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1 TRANSLATION OF THE PROCEEDINGS AND ... - APFA News

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The fact that the debt service ratio to GDP was 4.1% and that the domestic<br />

revenue has been able to meet current expenditure indicates sound fiscal<br />

policies of the government. The reasons for additional expenditure of<br />

approximately Nu.400 million in excess of the budget for the fiscal year 2000-<br />

2001 approved by the National Assembly has been clearly explained by the<br />

Hon’ble Finance Minister. While the government has to undertake many<br />

important activities, the rainfall and floods last year have caused considerable<br />

damage to infrastructure like roads and bridges in the country. An amount of<br />

approximately Nu.278 million has been spent on repairing and renovating them.<br />

Besides, new embassy buildings have been purchased in New York, Geneva and<br />

Bangkok at a cost of Nu.260 million. Furthermore, the salary of the new recruits<br />

of civil servants, increasing the daily wage of the national work force by two<br />

fold by His Majesty the King, and the increases in the DSA and sitting fees of<br />

DYT and GYT members have caused the increases in expenditure. The Speaker<br />

said that it is important for the honourable members of the National Assembly<br />

to understand that in the fiscal year 2001-2002, there will be a negative<br />

difference of Nu.10,47 million or 10.5% over the approved budget, and that the<br />

government will ensure a very stringent spending.<br />

The Speaker pointed out that the fruitful outcome of the fiscal year 2000-2001<br />

as desired by the people and the government has been possible due to the<br />

visionary and dynamic leadership of His Majesty the King, and the collective<br />

wisdom of the Council of Ministers. Moreover, the Ministry of Finance has also<br />

maintained sound fiscal management policies.<br />

In order to promote the growth of the private sector, the government has initiated<br />

many plans and policies. Three different study tours will be jointly organized<br />

abroad. Reform of taxation policies and abolishing taxes for essential consumer<br />

goods indicates steady and sustained socio-economic development process. He<br />

extended gratefulness to the UNDP and other development partners for their<br />

assistance. He also noted a special vote of thanks on behalf of the honourble<br />

43

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