Budget for FY 2026/27 supports fiscal reforms, economic growth: ICAN

LALITPUR: The Institute of Chartered Accountants of Nepal (ICAN) organised an interaction programme on the Federal Budget for fiscal year 2026/27 in Lalitpur on Thursday, focusing on the budget’s rationale and its potential economic impact.

Around 170 participants attended the programme, including ICAN past presidents, council members, the presidents of ACAN and AuDAN, ICAN members, corporate officials and other stakeholders.

The programme opened with remarks from CA Ananda Raj Sharma Wagle, vice president of ICAN, who outlined the institute’s fiscal and tax policy recommendations and how they are reflected in the Finance Bill 2083. CA Wagle highlighted ICAN’s pre‑budget suggestions, emphasising digitisation, revenue optimisation and reforms in public financial management as priorities.

A technical session on 'Economic Analysis, Annotation, and Dissemination of the Federal Budget 2083/84' followed, moderated by ICAN council member CA Thakur Prasad Adhikari. Dr Biswash Gauchan FCA, executive chair of the Institute for Integrated Development Studies (IIDS), presented a paper examining macroeconomic assumptions, budget targets, expenditure priorities and deficit financing strategies, and outlined measures to address challenges such as low economic growth, rising public debt, a declining population and low per capita income.

Panellists included Padam Kumar Shrestha, deputy director general of the Inland Revenue Department; CA Sudarshan Raj Pandey, past president of ICAN; and Anjan Shrestha, president of FNCCI. The panel debated tax rate reductions, exemptions for pending tax cases and ways to bring informal sectors into the tax net. Discussions also covered macroeconomic indicators, employment generation and leveraging key sectors such as hydropower and tourism to support sustainable growth. The panel highlighted the importance of chartered accountants as the “Right Person in the Right Place” within government institutions and noted ICAN’s role in bridging government, the economy and the private sector through professional expertise.

A second technical session on 'Changes in Tax Laws by Finance Bill 2083' was led by CA Umesh Raj Pandeya, who outlined key amendments affecting income tax, value‑added tax (VAT), customs duties and excise duty.

The programme concluded with a question‑and‑answer segment and further discussions on fiscal and tax reforms, macroeconomic challenges and pathways to sustainable development, reinforcing ICAN’s role as a platform for policy dialogue among government, private sector and professional stakeholders in Nepal.