29/05/2025
2025 Budget Speech Summary
1. Advance pricing to be determined for agricultural produce. Advance purchase agreements will be made with the farmers.
2. Ownership certificates (land titles) to be provided to 500,000 families within a year.
3. Arrangements to be made to facilitate the process of land mortgage and release through online system.
4. Savings of up to NPR 500,000 held in cooperative institutions to be refunded.
5. Government to freeze assets and passports of directors, officials, and loan defaulters of troubled cooperatives
6. The assets of those who have misused cooperative property to be auctioned, and the recovered funds to be refunded the depositors.
7. Concessional loans at 3% interest rate to be provided to startups.
8. The jewelry export industry to be provided with bonded warehouse facilities, and arrangements to be made for the purchase of gold and silver with 50% advance payment.
9. Industries that relocate outside Kathmandu will be provided with free land facilities.
10. All processes for company registration to be handled through a single point of contact.
11. Consumer courts to be expanded across all provinces.
12. Ban to be enforced on plastic thinner than 40 microns from Mangsir.
13. Nepali exporters will be allowed to invest up to 25% of their total exports abroad.
14. Improvements to be made to the intellectual property-related laws.
15. Private sector to be encouraged to establish film shooting studios.
16. 4G services to be expanded nationwide; 5G to launch in Kathmandu and major cities
17. Government to ease real estate sales for permit holders with excess land
18. Legal recognition for sweat equity shares. Nepali citizens allowed to receive sweat equity shares for providing technology or services to foreign companies
19. Government to provide land, electricity, and security for data center companies
20. AI center to be established in collaboration with private sector in FY 2082/83
21. Secondary Education Examination (SEE) to be conducted by the provinces themselves.
22. Mobile phones to have their IMEI registered to control illegal imports.
23. Government to waive fees for registration and renewal of industries and businesses in women’s names.
24. All mortgage and release processes with banks and financial institutions to be fully online.
25. Companies registered in Nepal allowed to invest abroad; 50% of foreign investment profits to be repatriated.
26. Government to grant income tax and electricity duty exemptions to hotels like productive sectors
27. Foreign students studying in Nepal to receive free visas for the academic calendar; guardians to be granted multiple-entry visas.
28. No multiple taxes on imported goods, vehicles or public vehicles after customs payment
29. New industries in special economic and industrial zones to receive rent exemptions for the first three years
30. Asset management company to be established to manage non-banking assets.
31. NRN to be allowed to invest in Secondary market.
32. Securities Board’s institutional capacity to be enhanced; NEPSE to undergo restructuring.
33. KYC to be integrated in National ID Card.
34. 30% Equity Shares of NTC to be diluted by Government.
35. Neo Bank to Be Established Under New Government Plan.
36. Govt Raises Dearness Allowance for Public Servants to Rs 5,000.
37. Govt Bonds to trade in Stock Market.
38. Legal Framework to Allow Employees’ Provident Fund, Citizen Investment Fund, and Social Security Fund to Invest in Private Equity and Venture Capital
39. People employed for foreign companies while living in Nepal to pay just 5% tax on their income (Final Withholding)
40. Social Security Allowance eligibility enhanced to 70 years from 68 Years.
41. 5-Year Income Tax Exemption for Electric Vehicle Assembly Industry.
42. No Income Tax for Start Up business for 5 Years having transactions upto 10cr.
43. All types of taxes and duties will be exempted on machinery imported for green hydrogen production industries. 5 Year IT Exemption.
44. 1% Customs Duty and no other taxes on EV Battery Parts for EV machine assembling/ producing Industries; 5-Year Income Tax Exemption
45. Freight Charges Paid by Freight Service Providers Allowed as Expenses for IT Purposes.
46. Mandatory Registration in Approved Retired Funds (CIT, PF, SSF)
47. VAT Abolished on Digital Service Payments Settlement
48. Advance Income Tax Waived on Customs Duty for Food Grains, Spices, Fruits, Vegetables, Livestock, and Dairy Products.
49. All Taxes and Duties on EV Vehicles Remain unchanged.
50. Scope of taxpayers registered in CBMS to be enhanced.
51. Scope of Digital Service Tax Enhanced
52. NO BG of Rs 3 lakhs required for Exim Code for industries.
53. Provision Requiring Minimum Tax Payment Even With Nil Taxable Income Has Been Removed.
54. International Price Reference Database to be prepared to make customs valuation more accurate.
55. Effectiveness of Multiple VAT Rates to be conducted.
56. National ID to Be Used in All Types of Public and Financial Transactions Including Banking, Insurance, Securities and Telecom.
