KATHMANDU: The Confederation of Banks and Financial Institutions Nepal (CBFIN) has welcomed the budget for the upcoming fiscal year 2026/27, presented by Finance Minister Dr Swarnim Wagle on Friday.

Issuing a press release today, the Confederation welcomed the policy and structural reform initiatives proposed in the budget aimed at economic revival, boosting the morale of the private sector, promoting investment, and building a production-oriented economy.

The Confederation stated that at a time when expected credit expansion from the banking sector has stalled and challenges from rising non-performing loans (NPLs) persist, the budget for the upcoming fiscal year creates a new foundation of hope and confidence to revitalize the economy and financial activities.

The statement notes that the budget has created an investment-friendly environment, particularly through reforms in the tax system, concessions provided to industries and businesses, promotion of the digital economy, prioritization of technology and infrastructure development, and an emphasis on the energy sector. “It is clearly evident that the budget for the upcoming fiscal year prioritizes investment, entrepreneurship, innovation, and the expansion of financial access by embracing the private sector as the primary partner and driver of economic growth,” the Confederation said.

The Confederation expressed confidence that provisions such as increasing the personal income tax exemption threshold, reviewing tax rates, easing customs on industrial raw materials, and mobilizing capital through alternative financial instruments will infuse positive energy into overall economic activities.