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Prime Minister Oli’s Address to the House of Representatives

Right Honourable Prime Minister K P Sharma Oli’s Address to the House of Representatives 21 July 2024

Right Honourable Speaker,

First of all, through this dignified House, I pay special tribute to the known and unknown martyrs who sacrificed their precious lives for the country and its people, and offer my heartfelt respect and homage to all those brave men and women. I also pledge to fulfil the martyrs’ great dreams of leading the nation towards development and prosperity. Similarly, I express high respect for all the senior leaders, including Pushpa Lal, B P Koirala, Ganesh Man Singh, and Madan Bhandari, who have made invaluable contributions to our country.

Right Honourable Speaker,

Since the onset of the monsoon, the country has been hit by natural disasters, including floods and landslides, causing huge loss of life and property. At this sorrowful hour, I express my heartfelt condolences to all the brothers and sisters who lost their lives in the disaster, and my deepest condolences to the bereaved families. I also wish a speedy recovery to all the injured.

The government is entirely focused on rescue, treatment and relief works. It has also begun its works to address the damage done earlier by the disasters. Besides, I would like to inform this dignified House that the state agencies have been directed to work on preventing such accidents from happening in the future, and to remain alert and prepared for immediate rescue, treatment and relief if such incidents occur.

Right Honourable Speaker,

The circumstances are different today. The previous government has changed, and a new government has been formed under my leadership In this context, I am here in this dignified House to solicit  a vote of confidence as prime minister, in accordance with the constitution and the law. I would like to briefly explain to the House the reasons why it should grant me the vote of confidence.

Allow me to present a brief overview of the country’s situation when I took charge of the government. The entire country is in despair now. This is perhaps the first time that the generation since 1990 has experienced such profound disappointment.

The economy is very fragile, with both imports and exports decreasing. Despite a target of collecting NPR 1,422 billion in revenue, only 76% of it has been achieved.  In recent years, revenue collection consistently exceeded targets. In this perspective, the fact that revenue collection fell 24% short of the target illustrates the severity of the problems facing the country's economy.

While money has piled up in banks due to low interest rates, there are no business people willing to borrow and invest. Credit expansion has continued to decline, with last year’s credit expansion reaching only about 5% against 11.5% target set by Nepal Rastra Bank. The number of people blacklisted for failing to repay their loans is increasing. Market demand has decreased, and instead of getting support and encouragement, the business people are reporting unnecessary hassles from government agencies.

With grievances that 'the government has become a stunt performer' and has adopted a ‘first detain and then listen’ procedure, the private sector has been so preoccupied with dealing with government agencies that it has had no time to focus on its own business. It seems that due to reduced market demand and government’s cumbersome procedures, industrialists and business people have shrivelled like black pepper.

Development and construction works are in disarray. More than six million people are suffering the brunt of absolute poverty. Corruption has exceeded its limits. At Tribhuvan International Airport, young people are seen queuing to fly abroad. As the young generation migrates, higher education institutions are facing an unprecedented crisis. What concerns me most is that public trust in the government has been shattered. The morale of the people has severely declined. The current government has been formed to address the deep despair prevailing in the country, to instil hope and enthusiasm among the people, and to take the country in the direction of rapid economic growth.

Our government has five priorities in order to restore the people’s trust and rekindle their hope.  

First priority: Complete the unfinished development projects.

There is a famous English term – ‘WIP’, which stands for ‘work in progress.’ Our development work often resembles this, always appearing to be in progress but never truly completed.

Let me share an example.

In the Fiscal Year 2065/66, a project was started to upgrade 123 km of blacktopped road from Khulalu in Kalikot district to Salila in Humla district. After reviewing the reports a few days ago, I found that the physical progress of this project has reached only 15% in the last 16 years.

What really baffles me is that the agency responsible for completing this project has mentioned in one of its reports that the completion date of the project is not yet fixed.  On the one hand, it is called a national pride project, but it does not achieve even 1% progress in a year. A project whose completion time is indeterminate continues to be labelled as a national pride project! By carrying on with such a development model, we blabber about prosperity. .

I want to say to the country: we will now put an end to such indiscipline in development initiatives. We will focus all our efforts on the timely completion of all projects initiated so far under all the ministries.

This government is not eager to say that the work is being done or ‘work in progress’; rather, it is athirst for proclaiming that the work started is completed.

For this, we will mainly focus on four tasks.

First - capacity building.

It is my responsibility to enhance the capacity of the Council of Ministers and all ministries. Sometimes, even if the intention is not wrong, we are unable to achieve results due to a lack of enough knowledge about working modalities and expediting them. So how can we better organise the works of ministries? How do we evaluate the progress against the targets?  How can we determine the key performance indicators of different ministries? How can we record all of them? How can we align the work of different ministries with the vision of the government? How can we monitor the budget? I will make special arrangements for these to achieve the goals.

Second—Evaluation

We will increase the government’s budget expenditure capacity. We will start distinguishing between working and non-working employees. We will end the situation where those who work face lawsuits, while those who do not work enjoy retirement with a 'clean image.' We will hold all parties accountable for the losses or damages incurred due to the non-completion of works within the specified cost, time, result, and quality, and take action against them. We will not allow cost increases (variations and price escalations) due to negligence and unjustified delays in projects. Additionally, we will recover damages from those who misuse contracts.

Third—We will make policy improvements, including amending relevant laws.

Fourth—We will promptly resolve the issues of non-payment to construction contractors who have completed their work.

Honourable Speaker

We rely on imported goods and materials from the moment we wake up in the morning until we go to bed at night.  Even for the most ordinary things, we are not self-reliant.  Let me share a small example.

After my appointment as the prime minister, I received many congratulatory visits from people across various fields, often bringing flowers and khadas. If we examine the data, we see that in the last few fiscal years alone, we have imported flowers worth crores of rupees.  Usually, flowers begin to bloom about two months after planting. Our natural diversity provides a variety colours, species and types of flowers depending on localities. Given this, why are we not cultivating flowers domestically? Why do we need to import tons of flowers instead? 

I have used flowers here just as an example. 

We often talk about trade imbalance, but it seems to me that we're not truly engaging in trade. In the first 11 months of the last fiscal year, we imported goods worth NPR 1,454 billion, while our exports were around NPR 140 billion. Others are actively selling, but we are only buying. Is it really trade to just keep purchasing without selling? It’s time for us to start conducting trade properly.

The second priority of this government is to promote industries that substitute imports by producing consumer goods utilising indigenous raw materials. To achieve this, the Ministry of Industry, Commerce, and Supplies will develop a clear roadmap within three months, in close coordination with the Ministry of Finance and other concerned ministries.  We will create a business-friendly environment. We will make available all types of approvals at the initial point of the registration of industries and businesses. Application will be approved within 7 days. If approval cannot be granted the reasons will be communicated, and if it requires more time, we will provide an estimated timeframe. Additionally, we will implement legal measures to hold employees accountable if approvals are not granted within the stipulated time. 

The Ministry of Finance will review the existing legal and fiscal structures to create economic opportunities by supporting start-ups, IT and high-growth enterprises.  To promote and facilitate start-ups, the Office of the Prime Minister and the Council of Ministers will establish a streamlined one-door system

We will transform the private sector into a 'growth engine' and encourage it to focus on extensive investments in production, industry, and service sectors, increasing outputs and creating jobs. We will regulate cooperatives and mobilisation savings effectively. On the basis of priority, state investment will be concentrated in five key areas including health, education, security, social protection and large-scale infrastructure development. 

To attract investment, the government will revise the financing modalities for development and construction projects.  It will issue debentures and mobilise alternative financial resources such as blended finance, and asset monetisation. This government will command all domestic resources and attract resources from abroad.

We have limited resources. But we have to make a quantum leap in development. We must change our current development pattern, speed and culture. It is high time for us to clearly where to invest our limited resources and what results we expect to achieve.

Therefore, I would like to make the government’s priority clear to everyone through this dignified House. 

This government will prioritise the development of information technology, tourism, energy, agriculture and forestry, industry and physical infrastructure as the major drivers of economic growth.

I sincerely urge start-ups, industrialists, banks and financial institutions to channel their ideas, innovations and investments into these areas. The six concerned ministries and related government agencies will formulate policies and regulations to promote economic growth through these sectors. Similarly, the Ministry of Finance and the Nepal Rastra Bank will align economic and monetary policies to this direction. 

The Ministry of Education, Science and Technology will prepare a national human resource profile by undertaking a comparative analysis of sector-wise and thematic demand and supply to avoid shortfalls of required human resource in these fields. We will mobilise concerned agencies to conduct educational programmes based on the assessed needs for specific thematic human resource

The agriculture sector is a main stay our economy. However, it is a sad reality that a large population involved in agriculture suffers from poverty and hunger. It is necessary to eliminate these contradictions, and we aim to end them permanently. We will develop technology and entrepreneurship, and 'motivate' the population currently engaged in agriculture to explore other fields. We will create a 'conducive' environment for this transition. We will make the country self-reliant in agricultural produce by increasing production and productivity. Through the modernisation and commercialisation of agriculture, we will boost production and export agricultural products. The Ministry of Agriculture and Livestock Development, in coordination with the Ministry of Finance and the Ministry of Industry, Trade, and Supply, will advance a concrete programme to achieve these goals

Our government will create a reliable ecosystem of stability, development, and good governance. 

We will effectively implement the Digital Nepal Framework with appropriate modifications. We will launch our own satellite using Nepal’s orbital slot. The Ministry of Communications and Information Technology will immediately take steps to reduce the large outflow of money for bandwidth payments abroad.

Right Honourable Speaker,

The migration of the young generation abroad has significant economic and social impacts.   Nowadays, I feel that foreign employment has also brought massive changes in the structure of our economy. 

Until a few years ago, motorcycles were in high demand in Nepal. However, recent reports indicate that scooter sales have increased instead.  Additionally, I recently read news about a decline in chicken meat consumption.

Foreign employment has changed consumer behaviour and market demand. However, due to a lack of data, both the private sector and government agencies are not able to fully understand the extent and areas of its impact. As a result of this gap, the government has lost revenue, and the business people business opportunities. The Nepal Rastra Bank will conduct a detailed study to address the key questions: what specific changes has foreign employment brought to different components of the economy? Where has demand and supply increased or decreased?   

Right Honourable Speaker, 

Many of our brothers and sisters still live in poverty, deprivation and hunger. I often wonder, what can be more painful than this for our hardworking people ti live in such conditions in such a fertile land? The current government will end this situation. 

This is the government's third priority

To chieve this, we will promote healthy and balanced nutritious food habits. The Ministry of Agriculture and Livestock Development and the Ministry of Communications and Information Technology will lead this initiative. We will coordinate and collaborate with local governments to set up food stores in all municipalities. 

In addition, we will establish a mechanism involving the concerned ministries, under the leadership of the National Planning Commission, to eradicate absolute poverty as soon as possible. Based on based on their recommendations, we will formulate the necessary programmes.  

We have already taken a decision in the Council of Ministers to protect children from suffering on the streets. Regardless of their birthplace, no child should starve or fall victim to malnutrition.  The inability to attend school, study, wear warm clothes in winter, have shelter from the rain or find food when hungry are the most critical concerns of this government. In the Terai-Madhesh region, the government will set its priorities by keeping in mind the economically disadvantaged, Madhesi Dalits, socially discriminated and marginalised, people with disability, helpless, infected, homeless, stranded, and mentally ill people.

Right Honourable Speaker,

The ongoing session of parliament has already passed the government’s policy, programme and budget for this fiscal year. Whether during the passing of the policy, programme, and budget or during the change of government, I have kept in mind the issues raised by honourable members. The government is a continuous successor institution. Therefore, we will advance good policies and programmes. Where changes are needed, we will mobilise the entire mechanism to produce results by modifying policies, programmes and budgets being abided by the rules and processes.

This is the fourth priority of the present government.

We will not engage in corruption and we will not tolerate it. We will investigate matters related to corruption and abuse of authority. We will take legal action against corruption occurring within any period and against anyone involved We aim to establish a trust in society that the corrupt will eventually be brought to justice. We will take appropriate decision regarding the victims of co-operatives and will take legal action against the fraudsters of cooperatives, regardless of who they are.

For good governance, what is needed is not 'stunts' but the right ‘intention.’ This government will not seek to elevate itself by bringing others down. This is the government’s fifth priority.

Right Honourable Speaker,

In addition to these five priorities, the government will carry out various other service delivery, policy making, and development activities aimed at enhancing public services and improving citizens' daily lives. I would like to briefly highlight some of these initiatives.

·         We will implement an online system to provide Nepali citizens living in any geographic area of Nepal with essential documents such as citizenship certificates, national identity cards and driver's licenses. Additionally, we will make arrangements for online payments for various services, including vehicle registration and bill-book renewal, property purchase and sale taxes, electricity, water supply fees, and other government taxes. Services related to health and agricultural technology will also be made available online.

·         We will make civil administration and security agencies competent, professional and accountable to the people. Our focus will be on improving the quality and effectiveness of public service delivery. We will formulate and enact about two dozen new laws, including the School Education Bill, the Civil Service Bill, which are currently under consideration by the House.

·         We will develop Nepal as an attractive international tourist destination. To achieve this, we will develop and implement strategies to sustainably protect biodiversity and environmental systems while reducing the effects of climate change. The Ministry of Foreign Affairs will prepare the proposed Sagarmatha Sambaad, aimed at drawing world's attention towards climate change and its impact on the mountain economy.

·         A healthy Nepal will be the government’s major health policy. We will adopt both preventive and curative measures to achieve this goal. The government will take responsibility for the healthcare and nutrition of pregnant women, senior citizens, differently abled persons and the destitute citizens.

·         The problems faced by squatters, freed haliyas and kamiyas and unorganised settlements will be resolved. We will make every work dignified. The rights, interests and welfare of the workers will be the priority of the government. We will bring an end to all forms of discriminations at workplace. Workers and employees will be integrated into the social security system.

·         Foreign employment will be made secure, dignified and systematic. The Ministry of Labour, Employment and Social Security will launch a campaign to harness the knowledge, skills and capital of returnee migrant workers and expatriates.

·         Sports will be developed as a means of enhancing national unity, international prestige and friendship. We will strengthen social harmony, national unity, cultural and religious tolerance and liberal values.

·         The rule of law, independent judiciary, separation of powers, checks and balances, and the fulfilment of citizens’ rights will be guaranteed. We will carry out necessary reforms to enhance public trust and confidence in the judiciary.

Right Honourable Speaker,

Our foreign policy will be guided by principles of independence, self-respect and development. We believe in fostering good neighbourly relations and acting accordingly. We will address the legitimate interests of our neighbours while also expecting our own legitimate interests to be respected. We believe in mutual benefit and mutual respect.

Right Honourable Speaker,

In order to overcome the prevailing despair in the country, we must shift the focus of our politics toward development and prosperity. It is not possible to embark the country on the path to development and prosperity without a strong system. We have witnessed first-hand that a strong system cannot be established without stability.

I don't want to make any comments directed at the opposition today. However, I say at least this much that the previous government failed to find its rhythm and address the issues at hand despite the warm shoulders of powerful parties like the Nepali Congress and the CPN (UML)time and again. The situation remained unresolved, and there was a lack of interest in addressing it, which led to increased risks of negative consequences in society.  We could no longer stand by and watch. With that realisation, we have formed this new government, replacing the old one.  

We all know that the CPN (UML) and the Nepali Congress are competing parties, each with its own ideas. However, there have been times when these two parties have collaborated and delivered  historical results for the country:

-          In 1951, they united to end the Rana regime.

-          In 1990, they came together to overthrow the panchayat system.

-          In 2006, they collaborated to douse the flames of armed violence across the country and abolish the monarchy. On that foundation, these two parties, along with other forces, led the process of promulgating the constitution.

This time, we have reached a seven-point agreement and initiated cooperation once again. I would like to inform this respected House about the seven-point agreement between the CPN (UML) and the Nepali Congress as it stands:

1.       Protect the national interest, ensure good governance by controlling corruption, and form a national consensus government under Article 76 (2) of the constitution by involving other political parties to accelerate the nation’s development and construction efforts, and to ensure political stability,  as per the interest of the people.

2.       The national consensus government will review the strengths and weaknesses as well as complexities that have emerged since the enforcement of the constitution. It will prioritise necessary amendments to the constitution and the development of appropriate laws to ensure political stability.

3.       End the current sluggishness in economic and create a reliable business environment to ensure sustainable economic activities. Generate sufficient and decent employment within the country by encouraging both internal and external investment.

4.       The national consensus government will be led by the President of the CPN (UML), Honourable K P Sharma Oli, for two years from the date of its formation. Thereafter, it will be led by the Chairman of Nepali Congress, Honourable Sher Bahadur Deuba,  until the general election in November 2027.

5.       Form a basis for a national consensus government, formulate a minimum common programme, and run the government accordingly to protect national interests, ensure good governance by controlling corruption, and accelerate the national development campaign.  

6.       For the national consensus government, the two major political parties will take a leading role and participate in the government on the basis of equality, while also including other political parties in the government.

7.       Form and run the provincial governments in accordance with the values and spirits of national consensus government and expedite development efforts at provincial and local levels as per the people’s demands and sentiments.

Right Honourable Speaker,

The fundamental achievements of human civilisation, achieved through the unimaginable and huge sacrifices of previous generations, should be preserved and carried forward with pride by the new generation. It is also our responsibility to educate and prepare the new generation for this task accordingly. In this context, while standing before this dignified House, I am reminded of a conversation Nelson Mandela once had with a five-year-old girl:

 

    ‘A 5-year-old girl asked me, ‘How old are you?’

    I said, ‘Well, I really do not know but I was born long, long ago.’

    She asked, ‘Five years ago?’

    I said, 'No. Much longer than that.’

    Then she asked, ‘Why did you go to jail?’

    I said, ‘No, I didn’t go to jail. Some people sent me there.’

   She asked, ‘Who?’

   I said, The people who didn’t like me.’

   ‘How long did you stay there?’

   I said, ‘I can’t remember. But it was very, very long time.’

    And she said, ‘You are a stupid old man, aren’t you?’’

This dialogue underscores the urgency of teaching the new generation about the true history of struggle and sacrifice against tyranny to bring about epochal transformation and continuous progress for society, the nation, and the world. We aim to develop a civilised society that ensures intergenerational justice across the past, present and future, and establishes mechanisms for the transfer of knowledge and values. We are not ‘stupid’; we are on the path to shaping a ‘glorious history.’

A wave of excitement has begun with the implementation of our agreement to form the national consensus government. The stock market, which involves five million investors and is often seen as a mirror of the economy, has turned positive. In the past two weeks, it has risen by 400 points, with NEPSE reaching its highest level in 27 months. This reflects the trust and confidence the people have in our government. I would like to convey to all my fellow citizens through this honourable House that, with the stock market thriving, the entire market of the country will soon be bustling.

We have confidence to revitalise the entire country in motion, thanks to our long experience. We have the experience of successfully leading the post-earthquake reconstruction efforts in 2015, earning praise from the international community. Our experience includes rebuilding millions of damaged private homes, thousands of cultural heritages, school building and government offices. Additionally, we have the experience of consistently achieving economic growth over 7%, drawing global attention.

The entire country was showered with pride when the World Bank referred to Nepal as a ‘Shining Star in South Asia’. We have this experience. We are also armed with the experience in reducing absolute and multidimensional poverty. Our track record of rich experience includes expanding and enhancing our external relations, guided by the principle of ‘Amity with all, Enmity with none.’ Additionally, we have the experience of successfully amending the constitution with an unprecedented level of national consensus.

Right Honourable Speaker,

The constitution is not an unamendable document.  It is an instrument for the welfare of the country and its people, not an end in itself. Constitution, acts and laws are revised and amended as necessary. However, I have heard some people saying that amending the constitution is a regressive step. We have a habit of labelling something as regressive if it does not align with our liking. I urge everyone in this respected House not to harbour such illusions.

I am always a go-getter person. I won’t shift into reverse mode on my journey. There is no back gear in my drive.  What we all recognise is that the main challenge to development now is instability. If amending the constitution is a must for overcoming instability, then we should do so. What we have to understand is that the constitution should be an enabler for development, not a barrier to it. Any provision of the constitution that impedes development should be amended. I believe the entire country will unite on this matter and reach a national consensus.

Finally, I see no reason why all political parties and the honourable members should disagree with efforts to dispel the despair rampant in the country. In this time of economic crisis, I sincerely request the distinguished House to grant me a vote of confidence.  By doing so, we will encourage and motivate the people, and send a message that the entire House is united.

Thank you!

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