Former Finance Minister Surendra Pandey: State Alone Cannot Mobilize All Resources for Development

Kathmandu. Former Finance Minister Surendra Pandey has stated that the state alone cannot mobilize all the resources required for the country's development. He believes that the economic transformation of the country is not possible without the active and meaningful participation of the private sector.

Speaking at a special discussion program on the upcoming fiscal year 2083/84 budget organized in the capital, former Finance Minister Pandey clarified that although the state will always play a leading role in the process of nation-building, the government alone cannot bear the entire responsibility for development. He pointed out that there is still a need for policy clarity on the roles of the state and the private sector in nation-building. He emphasized that the state should present a clear perspective on the scope of work and roles between the government and the private sector in the coming days.

Mentioning that the upcoming year's budget aims to bring structural changes, transform the character of the state, and change the form of the economy, former Finance Minister Pandey said that cooperation between the state and the private sector is indispensable to achieve such ambitious goals. Recalling his experience as Finance Minister, he claimed that the Ministry of Finance or the state apparatus alone is not capable of fulfilling all the expectations of the general public regarding Nepal's development. He stated that the entire burden of large investments, resources, and financial management required for development should not be placed solely on the shoulders of the government.

Sharing his experiences on the budget and development model, former Finance Minister Pandey said, 'What my experience has shown is that the state is definitely a leading sector in the overall process of national development. The state has the power to implement laws, it has the state apparatus, and it also has the necessary authority. However, it is still not clear who will take the main responsibility for nation-building. Is this responsibility of the government or the private sector? There are different opinions on this matter.'

Citing the context where the budget document claims to bring structural changes, change the character of the state, change the form of the economy, and draw a new roadmap for development, he said that one thing became clear to him while working as Finance Minister. He added, 'The Ministry of Finance, the Finance Minister, or the state alone cannot fulfill all the development expectations of Nepal. It is not possible for the state alone to bear the entire burden of necessary investment and resource management. Based on my experience and understanding so far, it is clear that the state alone cannot mobilize all the necessary resources for the country's development and achieve the expected results.'

Former Finance Minister Pandey expressed the view that tripartite and effective cooperation between the state, the private sector, and civil society is necessary to achieve economic transformation and sustainable development goals in the country. In addition, he commented that the practical implementation aspect of the upcoming fiscal year's budget is quite challenging, as clear sources of expenditure are not visible.