Current Prime Minister Balendra Shah, popularly known as ‘Balen’, addressed election rallies for a total of just 26 minutes during his nationwide campaign. However, there has been little serious discussion about which key aspects of the country’s problems he prioritized during those speeches, and how he has been implementing those priorities since taking office. Notably, out of those 26 minutes, he spent 21 minutes outlining his plans and economic priorities aimed at enhancing the nation’s economic prosperity and raising the living standards of its people. His focus was clearly on increasing agricultural productivity, improving benefits for farmers, and promoting tourism. At one rally, he stated, ‘The goal is to provide local vegetables to our people and ensure farmers receive fair prices.’ His speeches ranged from serving Tharu cuisine to tourists to developing tourism in Badimalika.
Within just two months of becoming prime minister, import stalls selling products like butter have been removed from departmental stores in cities. Reports have surfaced that the market for locally grown bananas has matured. Just last week, following the public promotion of ‘DDC Cheese’ branding produced by Nepal’s state-owned Dairy Development Corporation (DDC), demand for these products has significantly increased. This is encouraging news amid the long-standing challenges of unsold stock and delays in payments to dairy farmers. Meanwhile, the government of Nepal has introduced a new regulation that prohibits bringing goods priced above NPR 100 from Indian border markets into Nepal without paying customs duties, with mandatory verification of the Minimum Retail Price (MRP) at the customs point. This has drawn criticism for its impact on bilateral cross-border trade and social relations in border regions.
Additionally, the government has begun aggressive regulation of nearly 100 educational consultancy agencies, which have been responsible for the rapid outflow of Nepali talent and capital under the guise of studying abroad. This is a significant development for the country’s economy, warranting further investigation and development of national policy. Reviewing all these issues, the biggest question arises: What shape is Nepal’s economic policy, formulated by Prime Minister Balendra Shah and termed ‘Balenomics,’ taking? And how suitable and actionable is this policy in addressing the national economy’s pressing needs?
