Country may not have next periodic plan

The country may not have a three-year or five-year periodic plans after 2012/13, as the National Planning Commission (NPC) has not been able to initiate the process for formulating such a plan due to political vacuum created by the dissolution of the Constituent Assembly on May 27.

NPC officials claim that the commission has so far failed to develop a base paper, the preliminary sketch of the periodic plan, due to the prolonged political transition and uncertainty on how the upcoming economic policies will be framed. This paper is required to frame the periodic plan, which is considered long-term development blueprint. 

“NPC, which develops the periodic development plans, normally begins the preparation for the base paper a year and half ahead of its launch,” NPC member Janak Raj Shah said. “The NPC has not even been able to form technical committees to work in that direction so far.” 

NPC has so far formulated 10 full-fledged five-year periodic plans, an interim plan and the existing three-year periodic plan. The current three-year plan, which has targeted to achieve 5.5 percent economic growth rate, will expire by the end of fiscal year 2012/13. 

“In order to develop a base paper for the next periodic plan, we need a clear roadmap of the country´s political course,” Shah shared, indicating the country may be devoid of a long-term development plan after the next fiscal year ends.

Suggesting alternatives, Dr Posh Raj Pandey, former member of NPC, said that the government can announce a ´Plan Holiday´ if it is fails to come up with a periodic plan.

“Plan Holiday can be an alternative if the NPC can´t come up with the periodic plan due to political uncertainties and absence of government that enjoys people´s mandate,” he said.