Nepal Chamber of Commerce Expresses Concern Over Government's Decision to Halt Public Vehicle Registration

Kathmandu. The Nepal Chamber of Commerce has expressed serious concern over the government's decision to halt the new registration of public transport vehicles.

Issuing a press release on Friday, the Chamber stated that the decision by the Department of Transport Management to halt the registration of all public transport vehicles (including electric ones) until further notice, with the objective of scientifically managing public transport, has put auto mobile entrepreneurs at great financial risk.  

According to the Chamber, while the policy the government is bringing to make the management of public transport scientific, systematic, and long-term is welcome, the decision to abruptly halt registration without any prior notice, discussion, or coordination with entrepreneurs is not practical.

The press release stated that hundreds of vehicles imported by opening letters of credit (LC) through various banks and financial institutions are in the registration process after clearing customs, some are in transit, and some have already been manufactured and dispatched according to orders from manufacturing companies. The sudden halt in registration has put investments at risk.

The Chamber warned that entrepreneurs will face a serious economic crisis as such vehicles imported for public transport services cannot be sold or used in other sectors. It also mentioned that this decision will negatively affect the credibility of Nepali entrepreneurs with international manufacturing companies.

Reminding that Nepali entrepreneurs had to lose significant credibility in the international market when the government suddenly stopped vehicle imports even during the COVID-19 pandemic, the Chamber stated that such a decision again will send a negative message about Nepal's business environment. The Chamber mentioned that the decision will directly affect public transport services, employment, the auto mobile business, investment in the banking sector, and government revenue collection, and urged the government to reconsider the decision immediately.

Chamber President Kamlesh Kumar Agrawal has demanded that the government facilitate the registration and operation of vehicles that are in the registration process, in transit, and imported under prior approval processes.

It has also been urged to adopt practical, scientific, and long-term policies by coordinating and consulting with the private sector and stakeholders as needed.