Fiscal plan

The first five-year plan named Papatileka was implemented by USSR in 1928 A.D. setting record in the world history. This note provides a brief introduction on a fiscal plan.

Tourism Industry and Its Importance

Possibility of Tourism in Nepal

Problems in Tourism Industry of Nepal

Solutions to Problems in Tourism

Tourists Centres In Nepal

Foreign Employment

Challenges and Opportunities of Foreign Employment in Nepal

Problems in Foreign Employment and Their solutions

Important Source of Energy: Water

1. The power got naturally from coal, wood, gas, petroleum, hydroelectricity, nuclear fusion furnace, etc. is called energy.
2. Nepal has traditional and commercial sources as the two sources of energy. Traditional sources include firewood, agricultural residues, etc.  Commercial resources include petroleum products, coal, electricity, etc.
3. Even though Nepal is a landlocked country, both surface and underground water resources are abundantly available here.
4. Rivers have water flowing throughout the year. The natural form of vertical and sloped land and enough permanent water-flow in the rivers means there is high growth potential for water power.
5. Hydro-power energy use can control deforestation and electricity can be exported to foreign countries. It also contributes to the modernization of agriculture and in environment protection.
6. The potential for the hydroelectricity in Nepal is estimated to be 83,000 MW. This is 2.26% of total hydroelectric energy production of the world. We can obtain 42,000 MW electricity depending on Nepal’s current economic and technical potential.
7. Nepal produced 829MW electricity in the fiscal year 2072/73 B.S. Approx. 689 MW electricity is connected to the National Transmission Line, and others are being produced and consumed at the local level.
8. The 14^th Periodic Plan has the goal of producing around 2279 MW electricity.
9. The first plant was Farping Hydroelectricity Project with production of 500 KW power from 1968 B.S.
10. Only 56% of population has electricity access.
11. Lack of investment, transportation and roads, political instability, local strikes, etc. have made development difficult.
12. There is a lot of potential and if we can invest in it, we can be self sufficient in energy production.

Co-operatives and their Economic Importance

1. Cooperative is a group of like-minded people working for the same economic and social goals. So the basic meaning of cooperative is to work together in collaboration.
2. In a broader sense, people with different purpose, careers, businesses and aspects working for social and economic development are considered a cooperative.
3. A co-operative is an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly owned and democratically-controlled enterprise.
4. In Nepal, formal cooperatives were developed after the formation of Cooperative Association in 2010 B.S.
5. The Cooperative Act, 2016 was issued to institutionalize cooperatives in Nepal.
6. Cooperative Law in 2018 B.S. and Cooperative Bank 2020 B.S. were established.
7. After the promulgation of the Cooperative Act in 2048 B.S., the wave of establishing cooperatives began.
8. Cooperative institutes have certain objectives and goals. Such organizations can function without external restrictions.
9. Cooperatives are democratic organizations and are operated by the members elected or appointed by the members.
10. The members have equal right to the profits from financial transactions.
11. Cooperatives can play a key role for the strengthening of the economic system of Nepal.
12. The cooperative teaches farmers to be economically independent.
13. It promotes the feelings of production pride in the rural societies.
14. It helps the locals in improving the quality of life as well as poverty alleviation.
15. The establishment of multi-purpose cooperatives has played an important role in credit services available to farmers involved in agriculture and easy market access to improve rural living conditions.
16. The presence of domestic and small industries is necessary for better rural living standards. So the capital required for the establishment of small and cottage industries are possible through cooperatives.
17. Such organizations also contribute to the economic development in national periodic plans.

Financial Education

1. Generally finance means a person’s property or merchandise. Any activity based on economics is finance, including currency trade.
2. Each person has the right to economic or financial resources, and for it to be used effectively and economically.
3. The understanding of the importance of finances and their appropriate management is called financial education.
4. The understanding of the importance of finance helps in managing money, providing the best use of economic and social security and household income and helping to run a smooth household.
5. Financial education teaches us to save a portion of the family income, managing the amount received from abroad remittance properly and productive use of financial education information.
6. Financial organizations in Nepal are classified in Class A, B, C and. Statistically from 2073 B.S., there are 31 'A' class commercial banks, 7 'B' class commercial banks, 59 'C' class financial companies, and 35 'D' class microfinance financial companies. 
7. Banks and financial institutions collect savings and deposits, provide loans, etc. In addition to these, institutions also work on money transfer transactions, exchange of foreign currency, the official governmental bonds business, gold loans, bank guarantees, etc.
8. Banks and financial institutions involved in financial transactions opens an account in the individual or organization’s name. A bank account is the description with the name of the person or organization and details.
9. Checking accounts are used mostly by business and offices. One can deposit and withdraw any amount any number of times within a single day. They usually do not pay interest, and they may restrict or impose additional fees for excessive activity, such as writing more than a certain number of checks per month.
10. Savings accounts are used mostly by small amount deposits by general public. One can deposit any amount any number of times but can only withdraw a fixed amount at fixed intervals. The banks define the terms of deposit and withdrawal. The banks pay interest on the deposited amount.
11. Fixed deposit accounts are the accounts that are opened with a certain amount for a fixed length of time. These accounts are opened for 3 months, 6 months, 1, year, 2 year, or longer. The amount cannot be withdrawn before the set time. These accounts give high interest on the deposit. If one wishes to withdraw the amount before the set time, a loan can be taken by submitting the original deposit certificate as collateral.
12. Automated Teller Machine (ATM) cards are digital cards that can be used to withdraw money from a bank account or view the current status of the account through an ATM machine. These are also called Debit Cards because they are only used to withdraw the amount available in the bank account. The ATM cards come with a pin number provided by the bank which can be later changed by the user.
13. Credit cards are issued to its loyal customers by banks who can withdraw amounts greater than their accounts hold at the moment. The credit limit is fixed by the bank and the interest is taken from the account with each use of the credit card.
14. The banking service can be accessed by the use of SMS system. The amount remaining in the account, transfer of amount to another bank account, or payment of bills can be done by the SMS.

Financial Instruments

1. Clean note bills are essential to carry any type of transactions. Currency is of two types, note bills and coins.
2. Generally, notes are used in almost all countries as a majority.
3. The central bank of any country is responsible for the note bills printing and circulation. This role has been taken by Nepal Rastriya Bank.
4. The Nepal Rastriya Bank issues new note bills from time to time. It has passed a Clean Bills Act to keep clean notes in circulation.
5. Nepalese note bills feature Nepali nationality, nature, culture, civilization with subjects representing animals, birds, monuments, etc.
6. Bank credit/loans are the financial resources that are required for any enterprise to conduct any business.
7. We take credit or loans for various things like animal husbandry, operation of a business, emergency expenditure, social work or education.
8. Banking system can provide with the necessary loans. Loan is the amount taken from a person or institution to be paid after a certain period with interest to be paid regularly as the loan condition.
9. There are different types of such loans. These types of loans include capital loans, purchase loans, consumer loans, and investment loans.
10. Transfer of money from one place to another is called remittance. Banks, financial institution or money transfer agencies transfer funds.
11. The contribution of remittance is about 23% of the total GDP of Nepal. 
12. Any currency is a foreign currency if it doesn’t belong to Nepal. The profit to any country is more if there is more foreign currency in circulation.
13. Foreign currency is used when doing any international business. Foreign currency enters Nepal through several sources.
14. Foreign currency is received when Nepali workers earn money abroad and send it to Nepal, or when international agencies donate money to Nepal.
15. Foreign Exchange is when one currency is exchanged with another currency.
16. Stock is the financial tool issued by the government or any company to collect the money needed to function properly.
17. This includes government bonds, bond debentures, shares, etc.
18. Any business development and expansion of services requires capital and bonds are issued to collect that capital. The investment in savings guarantees the security and operational development of a project and serves in the overall development of the economy of a country. Generally shares are of two types, general shares and preference shares.
19. Preference shares are the shares that provide bonus amount before any other types of shares. The bonus amount percentage is fixed.
20. The share which provides bonus after the preference share bonus payment is done, and from the profits after that are general shares. This type of share is preferred by people who risk more in search for more return in their investment.

Revenue and Tax Collection

1. A government earns money from various sources. This income is public revenue, and the government gets revenues through this.
2. The government receiving money from the citizens according the law and the citizens that have to pay money compulsorily to the government according to the law is called tax.
3. Tax is a compulsory means, and the person or business paying tax does not expect any special treatment from the government.
4. Tax is the fixed amount rate taken by the government from its citizens. There is no direct profit to the citizens by paying tax.
5. This is the main source of revenue for the government. Customs tax, service tax, land tax, income tax, admission tax, etc. are some of the taxes that make up the revenue.
6. If an individual has to pay the tax, it is called direct tax. When a person buys land, house, etc. he/she has to pay tax and this cannot be transferred to another. Income tax, salary tax, land tax, house tax, etc. are examples of direct tax.
7. The rates of this tax can be more or less depending on the time. This kind of tax helps to balance the currency in circulation. 30% of total revenue is made of direct tax.
8. When payment of tax is dependent on one, and the effects falls on another, that type of tax is indirect tax.
9. When a person eats in a hotel, and pays a bill inclusive of tax. The hotel pays the tax to the government, but the customer has to pay that tax amount as well. This is indirect tax.
10. Custom tax, VAT, etc. are examples of indirect tax. This kind of tax cannot be cheated, and the range is flexible.
11. Other source of revenue except tax is called tax-free income. Gifts, donations, fines, punishments, heirless property, public property, etc. are tax-free.
12. The tax taken for the value added during the production and distribution of an object or service is VAT. Tax is taken in object and service price, but the load falls on the customer.
13. If a business has transactions above 20 lakhs, then they have to compulsorily register for VAT. 
14. Excise duty is the tax taken on products manufactured within the country and imported goods. This is another important source of revenue for the country.
15. The tax is taken on presumed business in a country, so called excise duty. Excise duty is taken on alcohol, cigarettes, noodles, plastic, vehicles, electronics, press, etc.
16. Tax taken according to lawful import or export of goods in the border of the country is customs tax. This is the most important tax in the government revenue.
17. Every government sets up a customs office in the border because of its importance. Nepal government has customs office in Kakarbhitta, Biratnagar, Birgunj, Bhairahawa, Nepalgunj, etc.
18. Generally, tax taken from the income of a person is called income tax. This is the oldest form of tax.
19. This is taken on businesses, investments, profits, etc. This has been implemented on almost all sectors in Nepal.
20. Tax deductions are available for profit oriented businesses, organizations, non-professional sport organizations, political parties registered under election commission, etc.
21. The local government has right to deduce tax in 8 various types according to the Local Independent Rule Act.

Consumer Rights

1. Consumers are the customers who consume goods and services for personal purposes.
2. Any person can be a producer and distributor for one product, and can be a consumer for another product or services. Hence a consumer is any individual, institution, company, etc.
3. Nepal's Constitution Part 3 Section 44 defines Consumer Rights in Nepal. It defines clearly that each consumer has a right to quality product and service.
4. The Ministry of Commerce has defined consumer as any person or group that consumes goods and services. The Consumer Protection Act Article 2 defines a consumer as any person or organization that consumes or takes service.
5. Consumers' rights include consumer goods and services related to the consumer.
6. March 15^th is the celebrated as International Consumers Day every year.
7. The law mentions that a consumer is entitled to quality goods and services, and has a right to compensation if the quality of the product is not good. The United Nations has defined 8 rights as consumers’ rights.
8. Consumers have the right to complain if the goods or service is not according to the quality standard. In these cases, the consumer can file the complaint themselves, or go through any consumers’ rights group.
9. The complaint can be made in Commerce Department, District Administration Office or nearby Police Station.
10. Education and consciousness are necessary to know consumer rights. There is no knowledge about the consumers’ rights without consumer education. Consumer education is essential to understand the illegal businesses or low quality products. Consumer knowledge can be obtained through consumer education.