NepalтАЩs Finance Minister Rameshwar Khanal has drawn a clear line against closed competition in public sector promotions, signaling a push toward merit-based and transparent recruitment practices.
Speaking at the 36th anniversary of the Citizen Investment Trust, Khanal emphasized that while improving employee performance through incentives and compensation is necessary, restricting opportunities through closed competition cannot be justified. He indicated that fair competition must remain open to ensure institutional credibility.
He also addressed concerns over tax parity in retirement funds, acknowledging the validity of calls for equal tax rates on similar income streams. However, he clarified that the current interim government lacks the authority to amend income tax laws, noting that such decisions fall under the jurisdiction of elected representatives in parliament.
Referring to the principle of representation in taxation, Khanal underlined that policy changes must follow due legislative processes. He reiterated support for improving employee efficiency through structured incentives but maintained that limiting competition contradicts fundamental governance principles.
The minister further pointed out that the Citizen Investment Trust may face increasing competition from private pension fund management companies in the future. He urged both institutions and employees to prepare for an open and competitive environment as financial sector dynamics evolve.
