Bishnu Prasad Chaudhary: Tharus have distinct identity, they are not Madhesis

The Tharu Commission is provided for in Part 27, Article 263 of the Constitution of Nepal. The Tharu Commission Act, 2017 has been enacted by the parliament incorporating topics like the qualifications of the chairperson and members of the Tharu Commission, status of vacancies, remuneration and service conditions, duties and rights. Bishnu Prasad Chaudhary was nominated the first chairperson of Tharu Commission four years ago. Pratik Ghimire of ApEx caught up with Chaudhary to know about the progress that the commission has made so far.

What are the major working areas of the Tharu Commission?

Our major work is to conduct research on the Tharu community, culture, food, language and all Tharu identity-based issues. We also research problems facing the Tharu community like health, employment and education. The commission regularly conducts awareness programs, skill- and education-based training and workshops for the welfare of the community. Moreover, we study plans and policies of the government and offer suggestions.

Does the government implement your recommendations?

I must say no. The government, to date, has not endorsed our suggestions. It has a major role to make our work effective, meaning that without coordination from the federal government, we can’t even be a proper watchdog. Everything we do, or we require (human resources and budget) to run the office is associated with the government. 

For research activities, we need a huge budget, which we don’t have. For example, data are the foremost requirement for any research but due to the lack of budget, we can’t collect data on our own, so we have to rely on secondary sources. These sources are neither reliable nor accessible. We regularly recommend the government on law and policy making, but they don’t listen. This doesn’t mean these commissions should get executive powers. The duties, responsibilities and rights that the constitution provides us are enough. The problems lie with the government. It must heed our suggestions, and provide us human resources and the budget.

How is the coordination of the commission with three tiers of the government?

Though we work with all three tiers of the government, we are in touch mainly with local and federal governments. For training and workshops, we coordinate with respective local governments while for policy-making, we consult with the federal government.  As we have our main office in Kathmandu and no liaison office outside, it's quite difficult to coordinate, both with the government and the people. 

These commissions don’t have executive powers. In light of ongoing debates about their relevance, do we really need them?

Without these commissions, there will be an identity crisis. In the public service field, Tharu communities were included in the Madhesi cluster after the 2007 revolution. At that time, the Tharu communities had no idea about this. After coming to know about the matter, they protested which resulted in the Tharu revolution—and establishment of the Tharu Commission. The commission has outlined identity-based problems and often warned the government and concerned bodies about the consequences of ignoring them.

Thanks to this, the Tharu cluster is determined for political representation in the Election Act. The Civil Service Act has not incorporated these issues. The Madhesi Commission and the Madhesi leaders have always wanted Tharu and Muslim communities included in their cluster, but we stand firm against it. We have our own history, culture and identity. We won’t let this die down.

How often do you coordinate with other commissions?

We have met with the Madhesi Commission a couple of times for problem identification and resolution of cluster issues. But they don’t want to coordinate with us; they want us in their cluster instead. It appears like they don’t respect our identity. But they should be clear that we are not the Madhesis.

Akshay Golyan: A little bit of homework and hard work comes a long way

Akshay Golyan is the Managing Director of Golyan Group, one of the leading business houses in Nepal. As a third-generation member of the Golyan family, Akshay has been leading the group's business verticals for the past few years. ApEx caught up with Akshay to talk about the Golyan Group’s business plans. Excerpts: As someone with an academic degree from abroad, how applicable do you find your education to be when it comes to utilizing it for your group? I think education gives you the necessary knowledge to understand fundamental issues and use them in business according to the context of the country. Getting a good education is very important to holistically understand why things happen and how you can tackle the issues. My educational background ranges from finance, marketing, management, and accounting to business development. For me, this is relevant in the context of Nepal. The academic knowledge in these areas has helped me form a solid backbone with respect to business. What differs in Nepal is the way of working which differs from other countries. But the things I learned during my MBA program have provided me with the fundamental knowledge to manage the business. You represent the new generation in the Golyan Group. How have you planned the group's investment? As a group, we focus on four key verticals of Manufacturing, Hotels & Real Estate, Renewable Energy (hydropower and solar power) and Agriculture. Within these four broad sectors, we have certain plans to add new businesses. For example, we are studying an expansion project in our Reliance Spinning Mills. We are also working on establishing two new hotels in Nepal. And, there is also homework going on real estate and hydropower projects. We have tried to focus on these four sectors that are relevant to Nepal in terms of business and are also important for the country's growth. If we look at each sector, manufacturing is export-oriented. Hydropower is going to be the backbone of Nepal and there is the possibility that we will be the net exporter of electricity in the next 2-3 years. The problem is that our policies are not conducive to the things that are going to improve Nepal. Industries in the country are still struggling to get a reliable power supply. There are still 8–9 hours of power cuts in large industries including ours. While we talk about power exports to India highly, no one cares about the power cuts that domestic industries are currently facing. The agriculture sector has been the priority sector for the Golyan Group in recent years. What led the group to invest in this sector?  Though Golyan Agro is registered as a profit-oriented company, we don't trade in large margins. We work on zero to close to zero margins, maybe 2 or 3 percent. Golyan Agro aims to invest in agriculture for the future and to partner with local farmers, local products, and local entrepreneurs to promote Nepali products. Food items or non-food items like tissue paper and sanitizers, everything is made in Nepal. My family's way of thinking is a little different than other families. We like to do things differently. We like to do things that can add value to the people around us. We saw a gap in terms of our food items which have always been imported and way back during the import restriction, there was a shortage of necessities like gas, petrol, and food. Then we decided that we need to contribute towards the growth of Nepali products, produce and agriculture. Your group has also made sizable investments in the energy sector. What are your plans for the future in this sector?  Currently, we have planned to produce around 800 MW from hydro and solar power projects. 800 MW of electricity is a very big portfolio. The only way we can execute this is if the Nepal Electricity Authority (NEA) signs the power purchase agreement (PPA). Currently, we have signed PPAs with NEA for around 200 MW. And, these projects are either in the construction stage or already started generating power. But, there are other projects in our portfolio with a total capacity of 600 MW; the construction of these projects is yet to be started. Our group has already invested close to Rs 1 billion in these projects without signing the PPAs. Nepal needs more electricity for its industries. Therefore, signing the PPA by NEA is crucial for us. Out of these four verticals, which one do you find most challenging?  All of them have a different set of challenges. Renewable energy is facing challenges due to the changes in the policies of the government. As for the manufacturing sector, the challenge lies in the operations of companies. The agriculture sector has challenges, both in terms of policies and operations. The hotel sector is slowly recovering from the impact of the Covid-19 pandemic and the challenge here is to attract more tourists to the country. As a young entrepreneur, what are your advices for startups and new entrepreneurs?  Whenever you want to start a business, you should first decide to do something that you enjoy. No matter how profitable it looks on paper, you should first be interested in it. Then you should look if it's reliable and observe others what they have done and how they are doing it. A little bit of homework and hard work comes a long way. What are the Roots of Nepal and the Feri Bidesh campaigns of the Golyan Group? The Roots of Nepal is a basic idea of what we have been doing for ages. From our history, we have always been told that the Golyan Group is working on energy itself, tourism, hospitality, and agriculture as the base and ultimately the roots of Nepal in the future. So currently, we are trying to focus more on those aspects which is the idea of the Roots of Nepal campaign. Feri Bidesh is just at the initial phase of the Golyan Group where we are trying to focus on the youths of Nepal. Brain drain has been a major issue in Nepal for a long time and we want to share this message with the youth that there are opportunities within the country and new opportunities are also coming.

Raj Kumar Chhetri: Nepali skies not unsafe

The Pokahara air crash has raised questions about aviation safety. In this context, Sunita Karki of Annapurna Post spoke with Raj Kumar Chhetri, former Director General of the Civil Aviation Authority of Nepal  (CAAN). Can we term Nepali skies unsafe? I would not consider the Nepali skies unsafe. Despite the unfortunate incident that happened on Sunday, it is important to note that we operate around 270-275 flights from Kathmandu every day. In my 33-year experience, I have not seen other countries with a difficult geographical situation like ours. A plane crashed eight months ago too. But that was due to inclement weather. In a mountainous country with weather conditions changing every 20 nautical miles, remote airfields and such, accidents may be more frequent than in other countries. Actually, accidents have gone down in comparison to the past. What do you think are the causes? In the past, a majority of air crashes in Nepal were caused by weather conditions. The country's difficult geography (with high hills and all) as well as some human errors and technical issues are also behind these incidents. There were some weaknesses in our systems earlier. The regulatory body, Civil Aviation Authority Nepal (CAAN), has been working to improve safety and address these issues. Additionally, airline companies are also adhering to safety requirements because a plane crash not only results in loss of life but also causes significant financial losses for the company. International organizations such as the International Civil Aviation Organization (ICAO) and the European Union also conduct safety checks. Furthermore, airlines themselves conduct safety audits regularly. Sometimes unfortunate events happen despite measures to improve air safety by reducing risks.  Are recommendations of air crash probe committees implemented? In the past, there were issues with implementation of recommendations from probe committees formed after air crashes. The reports would gather dust, which is not the case today. The government, the Ministry of Tourism and the Civil Aviation Authority Nepal (CAAN) are aware of the importance of these probe committees and their findings. Unlike in the past, only experts are included in the committees these days. Concerned authorities, airline companies and international bodies tasked with addressing non-compliance take the suggestions coming from these committees seriously. Nonetheless, it would be more effective to have a permanent mechanism for investigating air crashes instead of forming probe teams after every incident. Such a body should have the authority to conduct follow-ups on the implementation of recommendations and report instances of non-compliance. This would ensure a more comprehensive and consistent approach to improving safety and would make aviation safer in the long run. Do probe panels blaming human error for air accidents mean that Nepali pilots are not skilled? In the past, human error was often cited as the cause of air accidents because it was easier to blame someone who is not alive. However, this is no longer the case. Nepali pilots are flying in a challenging topography and they are highly skilled and capable, as capable as pilots in any other country. What policies and rules are needed to improve flight safety in Nepal? One key step that should be taken to improve flight safety in Nepal is to unbundle the CAAN into a regulatory agency and a service agency. This would ensure that the regulatory and service functions are separate and that there is no conflict of interest. Additionally, there should be a provision that prohibits inter-agency transfers as they can hinder the performance of employees. People should be appointed on the basis of their skills and past performance. Furthermore, the government should provide all necessary resources and equipment to airports to improve their safety. Airports not handling flights should be closed. https://www.annapurnapost.com/news/our-skies-are-not-safe-223155

Dilliraj Khanal: Economy hasn’t returned to normalcy yet

A key task of the Pushpa Kamal Dahal-led government is to revive the country's economy. Due to various internal and external challenges, the country's economy is in a bad shape. In this context Robin Poudel of Annapurna Post spoke with senior economist Dilliraj Khanal about the challenges that country is facing.  The appointment of a new finance minister seems to have improved relations between the central bank and the finance ministry. How do you see this synergy? We need to understand that development and economy is dependent on politics. The budget proposed by the finance ministry is a political document and the decisions made at the government level have a direct impact on the economy and society as a whole. It is essential for there to be a strong relationship between these two bodies that bring two different policies for development, livelihood, industry, business, economy and monetary policy. The relationship between the central bank and the finance ministry is vital for the effective management of the economy. Political decisions must be made with the goal of maintaining stability for the public, businesses, and the overall economic environment. Coordination between these two bodies is essential in order to develop coherent policies that address the needs of all stakeholders. In the past, a lack of coordination between the central bank and the finance ministry led to problems in the financial policy. Monetary policy was often implemented unilaterally, which created negative impacts on the private sector and people's standard of living. The current synergy between the two bodies is crucial for addressing these issues and ensuring that the needs of the public and private sectors are met. It is believed that the revision of the working capital loan guidelines is the outcome of this synergy. Is the government trying to disseminate the message that it is becoming private-sector friendly? An increase in private-sector investment leads to an increase in production and job creation, which ultimately benefits the public. Coordination between the central bank and the finance ministry is crucial in order to strengthen the supply system and improve the standard of living for the general population. The recent revision of working capital loan guidelines in coordination with the Prime Minister is a positive step, although it may have come late. The central bank had previously expressed concern about the fragility of the economy, but with the formation of the new government, the central bank seems to have changed its tone. How correct is the central bank's statement that the economy is returning to normalcy? Imports have decreased due to restrictions, while remittances have improved. The balance of payment (BoP) situation is becoming favorable with the foreign exchange position. The central bank seems to have said that the economy is returning to normalcy based on this situation. But I don't think so. Even now, the economy is facing a crisis. Interest rates are high, and so is the cost of production. Without investment, production does not increase. The economy is facing a crisis, as evidenced by a number of factors. The revenue is not sufficient to cover current expenses and capital expenditure is only at 11%. Inflation is out of control and non-productive expenditure is high, further exacerbating the problem. The private sector is agitated and there is no return on investment, leading to a lack of employment opportunities and a decline in exports. Agriculture and industry are in disarray, and a large amount of money is being spent on education. All of these factors indicate that the economy is in a precarious state. I don’t agree that the economy is returning to normalcy. However, there are glimmers of hope as power generation is increasing and tourist arrivals are picking up. The government is said to be in a situation to borrow money to pay the salary of its staffers. How can this situation be tackled? Lately, I have been criticizing monetary policy as being one-sided. Tight measures may have been necessary in the past to address a lack of liquidity, pressure on foreign exchange reserves, and high inflation. While these measures may have been necessary in specific circumstances, they have had a negative impact on the supply and investment side of the economy rather than the demand side. The central bank should have been more selective in its approach and taken into account the potential contraction of the economy along with the supply. This is a weakness of the fiscal policy rather than a monetary one. The government should have implemented policies to compensate for the negative effects of the tight monetary policy. It should have brought a policy to increase revenue, realizing that import restrictions would have an impact on revenue. It is positive that coordination between the central bank and the finance ministry has begun. Unproductive investments should be controlled in order to improve the economy. In the past, the government has allowed a limited number of households to invest indiscriminately and then implemented tight policies that have negatively impacted the entire economy. It is important for the government to play a coordinating role by creating an immediate action plan to redirect investments from unproductive sectors to productive ones by providing special facilities. Do you think there is a need for a supplementary budget? In order to provide relief to the private sector and improve the distressed economy, it is important to bring a supplementary budget. However, it would be counterproductive if the budget aims to increase liabilities, non-productive expenses, and allocates funds randomly. It is necessary to restructure the current budget and create a supplementary budget based on the election manifesto of the ruling party and the minimum common program of the government. The budget should also identify medium and long-term problems. However, it should be also noted that the current budget brought by the government for the current fiscal year has everything necessary to address the issues. Capital expenditure does not reach above 60% even after fund transfers, which raises questions about the quality of work being performed. There is a lack of accountability and transparency in the government's development projects, which is perpetuated by a rent-seeking tendency. This cycle affects the overall quality of development works. If the government wants to address these issues, a supplementary budget could be effective in bringing about the necessary changes. We are not in a position to mobilize revenue to meet even our expenses? What caused this situation? The import control policy has led to a decrease in revenue and shrinking demand, which has discouraged private sector investment. The private sector is talking about reducing production, as the purchasing power of people has decreased, and there is no demand for their production. This has led to a decrease in economic activity and a parallel economy has been created. Also, there is a high leakage of revenue, VAT has not been mobilized as per the production numbers. I think direct taxation has a great potential. Also, we have failed to bring expansionary activities in the tax net. The increasing possibility of Nepal being blacklisted for money laundering confirms the illegal business growth. Thus, we are headed for a contraction of the economy. All of these developments are encouraged by our fiscal policy. Was the import ban necessary? Selective restriction was fine. The decision to stop the import of non-essential goods was correct after continuous balance of payment deficits. We shouldn't have allowed such a deficit for a long time. Corrective policies should have been adopted to ensure that measures aimed at controlling one sector do not negatively impact others. While attempting to preserve foreign exchange reserves, the decrease in revenue should have been addressed by implementing policies to increase revenue. High interest rates and inflation have been a major concern for both ordinary citizens and businesses. The belief that high interest rates would curb inflation has not been effective in this case.