Bagmati Province Chief Minister emphasizes private sector role in development

Makwanpur. Bagmati Province Chief Minister Indra Bahadur Baniya has stated that the country cannot develop by weakening the private sector. While receiving a memorandum from the Federation of Contractors of Bagmati Province at the Chief Minister's office today, he said that the private sector should be given priority in development and construction work.

Stating that the government should be flexible towards the demands of the private sector as a large portion of government revenue comes from it, Chief Minister Baniya said that the government is sensitive to the impact of the unusual price hike in construction materials. He assured that the process of extending project deadlines would be initiated by looking into legal remedies and past precedents.

Chief Minister Baniya said, "The provincial government will take initiative to solve the problems faced by contractors in coordination with the federal and local governments, in accordance with the principles of coordination, cooperation, and coexistence, by considering the precedents of the federal government in the past."

He expressed confidence that most of the problems would be resolved as the Public Procurement Act is in the process of amendment. A team led by the Federation's Province Chairman Chhatra Bahadur Tamang submitted the memorandum to the Chief Minister. The Federation has demanded price adjustments, citing that the construction industry is in trouble due to unexpected and excessive price hikes in construction materials and their scarcity in the market.

Chairman Tamang urged for immediate directives for price increases in every project and for price adjustment arrangements for contracts of all durations.