Nepal unveils relief package to help flood-hit businesses recover
Summary
Nepal’s government has announced a special recovery package for businesses hit by floods in the Bhotekoshi river basin, including customs and tax exemptions, loan restructuring and cheaper credit. The measures also aim to speed up insurance payouts and ease the financial burden on affected borrowers.
Key Points
- The Cabinet approved a first-phase relief package for industries, businesses and commercial establishments damaged by floods in the Bhotekoshi river basin.
- The package includes customs exemptions for replacement vehicles, machinery and goods, along with tax filing extensions and other tax concessions.
- Nepal Rastra Bank has been directed to introduce loan restructuring, rescheduling and cheaper credit for flood-affected borrowers.
- The Insurance Authority will simplify claims processes and require insurers and reinsurers to make advance flood-related claim payments.
