Finance Minister Dr. Swarnim Wagle States Foreign Loans are Compulsory for Nepal

Kathmandu. Finance Minister Dr. Swarnim Wagle has stated that taking foreign loans is a compulsory situation for Nepal.

He gave this clarification on Friday while responding to questions raised by MPs during the discussion on the National Debt Raising Bill, 2083, in the House of Representatives meeting.

Finance Minister Wagle argued that there is no need to oppose taking loans as if the ship itself will sink, as Nepal is investing in productive sectors with the intention of repaying them. He urged the MPs not to panic about the loans taken, as they are invested in productive activities. He further added, “Taking loans does not mean the ship will sink or the sky will fall. It has come from the honorable members themselves. Taking loans is not bad, loans must be taken. It is a compulsory situation for us. Where it is utilized properly is important. The honorable members need to monitor that closely. And, if you look at the Red Book even today, the honorable members will see – our loan investment is mostly in road infrastructure, transmission lines, and similar areas. And the beauty of that loan is that it is an investment that will be repaid on its own.”

He argued that the proper utilization of loans creates economic growth and generates income. He further added, “It creates economic growth. It generates income. It is not like eating ghee after taking a loan. You invest in productive activities. And this history has been continuing for almost 65 years. If the base and strength of the economy increase, foreign loans are not bad.”

In addition, Finance Minister Wagle also claimed that the government can collect revenue as targeted by strictly controlling corruption. He mentioned that the government is committed to stopping revenue leakage and maintaining financial discipline. (News Agency Nepal)