Kathmandu. KATHMANDU: Nepal-India Chamber of Commerce and Industry (NICCI) has suggested Finance Minister Rameshwor Khanal to form a foreign investors council.

Nickei Chairman Sunil KC paid a courtesy call on Finance Minister Khanal at his office on Monday, apprising him of the problems and complexities facing by all multinational companies including India in Nepal and control of unauthorized trade.

The recent GST review by the Indian government has raised the risk of widening the price difference between Nepal and India and increasing unauthorized trade. As the change in GST rates revises India’s maximum retail price, it is expected that the official import of some items in Nepal will be cheaper.

The 56th GST Council of India has revised tax rates on various consumer goods with effect from September 22. Due to this, a new base has been set in the market prices of India.

Dr KC also raised the issue of the increasing illegal trade in Nepal which has led to a huge decrease in government revenue. Responding positively to his suggestion, Finance Minister Khanal said that the Ministry would think of forming a ‘Foreign Investors Council’ for the ease and cooperation of the investors.

“Nepal needs foreign investment not only to create employment opportunities but also to promote export and expand its economy,” he said.