Lumbini's Multi-Million Rupee International Convention Center Remains Underutilized

Butwal. The international-standard convention center built in Lumbini with an investment of billions of rupees has failed to operate as expected. Four years after its completion, only 15 events have been held at the venue.

Owned by the Lumbini Development Trust, the hall averages only 4-5 events per year. Built with a capacity of 5,000 people, the state-of-the-art facility was intended to boost domestic and international activities in Lumbini.

The lack of a clear government operating procedure has exacerbated the situation. The Trust stated that it has been operating the hall on a limited basis based on internal guidelines.

Lumbini Development Trust Information Officer Dr. Hari Dhwaj Rai stated that the hall is being operated under internal guidelines. He noted that due to the absence of a unified operating procedure for convention centers nationwide, they are relying on internal protocols.

Local hotel entrepreneurs in Lumbini have demanded that the hall be operated commercially. Hotelier Akram Khan suggested that a facility built with such a large investment should host at least one event every week. According to him, activities at the hall could directly benefit the hotel and tourism industry in the Lumbini region.

Khan accused the Development Trust of failing to focus on promotion, coordination with organizers, and commercial initiatives to attract events to the hall.

In the four years since its completion, the convention center has generated a total revenue of 3.65 million rupees. Significant expenses are incurred for electricity, water, cleaning, and security, which the current income struggles to cover.

The hall was inaugurated by then-Prime Minister Sher Bahadur Deuba on Jestha 2, 2079, on the occasion of the 2566th Buddha Jayanti. Built at a cost of nearly 700 million rupees, only two events have been held there so far in the current fiscal year.

According to Dr. Hari Dhwaj Rai, a total of 15 events have been held in the four-year period. 'The hall has not been fully utilized as expected. Internal plans are being made to make it more vibrant,' he said.

How much income in four years?

In the four years since its completion, the convention center has generated a total revenue of 3.65 million rupees. Significant expenses are incurred for electricity, water, cleaning, and security, which the current income struggles to cover.

According to the Trust's Chief Accountant Bhim Basnet, 1.35 million rupees were earned from 7 events in the fiscal year 2079/080, 1.26 million rupees from 3 events in 2080/081, 780,000 rupees in 2081/082, and 250,000 rupees from 2 events so far in the current fiscal year.

Homraj Bhusal, President of the Lumbini Economic Research Center in Butwal, emphasized the need for a clear strategy to operate the hall commercially.

Noting that such a large investment has not been effectively utilized due to a lack of planning and market management, he pointed out that collaboration with the private sector, strategies to attract events, and long-term planning are essential to achieve returns on investment.