Maoist-led govt. to announce a Rs 238 billion budget

By Bhola B Rana

Kathmandu, 19 Sept: Finance Minister Dr Baburam Bhattarai is expected to present a Rs 238 billion deficit budget for the remaining 10 months of the current fiscal year 2008/09 at the CA later Friday.
The proposed expenditure is 47 percent higher that the actual expenditure of last year, The Kathmandu Post said quoting an unidentified source.
The annual budget was delayed in mid-July because of haggling in assembling a post-CA government.
Govt. will set aside Rs 1.5 to Rs 3 million for 4,000 villages to implement “Let’s Beautify Our Village Programme” and civil servants will get a salary hike of 17 to 25 percent—a programme first launched by CPN-UML when first elected.
Old age allowance will be increased to Rs 500 per month and a cooperative store will be established in each village in the populist budget; widows’ allowance will also be increased.
Duty of beverages and tobacco will be hiked 2 percent.
Loans of small farmers will be waived.
There ‘s a scheme to announce voluntarily assets with a special programme to create employment.
The budget aims to record a 6.5 DDP growth in the fiscal year 2008/09 keeping inflation below 8 percent.
The budget will set aside Rs 126 billion for recurrent expenditure and Rs 96 billion for capital expenditure while Rs 17 billion will be earmarked to pay domestic and foreign loans.
Revenue collection will be increased 31 percent to Rs 140 billion.
A deficit will be met by raising Rs 25 billion through borrowings and Rs 70 billion through foreign grants and loans.
The Maoist architectural engineer presented a gloomy economic picture in a whitepaper issued Thursday instead of the economic survey report but yet unveiled an ambitious plan for double digit growth in five years.
Announcing a 15-year development plan, Dr Bhattarai said: “The ground will be laid in the first two years; double digit growth will be recorded in the following three years; the last 10 years will be a leap-frogging decade.”
Nnnn

UN appointment

Kathmandu, 19 Sept: Karin Landgren of Sweden has been appointed deputy special representative of UN Secretary general Ban Ki-moon for Nepal.
She is an experienced UN official with extensive experience in political, managerial and international law.
She has worked in India with the UNHCR, Philippines and Great Lakes region in Africa.
Nnnn

Dr Ram Sharan Mahat taken ill

Kathmandu, 19 Sept: Nepali Congress leader and former finance minister Dr Ram Sharan Mahat has been taken ill due to viral infection, The Himalayan Post reports.
Dr Mahat is suffering from Bell’s Palsy and is undergoing a four-week physiotherapy.
“He cannot chew with his left jaw,” his nephew Ramesh said.
Nnnn