Higher targets amid bleak economic outlook
KATHMANDU, June 25:
At a time when hundreds of youths are leaving the country for overseas jobs every day, the government has set a target of increasing employment opportunities by 3.2 percent annually for next three fiscal years.
Out of the estimated 400,000 youths who enter the labor market annually, around 390,000 go to foreign land in search of greener pastures.
The draft of the concept for the upcoming 13th Plan prepared by National Planning Commission (NPC), the apex policy making body of the government, has set the target of achieving six percent growth to meet the employment target for the period.
Average annual growth of employment stood at 2.9 percent in the three-year plan period that ends in mid-July 2013.
The concept paper envisages achieving ´Developing Country´ status from ´Least Developed Country´ status over the next 10 years.
In a bid to raise contribution of farm sector in national economy, the concept paper has set the target of attaining 4.5 percent agriculture growth during the plan period, up from existing average growth of 1.3 percent recorded over the past three years.
The performance of agriculture sector, which accounts for over one-third of the total Gross Domestic Product (GDP), depends on the monsoon phenomenon due to limited irrigation facilities. Frequent shortage of chemical fertilizers is also among the factors that affect farm productivity.
Keeping in view the importance of irrigation in farm productivity, the plan has targeted to increase land with irrigation facility to 1.49 million hectares from existing 1.31 million hectare by the end of the fiscal year 2015/16. Similarly, it targets to increase forest areas to 40 percent from 39.6 percent and motorable roads to 28,748 km from 25,748 km by the end of the plan period.
Likewise, the concept paper envisages achieving non-agriculture growth rate of 6.7 percent over the next three fiscal years, up from average growth rate of 4.2 percent over the past three fiscal years. Under the non-agriculture sector, annual industrial growth is targeted at 4.7 percent while growth of industries relating to electricity, gas and water has been set at 8.2 percent.
The construction sector is envisaged to grow by 5.5 percent, while wholesale and retail business is targeted to achieve 5.6 percent growth. Similarly, the concept paper has been predicted to grow at the rate of 5.6 percent and 8.4 percent, respectively.
During the plan period, the government aims to increase telephone, including mobile service, density to 100 percent from existing 71.5 percent. Similarly, it targets to raise installed capacity of electricity generation to 1,419 MW from 712 MW and population with access to electricity to 87 percent from existing 67.3 percent.
The government targets to mobilize total revenue of Rs 1,133 billion - an average of Rs 377 billion a year - over the three-year plan period by adopting stringent revenue policy.
Leaders of different political parties, however, are skeptical about achieving the target set in the concept paper of the three-year plan.
“The preparation of plan document is a positive move in continuing the economic activities in the countries,” Nepali Congress leader Dr Ram Sharan Mahat said, questioning, “What would happen if political leadership deny to own the plan prepared by a bureaucratic government?”
Speaking on the occasion, Vice Chairman of NPC Rabindra Man Shakya, officiating Chief Secretary Krishna Hari Baskota and NPC Member Secretary Yuba Raj Bhasal said the political leadership must take ownership of the concept plan.
Source: Republica
