NADA Automobiles Association of Nepal has expressed its displeasure that the automobile sector has been completely neglected in the monetary policy of the next financial year.
NADA issued a statement saying that the suggestions given by NADA were not addressed anywhere in the monetary policy announced by Nepal Rastra Bank Governor Vishwanath Paudel on Friday.
"Monetary policy has been far away from the expectations of the automobile industry," NADA said in a statement, adding that "suggestions from the automobile sector have not been taken seriously and have not been addressed anywhere." The existing policies that need to be reformed have been kept as they are.
NADA has expressed displeasure noting that no facilitation has been provided in the policies related to the import of vehicles. It is said that there is no change in the policy regarding luxury, heavy segment and high-tech vehicles.
The statement said, "Even though customs and tax exemptions for electric vehicles have been maintained as in previous years, there has been no significant improvement in vehicle loans, import procedures and industrial recognition." According to
NADA, although the monetary policy has tried to promote green finance and sustainable transport infrastructure, direct lending for electric vehicles has not been prioritized.
Rashtra Bank's statement that criteria such as 'fit and proper test', loan interest rate, and service charges will be reviewed to give approval to hire purchase loan companies is positive, according to NADA. However, mentioning that the loan-to-value ratio for fuel-powered and luxury vehicles has been further tightened, it has objected to keeping the provisions of personal vehicle loans intact.
"Even though flood and border related obstacles are accepted, no concrete policy measures are included to facilitate the import of vehicles," the statement said, "Although general priority is given to the manufacturing sector, the automobile sector is not clearly prioritized."
