DistantNews
Support us
🇳🇵 Nepal /Economy & Trade

In 100 days, finance minister unable to give fillip to the economy, restore private sector confidence

From Kathmandu Post · () English

Summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • Finance Minister Swarnim Wagle has completed his first 100 days in office, but economists argue his reforms have not yet boosted the economy or restored private sector confidence.
  • Despite high expectations following an election shaped by the Gen Z movement, key economic indicators like capital expenditure and revenue collection remain stagnant, with weak loan demand and a declining stock market.
  • While Wagle points to progress in public service delivery and governance reforms, experts emphasize that effective implementation is crucial for tangible results and economic revival.

Finance Minister Swarnim Wagle marked his first 100 days in office on March 27, 2026, having pledged to prioritize economic reform and create a more business-friendly environment. However, economists contend that his initiatives have yet to yield significant improvements or rekindle private sector confidence.

The government assumed office with high hopes of revitalizing the economy, largely resting on Wagle's ministry. Yet, economists observe a failure to improve capital expenditure or revenue collection. Despite substantial excess liquidity in commercial banks, loan demand remains subdued. The stock market has continued its downward trend, the real estate sector is sluggish, and overall business confidence shows little sign of recovery.

The Rastriya Swatantra Party’s election manifesto and the government’s 100-point governance reform plan created enormous expectations. But there has been no visible improvement in private sector confidence, capital expenditure has not improved, excess liquidity in banks remains unchanged, and the stock market continues to weaken.

— Dilli Raj KhanalAn economist commenting on the government's performance during its first 100 days.

Wagle, however, asserts that the government has made substantial progress. He highlights reforms aimed at enhancing public service delivery, including a plan to allow citizens to schedule appointments for government services. The administration has also abolished redundant ministries and amended obstructive laws, which are seen as positive steps towards attracting investment and improving governance.

Economist Dilli Raj Khanal expressed disappointment, noting the gap between the "enormous expectations" set by the Rastriya Swatantra Party's manifesto and the government's reform plan, and the current reality of stagnant private sector confidence and weak economic indicators. He stressed that the government must now focus on implementation and delivering results to prove its effectiveness.

But the real test lies in implementation. The government must now focus on delivering results.

— Dilli Raj KhanalAn economist emphasizing the need for effective execution of reforms.
DistantNews Editorial

Originally published by Kathmandu Post. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

More Stories

From Our Blog