed by finance companies group that lost 19.09 points to 897.41 points. The banking group also shed 16.22 points to 611.17 points.
However, Insurance companies group and others group gained. The others group gained 11.74 points to close at 628.57 points.

ICT policy in offing, says Shah

2009-01-15T17:36:00.001-08:00

ICT policy in offing, says Shah

Himalayan News Service
Kathmandu, January 15:

Ministry of Environment, Science and Technology (MoEST) is bringing Information Computer Technology (ICT) Policy.
“We need is a revised Information Technology (IT) policy, and work plan
with more articulated policy provisions,” said Ganesh Shah, Minister for Environment, Science and Technology (MoEST). The importance of IT policy has so far been underestimated, he said adding that implementation of the policy is yet another challenge.
“We also need to emphasise on action research that can develop the IT sector,” Shah said speaking at an ICT conference organised by CAN during the CAN Info Tech 2009.
“It’s been eight years that IT sector and its courses in the country has not been revised,” he added.
Due to delay in revision in policy and course Nepal lags far behind in comparison to international IT sectors.
Shah also focused on different challenges from the policy perspectives. “The IT sector is over dynamic and fast evolving sector,” he said. According to Shah, the ministry is planning to generate employment for around 35,000 people in the IT sector in Nepal, where computer literacy rate stands at only three per cent.
He was of the view that Nepal is far behind and digitally divided, nationally and internationally. “We have infrastructure challenges like power outage and availability and cost of the brand width,” said Shah.
There are 5,24,443 fixed line telephones and 25,00,124 mobile phone connections in Nepal. The service penetration is one in hundred in fixed line and 12.45 per cent in mobile connection while the Internet subscribers stands at only 0.28 per cent. There are 110 VSAT user, states the Ministry data on current situation of IT.
Talking about the policy emphasis on Information Communication Technology (ICT) Shah said that ICT has huge potential to promote the economic sector and increase employment with e-governance projects. “The sector can be made transparent and accountable and the ministry aims to make it transparent and participatory,” he promised.
The ministry is also working on to bring favourable outcomes with the initiation of ICT in health, education, and agriculture services.

Cane farmers desert sugar mill

2009-01-15T17:35:00.000-08:00

Cane farmers desert sugar mill

Prabhat Kumar Jha
Rautahat, January 15:

Hundreds of sugarcane farmers have alleged that Rautahat district’s Garuda-based Sriram Sugar Mill did not pay them for last year’s produce.
They are now selling their produce to other sugar mills in Bara and Sarlahi districts.
The farmers said that they returned empty-handed many times when they went to garuda to demand their last year’s payment.
Sugarcane farmer Harishchandra Jha of Bhalohiya said he had no hope of getting last year’s payment from the mill. Another farmer Mukunda Shah of Bhalohiya said he also had not got last March-April’s payment for his sugarcane that he had sold to Sriram Sugar Mill. He added when he sold the sugarcane to mills in Bara district, he got paid within a week.
The farmers said due to lack of a crossing for transporting the sugarcane, they had been forced to set fire to their harvest. They added that the condition of Sriram Sugar Mill has been deteriorating due to the weakness of the management.
Mill manager R N Kumar conceded that the supply of sugarcane to his mill had decreased by 50 per cent this year and said this was because many farmers had given up sugarcane farming. He claimed that last year’s payment was being completed. Admitting that a sum of Rs 15 million was yet to be paid, he added that the amount would be paid within 15 days.
Kumar also said that the delay in payment for last year’s sugarcane occurred because when the mill was running in loss. He added that the owners of the mill were committed to paying the farmers even if the mill runs in loss.

China becomes third largest economy

2009-01-15T17:33:00.000-08:00

China becomes third largest economy

The Guardian
London, January 15:

China has overtaken Germany to become the world’s third-largest economy earlier than expected, after estimates for the country’s gross domestic product (GDP) were revised higher. The National Bureau of Statistics of China reported this morning it now believes the Chinese economy grew by 13 per cent in 2007, up from an earlier estimate of 11.9 per cent and China’s highest annual growth rate since 1993.
Applying the revision to previous calculations carried out by the World Bank shows that China’s gross national income reached $3.218 trillion in 2007, compared with $3.197 trillion for Germany.
Economists were already confident that China overtook Germany during 2008, but it now seems that the change occurred in a year earlier. China took fourth place from Britain in 2005, and now has Japan and the US in its sights.
China’s rapid economic growth began to tail off last year, as the manufacturing powerhouse felt the impact of the woes sweeping the global economy. GDP growth fell to nine per cent in the third quarter of 2008, down from 10.1 per cent in the second quarter and the fifth straight quarter of slowing growth.
Before this latest revision, analysts had predicted that Chinese economy would grow by around 7.9 per cent in 2009 — this compares to the UK where the recession could slice two per cent off GDP.

Power outage causing mobile network failure

2009-01-14T17:03:00.002-08:00

Power outage causing mobile network failure

Himalayan News Service
Kathmandu, January 14:

If your mobile phone is behaving erratically, this time don’t blame Nepal Telecom (NT) only. Prolonged power cuts have created additional hazards in the mobile networks as BTS towers, the network providers, are not getting sufficient amount of charge. Of the 350 BTS towers in Kathmandu valley, some 22 BTS towers have stopped working due to the 16-hour load-shedding each day.
NT spoksperson Surendra Thike said, “We do not have the facility of generators in the 350 BTS. There are only two options: electricity supply and fallback to battery mode in its absence, but the extended power cut schedule sometimes leaves the battery uncharged. This is resulting in communication interruption in mobile services.”
The battery can work during power cuts but long hours can decrease the charge duration.”The batteries in BTS towers needs 4-6 hours of continuous charging, depending
upon the capacity of the mobile, and if it does not get optimum charge, it generates low traffic capacity leading to network failure. It is happening unevenly right now, creating problems in networks at various places,” said Thike.
He added that as the BTS tower stops functioning, more pressure is exerted on other
BTS towers, resulting in frequent call failures. “We are trying to put generators at BTS tower, but that is quite expensive and needs good planning. We are working on the modalities of using generators and increasing the capacity of batteries,” said Thike adding it will be done soon as the load-shedding is damaging the quality of mobile networks.
NT set up 45 BTS towers in December 2008. It has around 22.5 lakh people using GSM service Post Paid and Pre Paid mobile, Sky Phones about 4 lakh, PSTN landlines 5.5 lakh and CDMA fixed lines two lakh. NT distributed 1.1 lakh mobiles in its new scheme for students.

Sale tax has farmers on hot coals

2009-01-14T17:03:00.001-08:00

Sale tax has farmers on hot coals

Niroj Koirala
Bhojpur, January 14:

Cardamom farmers here have warned of strong protests if the district development committee (DDC) does not immediately revoke the tax imposed on the sale of their produce. They said that in the first place the DDC did not fix the minimum price of cardamom and now, it has imposed Rs 3.50 tax per kg of cardamom exported from Khotang district.
Farmers said the DDC suddenly imposed the tax without consulting them and also without fixing a minimum price for the produce. They have demanded that the DDC, local administration and political parties immediately revoke the tax.
A meeting of cardamom farmers of Siddheshwor, Gupteshwor, Bokhim, Champe and Bhaisipankha VDCs formed a seven-member committee chaired by Chandra Prasad Pandey to press forward their demand. Pandey said the tax imposition will not only affect farmers here but also those in the northern parts of Khotang.
Cardamom from Bhojpur is sold in the markets of Dhankuta, Hile, Kattikeghat and ndherighat. The DDC said it had not collected taxes in previous years due to the conflict and various other reasons. It added that it would collect tax on all farm products produced in and exported from the district.
The enraged farmers have decided to organise a meeting in Bhojpur bazaar, the district headquarters, on January 20 and announce their programme of protests if the tax is not revoked by then. The farmers also claimed that the DDC had collected Rs 1 crore revenue from tax on cardamom sales.

CAN Infotech 2009 gala kicks off

2009-01-14T17:02:00.002-08:00

CAN Infotech 2009 gala kicks off

Himalayan News Service
Kathmandu, January 14:

Prime Minister Pushpa Kamal Dahal ‘Prachanda’ inaugurated the 15th edition of the ICT gala - CAN InfoTech 2009 - here today at Bhrikuti Mandap.
Assuring of government support, the PM said, “The government is ready to provide necessary support for information technology (IT) revolution.” He added that moving ahead unitedly would enable the development of the IT sector.
“The CAN InfoTech this year has showcased the latest technology developed in the field of computer hardware, software, internet services and mobile telephony,” said Amrit Bahadur Thapa, first vice-president of Computer Association of Nepal (CAN).
The six-day long exhibition has 223 stalls with 120 companies displaying their latest products like laptops, desktop computers, LCD monitors, iPods, mobile phones, pen-drives, hoppers and various other products. Different multinational companies from India, China, the US, Japan, Korea, Singapore and Malaysia are participating in the event that is supported by Logitech, Samsung, HP, Diabold, Digicom, Toshiba, Ricoh, Ausus, Lenevo, Gigabyte, Hymex, Zenith PC, Denyo, Sharp, HCL, TVS, Matrix, Beetle, LG, IBM, Apple, APC, Mita, Microsoft, ACER, Sukam and NEC.
CAN said that it has also planned on holding ICT conferences during the exhibition.

70,000 jobs go poof!

2009-01-14T17:02:00.001-08:00

70,000 jobs go poof!

Himalayan News Service
Kathmandu, January 14:

At least 70,000 jobs in industries countrywide were lost in the recent months.
Though there is no agency in Nepal that has authentic figure of unemployment, data compiled by Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and the Industrial District Management Ltd (IDM) reveal it may be higher.
Labour dispute over minimum wages, demands of permanent appointment, frequent strikes, increasing load-sheddding and extortion racket by criminal gangs and extremist outfits in the Tarai have cost the country heavily, cutting the employment level by the day.
IDM’s data reveals industrial districts (IDs) have cut 20 per cent of jobs. “Some 14,000 people are employed in 10 industrial districts,” said IDM general manager Giriraj Bhandari.
Ten IDs are operational: Balaju, Patan, Bhaktapur, Hetauda, Dharan, Nepalgunj, Pokhara, Butwal, Birendranagar and Rajbiraj. The 11th in Dhankuta is not. In all the 10 IDs in operation except Dhankuta, 78 industries have closed, 394 are operational and 80 are under construction. More than 3,000 people have lost their jobs in these IDs. “The people of Sunawal want the Industrial District to be expanded to their VDC,” Bhandari said adding that IDM is working hard to create a peaceful environment in IDs. Aside from problems caused by labour unions, increased load-shedding has hit IDs hard. The IDs have no alternative arrangement except feeder. “Hetauda, Butwal and Dharan need separate feeders,” he added.
The five-day power outage by Nepal Electricity Authority (NEA) hampered operations in Balaju Industrial District.
“We requested NEA to change the schedule,” Bhandari said adding there will be a two-day weekly power cut there but not for two consecutive days.
“We have also planned to instal a separate feeder in Nepalgunj Industrial District,” he added.
Organised industrial development started in Nepal with the establishment of Balaju Industrial District in 1960, with US assistance.
However, no new Industrial district was established after 1988, according to data given by IDM.

Biz Briefs of January 15

2009-01-14T17:01:00.000-08:00

Mero Mobile global
KATHMANDU: Spice Nepal Pvt Ltd - the operators of Mero Mobile - on Wednesday announced the start of their international roaming service for post-paid subscribers. According to the company, Mero Mobile post-paid subscribers can now use Mero Mobile connection in other countries too. The service has been initiated in partnership with CJSC Ukrainian Mobile Communications (UMC), Ukraine. — HNS

SBI’s 21st branch
KATHMANDU: Nepal SBI Bank Ltd opened its 21st branch in Gongabu. The branch was inaugrated by Nepal SBI Bank’s director and head of HR Department, EPF Hasana Sharma, said a press release. The new branch will provide services including remittance and loans. Nepal SBI Bank is coming with many new branches both inside the Valley (Kalanki, Bouddha, New Baneshwor, Maharajgunj and Bhaktapur) and outside the valley (Surkhet, Ghorahi, Tamghaas, Tansen, Itahari and Ilam). — HNS

Guna’s new colony
KATHMANDU: Guna Colony has started its 13-storey ‘Lazpa Apartment’ at Lazimpat. According to Dijendra Shakya of Guna Colony, it has total three blocks and 120 flats and has started sale and distribution. Flats range from floorspace area of 780 to 1559 square feet and various facilities. — HNS

Dabur winners
KATHMANDU: Surbir Dhajistha of Dhajistha Traders Maipi, Kathmandu (Coupon No:0013 won the First Prize of Bajaj Pulsar 200 cc Motorbike under the Dabur Nepal’s scheme ‘Real Mango Bonanza Lucky Draw. Rakesh Tandukar of Rakesh Store, Tukucha (Coupon No:0733) won the second prize of Bangkok Trip for a couple. Similarly, Kabita Karki of Om Shiva Store, Santinagar, Kathmandu (Coupon No: 0569) won the third prize of laptop. Five won digital cameras and 50 others won double ply blankets, said a press note. — HNS

Sebon assures investors

2009-01-13T17:38:00.004-08:00

Sebon assures investors

Himalayan News Service
Kathmandu, January 13:

The Securities Board of Nepal (Sebon) has tried to assure investors by stating that the
present plunge in Nepse is not ‘unnatural’.
Nepse has been showing bearish trend since last six consecutive months but the newly appointed chairman of the Sebon Dr Surbir Poudyal opined that its a ‘price correction’.
Though he could not clearly spell out the regulatory authority’s strategy on how to cope up with the present downward trend — that might hit financial sector pushing the country’s economy to the worst situation — he said that the Sebon is working on various plans like CDS draft and Mutual Fund Act.
Poudyal was of the view that the shares of various financial institutions are still over-priced. “Unlike earlier, the supply has also gone up,” he said adding that the Initial Public Offerings (IPOs) worth billions have been flooded the Nepse, the sole secondary market in the country pulling the Nepse down. The Nepse had a record hit of 1175 points before it started falling — especially after the Maoist-led government’s budget in September. The investors are under tremendous fear that government might start inquiry on their income source after Inland Revenue Department has asked the Nepse to provide a list of large investors. But the new chairman tried to assure investors that “there will be no such inquiry”.

Shares to flood:
KATHMANDU: The Sebon has approved shares worth billions. The IPOs, rights shares, debentures and bonus shares add up to Rs 8 billion. The IPOs in pipeline are Rs 370 million IPO of Sunrise Bank, Rs 300 million Citizens’ Bank’s IPO and Prime Commercial Bank’s IPO each, Rs 260 million IPO of Vibor Bikas Bank and Rs 230 million IPO of long-awaited Chilime Hydropower. The IPOs adds up to over Rs 2.2 billion, whereas Sebon has also approved rights shares worth Rs 3.76 billion, debenture worth Rs 500 million and bonus shares worth Rs 1.17 billion. The Chilime Hydropower — constructed with the indigenous technology — has also been long planning to raise Rs 240 million through an equity offering. Chilime
had already floated shares — that are traded at the Nepse floor — to its employee. Chilime model is an example how Nepalis themselves can construct hydro power plant by raising money from the domestic market, if the government has a clear vision. Apart from that Agriculture Development Bank is also planning its IPO amounting to Rs 960 million, the largest ever IPO in the history as the NT’s Rs 150 billion worth shares were floated to public under privatisation Act and was not an IPO. — HNS

SFL plans to upgrade

2009-01-13T17:38:00.003-08:00

SFL plans to upgrade

HNS
KATHMANDU:

The 13th AGM of Standard Finance Ltd (SFL) decided to upgrade itself as an A grade commercial bank. According to a press release, the AGM also approved the distribution of 15 per cent bonus share. It has registered a total operating profit of Rs 33.36 million in the fiscal year 2007-08.

Nefinsco approves bonus

2009-01-13T17:38:00.001-08:00

Nefinsco approves bonus

HNS
KATHMANDU:

The 16th AGM of Nepal Finance Ltd (Nefinaco) decided to issue 50 per cent bonus share and 2.63 per cent cash dividend, states a press note.

Pagaria invertor in market

2009-01-13T17:37:00.003-08:00

Pagaria invertor in market

HNS
KATHMANDU:

Infotech Computers introduced Pagaria Solar Inverters (800 VA) in the market. “It has dual charging technology through electricity and solar, and is the first of its kind in Nepal,” the company claimed. It is offering the Pagaria Solar Inverters along with TATA BP Photovoltic Solar panel at a very affordable price and the unit is very easy to install.

EVs might stop running

2009-01-13T17:37:00.001-08:00

EVs might stop running

Himalayan News Service
Kathmandu, January 13:

Come Thursday, the 1.25 lakh Valley commuters will find themselves helpless as Electric Vehicles (EVs) — popularly known as Safa Tempos in the Valley — could not ply on the roads.
The reason: They cannot charge their batteries that need uninterrupted 18-hour power supply to be fully charged. However, there is a power outage of 16-hour daily at present.
These battery-run vehicles — alternative to expensive and
imported fuel-run vehicles — operators are all set to move on the warpath against government apathy from Thursday.
“We are launching s series of protest programmes from February 15,” said Vijay Man Sherchan, president of Electric Vehicles Association of Nepal (EVAN) speaking at a press meet today.
EVAN has even urged the government, Nepal Electricity Authority (NEA), Ministry of Water Resource and other related bodies to help them find solution. They have even submitted memorandum to Prime Minister, Ho-me Ministry, Ministry of Environment, Ministry of Water Resou-rce, Ministry of Labour and Tran-sport management and NEA.
They have the solution as well. According to Sherchan, “Trolley Bus office has a power feeder that supplies 24-hour electricity.
“It could be an alternative charging station for the EVs,”
he said adding that there are
32 charging stations — in the
valley — that needs continuous power supply to charge batteries of Safa Tempos.
As a long-term strategy he suggested to set up a charging station in the Balaju Industrial Area, Trolley Bus office and Bhrikuti Mandap, the EVAN demanded.
“The rate of power demand is increasing by ten per cent every year,” Sherchan said and until another five years, there is no alternative to the power outage. “If only there was a long-term plan earlier, we would not have been in this condition,” he rued.
According to EVAN, there
are 700 battery-operated vehicles — plying on the valley roads — that need minimum 18 hours
of uninterrupted power supply
to charge. “But due to 16 hours
of power cuts daily, Safa tempos are unable to do their regular 10 trips a day,” he said adding that they are now operating only three to four trips.
Umesh Raj Shrestha, executive board member at EVAN said that the present condition is hitting the people dependent on this sector hard. “We have above Rs 500 million investment in this sector that provides employment — direct and indirect — to more than 10,000 people,” he added.
EVAN has also asked the government to extend the electricity
bill payment duration to three more months and provide some relief to them because of the
increasing hours of load-shedding that has hurt them financially. “We are unable to pay the bank interest and instalments,” he complained.

Toyota Corolla exchange offer

2009-01-13T17:36:00.002-08:00

Toyota Corolla exchange offer

Himalayan News Service
Kathmandu, January 13:

East Link Motors Pvt Ltd — exclusive dealer of Toyota Corolla Vehicles — as part of its first anniversary celebration is organising Toyota Corolla Exchange Offer for the first time in Nepal.
The Campaign ‘Corolla Exchange Offer’ will run from January 15 to January 18, said a press release.
Toyota Corolla offers its customers a finance facility up to 90 per cent free banking and free car accessories during this exchange offer.
United Traders Syndicate, a company incorporated by VoITH, is the sole distributor of Toyota vehicles in Nepal, states a press release.

NOC subsidy plan on govt table

2009-01-13T17:36:00.001-08:00

NOC subsidy plan on govt table

Himalayan News Service
Kathmandu, January 12:

Nepal Oil Corporation (NOC) has forwarded to the government a draft manual for subsidy to targetted groups and students in cooking gas and kerosene.
“NOC — with the aim of granting relief in petroleum products to lower strata of society and students — has prepared the draft on subsidy and forwarded it to the government,” said NOC managing director Digamber Jha.
However, gas dealers are complaining that the draft is ineffective and un-scientific. “The draft lacks a scientific mechanism,” Gyaneshwor Aryal, president of Gas Dealers’ Federation said adding that there should have been throrough homework before such a relief proposal. Devi Neupane, president of the authentic employees’ union of NOC said the subsidy should be provided only to students of public schools and government schools. “The government need not provide subsidy to students of private boarding schools as they are well-off,” he added.
According to the draft, targetted groups to get subsidy are people staying on rent, students, and their families. “All residents in rural and urban areas, colleges, universities and those who live in rented houses along with certificates
and necessary documents and students with identity cards are liable to get subsidy in gas and kerosene,” said the draft.
A single family will get Rs 100 subsidy per cylinder per month while those using kerosene will get Rs 50 per month subsidy. However, according to the draft, people getting subsidy in kerosene will not get it in LPG and vice-versa.
NOC will be the authorised body to issue consumer cards and the respective Metropolitan City, Sub metro, Municipality and Village Development Committee will distribute their respective certified consumers the cards. Meanwhile, after certification from the landlord people living on rent will be able to get subsidy while students of colleges and universities will be eligible with official recognition from their respective institutions. However, students with their own houses will not eligible for subsidy.
“The draft can only regulate the business but cannot control illegal activities,” Aryal said adding that a committee should be formed with the participation of consumers, students, dealers and buyers to distribute the cards.
According to the draft manual, students with consumer cards will get Rs 100 subsidy on the purchase of one cylinder per month. Gas dealers will certify consumers with detailed information about the cylinder in the card, which will work as the medium for subsidy to college students.
Aryal argued that the card system would not be effective as fake student cards cannot be regulated. “Special holograms should be used,” he suggested. “Similarly, people getting subsidy should be classified according to income levels.

Jute mill workers, management agree to see eye to eye

2009-01-13T17:35:00.003-08:00

Jute mill workers, management agree to see eye to eye

Himalayan News Service
Kathmandu, January 12:

Workers and industrialists inked an agreement today, albeit a ‘temporary measure’.
“For time being, they will get Rs 190 as daily wage for three months,” said an industrialist who attended the talks. “However, industrialists have urged the government to provide diesel directly and waive tax on spare parts for the jute industry,” he said adding that the government had agreed to their demand. Within three months, a committee will finalise the deal.
Workers of Biratnagar Jute Mill had closed the Nepal-India border point for 12 days. Imports and exports had halted, hitting revenue collection.
They also shut down jute mills in Sunsari-Morang Industrial Corridor since the past 10 days to press their four-point charter of demands that includes regular operation of industries, payment of minimum wage fixed and reduced load-shedding hours.

Sanima’s rights shares issue

2009-01-13T17:35:00.001-08:00

Sanima’s rights shares issue

KATHMANDU:

The fourth annual general meeting of Sanima Bikas Bank has decided to distribute 1:1 rights shares to its shareholders. The bank posted a total deposit of Rs 3.69 billion during the first four months of this fiscal year and provided Rs 2.63 billion loan, said a press release. It plans to extend its service outside Kathmandu valley soon. — HNS

ADBL to appoint issue manager shortly

2009-01-13T17:34:00.000-08:00

ADBL to appoint issue manager shortly
Kathmandu, January 12:

Agriculture Development Bank Ltd (ADBL) will appoint an issue manager soon. “To streamline
the process of floating shares, ADBL will appoint an issue manager soon,” said Janak Shah, newly appointed chief executive officer of the bank.
The bank is floating the largest ever Initial Public Offering (IPO) — in the financial sector — amounting to Rs 960 million. The sum is 30 per cent of its paid up capital. The shares will be floated at a face value of Rs 100 per unit. For employees, it has separated Rs shares worth 162.5 million, i.e. 5.08 per cent. ADBL, established 41 years ago, has a total of over 3,95,000 clients.
Earlier, the newly opened commercial bank Global Bank floated shares worth Rs 300 million, the largest IPO till date. Bank of Asia Nepal and Citizen International Bank will also float shares worth Rs 300 million each — 30 per cent of their paid up capital — respectively, according to the central bank’s regulation.
Shah said 67,000 small farmers contacted various branches of the bank for loan-waiver. The government — in its budget for the fiscal year 2008-09 - had announced complete loan waiver upto Rs 30,000 and interest waiver on loan upto Rs 1,00,000 for small farmers hit by the conflict.

Separate Ministry for co-ops sought

2009-01-13T17:33:00.000-08:00

Separate Ministry for co-ops sought

Himalayan News Service
Kathmandu, January 12:

Saying that the cooperative sector is in a precarious situation, experts today called for a separate ministry for cooperatives for their effective monitoring and operation.
“The Ministry of Agriculture and Cooperatives (MoAC) alone cannot focus on the development of cooperatives. We need a separate ministry for that to give pace to the development of the cooperative sector,” said Keshav Badaal, advisor at National Cooperatives’ Association Limited (NCAL).
Constituent Assembly chairman Subhas Chandra Nembang echoed his concern. “Cooperatives should remain united and move ahead with clear agenda. Their agenda should be forwarded to the CA, where it can get noticed,” he said. He also assured of his support to the cooperatives regarding their agenda.
According to Badaal, as incentives for people working in cooperatives in different districts are low in comparison to those for employees at the Ministry of Finance, most people are not interested in getting transferred to the districts. This has resulted in 15 vacancies at the level of district cooperatives officer.
The 16th annual general meeting (AGM) of NCAL urged the government for its support in the promotion and preservation of cooperatives for sustainability. “Cooperatives are in a difficult situation. Special investigation, observation and study of different cooperatives at government level is lacking. We do not have sufficient investment,” said Sita Ram Timalsina, registrar at the Cooperative Department. During the AGM, AEPC and NACL signed a memorandum of understanding for energy renewal.
Deputy member-secretary at the National Cooperative Development Board (NCDB) Bishwa Mohan Acharya said that cooperatives need to build a positive image. He added that special attention should be towards single member-owned cooperatives and that the cooperative sector should have active public participation for its sustainability and development.
Deputy executive director at the Alternate Energy Promotion Centre (AEPC) Mangal Das Maharjan said cooperatives are the media for the successful operation and completion of any project. He added that they provide focus to the project.
NACL said cooperatives are not covered by Nepal Rastra Bank and thus are vulnerable on many counts. They need an effective monitoring mechanism. NACL has central cooperative associations in four sectors: savings and credit, dairy, consumer and agriculture. There is also one national cooperative bank, 73 district level associations, seven primary organisations and 11 supporting members directly involved while people in more than 12,000 organisations are involved in the cooperative revolution.

Chinese investors urge FM to give them level playing field

2009-01-12T00:23:00.001-08:00

Chinese investors urge FM to give them level playing field

Himalayan News Service
Kathmandu, January 11:

The investors from the land of Mao, Nepal’s ruling Maoist party’s ideal, today urged the government to give them a level playing field. They also complained to one of the chief Maoist ideologues of various hurdles like customs duty, regular strikes, soaring transportation fares, visa renewal problems and unequal treatment in doing business in Nepal.
“Chinese goods are taxed more than Indian ones,” they complained at a round-table meeting to attract more investment from China organised by the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) here today.
Nepal’s trade with its northern neighbour China is less in comparison to its Southern neighbour India. “Nepal is southward tilted, and that needs to be balanced,” Finance Minister Dr Baburam Bhattarai said adding that a country needed to be economically independent in order to be politically sovereign.
“Nepal needs to take advantage of highly growing economies like India and China, and act as a vibrant bridge between them and not just as a historically defined buffer zone,” he added.
Chinese investment started pouring into Nepal after Nepal-China Non-governmental Cooperation Forum’s establishment in 1996. According to data, Nepal has Rs 3.74 billion Chinese investment. But in recent years, it is on a declining trend due to an investment-unfriendly climate.
Dr Bhattarai assured them of creating an investment-friendly climate. “We are working to bring in an Act to ban strikes in industries soon,” he promised, adding that the present hurdles were just like those faced by China in the 1940s.
According to the Department of Industry till April 12, there were 165 industries with Chinese investment and providing employment to 11,000 people especially in service sector (hotels and restaurants), construction, hydropower, food processing, readymade garments and pashmina, hospital and health services and herbal industries.
The share of Chinese investment in Foreign Direct Investment (FDI) is 12.54 per cent.
Qiu Guohong, Chinese ambassador to Nepal, speaking on the occasion, said that China attaches great importance to its relationship with Nepal. “China supports the government’s development priorities but also wants to see a conducive environment for investment,” the envoy said adding that only economic development would help fulfil public aspirations.
Nepal exported Rs 736.45 million worth goods to China (including Tibetan Autonomous Region
of China and Lhasa) during 2007-08 and imported goods worth Rs 22.25 billion that shows the increasing trade deficit between them.
“To bridge the trade gap between two centuries-old neighbours, Nepal should lure investment
in areas like construction, mining and connectivity,” suggested Suraj Vaidya, senior vice-president of FNCCI.
FNCCI president Kush Kumar Joshi said that government policy was favourable for FDI but the investment atmosphere was not favourable.

LCCI calls for umbrella PPP Act

2009-01-12T00:22:00.002-08:00

LCCI calls for umbrella PPP Act

Himalayan News Service
Lalitpur, January 11:

Public Private Partnership being the government’s chief agenda for economic development needs a Public Private Partnership umbrella Act, Purusottam Man Shrestha, PPP/UE Programme Coordinator, said speaking on the occasion of the 29th AGM of Lalitpur Chambers of Commerce and Industry (LCCI).
“The formation of a PPP umbrella Act would support development of small and large projects and to establish an environment for investment by banking and other financial sectors in national and international PPP projects,” he said.
Shrestha said that there are many sectors in which PPP can be applied, such as solid waste management, urban sanitation works and watersupply and distribution, biogas, biomass, solar
energy, road and transportation services. “PPP is also possible in municipal market management, services related to sports, construction of community buildings, promotion and preservation of cultural heritage, management of tourist areas and the development of different entertainment spots,” he added.
Mentioning the various initiatives taken by LCCI under PPP, president Naresh Kumar Shrestha said, “LCCI along with Lalitpur Sub-metropolitan City (LSMC) has conducted business development and local construction programmes according to the PPP concept.”
The UNDP and LMC are to set up 20-22 solar lights under this project to make Patan durbar area, a major tourist area, free of load-shedding.
With the aim to support the Nepal Tourism Year 2011, LCCI and LSMC will go for management and development of a tourist information centre and tourist apartments
according to the PPP model to support Nepal Tourism Year 2011, said Shrestha assuring of LCCI’s support in the construction of a road linking Lalitpur to the Tarai region.

Digital divide to be bridged

2009-01-12T00:22:00.001-08:00

Digital divide to be bridged

Himalayan News Service
Kathmandu, January 11:

A South Korea-based NGO, Educators Without Borders (EWB), with the coordination of Jeoung Keun Lee, the former director of Asian Development Bank Institute, is making a feasibility study for the establishment of sustainable multipurpose telecentres in the 4200 VDCs of Nepal.
During a meeting with members of the feasibility study team, Minister for Information and Communications Krishna Bahadur Mahara voiced his earnest wish to help to bridge the digital divide by tapping expertise and financial resources available in Korea. Key components of the proposed project include training of potential telecentre managers and technical support to ensure long-term sustainability, according to a press note.
EWB co-founder and CEO Ki-Seok Kim said, “At least 38 per cent of Nepal’s population is children and 58.2 per cent is economically active. With such a young population with fast learning abilities, Nepal will show high adaptability to the technology.”
The feasibility study report will include technical, social and economic feasibility analyses together with project design.

IN brief in January 12

2009-01-12T00:21:00.002-08:00

IN brief in January 12

BoK’s new branch
KATHMANDU: Bank of Kathmandu Ltd (BoK) on Sunday inaugurated its branch office at Gyaneshwor. With the initiation of this branch, BoK provides services from 31 different places with 25 branches and six ATM counters. The bank has 17 ATM counters, said a press statements. — HNS

PDB to increase capital
KATHMANDU: Public Development Bank (PDB) is going to increase its paid up capital from to Rs 90 million from mid-March. Currently, the bank has Rs 60 million paid up capital. It plans to increase its paid up capital to Rs 150 million within this fiscal year along with public issue of Rs 60 million. NIDC Capital Market has been approved as its issue manager, said a release. It has received a net profit of Rs 14.81 million. — HNS

Biz Briefs of January 12

2009-01-12T00:21:00.001-08:00

NIC opens branch
KATHMANDU: NIC Bank inaugurated its 17th branch at Dhangadi on Sunday. It posted a growth of 75 per cent operating profit to Rs 268 million in the first five months compared to the same period last year, according to a press statement. The bank has plans to open four more branches in the current fiscal year. —HNS

NBA flays strike
KATHMANDU: Nepal Bankers’ Association (NBA) has condemned the strike being staged by Lumbini Bank Ltd Employees’ Association. According to NBA, the union was formed illegally without information or conversation with the management. In a press statement, NBA urged the law enforcement agencies to resolve the problem. The union at Lumbini Bank Ltd is on strike since January 4. — HNS

NOC labs to check adulteration

2009-01-12T00:17:00.001-08:00

NOC labs to check adulteration

Himalayan News Service
Kathmandu, January 10:

Nepal Oil Corporation (NOC) — the sole distributor of petroleum products — is planning to establish well-equipped laboratories soon in Birgunj and at its head office in Kathmandu to check the quality of petroleum products.
“In recent days, consumers — especially bikers and auto-owners — have been complaining of low-quality petroleum products that have damaged their vehicles,” NOC managing director Digamber Jha said during its 39th anniversary. He added the establishment of well-equipped labs was a top priority. “NOC will set up two labs soon,” Jha said.
The increasing adulteration has forced the oil monopoly to think of setting up labs. Due to prolonged power outage, the demand for petroleum products, especially diesel, has risen by 50 to 60 per cent this winter and adulterators are making hay due to the lack of quality control. To check the adulteration, NOC recently made kerosene and diesel prices equal. “However, to meet the rising demand it is planning to bring petroleum products from Barauni and Mughalsarai of India,” Jha said.
NOC employees and Nepal Petroleum Dealers’ Association (NPDA) alike lauded the NOC decision to make kerosene and dielel prices equal. “There was an adulteration scam of over Rs 700 million,” alleged NPDA president Saroj Pandey. After kerosene and dieles prices were equalised, over last two months demand for kerosene dropped dramatically. The oil mafia was raking in tidy profits by mixing the earlier lower priced kerosene in diesel and passing off the mixture as diesel.
“There is around Rs 80 billion transaction of petroleum products in the country. But still there is no scientific pricing mechanism,” Pandey said. “When crude price in the international market goes down, NOC should also downscale the price, and when it goes up NOC should also upscale it,” he said adding that the only solution was an automatic pricing mechanism.
However, the NOC employees’ union was of the view that NOC should not be only supply oriented. “Rather, NOC should also have its own pumps to ensure smooth and quality supply in case the private sector disrupts supply due to any reason,” said NOC employees’ union president Devi Neupane.
NOC is planning to permit the private sector to establish gas industries at the places where there is high demand. Neupane, however, urged NOC not to get involved in gas supply as it was a losing proposition.
Around 2,500 dealers are associated with NOC and some 1,200 tankers are currently in use for supply.

Food insecurity coverage inadequate

2009-01-12T00:16:00.003-08:00

Food insecurity coverage inadequate

Himalayan News Service
Kathmandu, January 10:

The issue of food security is ignored despite the fact that almost half of the 75 districts of Nepal are facing food deficit.
Dr Posh Raj Pandey, president of South Asia Watch on Trade, Economics and Environment (SAWTEE), addressing a two-day ‘Media Workshop on Trade, Intellectual Property Rights and Food Security’ — jointly organised by SAWTEE, ActionAid Nepal and Local Initiatives for Biodiversity, Research and Development (LI-BIRD) — blamed the media, especially major national dailies and weekly magazines for not giving enough coverage to the issue of food security in the last six months. “The issue of food security is a matter of moral and social right,” he said adding that the state had a major responsibility to guarantee that right.
The objective of the workshop is to discuss various issues related to trade, intellectual property rights (IPRs) and food security.
Dr Pratap Shrestha, executive director, LI-BIRD, said the state should adopt a
policy aimed at making small farmers self-reliant in food security and urged the Fourth Estate to join hands to ensure that the state’s agricultural policy is farmer-oriented in reality.
Bimal Phuyal, country director of ActionAid Nepal said that although the Interim Constitution has guaranteed food sovereignty as a fundamental right, there is an urgent need to ensure its effective operationalisation by enacting appropriate laws. He also urged the agriculture sector not to leave people at the mercy of market forces in the name of liberalisation.
“The media should also highlight the need for ‘regeneration’ of agriculture at the local level as increased production contributes to strengthening food security,” he added.
Senoir journalists Kanak Mani Dixit and Bhairab Risal also highlighted the issues of agriculture trade, food security and food deficit.

NRNA aids journo Budhathoki

2009-01-12T00:16:00.001-08:00

NRNA aids journo Budhathoki

HImalayan News Service
Kathmandu, January 10:

Non-Resident Nepalis today presented economic journalist Gajendra Budhathoki a laptop and a cheque for Rs 4 lakh. Jugal Bhurtel, spokesperson for the NRN Association’s International Coordination Council handed the laptop and the cheque to Budhathoki, one of the active members of Society of Economic Journalists (Sejon).
During the occasion, Sejon president Kiran Nepal also handed more than Rs 1 million that was collected under the Gajendra Budhathoki Upachar Kosh to Budhathoki, who was injured in a motorcycle accident on September 24.
Nepal also thanked organisations and individuals for helping Budhathoki, who has dedicated his over decade-long career to economic journalism.
Sejon founder-president Prateek Pradhan lauded role of economic journalists. The economic journalist fraternity has joined hands for Budhathoki to help him recover.

Low investor confidence mars Nepse

2009-01-12T00:15:00.001-08:00

Low investor confidence mars Nepse

Himalayan News Service
Kathmandu, January 10:

Due to low investor confidence, shareholders of all major market propellers - commercial banks, development banks, finance companies and insurance companies groups except hydropower companies - lost this week too.
Nepal Stock Exchange (Nepse) index plunged by 19.49 points to 674.32 points, justifying the claims of investors that they are losing confidence in the secondary market.
The new appointments in Securities Board of Nepal and Nespe could also not bring cheer to the market as Nepse witnessed a large fall of 7.97 points to 674.32 on Thursday from Wednesday’s closing of 682.29 points. The sole secondary market also witnessed a drop in transaction amount by 28.65 per cent to Rs 265.57 million - of 74 companies — against last week’s amount.
Nepse closed in the red zone in four of the five sessions this week. However, the market opened in green on Sunday at 696.21 points from last week’s closing of 693.81 points.
The commercial bank group went down to 646.94 points, development bank group to 1027.04 points, the finance companies group to 926.60 points and the insurance companies group to 675.75 points.
However, the hydropower companies group gain-ed 12 points to reach 916.24 points from 904.24 points, last week’s closing.
The sensitive index - a barometer of Group-A companies — plunged by 2.90 points to 177.02 points from last week’s closing of 179.92 points. Similarly, the float index - calculated on the basis of real transactions — lost 1.26 points to go to 65.60 points from last week’s closing of 66.86 points.

Biz Briefs of January 11

2009-01-12T00:13:00.000-08:00

Tyre factory shut
GORKHA: Operation of the country’’s only tyre factory — Gorakhkali Rubber Factory — has come to a halt since Thursday. Demanding government-fixed wages and facilities, workers have halted production in the plant that employs 371 employees. They have also warned they will come up with stronger protests if the factory management fails to fulfill their demands. — RSS

Waaling festival
KATHMANDU: Waaling Western Region Industry, Tourism, Agriculture and Business Fair will be held on January 14-31. According to FNCCI, total transaction during the fair is expected to be around Rs 35 million while the festival will have 200 stalls. — HNS

UFL gives 20pc bonus
KATHMANDU: Union Finance Ltd (UFL) has approved 20 per cent bonus shares — during its 14th annual general meeting on Thursday — from the profit of Rs 91.3 million in the fiscal year 2007-08. It has plans to increase its capital to Rs 160 million within this fiscal year. — HNS

Shanker Man Singh Nepse GM

2009-01-09T11:17:00.001-08:00

Shanker Man Singh Nepse GM

Himalayan News Service
Kathmandu, January 9:

The government has appointed Shanker Man Singh as the new general manager (GM) of Nepal Stock Exchange (Nepse). Speaking at a press meet former Nepse GM Rewat Bahadur
Karki spoke about the work done inhis tenure and hoped for better development of Nepse in the coming days.
According to Karki, though the financial sector has increased more than that in the 90s the capital market has not developed as much. Thus, in order to modernise and develop Nepse made its entry into the modern age.
“Though the two-year working period was too short for me, I am happy to have extended Nepse’s activities in four different sectors,” said Karki.
He made different developments in market management, progress in brokerage business, improvement in information system and organizational upgrading.
“Automation Transaction Process was initiated, putting an end to traditional open verbal transaction practice in August 2007.
Also, to provide permanency to the market, Circuit Breaker Process started from mid-July 2006 while making an increment in the market halt process to increase transaction period from 2007,” he said.
With the starting of Government Credit Card, second market transaction was initiated from mid-November 2006 and Over The Counter (OTC) market during mid-May 2008.
New avenues were added to financial equipment and capital market. Karki also spoke about the Basic Internet Training programme designed for investors, which will soon get started.
According to him, online transaction also started through the Wide Area Network (WAN) system from the office since 2007. Developments were also made in communication by providing Real Time Information through Live Trading Activities on the upgraded Nepse website from mid-October 2008.
Since January 2007, Nepse also started informing about the A grade companies’ sensitive index, and the float index based on IPO.
“ With all these developments in Nepse, the stock market saw radical changes with progress in financial situations also. With a net profit of Rs 10 million during the fiscal year 2004-05 and Rs 20 million in 2005-06, the net profit for the fiscal year 2006-07 became Rs 70 million,” Karki said.
He, however, regretted the postponement of the broker examination for increasing the number of brokers in a transparent manner and the postponed work regarding initiation of market directives from the Security Board of Nepal (Sebon). Karki also urged the government to concentrate on the stock market for the development of the country.
On the occasion, he congratulated his successor Singh on his appointment as head of the sole secondary market. Wishing him a successful tenure at Nepse, he also pointed out to him the various future challenges looming in the stock market.

RBB mobile bill payment system soon

2009-01-09T11:16:00.003-08:00

RBB mobile bill payment system soon

Himalayan News Service
Kathmandu, January 9:

Rastriya Banijya Bank will soon start its mobile bill payment system. It has already initiated computerized systems in its 101 branch offices.
Today, RBB inaugurated its 12th ATM counter on the premises of Nepal Airlines Corporation (NAC). During the ATM counter’s inauguration ceremony, Krishna Hari Baskota, acting Revenue Secretary at Ministry of Finance said, “Banking sector has been successful in bridging the gap between people at different levels and is playing a significant role in the development of rural areas.” Baskota also praised RBB for its efforts to provide more quality service to its customers in near future.
RBB chief executive officer Janardhan Acharya RBB said, “The bank has distributed more than 20,000 ATM cards all over the country. It is has established itself as the highest card distributor. Though it was in a problematic situation, it is now transforming itself into a modern bank.”
NAC deputy manager Ganesh Thakur thanked RBB for its choice of NAC’s premises NAC for an ATM counter.
RBB has 11 ATMs: at Singh Durbar, Teku, Bir Hospital, Maharajgunj, Balaju, Baneshwor, Thamel, Lalitpur, Butwal, at Amarsingh Chowk (Pokhara), and at Dharma path.

Pokhara strike adds to tourists’ woes

2009-01-09T11:16:00.001-08:00

Pokhara strike adds to tourists’ woes

Rupnarayan Dhakal
Pokhara, January 9:

The hotel and restaurant workers' agitation has spread from Lakeside to other parts of Pokhara, closing hotels and restaurants there from today.
It has affected locals also since hotels and restaurants of the main city areas shut down. Interestingly, restaurants in Mahendrapul (Bhimsen Chowk), Prithvi Chowk, Amar Singh Chowk, Prithvi Chowk including other areas were shut by the owners themselves. Only the restaurants and hotels which run without the help of workers are open and the foreign tourists are relying solely on them. Meanwhile, the Maoist-affiliated All Nepal Hotel and Restaurant Workers' Association has opened the Pokhara Tourism Council Office that was padlocked earlier. "We have opened it to pave the way for the talks," said president of the association, Rajendra Timilsina.

CAAN nod to buy new aircraft

2009-01-09T11:15:00.001-08:00

CAAN nod to buy new aircraft

Rastriya Samachar Samiti
Kathmandu, January 9:

An appropriate plane for the Civil Aviation Authority of Nepal (CAAN) will be purchased with the help of the amount that comes in lieu of the old aircraft’s insurance.
A decision to this effect was made during the a meeting of CAAN chaired by Minister for Tourism and Civil Aviation Hisila Yami here today, according to a CAAN statement. A sub-committee, led by undersecretary of the ministry Nagendra Prasad Ghimire, has been formed to identify the plane suitable for Nepal’s geography and forward suggestions with a report along with a plan on running and managing the plane within a month. Fhuwa Chiring Sherpa, chartered accountant Tek Nath Acharya and CAAN’s place operation department director Binod Kumar Gautam are the members of the committee. The old Twin Otter, run by the then Department of Aviation, had crashed during a flight on the Jomsom-Pokhara route back in 1998.

Transactions drop as gold price ups

2009-01-09T11:14:00.002-08:00

Transactions drop as gold price ups

Himalayan News Service
Kathmandu, January 9:

Increased gold price has caused a drop in gold transactions in the domestic market.
“The month of Poush is going to end but we have transacted sale of only 6 kg of gold. It may or may not edge up to eight kg,” said Tej Ratna Shakya, president of Nepal Gold and Silver Dealers’ Association (NEGOSIDA).
“This time it was lowest demand for gold. People came mainly to recycle gold jewellery, which is not transaction,” said Shakya adding that fresh gold is not available in the market as the price of gold in the international market is high. Whatever gold NEGOSIDA is using is from old stock, hence lower price in comparison to the international market. “We hope transaction rises from February,” he said.
This week, gold opened at Rs 21,650 per 10 gram. Gold priced Rs 21,565 on Monday. On Tuesday, the price of gold further decreased, taking it to Rs 21,350. On Wednesday, it increased to reach Rs 21,435. On Thursday, gold touched Rs 21,350 and closed on Friday at the opening price of Rs 21,650.
Gold closed at $852 per ounce in the international market, which was $874 per ounce last Friday. The price is fluctuating due to global financial crisis.
Meanwhile, silver opened at Rs 300 per 10 gram on Sunday. Pprice increased to Rs 303 on Monday and stayed the same till the market closed.

Biz Briefs of January 10

2009-01-09T11:14:00.001-08:00

UFL AGM ends
KATHMANDU: United Finance Ltd (UFL) concluded its 14th annual general meeting (AGM) on Thursday. The AGM has approved distribution of 20 per cent bonus shares to shareholders from the profit of Rs 91.3 million in the fiscal year 2007-08. The company plans to hike its capital to Rs 160 million within this fiscal year. — HNS

ATM inaugurated
KATHMANDU: Uttar Kumar Shrestha, managing director of Nepal Electricity Authority, along with Jhalak Prasad Khanal, chief executive officer (CEO) of Jyoti Bikash Bank Ltd (JBBL) inaugurated the bank’s first ATM counter on Friday. — HNS

SBI’s 20th branch
KATHMANDU: Nepal SBI Bank Ltd inaugurated a 20th branch office at Jawalakhel, Lalitpur, on Friday. According to a press statement, SS Kanan, chief executive officer of United Telecom Ltd inaugurated the branch office. — HNS

ECS’ distributor
KATHMANDU: Taiwan-based Elite Computer System (ECS) on Friday announced the appointment of InfoTech Computers Pvt Ltd as its national distributor for its range of motherboards. A statement by Ken Cheng, ECS Manager-Sales Division said, “ECS needs to get along with InfoTech Computers for channel promotion in the market and create new routes to expand network.” — HNS

Sanima’s new ATM
KATHMANDU: Sanima Bikas Bank Ltd on Thursday launched its ATM counter at Nagpokhari. According to a press statement, Sanima registered an impressive performance with total deposit mobilization of Rs 3.69 billion and lending of Rs 2.63 billion during the first quarter of the current fiscal year. — HNS

Repair work on
ITAHARI: Work to reinstall the electricity transmission towers in Haripur and Sripur VDCs of Sunsari that were damaged by floods in Koshi River in the rainy season Sunsari has begun. The import of electricity from India’s Kataiya has been disrupted due to the damage to the towers. Nepal Electricity Authority has awarded the reconstruction contract to Himal Hydropower Company. An engineer with the company, Pitamber Shrestha, said the towers would be reinstalled in a few days. — RSS

FM holds ‘public class’ on VDIS

2009-01-08T18:34:00.001-08:00

FM holds ‘public class’ on VDIS

Himalayan News Service
Kathmandu, January 8:

“The Voluntary Disclosure of Income Source (VDIS) programme has been launched to make people pay their income tax, it is not related to property tax but people are getting confused about it. We have not yet designed a policy on property tax but are in the preparation phase and will soon come up with one,” said Finance Minister Dr Baburam Bhattarai, here today.
During an interaction on ‘Self Income Announcement’ organised by Nepal Chambers of Commerce (NCC), Dr. Bhattarai said, “Income tax and property tax are two different things. While talking about VDIS, it seems politicians are the first and foremost people guilty of corruption. They should be the brought within the tax boundary.”
Along with politicians, industrialists and businessmen should also assist in VDIS, Dr Bhattarai said, adding, “I wonder why the private sector is so terrified of the VDIS programme. It is beneficial for all of us if support is provided, and the people can lead respectful lives. The tax collected through it will be used for infrastructure development. Hence people should cooperate with us and we give a guarantee of their security.”
Rameshwor Khanal, secretary at the Ministry of Finance, said, “This programme is mainly for people earning from different businesses but not paying income tax. The private sector should support the programme as this is not property tax but income tax.”
Acting (Revenue) secretary at MoF Krishna Hari Baskota, notifying about the formation of the committee to make investigations and research the effects of global financial crisis on Nepal, said, “VDIS programme is very much effective as its success can help the development of the country’s economy.”
He said the economic data of the country were good and investors could invest here without hesitation. “We are working to bring down the inflation rate to eight per cent,” he added.
NCC president Surendra Bir Malakar said, “For the success of any programme, sufficientn interaction should been held between related authorities about policies and programs that the government is going to implement.” Malakar also urged the government to think about the growing global financial crisis and its probable impact on Nepal.
According to the Inland Revenue Department (IRD), the VDIS form is available at IRD and its branch offices. The last date for submission of the VDIS form and tax was the end of Mangsir 2065.
Investigation of people not submitting the VDIS forms will start from February 12.

Bardiya potato crop comes a cropper

2009-01-08T18:33:00.004-08:00

Bardiya potato crop comes a cropper

Rastriya Samachar Samiti
Gulariya, January 8:

Potato crop has been affected by over 50 per cent in Bardiya this year due to coldwave and fungal diseases caused by cold, fog and lack of sunshine. Almost all farmers in Bardia grow potato as the main crop.
Manahari Bhandari, 72, of Mainapokhar-4 said he used to produce up to 10 quintals of potato from two katthas of land in the past but the potato plants have dried up this year. Bhosu Chaudhary of Belawa-7 said he sowed potato in six katthas but the disease shattered his hopes.
All farmers will suffer huge loss. They said that no matter what pesticide they used, it did not work.
The district agriculture development office said potato has been cultivated in 2,550 hectares of land in the district and over 75 per cent of the crop has been affected by late blight, a fungal disease. Agriculture technicians said potato production has been hit by over 50 per cent in the district.
Crop protection officer at the office, Rohini Yatri said teams had been mobilised to control the disease but to no avail. Diethene M-45 can prevent the disease while Kirnoskil can control the disease, she said.

Massive IT fraud rocks India

2009-01-08T18:33:00.003-08:00

Massive IT fraud rocks India

Agence France Presse
Mumbai, January 8:

India reeled today over a false accounting scandal at outsourcing giant Satyam, likened to that at US energy giant Enron, amid fears for jobs, foreign investment and the country’s economic credibility. The Satyam affair could not have come at a worse time, analysts said, with growth in India slowing and the government struggling to revive the flagging economy.
There were even fears the Hyderabad-based company - India’s fourth-largest IT exporter - could go to the wall, as existing clients run scared and potential bidders shy away from being associated with a tainted firm.
As news of the billion-dollar fraud broke, Satyam’s advisory consultants DSP Merrill Lynch, which had been scouting for merger bids, said it had ended its engagement with the firm, citing “material accounting irregularities”.
“Satyam is a dead company. Even if a white knight emerges, it will turn black,” Hitesh Agrawal, head of research with Angel Broking, said. Satyam Computer Services founder and chairman B Ramalinga Raju resigned on Wednesday, admitting in a letter to the industry regulator and stock exchange that company accounts and assets had been falsified and profits inflated.

It’s no work, no work, and no work for PHD

2009-01-08T18:33:00.001-08:00

It’s no work, no work, and no work for PHD

Rastriya Samachar Samiti
Lalitpur, January 8:

The Post Harvest Directorate (PHD), which is responsible for development and extension of post harvest technologies including storage of food grains and seeds, has been twiddling its thumbs for want of any plan and work due to lack of budget and no coordination with other agri-related offices.
PHD’s crop development officer Gobinda Bhakta Shrestha said the government did not allocate
budget for development of technologies on food security. He said there was no coordination among related offices and added that PHD staffers find it hard to pass time due to lack of work. Shrestha blamed immediate past director Sashi Adhikari saying he developed no plan except for seeking budget for the directorate. He also said PHD became functionless as other offices also do work similar to that meant for PHD.
He said that there are six experts ath the directorate but all of them are without work at present.
The pathetic condition of the office located on the premises of the Ministry of Local Development is evident to everyone reaching the gate of the office.
The office premises are used as a garage for damaged vehicles while equipment developed by the directorate in the past can be seen lying scattered.
Shrestha told this journalist, “You must be the first reporter who came for coverage about this office.” The directorate is supposed to develop and expand technologies that can help reduce crop losses after harvest. It is estimated that 15-20 per cent crop is lost between harvest to final consumption stages.
A reduction in this loss even by one or two per cent would save not less than thousands of tonnes of foods a year, thereby contributing to food security, Shrestha said.

Inter-cell call rate to drop

2009-01-08T18:32:00.001-08:00

Inter-cell call rate to drop

Himalayan News Service
Kathmandu, January 8:

Nepal Telecommunication Authority (NTA) has issued directives to its service providers to operate according to Section 15 of the Telecommunication Act, 2053 BS. It has told Nepal Telecom Company, United Telecom Ltd, Spice Nepal Pvt Ltd and STM Telecom Communication Pvt Ltd to reduce the interconnection usage charge to 54 paisa per minute from February 12.
Currently, interconnection usage charge stands at anything between Re 1 to Rs 2.25 per minute.

Nepal to be at Shanghai Expo 2010

2009-01-08T18:31:00.000-08:00

Nepal to be at Shanghai Expo 2010

Himalayan News Service
Kathmandu, January 8:

Nepal is set to participate in “World Expositions 2010 Shanghai”. The exposition will start from May 1 and go on till October 31, 2010. The number of confirmed participants, till date, is 229 nations and international groups, according to the organisers.
Speaking at a programme, Chinese ambassador to Nepal Qui Guohong said, “With the theme — Tales of Kathmandu City: seeking the soul of a city, explorations and speculation — Nepal’s pavilion will make history in search of the soul of the mystical city of Kathmandu and capture it as a centre of art, architecture and cultural excellence.”
He added, “Good City, Good Life is the main theme of the expo. The Nepalese presentation will highlight efforts to protect environment and renewal energy and also present green architecture as the way of the future architectural direction.”
The expected turnout at the expo covering an area of 5.28 sq km is 70 million. Implementing Experts’ Group (IEG) is the official organiser from Nepal.
“Production of artistic materials has already begun here and expert Nepalese craftsmen will travel to the Shanghai Expo site to erect the national pavilion of Nepal,”said Guohong.

Inflation at 14.1pc

2009-01-07T18:19:00.001-08:00

Inflation at 14.1pc

Himalayan News Service
Kathmandu, January 7:

Nation winces as prices touch sky.

The government has failed to control the price hike. The price of rice - the staple food - and sugar do not seem to be coming down as consumers have to pay more for rice and rice-related products as well as and sugar and sugar-related products.
“In the first five months of this fiscal, the price of rice and rice-related products have gone up by 21.8 per cent against 12.5 per cent in the same period last year,” said a report of Nepal
Rastra Bank (NRB), the central authority.
Kathmandu valley is still the most expensive place to live in as region-wise it has posted 16.2 per cent price hike - against the fourth month’s 16.8 per cent - followed by the mountainous region with 13.6 per cent and the Tarai with 13.1 per cent.
The price of food and beverages rose by 17.2 per cent while non-food and service sectors witnessed 10.8 per cent hike, pushing the year-on-year inflation to 14.1 per cent - down by a paltry 0.4 per cent - against this fiscal year’s first fourth month’s 14.5 per cent, NRB said. According to the central bank, the core inflation has also posted more than triple growth - at 13.1 per cent. In the same period the last fiscal year, core inflation was at 4.7 per cent.
During the period, the price of food and beverages increased by more than double to 17.2 per cent from 7.5 per cent in the same period last year. Non-food and service sectors’ price also increased by more than double to 10.8 per cent from 4.1 per cent in the first five months of the last fiscal year. While the price of sugar and sugar-related products increased by more than double, with prices shooting up by 35.9 per cent from 17 percent in the same period the last fiscal.
Inflation in Nepal is related to India where it has come down but was not tamed here. The central bank has targetted inflation at 7.5 per cent in the Monetary Policy. Salary and wages, however, increased during the period by 14.6 per cent against eight per cent in the same period last year due to Rs 2,000 hike given in government employees’ salaries.

Sugar Mill lockout
PARASI: Locals on Wednesday padlocked the Sunwal-based Lumbini Sugar Mill in Nawalparasi for an indefinite period to protest non-implementation of the past 15-point agreement including an agreement on garbage management. It is reported that the mill, which is considered the largest sugar mill in Nepal, crushes 10,000 quintals of sugarcane daily and has suffered a huge loss due to the lockout. — RSS

Workers disrupting hotel sector in Pokhara, alleges HAN

2009-01-07T18:18:00.001-08:00

Workers disrupting hotel sector in Pokhara, alleges HAN

Himalayan News Service
Kathmandu, January 7:

Hotel Association Nepal (HAN) in a press statement today voiced concern over activities of trade union members, such as playing politics at the workplace and halting work in hotels of Pokhara. “Though hotels agreed to the government decision concerning the minimum wage policy, the workers’ union in Pokhara’s hotels is staging protest programmes,” Madhab Om Shrestha, excutive director of HAN said adding they were trying to resolve the workers’ problems through talks and had formed a team for it.
The union has demanded a flat increment of Rs 1,300 for all in minimum wage given to hotel workers, which is against the norms of the Labour Act. Growing labour disputes in the hotel sector pose risk to its development and create hurdles in the tourism industry too, he said adding that the nature of work, salary and facilities for hotel workers is different from that of workers in the industrial sector. Hotel workers get service charge aside from their monthly salary, said Shrestha.

Govt to host 1m tourists in 2011

2009-01-07T18:17:00.000-08:00

Govt to host 1m tourists in 2011

Himalayan News Service
Kathmandu, January 7:

Minister for Tourism and Civil Aviation Hisila Yami said that the government has already started prepa-ratory works to meet goal of one million tourists for Nepal Tourism Year 2011.
Speaking at a programme organized by Nepal Association of Tour Operators (NATO) here, she said the tourism sector has seen positive development with political stability and peace process. She said that work has begun at the Tribhuvan International Airport and also to develop Pokhara airport into a regional airport for achieving the goal of one million tourists in 2011, which will be announced as Tourism Year.
Speaking on the occasion, Tourism Ministry secretary Ramchandra Man Singh said that talks are underway with international airlines companies to increase the number of flights and that NAC would also add more flights.
Nepal Tourism Board chief executive director Prachanda Man Shrestha said that the announcement of the tourism year was challenge and opportunity both for tourism entrepreneurs.
Several former tourism ministers also expressed their views on occasion.

Biz Briefs of January 8

2009-01-07T18:16:00.000-08:00

Sebon approves IPO
KATHMANDU: Securities Board of Nepal (Sebon) has approved the issue of 30,00,000-unit IPO of Bank of Asia Nepal (BoAN) at the face value of Rs 100 per unit. NMB Bank is the issue and sales manager for the IPO, states a Sebon press release. — HNS

CNI meets minister
KATHMANDU: A Confederation of Nepalese Industries (CNI) team led by vice-president Narendra Kumar Basnyat met Industry Minister Astalaxmi Shakya on Wednesday and apprised
her of problems that industries are facing. They complained of increasing load-shedding and bad labour relations hampering industrial output. — HNS

GBL’s ninth branch
KATHMANDU: Global Bank Ltd (GBL) inaugurated a ninth branch office at Gyaneshwor on Wednesday. Along with its branch offices at Birgunj, Kantipath, New road, Bouddha, Pokhara, Baglung, Lahan, Biratnagar, the bank is also planning to open at four more places. — HNS

Help for journo
KATHMANDU: Rajendra Aryal, managing director of Trikon Advertising Service, handed a cheque for Rs 11,100 as aid for medical expenses to Gajendra Budhathoki, an economic journalist who is suffering disability after serious injuries incurred during a motorcycle accident. — HNS

MBL bonus shares
KATHMANDU: Machhapuchchhre Bank Ltd (MBL) in its 10th AGM on Wednesday decided to distribute 12.5 per cent of bonus shares that will increase its paid up capital to Rs 1.47 billion, according to a press note. — HNS

Nepal eyes own pashmina brand

2009-01-06T16:45:00.001-08:00

Nepal eyes own pashmina brand

Eliza Tuladhar
Kathmandu, January 6:

Eager to buy pashmina products but fear that it may be fake due to the puzzling cheap prices, here is a good news. Nepal Pashmina Industries Association (NPIA) is launching its own brand
to ensure the quality, soon.
The industry is soon getting its own brand to check and guarantee its product quality both in local and international market. “Right now we have applied for brand registration in the US, EU, Norway, Switzerland, China, Korea, and Australia. But it might take around ten months,” Shanker Prasad Pandey, president at NPIA said.
According to the association, all the pashmina products found in local market are not original. “Due to cheap and duplicate products, original products in the domestic market are hurt,” he added.
“Globally, Nepali pashmina has small but a good market. Quality conscious customers buy original Nepali pashmina,” pandey said. “Local customers are also quality conscious.”
The market is flooded with shawl-sized fake products. The products available between Rs 200 to Rs 300 are of viscous polyester; Rs 500 and Rs 600 are of wool; and Rs 1,200 and Rs 1,300 are mixed silk and wool. “Because original pashmina shawl comes for above Rs 3,000,” said Pandey. “The original export quality pashmina costs Rs 4,000 to upwards.”
“After the registration of own brand and with government’s support, Nepali pashmina can take market by strom, he said adding that it will give them the teeth to take action against fake products in the market.
“Brand registration is not enough as it should be supported by policy also,” said Dilip Khanal, executive secretary at Federation of Handicraft Association of Nepal (FHAN).
During the fiscal year 2007-08, Rs 5,84,265,083 worth pashmina was exported that is 21.78 per cent of total handicraft goods’ export.
During the first three months of fiscal year 2008-09, Nepal exported Rs 2,24,468,491 worth pashmina — an increment of 42.56 per cent over the same period last fiscal year that witnessed Rs 1,57,460,067 exports.
“The overall exports was satisfactory in 2008. If not hit by global recession, 2009 may also be satisfactory,” Pandey said adding that within 2010 Nepali Pashmina will set a benchmark.

Pro Bio-Tech to go public

2009-01-06T16:44:00.003-08:00

Pro Bio-Tech to go public

Himalayan News Service
Kathmandu, January 6:

Pro Bio-Tech Industries is planning to go public within next two years.
“It is planning to be the first public limited company in agriculture sector,” said Ananda Bagaria, director of Pro Bio-Tech Industries — under the Nimbus Group — that has recently received international quality management certification ISO 9001: 2000 for its commitment to quality control, productivity and service delivery process. It is also the only Nepal Standard Mark certified animal feed manufacturing industry in Nepal.
“The industry has a modern and state of the art testing facilities for feed and feed supplements to ensure the quality of the products. Our commitment to quality consists of a comprehensive set of initiatives that address issues surrounding animal nutrition, animal health, technical and non technical support services,” he added.
“Pro Bio-Tech with its annual turnover of approximately Rs 2 billion at present plans to be a Rs five-billion turnover company by 2013,” Bagaria said adding that it aims to bring agri-revolution through modernisation and commercialisation of agriculture sector — that generates 60 per cent to 70 per cent of employment — in the country.
Poultry Industry contributes four per cent to annual GDP and eight per cent to agricultural GDP. There are 101 feed-industries in Nepal and Pro Bio-Tech — the leading animal feed manufacturing company — has 15 to 16 per cent market share. “It also exports its Shakti brand of pellet feed — that is the first and only animal feed in Nepal to have NS Mark — to India,” he informed.
“Shakti brand of pellet feed is the first and only one poultry feed exported to India,” said the director of Birgunj-based company that has a daily production capacity of 200 Metric Tonne (MT) per day.
“We are soon expanding the capacity to 450 MT,” promised the young entrepreneur, who dreams of organising a national agri summit in near future.
Pro Bio-Tech Industries has more firsts to its credits. Its also first company in Nepal to have
vertical feed storage facility Silo that has a storage capacity of 25,000 MT. “The industry has also the first soya solvent extraction plant,” Bagaria added.

ICT Info trade concludes

2009-01-06T16:44:00.001-08:00

ICT Info trade concludes

Himalayan News Service
Kathmandu, January 6:

ICT Info Trade 2009 concluded here today on a successful note.
“We expected a visit of around 2.5 lakh people but the visitors crossed 3.5 lakh,” said Raj Kumar Bha-ttarai of organising team.
Transactions worth around Rs 1.6 million took place during the five-day long ICT gala, he said adding that pen drives and sound systems recorded the highest sale. The event — participated by global IT brands and Education Consultancies along with local IT centres and campuses — witnessed sale of inverters, UPS, computer and printers. Venus Management and ICT Association in association with Brother and Kaspersky has organised the event.

Brother in city

2009-01-06T16:43:00.001-08:00

Brother in city

HNS
KATHMANDU: Brother International, a Japanese company famous for its printers, fax machines, copiers, label printers, consumable and machine range with complete spare parts — has opened its first and exclusive showroom in Kathmandu. Amit Ali, regional manager of Brother Internati-onal (Gulf) inaugurated showroom. Sagar international Techno-Sys is the authorised distributor of Brother International.

Biz Briefs of January 7

2009-01-06T16:42:00.001-08:00

Control price: FM
KATHMANDU: Finance minister Dr Baburam Bhattarai on Tuesday directed the central bank officials to control prices. Despite drop in prices in international market, prices in local market has not gone down, he said. Inflation in India has come down to half but in Nepal it is increasing, which has no logic, he said. The central bank has promised to keep inflation at 7.5 per cent but at present its almost double. FM Dr Bhattarai also inspected troubled Nepal Bank Ltd on Tuesday. — HNS

BoK adds three ATMs
KATHMANDU: Bank of Kathmandu (BoK) has installed three additional ATMs at New Baneshwor (branch office), ATM Lounge (New road) Dharma Path and Thamel (branch office) on Tuesday. BoK now has a total of 17 ATM terminals from where services such as cash withdrawal, balance inquiry, mini statement printing can be availed, said the bank. — HNS

Latest ringtones
KATHMANDU: Digitainment Pvt Ltd has launched the latest Bollywood ringtones in Nepal. These will be available to both Nepal Telecom and Mero Mobile subscribers across the country. According to a press statement, mobile users can download latest ringtones even before a movie is released. For the first time, downloads can be had in all three formats - Monotone, Polytone and Truetones. “Digitainment offers only those Nepali and Bollywood songs that have copyright with them,” said Gyanendra Raj Shakya, Manager-Business Development. — HNS

NRB call for NBL CEO

2009-01-06T04:28:00.002-08:00

NRB call for NBL CEO

Himalayan News Service
Kathmandu, January 5:

Nepal Rastra Bank (NRB) invited applications for the post of Chief Executive Officer (CEO) of Nepal Bank Ltd (NBL). “The central bank has invited Nepali consultants to submit their Expression of Interest (EoI) for the post of CEO,” said a high-ranking official at NRB.
According to the Terms of Reference (ToR), the CEO requires to re-establish control and overseeing of NBL — plagued by Non-Performing Loan (NPL) — for sound banking practices.
“The CEO will review the financial and operational conditions of NBL, maintain profitable operation and recommend viable alternatives for cost-effective operations apart from preparing a Management Plan that establishes goals and objectives for the management of NBL and also prepare Key Performance Indicators (KPIs),” he said adding that the CEO’s tenure would be initially a year with the option of extension as per requirement.
Earlier, on January 15 of 2007, NRB had called for technical and financial proposal to contract
out the NBL management to a Nepali professional team that would include CEO, chief credit officer, treasury manager and chief operating officer. However, at that time the application did not meet the crieteria of World Bank guidelines for selection and employment of consultants.
This time, however, the central bank has called only for a CEO. “However, the management team will comprise up to three other management experts from different fields. The CEO shall recommend to NRB a maximum of other three management team members within three months of his appointment,” the official said adding that the other management team members would be appointed by NRB on the recommendation of the CEO.
Interested Nepali individuals having qualifications, eligibility and adherence to the terms and conditions can apply by January 20.
The government has received credit for an amount equivalent to $16 million and DFID grant for an amount equivalent to $10 million towards the cost of the Financial Sector Technical Assistance Project and intends to apply part of the grant for consultant service that includes management services for the continuation of NBL’s restructuring.
The CEO should have working experience in any commercial bank in the upper levels of management, according to the ToR. “The CEO will have to prepare a revised Management Plan for review and approval of the NRB within 30 days of taking up the management and submit Key Performance Indicators (KPIs), Single Borrower Limit Strategy and Action Plan to bring the credit of all customers crossing single obligor limit and Loan Recovery Strategy - and will report directly to NRB,” the official added.
The consultant will this time also be selected in accordance with the World Bank’s ‘Guidelines for Selection and Employment of Consultant by the World Bank Borrowers, Revised-October 2006’.
The troubled commercial bank has been since last one-and-a-half years managed by a three-member team coordinated by Dr Binod Atreya.
NRB last month called back two members — Laxmiprapanna Niraula and Numnath Poudel — of the three-member coordination team that it had sent to manage NBL.

Two sick industries to re-open

2009-01-06T04:28:00.001-08:00

Two sick industries to re-open

Rastriya Samachar Samiti
Kathmandu, January 5:

The government is set to re-open Agriculture Equipment Factory by mid-February and Hetauda Textile Mill by mid-April. Both were closed due to continuous losses.
The government had announced in its budget speech that four industries would be reopened as part of the rehabilitation plan during the current fiscal. It has allocated Rs 300 million for the purpose. The task force formed to give suggestions for reopening of the two industries has already submitted its report. The panel has said Rs 106 million would be needed for the resumption of the mill. Finance Ministry joint secretary Tejraj Shakya said the mill could be run under PPP model. The mill, set up 29 years ago, started suffering losses since 1990 and the government closed it in 2000. The mill has a capacity to produce 101 million metres of cotton cloth a year. It had been providing employment to 300 people.
The ministry said a task force has been formed to suggest recommendations for effective operation of Gorakhkali Tyre Factory and Biratnagar Jute Mill, which are still operational but sick. Shakya said another yet task force has been formed to carry out technical evaluation of the closed Birgunj Sugar Mill and recommend ways for reopening it.

Transporters’ apex body raps FNNTE

2009-01-06T04:27:00.000-08:00

Transporters’ apex body raps FNNTE

Himalayan News Service
Kathmandu, January 5:

Nepal National Transport Entrepreneurs’ Supreme Federation (NNTESF) today objected to some of the demands of the Federation of Nepalese National Transport Entrepreneurs’ (FNNTE).
“We don’t support FNNTE’s points number one, 10 and 19 of its 19-point charter of demands but we agree with other demands and urge the government to fulfill them,” said Vishnu Siwakoti, NNTESF president.
Siwakoti said the call for an indefinite strike by FNNTE contravened the Transportation Management Act 2049. Instead of strike talks should be held, he said. On January 2, FNNTE warned of an indefinite strike of public vehicles from January 12 if its demands were not met within a week .
Siwakoti called for creating a Transportation Development Board through which talks could be held regarding problems faced by transporters. He alleged the Ministry of Labor and Transportation was creating bad blood among transporters.
“The government should give compensation for damaged vehicles and to injured passengers and drivers during protests. Gongabu Bus Park should be well-managed and workers there should get 15 per cent bonus off the total profits earned by the bus park management,”said Siwakoti.
NNTESF also urged for construction of roads at Bagmati, Bishnumati and Dhobikhola to reduce air pollution and traffic jams, provide permanent jobs to transport workers and give them accident insurance.

Biz Briefs of January 6

2009-01-06T04:26:00.000-08:00

SBL’s rights shares
KATHMANDU: The seventh annual general meeting (AGM) of Siddhartha Bank Ltd (SBL) held on Monday has decided to distribute 15 per cent bonus shares and 50 per cent rights shares. During the fiscal year 2007-08 the bank earned an operating profit of Rs 234.1 million while in the first five months of the current fiscal year it posted an operating profit of Rs 15.5 billion. — HNS

Kist’s new branch
KATHMANDU: KIST Merchant Banking and Finance Ltd has started operation of a 13th branch office at Khairani, Rupandehi, from Monday. According to a press statement issued by the company, the financial institution is prepared to upgrade itself to an A-grade commercial bank. It plans to declare itself a commercial bank on its anniversary on February 20, after Nepal Rastra Bank’s nod. — HNS

NDDB head
KATHMANDU: The Ministry of Agriculture and Cooperative (MoAC) has appointed Dunanath Pathak as executive director of the National Dairy Development Board, according to a cabinet decision on December 29, said a press release. He has been appointed for four years. — HNS

Dealers’ junket
KATHMANDU: Pashupati Paints will take 45 of its dealers on a week’s trip to Egypt. They have been rewarded for exceptional sales and meeting the target in the first quarter of the fiscal. The firm also announced a trip to Switzerland and various bonus offers on meeting the yearly target. — HNS

Direct flight to Doha soon, Shanghai-Tokyo route plan

2009-01-04T12:44:00.001-08:00

Direct flight to Doha soon, Shanghai-Tokyo route plan

Himalayan News Service
Kathmandu, January 4:

The ailing national flag carrier — Nepal Airlines Corporation (NAC) — is planning to replace the present Shanghai-Osaka route with a Shanghai-Tokyo route and start direct flights on the Kathmandu-Doha route.
NAC started flying to Doha via Dubai from January 1. While returning to Kathmandu, NAC flies directly from Doha. “NAC is planning direct flight on the Kathmandu-Doha route also in another three months,” Sugat Ratna Kansakar, managing director of NAC, said after returing from the inaugural Kathmandu-Dubai-Doha flight.
Pradip Karki, deputy acting director at NAC, said that at present the Kathmandu-Dubai-Doha route has around 70 per cent of passengers travelling to Doha as it is a major destination of Nepali migrant workers. This extension in the international flight has facilitated Nepali workers
traveling to Gulf countries.
“Nepalis in Doha were very happy that they can now take NAC flights,” Kansakar added.
Karki said, “Only 30 per cent of NAC’s passengers on Kathmandu-Dubai-Doha route travel to Dubai.” According to him, the international flight extension to Doha was actually planned for September after flights to Shangai and Osaka were officially closed in October. “This is being preponed to utilise spare time,” he said.
Kansakar said that the Ministry of Tourism — at the NAC’s request — has requested Japan to permit NAC to fly on the Shangai — Tokyo route instead of the present Shanghai-Osaka route. He added that if things went as planned, NAC would start flying on the Shanghai-Tokyo route from October-November.
“In the long term, NAC is planning direct flights to Tokyo,” the newly appointed MD said, adding, “However, Naruhito Airport is one of the busiest ones. If NAC gets a time slot, it’ll fly directly to Tokyo.”
NAC is planning expansion but the global recession has hit air travel also. According to Karki, though worldwide tourism faced a three per cent fall in 2008 due to global recession, NAC was lucky enough to be unaffected till date. According to NAC, there are three flights in a week on the Kathmandu-Dubai-Doha-Kathmandu route. On January 1, a total of 171 passengers went on the inaugural flight from Kathmandu, while the number of passenger coming back from from Doha was 168 on January 2.
Karki also said that the number of passengers traveling to Doha has increased in recent days. Till 15 days ago, the total number was around 40 to 50 per day but it has now increased to 80-90.
“If the Gulf countries start cutting labour force due to recession, the number of passengers might also decrease,” Karki said adding that in that case, NAC would have to work out new strategies to cope up with the situation. He apprehended that as these are actually labour-based flights as there is a huge number of Nepalis working in the Gulf countries, the scenario might change after three-four months due to global recession and the number of passengers returning Nepal may increase.

Nepali property expo in US draws diaspora

2009-01-04T12:43:00.003-08:00

Nepali property expo in US draws diaspora

Himalayan News Service
Kathmandu, January 4:

Nepali housing companies and builders were successful in selling flats here to the Nepali diaspora in the US.
“People there were mainly interested in investing in real estate,” Rajan Karmacharya, managing director of First Kathmandu Pvt Ltd and organiser of the Nepal Property Expo 2008, said adding, “As cash transactions were not allowed, we had good bookings of flats and apartments of around Rs 2,500 million.
The expo concluded in New York on a grandly successful note. “There were around 2,000 visitors who were very interested in buying flats, apartments and investing in real estate,” he said adding,”We are planning an expo in Australia.”
Twelve companies, Civil Homes Pvt Ltd, Guna Colony, Oriental Builders Pvt Ltd, Varun Developers Pvt Ltd, Kohinoor Hill Housing Pvt Ltd, Stupa Housing Pvt Ltd, Echo Housing Pvt Ltd, Maharjan Builders Pvt Ltd, Silver Valley, Karmacharya Awas Company Pvt Ltd, Guna Cooperative Ltd and America’s Chettri and Association Incorporate were the participants in the expo.
According to the organisers, houses with a value of Rs 25 lakh to flats costing Rs 16.5 million were kept in the exhibition for sale. The bookings were beyond expectations and the esponse was overwhelming.
The expo — from December 27 to 28 — was organised with the joint effort of Himalayan Herbal Garden Inc, America and Guna Colony.

Tourist flow to Lumbini on rise

2009-01-04T12:43:00.001-08:00

Tourist flow to Lumbini on rise

Himalayan News Service
Kathmandu, January 4:

Lumbini, the birthplace of Lord Buddha and a UNESCO World Heritage site, is luring more international pilgrims as it has become a much-revered tourist destination in recent years.
According to data from the Tourist Information Centre of Lumbini Development Trust (LDT), the number of tourists visitning Lumbinit increased by 15.5 per cent in 2008. The number of passport-holding tourists was 71,053 in 2007, which increased to 82,075 tourists and pilgrims from 95 countries this year. “Next year, it will cross one lakh,” hoped LDT.
Not only foreigners, the number of tourists is also increasing recently. Of 4,50,000 non-passport holding tourists, Nepalis comprised 75 per cent while Indians comprised 25 per cent of those visiting Lumbini in 2008. “Rapid development work in and around Lumbini Development Area, informative and promotional activities of the Trust and political stability in the nation are the main reasons for this good growth rate of tourists in Lumbini,” said LDT.
The Information Centre of the Trust has a projection of 30 per cent more tourists by the end of this year. However, due to problems like transportation barrier, political unrest in Thailand, the terror attack in Mumbai and worldwide financial crisis might affect the expected growth rate. Among the visitors, Sri Lankan tourists as usual topped the chart with 31,984 in 2008 whereas Thailand came second with 14,454 visitors. “The number of visitors from Myanmar, South Korea, China, and Japan respectively are 5,825; 5,784; 2,261 and 2,247,” according to the Trust.
Lumbini had tghe distinction of receiving United Nations Secretary-General Ban Ki-Moon the past year. High level official delegates of China, Sri Lanka and India also patronize the Trust, LDT added.

Nepal Gas to resume supply of LPG soon

2009-01-04T12:42:00.000-08:00

Nepal Gas to resume supply of LPG soon

Himalayan News Service
Kathmandu, January 4:

Nepal Gas Industry Pvt Ltd, the main supplier of liquid petroleum gas (LPG), has bought time for now. The agitating workers’ union has withdrawn its protest programmes to allow smooth supply of cooking gas after representatives of Nepal Gas drew up an agreement with the union members on Friday.
However, the union has threatened to start a fresh round of protest programmes if the management fails to reach another agreement within 15 days. According to the union, four workers posted from the transport company will have to be given appointment letters by Nepal Gas within 15 days.
Smooth supply of Nepal Gas has been hit due to the protest launched by the workers who are members of the Nepal Gas unit committee of the All Nepal Industrial Worker’s Union (ANIWU).
ANIWU had issued a one-month ultimatum to the management to fulfil the workers’ demands or face closure, the latest weapon of trade unions to force the management to capitulate.
The agreement on January 2 has confirmed the supply of cooking gas, although temporarily.
“We gave an ultimatum of one month, starting December 4,” ANIWU’s Nepal Gas unit president Bhoj Bahadur Thakuri have said adding that the management failed to fulfill their demands and they went on strike and halted gas supply. According to ANIWU, an agreement was signed between the management and agitating workers of eight vehicle contractors in August 17 last year for appointing workers in Nepal Gas.
Nepal Gas has a total of 12 vehicles. Of these, eight are rented while four belong to the company. Due to the strike by drivers and helpers of the eight hired vehicles, supply of Nepal Gas was down to almost 25 per cent.
Lately, labourers have been launching strikes in the industries across the country to force the management in paying them minimum wage fixed by the government.
However, jute, garment and tea industry have said that they cannot pay the minimum wage due to their worse condition.

Biz Briefs of January 05

2009-01-04T12:40:00.000-08:00

HBL’s 18th branch
KATHMANDU: Himalayan Bank Ltd (HBL) opened an 18th branch office in Itahari on Sunday. According to a press statement, the bank deposit rose to over Rs 32.79 billion and loan portfolio to over Rs 21.31 billion. During the first five months of the current fiscal year. it registered operating profit of Rs 450.3 million. It has been able to make inflow of Rs 10 billion remittance as on December 15. — HNS

BPC dividends
KATHMANDU: Butwal Power Company (BPC) Ltd’s 16th AGM on Sunday decided to distribute 30 per cent cash dividends — from its profits of 2007-08 — to its shareholders. — HNS

GBL’s 8th branch
KATHMANDU: Global Bank Ltd (GBL) inaugurated its eighth branch office at Bouddha on Friday.
A press release issued here said the bank posted an operating profit of Rs 77 million. It collected total deposit of Rs 7.72 billion and total credit flow of Rs 6.14 billion. — HNS

Co-op to expand
KATHMANDU: Krishnaman Shrestha, president of Retail Business Association, said in the second AGM of Kirana Multi-Purpose Cooperative Sanstha that it would open 500 cooperative shops in the first phase. According to a press note, he also urged for reduction of petroleum products’ prices. Pradeep Jung Pandey, vice president of FNCCI, asked the government to create investment-friendly environment and reduce the price of petroleum products. — HNS

BFL to upgrade
KATHMANDU: Butwal Finance Ltd’s (BFL)11th AGM on Saturday decided to upgrade it to a commercial bank after merger with four other finance companies, according to a press release. It collected Rs 799.9 million deposit and posted operating profit of Rs 28.5 million in 2007-08. — HNS

APPON calls for level playfield

2009-01-03T20:14:00.001-08:00

APPON calls for level playfield

Himalayan News Service
Katmandu, January 3:

Nepali pharmaceuticals producers have urged neighbouring countries for reciprocal
treatment of their products. They also complained of ineffective monitoring of sub-standard products flooding the market.
“If other countries do not let our products enter, our government should levy highest tariff — under WTO norms — on imported drugs that we produce,” said Pradeep Man Vaidya, immediate past president (IPP) of the Association of Pharmaceuticals Producers
of Nepal (APPON) at its 15th annual general meeting (AGM) here yesterday.
“The market is flooded with unregistered and sub-standard drugs due to ineffective monitoring by the Department of Drugs Management,” he said adding while nd Nepali companies are hurt people are compelled to buy fake products, with fatal side effects.
Every drug sold in the country should be registered and certified by the Department of Drugs Management, said Pradeep Jung Pandey, vice-president of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and former president of APPON. “The department lacks manpower and adequate infrascture for effective monitoring,” he added.
“The government should bring a new policy to boost the confidence of pharma producers,” he said adding that the present Act was brought one-and-half decades ago in 2051 BS and that it was a major hurdle in developing the pharma industry.
If the government brings a supportive policy, Nepal can be self-dependent by 2013, Vaidya said, adding, “It will not only produce sufficient pharma products but also start exporting them.”
There are currently over 40 pharmaceutical industries that fulfil 35 per cent of the total market demand in Nepal. “In 1970, the pharma industry came into existence but it is only after 1990 that the sector started flourishing,” informed said APPON president Umesh Lal Shrestha, who has been re-elected for another term.
He said that like other industries the Rs 7 billion pharma industry was also hurt by power-outage, fuel shortage, worsening labour problems, frequent bandhs, unstable politics and policy level hurdles. “Over a dozen companies are WHO/GMP certified and more are in the process of getting certified to guarantee the quality of domestic products,” Shrestha said adding, “Apart from that, Nepali drugs are cheaper.”
“Nepali drugs are of international quality,” affirmed health secretary Dr Dirgha Singh Bam adding that unhealthy and unethical competition has marred the Nepali pharma industry. “It is the government’s responsibility to protect the national industry and give it priority,” he said.
Nepal Medical Association (NMA) president Dr Chop Lal Bhusal supported Dr Bam’s stance and urged the government to protect the national industry.
Minister for Industries, Astalaxmi Shakya, assured APPON of the government’s support.

SEZ Act in offing, assures trade minister

2009-01-03T20:13:00.000-08:00

SEZ Act in offing, assures trade minister

Himalayan News Service
Kathmandu, January 3:

Trade Minister Astalaxmi Shakya said that the Special Economic Zone (SEZ) Act will come anytime this week.
“To promote a helathy industrial environment, the government is bringing the SEZ Act immediately,” she said addressing an interaction on ‘Carpet Industry: Present Problems
and Challenges’, here in the valley yesterday.
“Not only the carpet industry, every second other industry in the country is facing problems; be it trade unions, power outage or frequent bandhs,” Shakya said adding that the ministry is working hard to revive industries and bring a new Industry Policy to address the sector’s grievenaces and boost entrepreneurs’ confidence.
“Once a lucrative sector and one of the largest foreign currency-earners, the carpet industry is today on its death-bed,” said Constituent Assembly member and industrialist Kabindra Nath Thakur.
Presenting a paper, carpet expert Surendra Dhakal said, “The industry that once employed 0.4 million workers has been forced to downsize workforce to 0.15 million.” he pointed out that the country exported 3.326 million sq-metres of carpet in 1993-94. This year, it exported 1.136 sq-metre — a whopping drop of 65.8 per cent.
“The propaganda in Germany by some vested interests about child labour here to destroy the Nepali carpet industry and the competition with cheaper Indian and Chinese carpets have hurt the sector hard,” he said adding that industrial and labour unrest and government apathy have also pushed it to this sorry state.
Nepali carpet is completely dependent on US and European markets and the global economic crisis will definitely hit it. Among them, Germany - the only country with which Nepal has no trade imbalance due to carpet export - is the biggest market for Nepali carpet.
“The government has also failed in economic diplomacy,” accused Pradeep Jung Pandey, vice-president of the Federation of Nepalese Chambers of Commerce and Industry. “The boost in exports will increase job opportunities and bring social justice,” he said. “If not, there will again be conflict.” He urged the government to declare an ‘Industrial Crisis’ to revive national industries.
Carpet industry can help reduce rural poverty as it generates mass employment. “To weave one square metre of carpet it takes 12 persons one hour, thus generating more employment directly,” Dhakal said adding the industry provides triple the indirect employment than direct.
“Nepal must have backward linkage like rearing sheep for wool to be independent in the matter of materials for carpet and substitute raw material import,” he suggested. “The government should support the industry that has a proven record of success.”
Nepal Chambers of Commerce (NCC) president Surendra Bir Malakar accused the government of being unsupportive and acting like a mute bystander.
“The militancy of trade unions and increasing hours of load-shedding have hit industries,” he said. He urged the government to bring stimulus packages to revive industries.
However, minister Shakya said that her ministry had to take stock of the situation before it could take such a bold step. “Trade unions will start behaving,” she assured.

Nepse index dips to record low, this fiscal

2009-01-03T20:12:00.004-08:00

Nepse index dips to record low, this fiscal

Himalayan News Service
Kathmandu, January 3:

The Nepal Stock Exchange (Nepse) index plunged by 11.40 points to drop to 693.81 points, the lowest yet.
The secondary market also slowed down due to AGMs of financial companies. However, transaction amount rose by 1.78 per cent to reach Rs 365.68 million against last week’s Rs 365.6 million.
The Nepse index this week lost three days in the four-day session due to public holiday on Tuesday. All major market propellers lost. Commercial bank group went down to 657.10 points, development bank to 1069.95 points and the finance companies group dropped to 941.68 points. Only hydropower companies group gained 6.09 points to reach 904.24 points.
This week. 78 companies traded — against 82 last week — where Group-A companies contributed 39.86 per cent less than last week’s 45.01 per cent revealing they are losing hold in the secondary market. The sensitive index plunged by 1.62 points to go to 179.92 points from last week’s closing of 181.54 points. The float index, calculated on the basis of real transactions, lost 0.76 points to drop to 66.86 points.
This week, Annapurna Finance (with Rs 44.05 million), International Leasing and Finance (28.27 million), Nepal Development and Employment Promotion Bank (Rs 25.89 million),
IME Finance (22.45 million) and Nabil Bank (21.70 million) were top in transaction amount.
In terms of number of share units traded also, Annapurna Finance topped with 75,000-unit shares while in terms of number of transactions Prabhu Finance topped the chart with 742 transactions.

Maiden pilot hydroproject in limbo

2009-01-03T20:12:00.003-08:00

Maiden pilot hydroproject in limbo

Rastriya Samachar Samiti
Mangalbare, January 3:

The small hydro electric project run for the first time as a test project by the government has been left in limbo.
The project in Maiyukhola, which is spread over 16 ropanis of land of the Nepal Electricity Authority (NEA) at Mehelbote of Pashupatinagar-6 in east Ilam, is closed since 2057 BS. The machines and parts are in dilapidated condition after the closure of the project, said a local Suman Paudel.
The government’s Rs 1,259,573 investment in the project has gone waste. The project, which generated electricity since 2039 Asoj 1 after construction began in 2036-37 BS, had expanded its services to only some wards of Gorkhe and Pashupatinagar VDCs. The 64 kw capacity project that should have generated 32 kw each for both VDCs generated only 11 kw as sufficient water could not be stored in the reservoir of the project. Users were not satisfied with the project as it produced very little power. Locals say that if the project is repaired and machine theft controlled, people nearby would get electricity.

Youth lap up ICT Info Trade ‘09

2009-01-03T20:12:00.001-08:00

Youth lap up ICT Info Trade ‘09

Himalayan News Service
Kathmandu, January 3:

ICT exhibitions are the new destination for youngesters in town. The proof — massive turnout of youngsters at the latest ICT Info Trade 2009 going on at Bhrikuti Mandap.
The second day of the second edition of ICT Info gala today witnessed 92,7,53 visitors in a single day. Mostly, students thronged the stalls displaying computer appliances and PCs.
ICT Association of Nepal, in association with Brother & Kaspersky organised
the second edition of information, communication and technology fair — ICT Info Trade 2009 — that will run until Tuesday.
“The exhibition is full of interesting electronic gadgets, PCs and Laptops,” said Ujjwal Dhungana, a student of Einstein Academy, Lalitpur. He was carrying a handful of brochures of various foreign study centres and also some on those of the educational consultancy centres taking part in the exhibition.
“Such events provide a good chance for interaction between customers and companies directly,” organising committee member Raj Kumar Bhattarai said adding that the new
year’s first exhibition was a grand success.
“The techno-savvy younger generation loves such expos,” he added.
Global brands like Samsung, MSI, Intel, Richo, HCL, Brother, Logitech, Kaspersky, Antivirus, Nokia, IMTC, Benq, AOC LCD Monitor, Liteon, Konka, Sony Ericsson, Microsoft, Sukam, Lenovo, Lexmark, Philips, Dynamic, HP, Moserbaer, Acer, Epson and Motorola are some of the major attractions at the fair where ISP Education Consultancy and information technology centres and campuses are also taking part.
“There is an exchange facility also. One can bring his/her old computer and printer, evaluate and exchange with a new one,” fair organiser Venus Investment Pvt Ltd said.
According to the organiser, the exhibition has 142 stalls set up by 80 different exhibitors for dispalying their ICT products including electronic products.
The popularity of such ICT fairs can be gauged from the success of CAN InfoTech also. Computer Association of Nepal (CAN) is organising CAN Infotech- 2009 from January 14-19. It’s another fair that the younger generation waits for. The yearly IT gala CAN Infotech is running since the last 14 years.

2008 a ‘golden’ year: NEGOSIDA

2009-01-02T18:21:00.001-08:00

2008 a ‘golden’ year: NEGOSIDA

Eliza Tuladhar
Kathmandu, January 2:

The year 2008 observed a transaction of nine tonnes of gold in the domestic market. “The sale of the yellow metal was highest in 2000 and transaction was around 15 tonnes. After the sharp drop in gold purchase, the market again increased taking the total transaction to about nine tonnes in 2008,” said Nepal Gold and Silver Dealers’ Association (NEGOSIDA) president Tej Ratna Shakya.
According to Shakya, in 2007 the gold transaction decreased to five tonnes. In 2008, though the first half was just satisfactory the second half turned out to be quite good. “The global economic crisis may hit us hard this year but we are hoping things will turn out all right,” he added.
The domestic market experienced the highest price of gold late in 2008 with Rs 21,860 per 10 gram (Rs 25,500 per tola) leaving behind the previous highest price of Rs 25,450 per tola on July 16, 2008.
“After many years, the year 2008 turned to be a favorable one for gold transaction. The main reason behind it is peace, stability and decline in gold prices though it hiked twice this year. The first half of 2008 was not that satisfactory but the second half was overwhelming,” said Shakya.
Shakya said, “The highest sale was during the month of Mangsir (Nov-Dec) after a gap of 10 years, with the total sale of 750 kilos of gold that month. Also, during the festive season of Dashain and Tihar the sale of gold was satisfactory. There was transaction of 10 kilos of gold per day in Dashain-Tihar and 15 kilos daily during Teej.” It was in 2055 BS when 35 kilos of gold sold per day during the wedding season, he added.
About the purchase of solid gold bars, Shakya said 15 per cent of the total transaction in gold consisted of the pruchase of soild gold bars. He added that was a huge rise in the number of people willing to invest in holding gold rather than buying ornaments. The trend of gold holding though started in 2000 but now it is in full swing.
This week gold opened at Rs 21,435 per 10 gram on Sunday and increased to Rs 21,775 on Monday and Tuesday. The price decreased to Rs 21,520 on Wednesday but again increased on Thursday to Rs 21,690. The domestic gold market week closed at Rs 21,650 - Rs 215 higher than the opening price.
“ Due to the global financial crisis and fluctuating dollar value, people are in search of a substitute investment with speculative possibilities. The gold price is fluctuating in the international market also. Last Friday, gold priced at $ 847per ounce but increased to $874 per ounce this week,” said Shakya.
Silver opened at Rs 296 per 10 gram on Sunday and rose to Rs 300 on Monday. It remained constant on ensuing days till the market closed on Friday.

ICT Info Trade 2009 open till January 6

2009-01-02T18:20:00.002-08:00

ICT Info Trade 2009 open till January 6

Himalayan News Service
Kathmandu, January 2:

Minister for Environment, Science and Technology Ganesh Shah inaugurated ‘ICT Info Trade 2009 in association with Brother & Kaspersky’, here today at Bhrikuti Mandap. The exhibition will continue until January 6.
The ICT association has organized the info trade exhibition jointly with the management of Venus Investment Pvt Ltd. According to a press statement, the exhibition has 142 stalls set up by 80 different exhibitors for dispalying their products. The exhibition has participation of Samsung, MSI, Intel, Richo, HCL, Brother, Logitech, Kaspersky, Antivirus, Nokia, IMTC, Benq, AOC LCD Monitor, Liteon, Konka, Sony Ericsson, Microsoft, Sukam, Lenovo, Lexmark, Philips, Dynamic, HP, Moserbaer, Acer, Epson, Motorola and ISP Education Consultancy, along with
other information technology centres and campuses in the ICT expo.
The ICT Info Trade exhibition also has the facility of old computer and printer valuation as well as exchange.

Potato farmers’ worries mount

2009-01-02T18:20:00.001-08:00

Potato farmers’ worries mount

Rastriya Samachar Samiti
Khajura (Banke), January 2:

The worries of potato farmers in Banke are mounting due to lack of market for their produce.
Farmers in Balapur of Mahadevpuri-6, who used to earn up to Rs 4 lakh every year from potatoes, said they are forced to think of giving up potato farming after they failed to sell their produce.
Until two years ago, potatoes from Balapur used to be sold in districts like Surkhet, Dailekh, Dang, Salyan, Pyuthan, Kathmandu and exported to many Indian towns.
Potato farming was promoted in the village following training by and technical assistance from two Swiss nationals on potato, seed production and vegetable farming for three years since 1990.
The farmers also opened a Potato Development and Seed production Cooperative to export and sell potatoes and seeds. Lil Bahadur Chhetri of the cooperative said their produce failed to capture the market due to the import of cheap potatoes from India by agents.

3 million customers for Kenyan bank for the poor

2009-01-02T18:19:00.000-08:00

3 million customers for Kenyan bank for the poor

The Guardian
Nairobi, January 2:

In his 14th floor corner office overlooking the city, James Mwangi sits at the very top of Kenyan society. He got there by understanding the needs of those at the bottom.
Mwangi is CEO of Equity Bank, a homegrown company that has turned the financial services industry on its head. For decades, multinationals such as Barclays and Standard Chartered dominated Kenya’s banking sector by focusing almost solely on the middle and upper classes. Equity went the opposite way. It targeted the unbanked poor — “watchmen, tomato sellers and small-scale farmers” whom Mwangi lists as typical customers — with cheap savings accounts and microloans backed by unusual guarantees.
The strategy has proved remarkably successful. In just a few years, Equity has gone from being a quirky, fringe player to the third most profitable bank in the country and one of leading companies on the Nairobi Stock Exchange. It claims to have signed up its three millionth customer last month, giving it a 50 per cent share of the Kenyan market for the first time, and is opening 4,000 new accounts a day.
“By focusing on the previously excluded, Equity has revolutionised the banking sector,” said James Shikwati, director of the Inter Region Economic Network, a thinktank in Nairobi. “It has forced multinational banks to change their business strategies.”
Equity’s improbable story has attracted international attention. Teams from Stanford and Harvard universities have travelled to Nairobi to study its business model.
Last year, he even shared a international microfinance award from the Berlin-based Global Economic Network with Muhammad Yunus, the Bangladeshi “banker to the poor” who won the Nobel peace prize in 2006.
But while Yunus’ Grameen Bank has relied on donor funding and state subsidies, Equity is a purely commercial venture.