Finance Minister Dr Prakash Sharan Mahat has underlined the need of collective efforts of all sides and sectors for the improvement of embattling economy.

He said this while responding to the queries raised in the deliberation over a proposal of urgent public importance on economic improvement tabled at the National Assembly (NA) today.

Finance Minister Mahat said lone efforts of the government for the improvement of economy would never be adequate. "The problems surfaced in economy at present were not merely created by the incumbent or erstwhile governments. We should collectively mull reform measures being diagnostic as to how such situation was emerged and where the reforms were required".

He highlighted the need to develop a shared perspective of all political parties in and outside the government to revitalize the economy. "We should collaborate to take ahead the collective efforts for the national cause", he said, adding discussion was underway at leadership level towards charting out a shared vision of all political parties for economic reforms.

He claimed the country's economy had not reached to a worse situation in a way that it was beyond out capacity to manage. "Economy is not in a very dreadful situation. We want to take ahead the economy to a path of reform. We can resolve the problems surfaced in the economy at present. We have unswerving commitment for this. No doubt there are pile-up of problems. It may take some time to resolve all the problems. Patience is also needed for solution".

"This is a cumulative problem since long. It came a long way to get manifested in today's situation", Dr Mahat added. He assured the government would leave no stone unturned to address the problems to advance the economy.

"There is a problem in the effectiveness and expansion of our capital spending. Obligation to social security and recurrent spending is on the rise. This is being increased in every government's term", he noted, adding, "We have structural problems. The situation is – the contract is awarded before site clearance".

He said it would not be possible to give result overnight to make the economy dynamic. "But, the government was putting all-out efforts for economic improvement", he added.

"I am committed in the capacity of the finance minister to work with honesty for the greater good of the country and the people", he noted, adding, " I do not present my claim that all problems would be resolved in no time . But, the government would make utmost efforts to address the issues with support from all sides".

He further said the present problem was emerged due to adoption of loose monetary policy in the time of COVID pandemic. This low capital spending was caused this year due to election, he said, adding rising interest rates due to liquidity crunch, low absorbing capacity and tendency of spending at the end of the fiscal year were key problems in the national economy. (RSS)