KATHMANDU: Nepali Congress MP Gagan Kumar Thapa has remarked that there is no basis for the government to achieve the 6 percent economic growth rate projected in the budget statement presented by Finance Minister Barshaman Pun for the next fiscal year (FY) 2081/82.

During a recent meeting of the House of Representatives, Thapa questioned the basis for achieving the 6 percent economic growth.

"Economic growth is projected to be 6 percent in the coming year. However, when some development partner agencies are projecting an economic growth rate of only 4 percent, on what basis has Finance Minister Pun set a target of 6 percent economic growth?" Thapa asked.

He highlighted the lack of demand in the market and the current economic crisis, suggesting these factors will challenge economic growth.

"Our expenses are increasing, middle-class people are being hit by high taxes, and money is piling up in banks due to the high taxes on new investments. There is an economic crisis. The goal of economic growth cannot be achieved by merely increasing the general tax rate," Thapa stated.

Thapa pointed out that many development projects remain incomplete due to insufficient investment in infrastructure development. He emphasized the importance of not only increasing spending but also ensuring quality in infrastructure construction.

"In the upcoming fiscal year, the government has allocated a budget of Rs 1.6 billion for the Sikta Irrigation Project even though the project has requested for Rs 3 billion. This project will take years to complete," he said. "The goal of the agricultural decade cannot be achieved by reducing investment in irrigation projects."