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			'title' => 'Public Warehouse Act In The Offing',
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			'content' => '<div style="text-align: justify;">
	The Ministry of Finance (MoF) has drafted the Public Warehouse Act. The committee formed under the leadership of Rajiv Gautam, the Joint Secretary at the MoF’s legal department, has submitted the draft for deliberations.<br />
	 </div>
<div style="text-align: justify;">
	The committee comprised officials from the MoF, Ministry of Commerce and Supplies, Ministry of Agriculture and Cooperatives and two commodity exchange companies. Gautam said that the draft was prepared considering international norms as well as the practices of the neighbouring countries. The draft has provisions that allow borrowing from banks against the certificates of&nbsp;goods stored in such warehouses.<br />
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<div style="text-align: justify;">
	Now the MoF is collecting feedback on the draft from the concerned agencies in the private and public sector. These feedback and suggestions will be incorporate dint he final draft, said Gautam.<br />
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<div style="text-align: justify;">
	Bijaya Satyal, the CEO of Commodities and Metal Exchange of Nepal (COMEN) and a member of the committee, said that he is trying to include a provision in the draft that requires all the goods being imported or exported to be stored compulsorily in a public warehouse.<br />
	 </div>
<div style="text-align: justify;">
	The government had in the budget speech for the current fiscal year promised to introduce the Public Warehouse Act. Following this declaration, more than 50 warehouse companies got registered with the Company Registrar’s Office.</div>
<p style="text-align: justify;">
	The Act will open doors for trading Nepali commodities in the country’s derivatives market. The commodities exchange companies have been demanding such an Act for a few years now. </p>',
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			'title' => 'Nepal-Tibet Trade Increases 90 Pc',
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			'content' => '<div style="text-align: justify;">
	The trade between Nepal and Tibet Autonomous Region of China has increased 90 per cent in January 2011, according to a Chiense government agency. According to the Tibet Customs Office of China, bilateral trade worth US$ 59.67 million was transacted in the first month of this year. It is 90.2 per cent more compared to the same period last year.</div>
<p style="text-align: justify;">
	The office said, out of a total foreign trade of Tibet worth US$ 80.76 million, 68.1 per cent was with Nepal. Nepal-Tibet trade in 2010 was for US$ 542 million. This year’s trade is 65 per cent higher than that of the previous year.</p>',
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			'description' => 'The trade between Nepal and Tibet Autonomous Region of China has increased 90 per cent in January 2011, according to a Chiense government agency.',
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			'title' => 'Six Municipalities To Turn Model Cities',
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	Th<img align="left" alt="" border="2" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/cities.jpg" style="width: 368px; height: 230px;" vspace="2" />e government has decided to develop six municipalities across the country as model cities. The World Bank and Nepal Government are jointly funding the project. Dhankuta, Mechinagar and Itahari in the east and Lekhnath, Tansen and Baglung in the west have been selected for development as model cities.<br />
	 </div>
<div style="text-align: justify;">
	The development work will be carried out jointly by the Ministry of Physical Planning and Works and the Ministry of Local Development. The project is estimated to cost US$ 35 million of which The World bank will provide US$ 25 million as aid and loan while the government will invest US$ 10 million. The World Bank has agreed in principle&nbsp;to provide the amount. Similarly, German Technical Cooperation (GTZ) also has promised assistance.</div>
<p style="text-align: justify;">
	The five-year long project would develop physical infrastructure in these cities.</p>',
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			'description' => 'The government has decided to develop six municipalities across the country as model cities. The World Bank and Nepal Government are jointly funding the project.',
			'sortorder' => '201',
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			'title' => 'Financial Sector Reform Very Slow',
			'sub_title' => '',
			'summary' => null,
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	<img align="left" alt="" border="2" height="123" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/fncci1.jpg" vspace="2" width="300" />Nepal Rastra Bank (NRB) Governor Dr Yubaraj Khatiwada has said that financial sector reform in Nepal is essentially the banking sector reform. Nepal had started the said reform programme in 2004 with financial and technical assistance from the World Bank and British Development Agency DFID. Among the main objectives of the programme were to improve the financial standings of the two major state owned banks, Rastriya Banijya Bank (RBB) and Nepal Bank Limited (NBL). The programme also looked at enhancing the institutional and supervisory capacities of the central bank.<br />
	<br />
	<div>
		Both the banks had foreigners as Chief Executives as well as part of the management teams while NRB too had foreign consultants in various positions. Speaking at a discussion programme organised by Nepal Economic Association to discuss ‘Financial Sector Reform Programme: Lessons Learnt and The Way Forward’ Dr Khatiwada observed, “Reform does not mean employing consultants, it is rather an exercise in building institutional capacities.”<br />
		 </div>
	<div>
		&nbsp;The Chief Executive Officer of Lumbini Bank, Shovan Dev Pant made a paper presentation highlighting the private sector perspective. Pant appreciated the private sector’s contribution towards the development of Nepal’s financial sector. Speaking on the occasion, Finance Secretary Rameshwor Khanal refused to accept that the financial sector reform has derailed. “However, it is progressing at a very slow pace,” he said. Citing the example of several major banks collapsing at the start of the global recession, Khanal remarked that banking has an intense domino effect when compared to other sectors.<br />
		 </div>
	Among the other speakers at the programme, former NRB Governor Bijaya Nath Bhattarai opined that the loan defaulters are the major reason for impeding reforms. Dipendra Bahadur Kshetri, also a former NRB Governor, argued that home-grown experts are competent enough to manage Nepali banks and suggested that the reform programme must be carried forward under their leadership.<br />
	 </div>
<div style="text-align: justify;">
	Lomus Pharmaceuticals and Nepali Paper Products won the National Excellence Award under medium and small industry category respectively while Hulas Wire Industries received National Class Certificate Award. For Service Excellence Award, Direction Nepal was the winner under medium scale industry category while Quest Entertainment won it under the small scale industry category. Likewise, Butwal Power Company and Nepal Pharmaceuticals Lab bagged the award under the large scale industry category.<br />
	 </div>
<div style="text-align: justify;">
	Kumari Bank and Quest Pharmaceuticals were awarded People’s Development Certificate under People’s Excellence Award.<br />
	 </div>
<div style="text-align: justify;">
	FNCCI Excellence Award was instituted in 2001. Earlier, Surya Tobacco (2001), Standard Chartered Bank Nepal (2003) and Surya Nepal (2005) had won the prestigious award.<br />
	 </div>
<div style="text-align: justify;">
	Fifteen companies vied for this year’s awards sponsored by Nimbus Agri Business Enterprise. <br />
	 </div>
<div style="text-align: justify;">
	The awards are given in three categories: National Excellence, Service Excellence and People Excellence. These three categories are further divided among large, medium and small industry categories. According to FNCCI President Kush Kumar Joshi, the awards recognise overall excellence. Customer service, employees’ development and satisfaction are among the parameters taken into consideration for the awards.<br />
	 </div>
<div style="text-align: justify;">
	Speaking at the event, Prime Minister Khanal praised the awards selection process as scientific and expressed hope that the participant companies take the feedback from the evaluation process seriously and improve their quality. <br />
	 </div>
<p style="text-align: justify;">
	FNCCI President Joshi said, “The excellence awards are not merely recognition of the past achievements but they also provide a framework to improve performance in the future.” He hoped that the Excellence Awards will be able to create a benchmark for existing businesses and industries in Nepal. He explained that the award is created in the best fit model for Nepal after examining similar awards in the US, Japan and India. </p>',
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			'title' => 'Multinationals Rule The Roost AtFNCCI Excellence Awards 2010',
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	<img align="left" alt="" border="2" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/biz news.jpg" style="width: 458px; height: 173px;" vspace="2" />Standard Chartered Bank Nepal has bagged the FNCCI National Excellence Award 2010 presented by Federation of Nepalese Chambers of Commerce and Industry (FNCCI). Similarly, Unilever Nepal won the Service Excellence Award while Surya Nepal received the People’s Excellence Award. Prime Minister Jhala Nath Khanal gave away the awards to the winners amidst a special function organised by FNCCI recently.<br />
	 </div>
<div style="text-align: justify;">
	Lomus Pharmaceuticals and Nepali Paper Products won the National Excellence Award under medium and small industry category respectively while Hulas Wire Industries received National Class Certificate Award. For Service Excellence Award, Direction Nepal was the winner under medium scale industry category while Quest Entertainment won it under the small scale industry category. Likewise, Butwal Power Company and Nepal Pharmaceuticals Lab bagged the award under the large scale industry category.<br />
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	Kumari Bank and Quest Pharmaceuticals were awarded People’s Development Certificate under People’s Excellence Award.<br />
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	FNCCI Excellence Award was instituted in 2001. Earlier, Surya Tobacco (2001), Standard Chartered Bank Nepal (2003) and Surya Nepal (2005) had won the prestigious award.<br />
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<div style="text-align: justify;">
	Fifteen companies vied for this year’s awards sponsored by Nimbus Agri Business Enterprise. <br />
	 </div>
<div style="text-align: justify;">
	The awards are given in three categories: National Excellence, Service Excellence and People Excellence. These three categories are further divided among large, medium and small industry categories. According to FNCCI President Kush Kumar Joshi, the awards recognise overall excellence. Customer service, employees’ development and satisfaction are among the parameters taken into consideration for the awards.<br />
	 </div>
<div style="text-align: justify;">
	Speaking at the event, Prime Minister Khanal praised the awards selection process as scientific and expressed hope that the participant companies take the feedback from the evaluation process seriously and improve their quality. <br />
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	FNCCI President Joshi said, “The excellence awards are not merely recognition of the past achievements but they also provide a framework to improve performance in the future.” He hoped that the Excellence Awards will be able to create a benchmark for existing businesses and industries in Nepal. He explained that the award is created in the best fit model for Nepal after examining similar awards in the US, Japan and India. </p>',
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			'title' => 'Chaudhary Group To Operate 30 Hotels Across Asia',
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">T</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">he Chaudhary Group (CG) of Nepal has joined hands with Thailand based InVision Hospitality with a plan to open 30 hotels across Asia by 2013.&nbsp; For this purpose, a company called Zinc | InVision Hospitality (ZIH) has been formed as a joint venture of InVision Hospitality and the Singapore based investment company Cinnovation | CG, which is part of Chaudhary Group family. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">According to a press release issued announcing this, the growth will be financed in part by Z-I Capital Partners, which, the statement says, is the investment fund set up by the current Zinc | InVision Hospitality partners and fortified by other investors. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">InVision Hospitality currently manages five properties in Thailand, states the press statement. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Cinnovation | CG holds 51 per cent of the initial fund of ZIH which is $170-180 million, states the release. The remaining 49 per cent is held by InVision, it adds. The fund will be invested on 30 hotels across Asia, including Nepal, Thailand, UAE, the Philippines, Sri Lanka, India, China and Malaysia. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Zinc | InVision Hospitality has seven hotel and hospitality brands already developed: Zinc City, GLOW STUDIOS, Zinc Edge, Zinc Living, Zinc Journey, SOMA, and Touch by Zinc. The statement says, “Each one caters to a unique market segment -- luxury resorts, hip business hotels, value-oriented urban travelers, long-stay and residential living, heritage travel, and spa and wellness retreats.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Out of 30 hotels, GLOW STUDIOS, Edge deluxe hotels, The Farm, a Touch by Zinc spa and wellness retreat will also be established in Nepal by 2013 while the latter by 2011. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Cinnovation | CG Executive Director Rahul Chaudhary said, “I am excited and extremely confident about bringing the innovative hotel brands we have created within ZIH to the global market. We aim to succeed by anticipating social trends and the emerging demands of hotel customers and matching these with well designed hotels and well trained staff.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Company CEO, Kevin Beauvais announcing the new company said, “The creation of Zinc | InVision Hospitality marks the arrival of a formidable hotel management company and fresh brand offerings in the Asian hotel and hospitality arena. Cinnovation | CG has the financial depth and hospitality background to support the growth while InVision has the depth of experience and hospitality know-how to execute all elements of technical, sales and marketing and operating activities. We expect phoenix-like growth in the next few years.” <br />
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<![endif]--><span style="font-size: 16px;"><span style="letter-spacing: 0.2pt;">T</span><span style="letter-spacing: 0.2pt;">he commercial banks of the country have reported a heavy decline in their return on equity and return on asset in the current fiscal year as a result of increase in their cost of funds. According to the reports of the banks, their return on equity was 17.95 per cent in the first quarter of this fiscal year as compared to 23.44 per cent in the same period last year. The return on asset too has come down to 1.81 per cent this year compared to 1.96 per cent last year. <br />
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	<span style="font-size: 16px;"><span style="letter-spacing: 0.2pt;">The report also shows that the cost of funds of the banks has increased from 5.23 per cent in the first quarter of the previous year to 7.52 this year. </span></span></p>
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	<span style="line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;; letter-spacing: 0.2pt;">The only bank that enjoyed a decrease in the cost of funds is Agriculture Development Bank (from 6.57 per cent to 5.21). Laxmi Bank had the highest cost of funds (11.8 per cent) in the first quarter of the current fiscal year while the lowest was that of Nepal Bank Ltd. (2.63 per cent). The cost of funds is lower in the government-owned banks and in the relatively older banks. </span></p>',
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">&nbsp;&nbsp; N</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">epal is on the way to become self-reliant within seven months if the work at the six cement factories goes on as scheduled and start production on the target dates.&nbsp;&nbsp; <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Five of these new factories are to produce clinker on their own. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">The combined production capacity of these six factories would be 5,000 tonnes per day. The total investment combined in these factories is said to be Rs 12.55 billion. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Dhruba Thapa, vice president of Nepal Cement Industries Association said, “Now our own production can meet the national demand.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Nepal’s present cement demand is estimated at around 3 million metric tonnes a year. Domestic producers are supplying around 1.5 to 2 million metric tonnes. Remaining demand is fulfilled by imports, mainly from India. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Among the six new cement factories, two in Dang are scheduled to go operational by mid-April. Of the two, Ghorahi Cement has the capacity of 1800 tonnes per day (TPD) while that of Sonapur Cement is 750 tpd. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Likewise, Shivam Cement (1200 tpd) in Hetauda of Makwanpur is planning to start production by August. Similarly, while the Rolpa Cement (500 tpd) is planning to start production by July, Nigale Cement in Dhankuta is to begin production by April.</span></span></p>
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Since one such equipment costs between Rs 15 million to 150 million, it is impossible to import it without bank finance, say entrepreneurs. Rajan Shrestha at Continental Trading Enterprises, the authorised distributor of Komtasu, said the banks provide 70 to 80 per cent loan to purchase such heavy equipments. <br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; However, the local people have been protesting the program complaining that the company did not take their consent for the project.</span><br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; V</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">arious trade unions have begun joint homework to revise the minimum wage rate and other compensations to the workers. Bishnu Rimal, President of General Federation of Nepalese Trade Unions (GEFONT) said, as the current minimum wage of Rs 4,650 per month is not enough to sustain the life due to increasing inflation, preparations are underway to hike the wage. <br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Meanwhile, tourism sector workers have demanded the authorities concerned for a raise in their compensation. All Nepal Hotel and Restaurant Workers Union (ANHRWU) has demanded for minimum Rs 10 thousand as wage and transparency in the distribution of the money collected by way of 10 per cent service charge.&nbsp; The 15-point demand sheet presented by the Union also asks to collect in the social security fund the money that is collected by the government as 1 per cent social security tax. Prakash Shrestha, General Secretary of ANHRWU also said that the workers must get additional Rs 5,000 in the existing salary. He added that the salary and wages must be incremented every two years to adjust with the price rise. </span><br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;; letter-spacing: -0.2pt;">The Ministry of Finance has proposed to form a supreme authority to monitor and supervise all the sectoral regulating bodies. If the proposal of the Ministry is implemented, there will be an apex body that will regulate the existing and future regulators of such services such as banking and financial services, the capital market, air services, insurance and telecommunication businesses, and legal and accounting services. Finance Secretary Rameshwore Khanal confirmed that the Ministry has started discussion with the other government bodies concerned on the idea of forming such a super regulator. Though he did not clarify the reason behind the concept, senior officers in the Ministry indicated that the idea cropped up after the Institute of Chartered Accountants of Nepal (ICAN) failed to take action against the chartered accountants who were found helping some businesses to swindle billions of rupees in taxes by presenting fake VAT invoices. This was confirmed indirectly by Keshav Acharya, Senior Economic Advisor at the Ministry who complained that similar weaknesses are noticed in some other regulating authorities as well. Finance Minister Surendra Pandey is strongly advocating for such authority. Pandey has been complaining that as the regulators concerned are not&nbsp; taking actions in time, the government has been forced to come forward and take those actions. </span><br />
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">&nbsp;&nbsp;&nbsp; T</span><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">he airline catering facility operated in Kathmandu by Soaltee Crowne Plaza and LSG Sky Chefs has received Halal certification. </span></span></p>
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="line-height: 115%;">&nbsp;&nbsp;&nbsp; LSG Skychefs’ Kathmandu Kitchen offers around 1800 airline meals per day to international flight operators like Qatar Airways, Gulf Air, Etihad Airways, Dragon Air, China Southern Airlines, GMG Airlines and Nepal Airlines. </span><br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">N</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">epal Mountaineering Association (NMA) has asked the government to grant it the right to issue permits to climb 23 additional peaks.&nbsp; Zimba Zangbu Sherpa, president of the NMA, said the demand is made with the aim to attract more tourists to scale more mountains during Nepal Tourism Year 2011 when international mountaineering conferences is being hosted in Nepal by NMA. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">The Association already has the right to issue mountaineering permits for 33 peaks. According to Sherpa, the mountains for which NMA is demanding the authority are unknown to the tourists so far and need publicity. He added that the NMA has already started publicity about these peaks. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">However, Laxman Bhattarai, Spokesperson at the Ministry of Tourism and Civil Aviation (MOTCA) said the demand is being processed by the Ministry. He also added that as the ministry itself is issuing permits to such peaks, it may not be necessary for granting NMA the authority. “There can be no guarantee that more tourists will come if the permit is issued by the Association,” he added </span><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Currently, 326 mountain peaks are open for climbing but no climbing attempts have been made as yet for 110 of them. </span><br />
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	<span style="font-size: 13pt;">J</span>agadamba Spinning Mills of Bhairahawa is planning to produce non-woven fabric used to make bags and sacks. The mill is setting up a new plant for the purpose. </p>
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	Bishnu Prasad Neupane, Managing Director of Jagadamba Spinning said the production would begin by mid-March, 2011. The plant is being installed with the investment of Rs 140 million. Its capacity will be five tonnes per day, said Neupane. According to him, as the demand in the country is hardly a ton per day, the company is planning to export to India and other countries. </p>
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	<span style="font-size: 11pt; line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;;">Meanwhile, the company is also planning to expand its capacity to produce polyester yarn from current 27 tonnes a day to 33 tonnes. According to Neupane, Rs 70 million is being invested for the purpose. </span></p>',
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			'title' => 'Public Warehouse Act In The Offing',
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	The Ministry of Finance (MoF) has drafted the Public Warehouse Act. The committee formed under the leadership of Rajiv Gautam, the Joint Secretary at the MoF’s legal department, has submitted the draft for deliberations.<br />
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	The committee comprised officials from the MoF, Ministry of Commerce and Supplies, Ministry of Agriculture and Cooperatives and two commodity exchange companies. Gautam said that the draft was prepared considering international norms as well as the practices of the neighbouring countries. The draft has provisions that allow borrowing from banks against the certificates of&nbsp;goods stored in such warehouses.<br />
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	Now the MoF is collecting feedback on the draft from the concerned agencies in the private and public sector. These feedback and suggestions will be incorporate dint he final draft, said Gautam.<br />
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	Bijaya Satyal, the CEO of Commodities and Metal Exchange of Nepal (COMEN) and a member of the committee, said that he is trying to include a provision in the draft that requires all the goods being imported or exported to be stored compulsorily in a public warehouse.<br />
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	The government had in the budget speech for the current fiscal year promised to introduce the Public Warehouse Act. Following this declaration, more than 50 warehouse companies got registered with the Company Registrar’s Office.</div>
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	The Act will open doors for trading Nepali commodities in the country’s derivatives market. The commodities exchange companies have been demanding such an Act for a few years now. </p>',
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	The trade between Nepal and Tibet Autonomous Region of China has increased 90 per cent in January 2011, according to a Chiense government agency. According to the Tibet Customs Office of China, bilateral trade worth US$ 59.67 million was transacted in the first month of this year. It is 90.2 per cent more compared to the same period last year.</div>
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	The office said, out of a total foreign trade of Tibet worth US$ 80.76 million, 68.1 per cent was with Nepal. Nepal-Tibet trade in 2010 was for US$ 542 million. This year’s trade is 65 per cent higher than that of the previous year.</p>',
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			'title' => 'Six Municipalities To Turn Model Cities',
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	Th<img align="left" alt="" border="2" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/cities.jpg" style="width: 368px; height: 230px;" vspace="2" />e government has decided to develop six municipalities across the country as model cities. The World Bank and Nepal Government are jointly funding the project. Dhankuta, Mechinagar and Itahari in the east and Lekhnath, Tansen and Baglung in the west have been selected for development as model cities.<br />
	 </div>
<div style="text-align: justify;">
	The development work will be carried out jointly by the Ministry of Physical Planning and Works and the Ministry of Local Development. The project is estimated to cost US$ 35 million of which The World bank will provide US$ 25 million as aid and loan while the government will invest US$ 10 million. The World Bank has agreed in principle&nbsp;to provide the amount. Similarly, German Technical Cooperation (GTZ) also has promised assistance.</div>
<p style="text-align: justify;">
	The five-year long project would develop physical infrastructure in these cities.</p>',
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			'description' => 'The government has decided to develop six municipalities across the country as model cities. The World Bank and Nepal Government are jointly funding the project.',
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			'title' => 'Financial Sector Reform Very Slow',
			'sub_title' => '',
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	<img align="left" alt="" border="2" height="123" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/fncci1.jpg" vspace="2" width="300" />Nepal Rastra Bank (NRB) Governor Dr Yubaraj Khatiwada has said that financial sector reform in Nepal is essentially the banking sector reform. Nepal had started the said reform programme in 2004 with financial and technical assistance from the World Bank and British Development Agency DFID. Among the main objectives of the programme were to improve the financial standings of the two major state owned banks, Rastriya Banijya Bank (RBB) and Nepal Bank Limited (NBL). The programme also looked at enhancing the institutional and supervisory capacities of the central bank.<br />
	<br />
	<div>
		Both the banks had foreigners as Chief Executives as well as part of the management teams while NRB too had foreign consultants in various positions. Speaking at a discussion programme organised by Nepal Economic Association to discuss ‘Financial Sector Reform Programme: Lessons Learnt and The Way Forward’ Dr Khatiwada observed, “Reform does not mean employing consultants, it is rather an exercise in building institutional capacities.”<br />
		 </div>
	<div>
		&nbsp;The Chief Executive Officer of Lumbini Bank, Shovan Dev Pant made a paper presentation highlighting the private sector perspective. Pant appreciated the private sector’s contribution towards the development of Nepal’s financial sector. Speaking on the occasion, Finance Secretary Rameshwor Khanal refused to accept that the financial sector reform has derailed. “However, it is progressing at a very slow pace,” he said. Citing the example of several major banks collapsing at the start of the global recession, Khanal remarked that banking has an intense domino effect when compared to other sectors.<br />
		 </div>
	Among the other speakers at the programme, former NRB Governor Bijaya Nath Bhattarai opined that the loan defaulters are the major reason for impeding reforms. Dipendra Bahadur Kshetri, also a former NRB Governor, argued that home-grown experts are competent enough to manage Nepali banks and suggested that the reform programme must be carried forward under their leadership.<br />
	 </div>
<div style="text-align: justify;">
	Lomus Pharmaceuticals and Nepali Paper Products won the National Excellence Award under medium and small industry category respectively while Hulas Wire Industries received National Class Certificate Award. For Service Excellence Award, Direction Nepal was the winner under medium scale industry category while Quest Entertainment won it under the small scale industry category. Likewise, Butwal Power Company and Nepal Pharmaceuticals Lab bagged the award under the large scale industry category.<br />
	 </div>
<div style="text-align: justify;">
	Kumari Bank and Quest Pharmaceuticals were awarded People’s Development Certificate under People’s Excellence Award.<br />
	 </div>
<div style="text-align: justify;">
	FNCCI Excellence Award was instituted in 2001. Earlier, Surya Tobacco (2001), Standard Chartered Bank Nepal (2003) and Surya Nepal (2005) had won the prestigious award.<br />
	 </div>
<div style="text-align: justify;">
	Fifteen companies vied for this year’s awards sponsored by Nimbus Agri Business Enterprise. <br />
	 </div>
<div style="text-align: justify;">
	The awards are given in three categories: National Excellence, Service Excellence and People Excellence. These three categories are further divided among large, medium and small industry categories. According to FNCCI President Kush Kumar Joshi, the awards recognise overall excellence. Customer service, employees’ development and satisfaction are among the parameters taken into consideration for the awards.<br />
	 </div>
<div style="text-align: justify;">
	Speaking at the event, Prime Minister Khanal praised the awards selection process as scientific and expressed hope that the participant companies take the feedback from the evaluation process seriously and improve their quality. <br />
	 </div>
<p style="text-align: justify;">
	FNCCI President Joshi said, “The excellence awards are not merely recognition of the past achievements but they also provide a framework to improve performance in the future.” He hoped that the Excellence Awards will be able to create a benchmark for existing businesses and industries in Nepal. He explained that the award is created in the best fit model for Nepal after examining similar awards in the US, Japan and India. </p>',
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			'title' => 'Multinationals Rule The Roost AtFNCCI Excellence Awards 2010',
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	<img align="left" alt="" border="2" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/biz news.jpg" style="width: 458px; height: 173px;" vspace="2" />Standard Chartered Bank Nepal has bagged the FNCCI National Excellence Award 2010 presented by Federation of Nepalese Chambers of Commerce and Industry (FNCCI). Similarly, Unilever Nepal won the Service Excellence Award while Surya Nepal received the People’s Excellence Award. Prime Minister Jhala Nath Khanal gave away the awards to the winners amidst a special function organised by FNCCI recently.<br />
	 </div>
<div style="text-align: justify;">
	Lomus Pharmaceuticals and Nepali Paper Products won the National Excellence Award under medium and small industry category respectively while Hulas Wire Industries received National Class Certificate Award. For Service Excellence Award, Direction Nepal was the winner under medium scale industry category while Quest Entertainment won it under the small scale industry category. Likewise, Butwal Power Company and Nepal Pharmaceuticals Lab bagged the award under the large scale industry category.<br />
	 </div>
<div style="text-align: justify;">
	Kumari Bank and Quest Pharmaceuticals were awarded People’s Development Certificate under People’s Excellence Award.<br />
	 </div>
<div style="text-align: justify;">
	FNCCI Excellence Award was instituted in 2001. Earlier, Surya Tobacco (2001), Standard Chartered Bank Nepal (2003) and Surya Nepal (2005) had won the prestigious award.<br />
	 </div>
<div style="text-align: justify;">
	Fifteen companies vied for this year’s awards sponsored by Nimbus Agri Business Enterprise. <br />
	 </div>
<div style="text-align: justify;">
	The awards are given in three categories: National Excellence, Service Excellence and People Excellence. These three categories are further divided among large, medium and small industry categories. According to FNCCI President Kush Kumar Joshi, the awards recognise overall excellence. Customer service, employees’ development and satisfaction are among the parameters taken into consideration for the awards.<br />
	 </div>
<div style="text-align: justify;">
	Speaking at the event, Prime Minister Khanal praised the awards selection process as scientific and expressed hope that the participant companies take the feedback from the evaluation process seriously and improve their quality. <br />
	 </div>
<p style="text-align: justify;">
	FNCCI President Joshi said, “The excellence awards are not merely recognition of the past achievements but they also provide a framework to improve performance in the future.” He hoped that the Excellence Awards will be able to create a benchmark for existing businesses and industries in Nepal. He explained that the award is created in the best fit model for Nepal after examining similar awards in the US, Japan and India. </p>',
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			'description' => 'Standard Chartered Bank Nepal has bagged the FNCCI National Excellence Award 2010 presented by Federation of Nepalese Chambers of Commerce and Industry (FNCCI).',
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			'title' => 'Chaudhary Group To Operate 30 Hotels Across Asia',
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">T</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">he Chaudhary Group (CG) of Nepal has joined hands with Thailand based InVision Hospitality with a plan to open 30 hotels across Asia by 2013.&nbsp; For this purpose, a company called Zinc | InVision Hospitality (ZIH) has been formed as a joint venture of InVision Hospitality and the Singapore based investment company Cinnovation | CG, which is part of Chaudhary Group family. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">According to a press release issued announcing this, the growth will be financed in part by Z-I Capital Partners, which, the statement says, is the investment fund set up by the current Zinc | InVision Hospitality partners and fortified by other investors. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">InVision Hospitality currently manages five properties in Thailand, states the press statement. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Cinnovation | CG holds 51 per cent of the initial fund of ZIH which is $170-180 million, states the release. The remaining 49 per cent is held by InVision, it adds. The fund will be invested on 30 hotels across Asia, including Nepal, Thailand, UAE, the Philippines, Sri Lanka, India, China and Malaysia. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Zinc | InVision Hospitality has seven hotel and hospitality brands already developed: Zinc City, GLOW STUDIOS, Zinc Edge, Zinc Living, Zinc Journey, SOMA, and Touch by Zinc. The statement says, “Each one caters to a unique market segment -- luxury resorts, hip business hotels, value-oriented urban travelers, long-stay and residential living, heritage travel, and spa and wellness retreats.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Out of 30 hotels, GLOW STUDIOS, Edge deluxe hotels, The Farm, a Touch by Zinc spa and wellness retreat will also be established in Nepal by 2013 while the latter by 2011. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Cinnovation | CG Executive Director Rahul Chaudhary said, “I am excited and extremely confident about bringing the innovative hotel brands we have created within ZIH to the global market. We aim to succeed by anticipating social trends and the emerging demands of hotel customers and matching these with well designed hotels and well trained staff.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Company CEO, Kevin Beauvais announcing the new company said, “The creation of Zinc | InVision Hospitality marks the arrival of a formidable hotel management company and fresh brand offerings in the Asian hotel and hospitality arena. Cinnovation | CG has the financial depth and hospitality background to support the growth while InVision has the depth of experience and hospitality know-how to execute all elements of technical, sales and marketing and operating activities. We expect phoenix-like growth in the next few years.” <br />
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<![endif]--><span style="font-size: 16px;"><span style="letter-spacing: 0.2pt;">T</span><span style="letter-spacing: 0.2pt;">he commercial banks of the country have reported a heavy decline in their return on equity and return on asset in the current fiscal year as a result of increase in their cost of funds. According to the reports of the banks, their return on equity was 17.95 per cent in the first quarter of this fiscal year as compared to 23.44 per cent in the same period last year. The return on asset too has come down to 1.81 per cent this year compared to 1.96 per cent last year. <br />
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	<span style="font-size: 16px;"><span style="letter-spacing: 0.2pt;">The report also shows that the cost of funds of the banks has increased from 5.23 per cent in the first quarter of the previous year to 7.52 this year. </span></span></p>
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	<span style="line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;; letter-spacing: 0.2pt;">The only bank that enjoyed a decrease in the cost of funds is Agriculture Development Bank (from 6.57 per cent to 5.21). Laxmi Bank had the highest cost of funds (11.8 per cent) in the first quarter of the current fiscal year while the lowest was that of Nepal Bank Ltd. (2.63 per cent). The cost of funds is lower in the government-owned banks and in the relatively older banks. </span></p>',
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">&nbsp;&nbsp; N</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">epal is on the way to become self-reliant within seven months if the work at the six cement factories goes on as scheduled and start production on the target dates.&nbsp;&nbsp; <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Five of these new factories are to produce clinker on their own. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">The combined production capacity of these six factories would be 5,000 tonnes per day. The total investment combined in these factories is said to be Rs 12.55 billion. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Dhruba Thapa, vice president of Nepal Cement Industries Association said, “Now our own production can meet the national demand.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Nepal’s present cement demand is estimated at around 3 million metric tonnes a year. Domestic producers are supplying around 1.5 to 2 million metric tonnes. Remaining demand is fulfilled by imports, mainly from India. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Among the six new cement factories, two in Dang are scheduled to go operational by mid-April. Of the two, Ghorahi Cement has the capacity of 1800 tonnes per day (TPD) while that of Sonapur Cement is 750 tpd. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Likewise, Shivam Cement (1200 tpd) in Hetauda of Makwanpur is planning to start production by August. Similarly, while the Rolpa Cement (500 tpd) is planning to start production by July, Nigale Cement in Dhankuta is to begin production by April.</span></span></p>
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp; I</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">nvestment of banks and finance companies on heavy equipment used for construction works has reached Rs 20 billion. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">According to Tara Bahadur Kunwar, President of Heavy Equipments Entrepreneurs Association, around 8,000 such equipments are imported annually and among them, 5,000 are financed by banks. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Since one such equipment costs between Rs 15 million to 150 million, it is impossible to import it without bank finance, say entrepreneurs. Rajan Shrestha at Continental Trading Enterprises, the authorised distributor of Komtasu, said the banks provide 70 to 80 per cent loan to purchase such heavy equipments. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Suman Joshi, Chief Executive Officer (CEO) of Laxmi Bank confirmed that the banks finance up to 70 per cent of the equipment price under hire-purchase loan or under term loan to construction companies. Calculated on that basis, the amount of bank finance on such machines totals to Rs 20 billion.&nbsp; <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp; B</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">utwal Power Company (BPC) is upgrading&nbsp; the power generation capacity of Andhikhola Hydroelectricity Project in Syangja. BPC is adding 4.3 Megawatt (MW) to the current 5.1 MW powerhouse. According to the company, the preparations are in the final stage.</span></span></p>
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">The company is investing Rs 800 million for the upgrade for which the construction works are to start shortly, according to the company.&nbsp;&nbsp;</span></span></p>
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Meanwhile, tourism sector workers have demanded the authorities concerned for a raise in their compensation. All Nepal Hotel and Restaurant Workers Union (ANHRWU) has demanded for minimum Rs 10 thousand as wage and transparency in the distribution of the money collected by way of 10 per cent service charge.&nbsp; The 15-point demand sheet presented by the Union also asks to collect in the social security fund the money that is collected by the government as 1 per cent social security tax. Prakash Shrestha, General Secretary of ANHRWU also said that the workers must get additional Rs 5,000 in the existing salary. He added that the salary and wages must be incremented every two years to adjust with the price rise. </span><br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;; letter-spacing: -0.2pt;">The Ministry of Finance has proposed to form a supreme authority to monitor and supervise all the sectoral regulating bodies. If the proposal of the Ministry is implemented, there will be an apex body that will regulate the existing and future regulators of such services such as banking and financial services, the capital market, air services, insurance and telecommunication businesses, and legal and accounting services. Finance Secretary Rameshwore Khanal confirmed that the Ministry has started discussion with the other government bodies concerned on the idea of forming such a super regulator. Though he did not clarify the reason behind the concept, senior officers in the Ministry indicated that the idea cropped up after the Institute of Chartered Accountants of Nepal (ICAN) failed to take action against the chartered accountants who were found helping some businesses to swindle billions of rupees in taxes by presenting fake VAT invoices. This was confirmed indirectly by Keshav Acharya, Senior Economic Advisor at the Ministry who complained that similar weaknesses are noticed in some other regulating authorities as well. Finance Minister Surendra Pandey is strongly advocating for such authority. Pandey has been complaining that as the regulators concerned are not&nbsp; taking actions in time, the government has been forced to come forward and take those actions. </span><br />
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			'title' => 'Halal Airline Catering From Kathmandu',
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">&nbsp;&nbsp;&nbsp; T</span><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">he airline catering facility operated in Kathmandu by Soaltee Crowne Plaza and LSG Sky Chefs has received Halal certification. </span></span></p>
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="line-height: 115%;">&nbsp;&nbsp;&nbsp; LSG Skychefs’ Kathmandu Kitchen offers around 1800 airline meals per day to international flight operators like Qatar Airways, Gulf Air, Etihad Airways, Dragon Air, China Southern Airlines, GMG Airlines and Nepal Airlines. </span><br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">N</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">epal Mountaineering Association (NMA) has asked the government to grant it the right to issue permits to climb 23 additional peaks.&nbsp; Zimba Zangbu Sherpa, president of the NMA, said the demand is made with the aim to attract more tourists to scale more mountains during Nepal Tourism Year 2011 when international mountaineering conferences is being hosted in Nepal by NMA. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">The Association already has the right to issue mountaineering permits for 33 peaks. According to Sherpa, the mountains for which NMA is demanding the authority are unknown to the tourists so far and need publicity. He added that the NMA has already started publicity about these peaks. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">However, Laxman Bhattarai, Spokesperson at the Ministry of Tourism and Civil Aviation (MOTCA) said the demand is being processed by the Ministry. He also added that as the ministry itself is issuing permits to such peaks, it may not be necessary for granting NMA the authority. “There can be no guarantee that more tourists will come if the permit is issued by the Association,” he added </span><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Currently, 326 mountain peaks are open for climbing but no climbing attempts have been made as yet for 110 of them. </span><br />
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	<span style="font-size: 13pt;">J</span>agadamba Spinning Mills of Bhairahawa is planning to produce non-woven fabric used to make bags and sacks. The mill is setting up a new plant for the purpose. </p>
<p class="BODYTEXT" style="text-align: justify;">
	Bishnu Prasad Neupane, Managing Director of Jagadamba Spinning said the production would begin by mid-March, 2011. The plant is being installed with the investment of Rs 140 million. Its capacity will be five tonnes per day, said Neupane. According to him, as the demand in the country is hardly a ton per day, the company is planning to export to India and other countries. </p>
<p style="text-align: justify;">
	<span style="font-size: 11pt; line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;;">Meanwhile, the company is also planning to expand its capacity to produce polyester yarn from current 27 tonnes a day to 33 tonnes. According to Neupane, Rs 70 million is being invested for the purpose. </span></p>',
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			'title' => 'Public Warehouse Act In The Offing',
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	The Ministry of Finance (MoF) has drafted the Public Warehouse Act. The committee formed under the leadership of Rajiv Gautam, the Joint Secretary at the MoF’s legal department, has submitted the draft for deliberations.<br />
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	The committee comprised officials from the MoF, Ministry of Commerce and Supplies, Ministry of Agriculture and Cooperatives and two commodity exchange companies. Gautam said that the draft was prepared considering international norms as well as the practices of the neighbouring countries. The draft has provisions that allow borrowing from banks against the certificates of&nbsp;goods stored in such warehouses.<br />
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	Now the MoF is collecting feedback on the draft from the concerned agencies in the private and public sector. These feedback and suggestions will be incorporate dint he final draft, said Gautam.<br />
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	Bijaya Satyal, the CEO of Commodities and Metal Exchange of Nepal (COMEN) and a member of the committee, said that he is trying to include a provision in the draft that requires all the goods being imported or exported to be stored compulsorily in a public warehouse.<br />
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	The government had in the budget speech for the current fiscal year promised to introduce the Public Warehouse Act. Following this declaration, more than 50 warehouse companies got registered with the Company Registrar’s Office.</div>
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	The Act will open doors for trading Nepali commodities in the country’s derivatives market. The commodities exchange companies have been demanding such an Act for a few years now. </p>',
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			'title' => 'Nepal-Tibet Trade Increases 90 Pc',
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	The trade between Nepal and Tibet Autonomous Region of China has increased 90 per cent in January 2011, according to a Chiense government agency. According to the Tibet Customs Office of China, bilateral trade worth US$ 59.67 million was transacted in the first month of this year. It is 90.2 per cent more compared to the same period last year.</div>
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	The office said, out of a total foreign trade of Tibet worth US$ 80.76 million, 68.1 per cent was with Nepal. Nepal-Tibet trade in 2010 was for US$ 542 million. This year’s trade is 65 per cent higher than that of the previous year.</p>',
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			'description' => 'The trade between Nepal and Tibet Autonomous Region of China has increased 90 per cent in January 2011, according to a Chiense government agency.',
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	Th<img align="left" alt="" border="2" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/cities.jpg" style="width: 368px; height: 230px;" vspace="2" />e government has decided to develop six municipalities across the country as model cities. The World Bank and Nepal Government are jointly funding the project. Dhankuta, Mechinagar and Itahari in the east and Lekhnath, Tansen and Baglung in the west have been selected for development as model cities.<br />
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	The development work will be carried out jointly by the Ministry of Physical Planning and Works and the Ministry of Local Development. The project is estimated to cost US$ 35 million of which The World bank will provide US$ 25 million as aid and loan while the government will invest US$ 10 million. The World Bank has agreed in principle&nbsp;to provide the amount. Similarly, German Technical Cooperation (GTZ) also has promised assistance.</div>
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	The five-year long project would develop physical infrastructure in these cities.</p>',
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			'description' => 'The government has decided to develop six municipalities across the country as model cities. The World Bank and Nepal Government are jointly funding the project.',
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			'title' => 'Financial Sector Reform Very Slow',
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	<img align="left" alt="" border="2" height="123" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/fncci1.jpg" vspace="2" width="300" />Nepal Rastra Bank (NRB) Governor Dr Yubaraj Khatiwada has said that financial sector reform in Nepal is essentially the banking sector reform. Nepal had started the said reform programme in 2004 with financial and technical assistance from the World Bank and British Development Agency DFID. Among the main objectives of the programme were to improve the financial standings of the two major state owned banks, Rastriya Banijya Bank (RBB) and Nepal Bank Limited (NBL). The programme also looked at enhancing the institutional and supervisory capacities of the central bank.<br />
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		Both the banks had foreigners as Chief Executives as well as part of the management teams while NRB too had foreign consultants in various positions. Speaking at a discussion programme organised by Nepal Economic Association to discuss ‘Financial Sector Reform Programme: Lessons Learnt and The Way Forward’ Dr Khatiwada observed, “Reform does not mean employing consultants, it is rather an exercise in building institutional capacities.”<br />
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		&nbsp;The Chief Executive Officer of Lumbini Bank, Shovan Dev Pant made a paper presentation highlighting the private sector perspective. Pant appreciated the private sector’s contribution towards the development of Nepal’s financial sector. Speaking on the occasion, Finance Secretary Rameshwor Khanal refused to accept that the financial sector reform has derailed. “However, it is progressing at a very slow pace,” he said. Citing the example of several major banks collapsing at the start of the global recession, Khanal remarked that banking has an intense domino effect when compared to other sectors.<br />
		 </div>
	Among the other speakers at the programme, former NRB Governor Bijaya Nath Bhattarai opined that the loan defaulters are the major reason for impeding reforms. Dipendra Bahadur Kshetri, also a former NRB Governor, argued that home-grown experts are competent enough to manage Nepali banks and suggested that the reform programme must be carried forward under their leadership.<br />
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<div style="text-align: justify;">
	Lomus Pharmaceuticals and Nepali Paper Products won the National Excellence Award under medium and small industry category respectively while Hulas Wire Industries received National Class Certificate Award. For Service Excellence Award, Direction Nepal was the winner under medium scale industry category while Quest Entertainment won it under the small scale industry category. Likewise, Butwal Power Company and Nepal Pharmaceuticals Lab bagged the award under the large scale industry category.<br />
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<div style="text-align: justify;">
	Kumari Bank and Quest Pharmaceuticals were awarded People’s Development Certificate under People’s Excellence Award.<br />
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<div style="text-align: justify;">
	FNCCI Excellence Award was instituted in 2001. Earlier, Surya Tobacco (2001), Standard Chartered Bank Nepal (2003) and Surya Nepal (2005) had won the prestigious award.<br />
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<div style="text-align: justify;">
	Fifteen companies vied for this year’s awards sponsored by Nimbus Agri Business Enterprise. <br />
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	The awards are given in three categories: National Excellence, Service Excellence and People Excellence. These three categories are further divided among large, medium and small industry categories. According to FNCCI President Kush Kumar Joshi, the awards recognise overall excellence. Customer service, employees’ development and satisfaction are among the parameters taken into consideration for the awards.<br />
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	Speaking at the event, Prime Minister Khanal praised the awards selection process as scientific and expressed hope that the participant companies take the feedback from the evaluation process seriously and improve their quality. <br />
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	FNCCI President Joshi said, “The excellence awards are not merely recognition of the past achievements but they also provide a framework to improve performance in the future.” He hoped that the Excellence Awards will be able to create a benchmark for existing businesses and industries in Nepal. He explained that the award is created in the best fit model for Nepal after examining similar awards in the US, Japan and India. </p>',
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			'title' => 'Multinationals Rule The Roost AtFNCCI Excellence Awards 2010',
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	<img align="left" alt="" border="2" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/biz news.jpg" style="width: 458px; height: 173px;" vspace="2" />Standard Chartered Bank Nepal has bagged the FNCCI National Excellence Award 2010 presented by Federation of Nepalese Chambers of Commerce and Industry (FNCCI). Similarly, Unilever Nepal won the Service Excellence Award while Surya Nepal received the People’s Excellence Award. Prime Minister Jhala Nath Khanal gave away the awards to the winners amidst a special function organised by FNCCI recently.<br />
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	Lomus Pharmaceuticals and Nepali Paper Products won the National Excellence Award under medium and small industry category respectively while Hulas Wire Industries received National Class Certificate Award. For Service Excellence Award, Direction Nepal was the winner under medium scale industry category while Quest Entertainment won it under the small scale industry category. Likewise, Butwal Power Company and Nepal Pharmaceuticals Lab bagged the award under the large scale industry category.<br />
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	Kumari Bank and Quest Pharmaceuticals were awarded People’s Development Certificate under People’s Excellence Award.<br />
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	FNCCI Excellence Award was instituted in 2001. Earlier, Surya Tobacco (2001), Standard Chartered Bank Nepal (2003) and Surya Nepal (2005) had won the prestigious award.<br />
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	Fifteen companies vied for this year’s awards sponsored by Nimbus Agri Business Enterprise. <br />
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	The awards are given in three categories: National Excellence, Service Excellence and People Excellence. These three categories are further divided among large, medium and small industry categories. According to FNCCI President Kush Kumar Joshi, the awards recognise overall excellence. Customer service, employees’ development and satisfaction are among the parameters taken into consideration for the awards.<br />
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	Speaking at the event, Prime Minister Khanal praised the awards selection process as scientific and expressed hope that the participant companies take the feedback from the evaluation process seriously and improve their quality. <br />
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	FNCCI President Joshi said, “The excellence awards are not merely recognition of the past achievements but they also provide a framework to improve performance in the future.” He hoped that the Excellence Awards will be able to create a benchmark for existing businesses and industries in Nepal. He explained that the award is created in the best fit model for Nepal after examining similar awards in the US, Japan and India. </p>',
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">T</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">he Chaudhary Group (CG) of Nepal has joined hands with Thailand based InVision Hospitality with a plan to open 30 hotels across Asia by 2013.&nbsp; For this purpose, a company called Zinc | InVision Hospitality (ZIH) has been formed as a joint venture of InVision Hospitality and the Singapore based investment company Cinnovation | CG, which is part of Chaudhary Group family. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">InVision Hospitality currently manages five properties in Thailand, states the press statement. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Zinc | InVision Hospitality has seven hotel and hospitality brands already developed: Zinc City, GLOW STUDIOS, Zinc Edge, Zinc Living, Zinc Journey, SOMA, and Touch by Zinc. The statement says, “Each one caters to a unique market segment -- luxury resorts, hip business hotels, value-oriented urban travelers, long-stay and residential living, heritage travel, and spa and wellness retreats.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Out of 30 hotels, GLOW STUDIOS, Edge deluxe hotels, The Farm, a Touch by Zinc spa and wellness retreat will also be established in Nepal by 2013 while the latter by 2011. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Cinnovation | CG Executive Director Rahul Chaudhary said, “I am excited and extremely confident about bringing the innovative hotel brands we have created within ZIH to the global market. We aim to succeed by anticipating social trends and the emerging demands of hotel customers and matching these with well designed hotels and well trained staff.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Company CEO, Kevin Beauvais announcing the new company said, “The creation of Zinc | InVision Hospitality marks the arrival of a formidable hotel management company and fresh brand offerings in the Asian hotel and hospitality arena. Cinnovation | CG has the financial depth and hospitality background to support the growth while InVision has the depth of experience and hospitality know-how to execute all elements of technical, sales and marketing and operating activities. We expect phoenix-like growth in the next few years.” <br />
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<![endif]--><span style="font-size: 16px;"><span style="letter-spacing: 0.2pt;">T</span><span style="letter-spacing: 0.2pt;">he commercial banks of the country have reported a heavy decline in their return on equity and return on asset in the current fiscal year as a result of increase in their cost of funds. According to the reports of the banks, their return on equity was 17.95 per cent in the first quarter of this fiscal year as compared to 23.44 per cent in the same period last year. The return on asset too has come down to 1.81 per cent this year compared to 1.96 per cent last year. <br />
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	<span style="font-size: 16px;"><span style="letter-spacing: 0.2pt;">The report also shows that the cost of funds of the banks has increased from 5.23 per cent in the first quarter of the previous year to 7.52 this year. </span></span></p>
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	<span style="line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;; letter-spacing: 0.2pt;">The only bank that enjoyed a decrease in the cost of funds is Agriculture Development Bank (from 6.57 per cent to 5.21). Laxmi Bank had the highest cost of funds (11.8 per cent) in the first quarter of the current fiscal year while the lowest was that of Nepal Bank Ltd. (2.63 per cent). The cost of funds is lower in the government-owned banks and in the relatively older banks. </span></p>',
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">&nbsp;&nbsp; N</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">epal is on the way to become self-reliant within seven months if the work at the six cement factories goes on as scheduled and start production on the target dates.&nbsp;&nbsp; <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Five of these new factories are to produce clinker on their own. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">The combined production capacity of these six factories would be 5,000 tonnes per day. The total investment combined in these factories is said to be Rs 12.55 billion. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Dhruba Thapa, vice president of Nepal Cement Industries Association said, “Now our own production can meet the national demand.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Nepal’s present cement demand is estimated at around 3 million metric tonnes a year. Domestic producers are supplying around 1.5 to 2 million metric tonnes. Remaining demand is fulfilled by imports, mainly from India. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Among the six new cement factories, two in Dang are scheduled to go operational by mid-April. Of the two, Ghorahi Cement has the capacity of 1800 tonnes per day (TPD) while that of Sonapur Cement is 750 tpd. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Likewise, Shivam Cement (1200 tpd) in Hetauda of Makwanpur is planning to start production by August. Similarly, while the Rolpa Cement (500 tpd) is planning to start production by July, Nigale Cement in Dhankuta is to begin production by April.</span></span></p>
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Also, Bishal Cement in Bhairahawa is starting production before May. However, it is based on imported clinker. </span><br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp; I</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">nvestment of banks and finance companies on heavy equipment used for construction works has reached Rs 20 billion. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">According to Tara Bahadur Kunwar, President of Heavy Equipments Entrepreneurs Association, around 8,000 such equipments are imported annually and among them, 5,000 are financed by banks. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Since one such equipment costs between Rs 15 million to 150 million, it is impossible to import it without bank finance, say entrepreneurs. Rajan Shrestha at Continental Trading Enterprises, the authorised distributor of Komtasu, said the banks provide 70 to 80 per cent loan to purchase such heavy equipments. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Suman Joshi, Chief Executive Officer (CEO) of Laxmi Bank confirmed that the banks finance up to 70 per cent of the equipment price under hire-purchase loan or under term loan to construction companies. Calculated on that basis, the amount of bank finance on such machines totals to Rs 20 billion.&nbsp; <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp; B</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">utwal Power Company (BPC) is upgrading&nbsp; the power generation capacity of Andhikhola Hydroelectricity Project in Syangja. BPC is adding 4.3 Megawatt (MW) to the current 5.1 MW powerhouse. According to the company, the preparations are in the final stage.</span></span></p>
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; However, the local people have been protesting the program complaining that the company did not take their consent for the project.</span><br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; V</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">arious trade unions have begun joint homework to revise the minimum wage rate and other compensations to the workers. Bishnu Rimal, President of General Federation of Nepalese Trade Unions (GEFONT) said, as the current minimum wage of Rs 4,650 per month is not enough to sustain the life due to increasing inflation, preparations are underway to hike the wage. <br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Meanwhile, tourism sector workers have demanded the authorities concerned for a raise in their compensation. All Nepal Hotel and Restaurant Workers Union (ANHRWU) has demanded for minimum Rs 10 thousand as wage and transparency in the distribution of the money collected by way of 10 per cent service charge.&nbsp; The 15-point demand sheet presented by the Union also asks to collect in the social security fund the money that is collected by the government as 1 per cent social security tax. Prakash Shrestha, General Secretary of ANHRWU also said that the workers must get additional Rs 5,000 in the existing salary. He added that the salary and wages must be incremented every two years to adjust with the price rise. </span><br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;; letter-spacing: -0.2pt;">The Ministry of Finance has proposed to form a supreme authority to monitor and supervise all the sectoral regulating bodies. If the proposal of the Ministry is implemented, there will be an apex body that will regulate the existing and future regulators of such services such as banking and financial services, the capital market, air services, insurance and telecommunication businesses, and legal and accounting services. Finance Secretary Rameshwore Khanal confirmed that the Ministry has started discussion with the other government bodies concerned on the idea of forming such a super regulator. Though he did not clarify the reason behind the concept, senior officers in the Ministry indicated that the idea cropped up after the Institute of Chartered Accountants of Nepal (ICAN) failed to take action against the chartered accountants who were found helping some businesses to swindle billions of rupees in taxes by presenting fake VAT invoices. This was confirmed indirectly by Keshav Acharya, Senior Economic Advisor at the Ministry who complained that similar weaknesses are noticed in some other regulating authorities as well. Finance Minister Surendra Pandey is strongly advocating for such authority. Pandey has been complaining that as the regulators concerned are not&nbsp; taking actions in time, the government has been forced to come forward and take those actions. </span><br />
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">&nbsp;&nbsp;&nbsp; T</span><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">he airline catering facility operated in Kathmandu by Soaltee Crowne Plaza and LSG Sky Chefs has received Halal certification. </span></span></p>
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="line-height: 115%;">&nbsp;&nbsp;&nbsp; LSG Skychefs’ Kathmandu Kitchen offers around 1800 airline meals per day to international flight operators like Qatar Airways, Gulf Air, Etihad Airways, Dragon Air, China Southern Airlines, GMG Airlines and Nepal Airlines. </span><br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">N</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">epal Mountaineering Association (NMA) has asked the government to grant it the right to issue permits to climb 23 additional peaks.&nbsp; Zimba Zangbu Sherpa, president of the NMA, said the demand is made with the aim to attract more tourists to scale more mountains during Nepal Tourism Year 2011 when international mountaineering conferences is being hosted in Nepal by NMA. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">The Association already has the right to issue mountaineering permits for 33 peaks. According to Sherpa, the mountains for which NMA is demanding the authority are unknown to the tourists so far and need publicity. He added that the NMA has already started publicity about these peaks. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">However, Laxman Bhattarai, Spokesperson at the Ministry of Tourism and Civil Aviation (MOTCA) said the demand is being processed by the Ministry. He also added that as the ministry itself is issuing permits to such peaks, it may not be necessary for granting NMA the authority. “There can be no guarantee that more tourists will come if the permit is issued by the Association,” he added </span><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Currently, 326 mountain peaks are open for climbing but no climbing attempts have been made as yet for 110 of them. </span><br />
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	<span style="font-size: 13pt;">J</span>agadamba Spinning Mills of Bhairahawa is planning to produce non-woven fabric used to make bags and sacks. The mill is setting up a new plant for the purpose. </p>
<p class="BODYTEXT" style="text-align: justify;">
	Bishnu Prasad Neupane, Managing Director of Jagadamba Spinning said the production would begin by mid-March, 2011. The plant is being installed with the investment of Rs 140 million. Its capacity will be five tonnes per day, said Neupane. According to him, as the demand in the country is hardly a ton per day, the company is planning to export to India and other countries. </p>
<p style="text-align: justify;">
	<span style="font-size: 11pt; line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;;">Meanwhile, the company is also planning to expand its capacity to produce polyester yarn from current 27 tonnes a day to 33 tonnes. According to Neupane, Rs 70 million is being invested for the purpose. </span></p>',
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			'title' => 'Public Warehouse Act In The Offing',
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			'content' => '<div style="text-align: justify;">
	The Ministry of Finance (MoF) has drafted the Public Warehouse Act. The committee formed under the leadership of Rajiv Gautam, the Joint Secretary at the MoF’s legal department, has submitted the draft for deliberations.<br />
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	The committee comprised officials from the MoF, Ministry of Commerce and Supplies, Ministry of Agriculture and Cooperatives and two commodity exchange companies. Gautam said that the draft was prepared considering international norms as well as the practices of the neighbouring countries. The draft has provisions that allow borrowing from banks against the certificates of&nbsp;goods stored in such warehouses.<br />
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	Now the MoF is collecting feedback on the draft from the concerned agencies in the private and public sector. These feedback and suggestions will be incorporate dint he final draft, said Gautam.<br />
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	Bijaya Satyal, the CEO of Commodities and Metal Exchange of Nepal (COMEN) and a member of the committee, said that he is trying to include a provision in the draft that requires all the goods being imported or exported to be stored compulsorily in a public warehouse.<br />
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	The government had in the budget speech for the current fiscal year promised to introduce the Public Warehouse Act. Following this declaration, more than 50 warehouse companies got registered with the Company Registrar’s Office.</div>
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	The Act will open doors for trading Nepali commodities in the country’s derivatives market. The commodities exchange companies have been demanding such an Act for a few years now. </p>',
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			'title' => 'Nepal-Tibet Trade Increases 90 Pc',
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	The trade between Nepal and Tibet Autonomous Region of China has increased 90 per cent in January 2011, according to a Chiense government agency. According to the Tibet Customs Office of China, bilateral trade worth US$ 59.67 million was transacted in the first month of this year. It is 90.2 per cent more compared to the same period last year.</div>
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	The office said, out of a total foreign trade of Tibet worth US$ 80.76 million, 68.1 per cent was with Nepal. Nepal-Tibet trade in 2010 was for US$ 542 million. This year’s trade is 65 per cent higher than that of the previous year.</p>',
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			'description' => 'The trade between Nepal and Tibet Autonomous Region of China has increased 90 per cent in January 2011, according to a Chiense government agency.',
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			'title' => 'Six Municipalities To Turn Model Cities',
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	Th<img align="left" alt="" border="2" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/cities.jpg" style="width: 368px; height: 230px;" vspace="2" />e government has decided to develop six municipalities across the country as model cities. The World Bank and Nepal Government are jointly funding the project. Dhankuta, Mechinagar and Itahari in the east and Lekhnath, Tansen and Baglung in the west have been selected for development as model cities.<br />
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	The development work will be carried out jointly by the Ministry of Physical Planning and Works and the Ministry of Local Development. The project is estimated to cost US$ 35 million of which The World bank will provide US$ 25 million as aid and loan while the government will invest US$ 10 million. The World Bank has agreed in principle&nbsp;to provide the amount. Similarly, German Technical Cooperation (GTZ) also has promised assistance.</div>
<p style="text-align: justify;">
	The five-year long project would develop physical infrastructure in these cities.</p>',
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			'description' => 'The government has decided to develop six municipalities across the country as model cities. The World Bank and Nepal Government are jointly funding the project.',
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	<img align="left" alt="" border="2" height="123" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/fncci1.jpg" vspace="2" width="300" />Nepal Rastra Bank (NRB) Governor Dr Yubaraj Khatiwada has said that financial sector reform in Nepal is essentially the banking sector reform. Nepal had started the said reform programme in 2004 with financial and technical assistance from the World Bank and British Development Agency DFID. Among the main objectives of the programme were to improve the financial standings of the two major state owned banks, Rastriya Banijya Bank (RBB) and Nepal Bank Limited (NBL). The programme also looked at enhancing the institutional and supervisory capacities of the central bank.<br />
	<br />
	<div>
		Both the banks had foreigners as Chief Executives as well as part of the management teams while NRB too had foreign consultants in various positions. Speaking at a discussion programme organised by Nepal Economic Association to discuss ‘Financial Sector Reform Programme: Lessons Learnt and The Way Forward’ Dr Khatiwada observed, “Reform does not mean employing consultants, it is rather an exercise in building institutional capacities.”<br />
		 </div>
	<div>
		&nbsp;The Chief Executive Officer of Lumbini Bank, Shovan Dev Pant made a paper presentation highlighting the private sector perspective. Pant appreciated the private sector’s contribution towards the development of Nepal’s financial sector. Speaking on the occasion, Finance Secretary Rameshwor Khanal refused to accept that the financial sector reform has derailed. “However, it is progressing at a very slow pace,” he said. Citing the example of several major banks collapsing at the start of the global recession, Khanal remarked that banking has an intense domino effect when compared to other sectors.<br />
		 </div>
	Among the other speakers at the programme, former NRB Governor Bijaya Nath Bhattarai opined that the loan defaulters are the major reason for impeding reforms. Dipendra Bahadur Kshetri, also a former NRB Governor, argued that home-grown experts are competent enough to manage Nepali banks and suggested that the reform programme must be carried forward under their leadership.<br />
	 </div>
<div style="text-align: justify;">
	Lomus Pharmaceuticals and Nepali Paper Products won the National Excellence Award under medium and small industry category respectively while Hulas Wire Industries received National Class Certificate Award. For Service Excellence Award, Direction Nepal was the winner under medium scale industry category while Quest Entertainment won it under the small scale industry category. Likewise, Butwal Power Company and Nepal Pharmaceuticals Lab bagged the award under the large scale industry category.<br />
	 </div>
<div style="text-align: justify;">
	Kumari Bank and Quest Pharmaceuticals were awarded People’s Development Certificate under People’s Excellence Award.<br />
	 </div>
<div style="text-align: justify;">
	FNCCI Excellence Award was instituted in 2001. Earlier, Surya Tobacco (2001), Standard Chartered Bank Nepal (2003) and Surya Nepal (2005) had won the prestigious award.<br />
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<div style="text-align: justify;">
	Fifteen companies vied for this year’s awards sponsored by Nimbus Agri Business Enterprise. <br />
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<div style="text-align: justify;">
	The awards are given in three categories: National Excellence, Service Excellence and People Excellence. These three categories are further divided among large, medium and small industry categories. According to FNCCI President Kush Kumar Joshi, the awards recognise overall excellence. Customer service, employees’ development and satisfaction are among the parameters taken into consideration for the awards.<br />
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<div style="text-align: justify;">
	Speaking at the event, Prime Minister Khanal praised the awards selection process as scientific and expressed hope that the participant companies take the feedback from the evaluation process seriously and improve their quality. <br />
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<p style="text-align: justify;">
	FNCCI President Joshi said, “The excellence awards are not merely recognition of the past achievements but they also provide a framework to improve performance in the future.” He hoped that the Excellence Awards will be able to create a benchmark for existing businesses and industries in Nepal. He explained that the award is created in the best fit model for Nepal after examining similar awards in the US, Japan and India. </p>',
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	<img align="left" alt="" border="2" hspace="2" src="http://newbusinessage.com/ckfinder/userfiles/Images/biz news.jpg" style="width: 458px; height: 173px;" vspace="2" />Standard Chartered Bank Nepal has bagged the FNCCI National Excellence Award 2010 presented by Federation of Nepalese Chambers of Commerce and Industry (FNCCI). Similarly, Unilever Nepal won the Service Excellence Award while Surya Nepal received the People’s Excellence Award. Prime Minister Jhala Nath Khanal gave away the awards to the winners amidst a special function organised by FNCCI recently.<br />
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<div style="text-align: justify;">
	Lomus Pharmaceuticals and Nepali Paper Products won the National Excellence Award under medium and small industry category respectively while Hulas Wire Industries received National Class Certificate Award. For Service Excellence Award, Direction Nepal was the winner under medium scale industry category while Quest Entertainment won it under the small scale industry category. Likewise, Butwal Power Company and Nepal Pharmaceuticals Lab bagged the award under the large scale industry category.<br />
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<div style="text-align: justify;">
	Kumari Bank and Quest Pharmaceuticals were awarded People’s Development Certificate under People’s Excellence Award.<br />
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	FNCCI Excellence Award was instituted in 2001. Earlier, Surya Tobacco (2001), Standard Chartered Bank Nepal (2003) and Surya Nepal (2005) had won the prestigious award.<br />
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<div style="text-align: justify;">
	Fifteen companies vied for this year’s awards sponsored by Nimbus Agri Business Enterprise. <br />
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	The awards are given in three categories: National Excellence, Service Excellence and People Excellence. These three categories are further divided among large, medium and small industry categories. According to FNCCI President Kush Kumar Joshi, the awards recognise overall excellence. Customer service, employees’ development and satisfaction are among the parameters taken into consideration for the awards.<br />
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	Speaking at the event, Prime Minister Khanal praised the awards selection process as scientific and expressed hope that the participant companies take the feedback from the evaluation process seriously and improve their quality. <br />
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	FNCCI President Joshi said, “The excellence awards are not merely recognition of the past achievements but they also provide a framework to improve performance in the future.” He hoped that the Excellence Awards will be able to create a benchmark for existing businesses and industries in Nepal. He explained that the award is created in the best fit model for Nepal after examining similar awards in the US, Japan and India. </p>',
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">T</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">he Chaudhary Group (CG) of Nepal has joined hands with Thailand based InVision Hospitality with a plan to open 30 hotels across Asia by 2013.&nbsp; For this purpose, a company called Zinc | InVision Hospitality (ZIH) has been formed as a joint venture of InVision Hospitality and the Singapore based investment company Cinnovation | CG, which is part of Chaudhary Group family. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">According to a press release issued announcing this, the growth will be financed in part by Z-I Capital Partners, which, the statement says, is the investment fund set up by the current Zinc | InVision Hospitality partners and fortified by other investors. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">InVision Hospitality currently manages five properties in Thailand, states the press statement. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Cinnovation | CG holds 51 per cent of the initial fund of ZIH which is $170-180 million, states the release. The remaining 49 per cent is held by InVision, it adds. The fund will be invested on 30 hotels across Asia, including Nepal, Thailand, UAE, the Philippines, Sri Lanka, India, China and Malaysia. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Zinc | InVision Hospitality has seven hotel and hospitality brands already developed: Zinc City, GLOW STUDIOS, Zinc Edge, Zinc Living, Zinc Journey, SOMA, and Touch by Zinc. The statement says, “Each one caters to a unique market segment -- luxury resorts, hip business hotels, value-oriented urban travelers, long-stay and residential living, heritage travel, and spa and wellness retreats.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Out of 30 hotels, GLOW STUDIOS, Edge deluxe hotels, The Farm, a Touch by Zinc spa and wellness retreat will also be established in Nepal by 2013 while the latter by 2011. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Cinnovation | CG Executive Director Rahul Chaudhary said, “I am excited and extremely confident about bringing the innovative hotel brands we have created within ZIH to the global market. We aim to succeed by anticipating social trends and the emerging demands of hotel customers and matching these with well designed hotels and well trained staff.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">Company CEO, Kevin Beauvais announcing the new company said, “The creation of Zinc | InVision Hospitality marks the arrival of a formidable hotel management company and fresh brand offerings in the Asian hotel and hospitality arena. Cinnovation | CG has the financial depth and hospitality background to support the growth while InVision has the depth of experience and hospitality know-how to execute all elements of technical, sales and marketing and operating activities. We expect phoenix-like growth in the next few years.” <br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.05pt;">&nbsp;The press release says, “The newly formed ZIH will incorporate the expertise of the existing 35 person InVision staff and various professionals from the Cinnovation | CG corporate structure.”</span><br />
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<![endif]--><span style="font-size: 16px;"><span style="letter-spacing: 0.2pt;">T</span><span style="letter-spacing: 0.2pt;">he commercial banks of the country have reported a heavy decline in their return on equity and return on asset in the current fiscal year as a result of increase in their cost of funds. According to the reports of the banks, their return on equity was 17.95 per cent in the first quarter of this fiscal year as compared to 23.44 per cent in the same period last year. The return on asset too has come down to 1.81 per cent this year compared to 1.96 per cent last year. <br />
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	<span style="font-size: 16px;"><span style="letter-spacing: 0.2pt;">The report also shows that the cost of funds of the banks has increased from 5.23 per cent in the first quarter of the previous year to 7.52 this year. </span></span></p>
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	<span style="line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;; letter-spacing: 0.2pt;">The only bank that enjoyed a decrease in the cost of funds is Agriculture Development Bank (from 6.57 per cent to 5.21). Laxmi Bank had the highest cost of funds (11.8 per cent) in the first quarter of the current fiscal year while the lowest was that of Nepal Bank Ltd. (2.63 per cent). The cost of funds is lower in the government-owned banks and in the relatively older banks. </span></p>',
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">&nbsp;&nbsp; N</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">epal is on the way to become self-reliant within seven months if the work at the six cement factories goes on as scheduled and start production on the target dates.&nbsp;&nbsp; <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Five of these new factories are to produce clinker on their own. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">The combined production capacity of these six factories would be 5,000 tonnes per day. The total investment combined in these factories is said to be Rs 12.55 billion. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Dhruba Thapa, vice president of Nepal Cement Industries Association said, “Now our own production can meet the national demand.” <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Nepal’s present cement demand is estimated at around 3 million metric tonnes a year. Domestic producers are supplying around 1.5 to 2 million metric tonnes. Remaining demand is fulfilled by imports, mainly from India. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Among the six new cement factories, two in Dang are scheduled to go operational by mid-April. Of the two, Ghorahi Cement has the capacity of 1800 tonnes per day (TPD) while that of Sonapur Cement is 750 tpd. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black; letter-spacing: 0.2pt;">Likewise, Shivam Cement (1200 tpd) in Hetauda of Makwanpur is planning to start production by August. Similarly, while the Rolpa Cement (500 tpd) is planning to start production by July, Nigale Cement in Dhankuta is to begin production by April.</span></span></p>
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Since one such equipment costs between Rs 15 million to 150 million, it is impossible to import it without bank finance, say entrepreneurs. Rajan Shrestha at Continental Trading Enterprises, the authorised distributor of Komtasu, said the banks provide 70 to 80 per cent loan to purchase such heavy equipments. <br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; However, the local people have been protesting the program complaining that the company did not take their consent for the project.</span><br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; V</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">arious trade unions have begun joint homework to revise the minimum wage rate and other compensations to the workers. Bishnu Rimal, President of General Federation of Nepalese Trade Unions (GEFONT) said, as the current minimum wage of Rs 4,650 per month is not enough to sustain the life due to increasing inflation, preparations are underway to hike the wage. <br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Meanwhile, tourism sector workers have demanded the authorities concerned for a raise in their compensation. All Nepal Hotel and Restaurant Workers Union (ANHRWU) has demanded for minimum Rs 10 thousand as wage and transparency in the distribution of the money collected by way of 10 per cent service charge.&nbsp; The 15-point demand sheet presented by the Union also asks to collect in the social security fund the money that is collected by the government as 1 per cent social security tax. Prakash Shrestha, General Secretary of ANHRWU also said that the workers must get additional Rs 5,000 in the existing salary. He added that the salary and wages must be incremented every two years to adjust with the price rise. </span><br />
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	<span style="font-size: 16px;"><span style="line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;; letter-spacing: -0.2pt;">The Ministry of Finance has proposed to form a supreme authority to monitor and supervise all the sectoral regulating bodies. If the proposal of the Ministry is implemented, there will be an apex body that will regulate the existing and future regulators of such services such as banking and financial services, the capital market, air services, insurance and telecommunication businesses, and legal and accounting services. Finance Secretary Rameshwore Khanal confirmed that the Ministry has started discussion with the other government bodies concerned on the idea of forming such a super regulator. Though he did not clarify the reason behind the concept, senior officers in the Ministry indicated that the idea cropped up after the Institute of Chartered Accountants of Nepal (ICAN) failed to take action against the chartered accountants who were found helping some businesses to swindle billions of rupees in taxes by presenting fake VAT invoices. This was confirmed indirectly by Keshav Acharya, Senior Economic Advisor at the Ministry who complained that similar weaknesses are noticed in some other regulating authorities as well. Finance Minister Surendra Pandey is strongly advocating for such authority. Pandey has been complaining that as the regulators concerned are not&nbsp; taking actions in time, the government has been forced to come forward and take those actions. </span><br />
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">&nbsp;&nbsp;&nbsp; T</span><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">he airline catering facility operated in Kathmandu by Soaltee Crowne Plaza and LSG Sky Chefs has received Halal certification. </span></span></p>
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="">According to a press statement issued to inform this development, Abdul Aziz Mohamad, Chairman of the LSG Sky Chefs, Brahim Halal Excellence Centre certified the Kathmandu facility last December. <br />
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	<span style="font-size: 16px;"><span aldine401="" bt="" color:="" letter-spacing:="" serif="" style="line-height: 115%;">&nbsp;&nbsp;&nbsp; LSG Skychefs’ Kathmandu Kitchen offers around 1800 airline meals per day to international flight operators like Qatar Airways, Gulf Air, Etihad Airways, Dragon Air, China Southern Airlines, GMG Airlines and Nepal Airlines. </span><br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">N</span><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">epal Mountaineering Association (NMA) has asked the government to grant it the right to issue permits to climb 23 additional peaks.&nbsp; Zimba Zangbu Sherpa, president of the NMA, said the demand is made with the aim to attract more tourists to scale more mountains during Nepal Tourism Year 2011 when international mountaineering conferences is being hosted in Nepal by NMA. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">The Association already has the right to issue mountaineering permits for 33 peaks. According to Sherpa, the mountains for which NMA is demanding the authority are unknown to the tourists so far and need publicity. He added that the NMA has already started publicity about these peaks. <br />
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	<span style="font-size: 16px;"><span style="font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">However, Laxman Bhattarai, Spokesperson at the Ministry of Tourism and Civil Aviation (MOTCA) said the demand is being processed by the Ministry. He also added that as the ministry itself is issuing permits to such peaks, it may not be necessary for granting NMA the authority. “There can be no guarantee that more tourists will come if the permit is issued by the Association,” he added </span><span style="line-height: 115%; font-family: &quot;Aldine401 BT&quot;,&quot;serif&quot;; color: black;">Currently, 326 mountain peaks are open for climbing but no climbing attempts have been made as yet for 110 of them. </span><br />
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	<span style="font-size: 13pt;">J</span>agadamba Spinning Mills of Bhairahawa is planning to produce non-woven fabric used to make bags and sacks. The mill is setting up a new plant for the purpose. </p>
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	Bishnu Prasad Neupane, Managing Director of Jagadamba Spinning said the production would begin by mid-March, 2011. The plant is being installed with the investment of Rs 140 million. Its capacity will be five tonnes per day, said Neupane. According to him, as the demand in the country is hardly a ton per day, the company is planning to export to India and other countries. </p>
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	<span style="font-size: 11pt; line-height: 115%; font-family: &quot;Calibri&quot;,&quot;sans-serif&quot;;">Meanwhile, the company is also planning to expand its capacity to produce polyester yarn from current 27 tonnes a day to 33 tonnes. According to Neupane, Rs 70 million is being invested for the purpose. </span></p>',
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View::render() - CORE/Cake/View/View.php, line 473
Controller::render() - CORE/Cake/Controller/Controller.php, line 968
Dispatcher::_invoke() - CORE/Cake/Routing/Dispatcher.php, line 200
Dispatcher::dispatch() - CORE/Cake/Routing/Dispatcher.php, line 167
[main] - APP/webroot/index.php, line 117