KATHMANDU: Chandra Prasad Dhakal, president of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), has expressed optimism that the formation of a new government involving the two largest parties in parliament has raised hopes for political stability in the country.

"This development has inspired the business community," he added.

Describing political and policy instability as major obstacles to building an investment-friendly environment in the nation, Dhakal said the new government is expected to address these issues, thereby boosting economic activities.

"We have been dealing with an economic slowdown since the COVID-19 pandemic, and political instability has exacerbated the situation," Dhakal told RSS.

He expressed hope that the new government, led by CPN (UML) Chair KP Sharma Oli and supported by the largest party in parliament, the Nepali Congress, would pave the way for economic revival. -- RSS