Economy may go kaput if crisis hits remittance: Experts

Experts on Monday warned that the country’s economy may go kaput if the ongoing global recession badly affects the inflow of remittance into the country.

“Not only remittance, the crisis could well cast blight on exports, Foreign Direct Investment (FDI), debt servicing and tourism,” they further said.

They issued the warning to this effect while speaking at a workshop on “Global recession and its impact on Nepali economy” organised by Independent Business News (IBN) in collaboration with Nepal Rastra Bank, Nabil Bank and Standard Chartered Bank.

Radhesh Pant, president, Nepal Bankers’ Association and managing director of Bank of Kathmandu, said that the if crisis hits the inflow of remittance, it will be pretty tough to keep the economy afloat.

He also urged the government to increase surveillance and monitoring in order to cope with the contingencies arising from financial crisis.

Anil Shah, CEO of Nabil Bank, was of the view that prolonged power outage, frequent strikes and labour unrest are posing grave threat to the economic well-being of the country. He also asked the government to be serious towards increasing capital expenditure and job opportunities to prevent the already anemic economy from further bleeding. nepalnews.com Feb 16 09