Dialogue between information technology stakeholders and the High-Level Committee for Tax System Reform

South Asia Watch on Trade Economics and Environment (SAWTEE) organized a discussion between the High-Level Committee for Tax System Reform and businesses and experts from Nepal’s information technology (IT) industry on 3 January 2024 at SAWTEE office. The committee, chaired by former minister and finance secretary Vidyadhar Mallik, received inputs on opportunities, problems, and changes essential for accelerating the growth of Nepal’s IT sector.

The dialogue engaged diverse stakeholders, delving into Nepal’s digital economy, IT export potential, and the realm of domestic and cross-border digital trade. Participants, spanning IT entrepreneurs, government officials, and business leaders, offered valuable insights on the challenges, prospects, and essential facilitations required for promoting information technology businesses in the country. In extensive discussions, participants explored the opportunities and hurdles faced by local IT companies venturing into the export of IT products. They addressed the intertwined challenges and possibilities within the IT export sector, highlighting the critical issue of brain drain. This underscored the urgent need for strategies aimed at retaining local expertise and talent within Nepal’s IT landscape. Participants urged robust government backing to enhance Nepal’s IT product exports, emphasizing the need for policies that both facilitate exports and protect local IT firms, ensuring their sustained growth. Tax reforms were at the centre of discussions, crucial for supporting Nepal’s expanding IT sector, emphasizing their role in fostering an environment conducive to IT growth and innovation.

The session concluded on a high note, reflecting a collective commitment to harness Nepal’s IT potential and streamline policies for a thriving technological landscape.