DRAFT BEDGET BEING PRESENTED IN PARLIAMENT WEDNESDAY

BUDGET DRAFT BEING PRESENTED IN PARLIAMENT WEDNESDAY

Kathmandu, 22 June: A draft of a proposed budget for the new fiscal year 2011/12 is being presented later Wednesday in parliament by Deputy Prime Minister and Finance Minister Bharat Mohan Adhikari
Annual budget is being presented Thursday 14 July and three days have been set aside for budget discussion in the legislature Friday through Sunday.
The parliamentary party of UML heading the government Tuesday asked Adhikari to present a budget through consensus of parties after delayed presentation of the budget for two successive years adversely impacted the national economy.
It’s not yet clear if main opposition NC will support the timely budget presentation.
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SPEAKER LEAVING FOR INDIA IN MIDST OF BUDGET PRESENTATION

Kathmandu, 22 June: Speaker Subash Newang leaves for a six-day India visit Friday as preparations are afoot for the annual budget session.
He’s visiting the Indian capital to attend a conference organized by SAARC South Asian regional organization.
Whips of major political parties are also flying to New Delhi.
Nemwang returns one day before government presents the annual budget in parliament amid uncertainty whether main opposition NC will support budget presentation.
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INFLATION RESTRICTED TO SINGLE DIGIT 9.5 PERCENT

Kathmandu, 22 June: Year to year inflation was 9.5 percent in the first 10 months of the current fiscal year 2010/11, Nepal Rashtra bank (NRB) said
But food and beverage prices shot up 10 percent while prices of non-food and service groups jumped 4.2 percent
Balance of payments deficit improved slightly and came down to Rs 11.67 billion in the first 10 months of the current fiscal year from Rs. 14.79 billion, Nepal Rashtra Bank (NRB) said.
Deposit mobilization of commercial banks increased to Rs 23.72 billion in the period under review while advances totaled Rs. 63.62 billion.
Government capital expenditure stood at a low Rs 44.36 billion only in the period under review.
Revenue collection fell to 14.7 percent from 25.4 percent in the same period the previous year.
Delayed budget presentation, fall in imports and slow growth of capital expenditure adversely affected revenue collection drive.
VAT revenue collection jumped 37.5 percent/
Customs revenue collection went up only by 4.2 percent.
Foreign direct investment increased to Rs. 5.74 billion from Rs.2.41 billion compared to the previous year.
Trade deficit widened only by 4.6 percent with increased export and fall of imports.
Iron and steel products, yarn, woolen carpets, readymade garments, lentils and textiles in that order were the country’s chief exports in the period under review , Trade Promotion Center said.
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2011 MONSOON JUST BELOW NORMAL

Kathmandu, 22 June: The vital monsoon this year is expected to be just below normal, the weather office said in a revised forecast on Tuesday but the rains could pick up after July15 during the key planting month for rice, sugar and corn, Reuters reports from New Delhi quoting India’s Meteorological Department.
This year’s monsoon rains would be 95 percent of the long-term average overall, down from its April forecast of 98 percent and just short of 96 -104 percent range which counts as normal monsoon.
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