Govt has not halted payments for legitimate claims of contractors: Paudel

KATHMANDU: Deputy Prime Minister and Minister for Finance, Bishnu Prasad Paudel, has said that the government will not withhold legally claimed payments owed to construction entrepreneurs.

Speaking at a program organized by the Female Economic Journalists Association (FEJA) in Kathmandu on Sunday, Paudel said that the current government has faced challenges in addressing pending payment liabilities inherited from the previous administration. “The government, however, is now in a position to smoothly process legally claimed bills. We have not halted payments for legitimate claims,” he added.

Minister Paudel also said that the government was putting maximum effort into increasing capital expenditure. “There is a need to boost capital spending by amending laws such as the Public Procurement Act, Forest Act and Environment Act. We will focus on making regulations more effective to achieve this,” he said. “Compared to last year, there has been progress in capital expenditure, but it is still insufficient.”

Paduel also said the ordinances introduced by the government have played a significant role in policy reforms and have boosted the morale of the private sector. “The government has prioritized policy reforms to address economic challenges, and the ordinance is a strong step in that direction,” he added.