Govt unveils austerity directives
KATHMANDU, SEP 20 -
The government on Monday unveiled directives on austerity measures that seek to curb misuse of government vehicles, control unnecessary spending of government offices and bar the government from making new investment in public enterprises.
The ‘directives for austerity measures in government expenditure-2011’ was brought as per the government’s plan to cut unnecessary expenditure and misuse of government resources. The Cabinet on Friday had endorsed the 102-point directives.
The directives have set a limit for the purchase and use of vehicles for government officials. Now, officials—from President to Joint-Secretaries—cannot use vehicles worth more than Rs 3 million.
While officers of gazetted special class and above cannot purchase vehicles worth over Rs 3 million, first class gazetted officers cannot spend more than Rs 2 million for a vehicle. “Projects and district-level offices cannot spend more than Rs 4 million for a vehicle,” the directives say.
The directives have barred ministries from using vehicles meant for projects under them.
The prime minister and ministers have been prohibited from appointing more than a fixed number of advisors, personal assistants and assistants. “The government will not provide remuneration and facilities to additional officials,” state the directives made public by the Finance Ministry here on Monday. Finance Minister Barsha Man Pun said the directives were focused on maintaining financial discipline without hindering public service delivery. He said he will sell his current vehicle and get a new one abiding by the directives.
The directives have barred purchasing additional vehicles in the current fiscal year except for new government agencies and officials subject to receive vehicle facility, security purposes and foreign aid projects. “Government agencies will have to auction unused vehicles within next six months,” the directives say.
Henceforth, government officials cannot travel abroad at the expenses of domestic or international non-government organisations. The directives also prohibit government officials from visiting foreign countries for training, observation and seminars at government expenses, except for diplomatic visits, meetings of international conventions endorsed by Nepal and meetings of multilateral and bilateral agencies.
The government through the directives has made it clear that it will not make investment in public enterprises in the form of shares and loans beyond the budgetary provision.
This move may hit badly the Nepal Oil Corporation (NOC) that received Rs 4 billion loans from the government last year. Finance Secretary Krishna Hari Banskota said PEs like NOC cannot get loans from the government after the implementation of the directives.
Source: Kantipur
The government on Monday unveiled directives on austerity measures that seek to curb misuse of government vehicles, control unnecessary spending of government offices and bar the government from making new investment in public enterprises.
The ‘directives for austerity measures in government expenditure-2011’ was brought as per the government’s plan to cut unnecessary expenditure and misuse of government resources. The Cabinet on Friday had endorsed the 102-point directives.
The directives have set a limit for the purchase and use of vehicles for government officials. Now, officials—from President to Joint-Secretaries—cannot use vehicles worth more than Rs 3 million.
While officers of gazetted special class and above cannot purchase vehicles worth over Rs 3 million, first class gazetted officers cannot spend more than Rs 2 million for a vehicle. “Projects and district-level offices cannot spend more than Rs 4 million for a vehicle,” the directives say.
The directives have barred ministries from using vehicles meant for projects under them.
The prime minister and ministers have been prohibited from appointing more than a fixed number of advisors, personal assistants and assistants. “The government will not provide remuneration and facilities to additional officials,” state the directives made public by the Finance Ministry here on Monday. Finance Minister Barsha Man Pun said the directives were focused on maintaining financial discipline without hindering public service delivery. He said he will sell his current vehicle and get a new one abiding by the directives.
The directives have barred purchasing additional vehicles in the current fiscal year except for new government agencies and officials subject to receive vehicle facility, security purposes and foreign aid projects. “Government agencies will have to auction unused vehicles within next six months,” the directives say.
Henceforth, government officials cannot travel abroad at the expenses of domestic or international non-government organisations. The directives also prohibit government officials from visiting foreign countries for training, observation and seminars at government expenses, except for diplomatic visits, meetings of international conventions endorsed by Nepal and meetings of multilateral and bilateral agencies.
The government through the directives has made it clear that it will not make investment in public enterprises in the form of shares and loans beyond the budgetary provision.
This move may hit badly the Nepal Oil Corporation (NOC) that received Rs 4 billion loans from the government last year. Finance Secretary Krishna Hari Banskota said PEs like NOC cannot get loans from the government after the implementation of the directives.
Source: Kantipur
