Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel presented the budget for fiscal year FY 2082/83 (1.911 trillion rupees) on 3:00 PM Jestha 15, 2082, which includes many new policies and plans of the government for the telecom sector. Addressed at the joint meeting of the federal parliament, the anticipated budget speech also shed light on the state of connectivity penetration across Nepal. Here, we have all the major highlights for you.
Let’s start with some fresh stats on the internet penetration as shared by the finance minister Poudel himself. He said that according to the FY 2082/83 financial survey, 3 crore, 94 lakh, 4 hundred, and 75 mobile phone users subscribe to data services. The data is recorded as of Falgun 2081. Of the two telecom operators, 1 crore, 56 lakh, 45 thousand users use data of Nepal Telecom (NTC). Ncell has 1 crore, 18 lakh, and 91 thousand data subscribers.
At the same time, 1 crore, 19 lakh, 29 thousand users use internet services provided by internet service providers (ISPs). This includes WorldLink, Nepal Telecom, Vianet, etc. Check out: Nepal Telecom Fiber internet package prices
At the same time, the government has also predicted that Ntc would generate 9 arba, 55 crore, and 87 lakh profit in FY 2081/82. The fiscal year 2081/82 ends at the end of Ashar 2082, and its books haven’t been audited, so it’s an estimation. The company posted a profit of Rs 6 arba, 23 crore, and 1 lakh in FY 2080/81. The company has been seeing its revenues and profits fall in the past few years. This is likely to continue this fiscal year, too.
The government has allocated the communication ministry a budget of Rs 7.72 billion for FY 2082/83.
Table of contents
FY 2082/83 Budget Speech: All You Need to Know from telecom to digital technology promotion
We have separated the budget speech for FY 2082/83 in two segments – telecom and digital technologies. Let’s start with the former first.
Telecommunication
Mandatory Phone registration
The government will make phone registration mandatory. The government will enforce this ruling to contain the import and use of mobile phones brought in illegally. We also call such phones “grey phones”. NTA initially tried to implement MDMS for the same purpose, but it’s out of active operation at present for various reasons.
Must read: How to transfer balance in Ntc to Ntc?
NTA will be restructured
The government will restructure the Nepal Telecommunication Authority (NTA). The authority is the sole industry regulator for the telecommunications sector. But so much has been said about its efficiency and role in guiding the industry. The government’s decision to change its structure could be aimed at a major change in direction and policy changes for the telecommunications industry in Nepal. Likewise, it should help with bridging Nepal’s digital divide and promote broadband expansion.
4G Expansion and quality upgrade
The budget also mentions of the 4G network expansion to all parts of the country while upgrading its quality. Although 4G is the most preferred technology from the people, it is yet to launch in some local levels of the country in far-flung regions. Likewise, there are complaints of slow 4G speed and unreliable connectivity, so the quality upgrade in real sense is a positive news.
Check out: Factors affecting 4G speed in Nepal
5G launch in 2082
The finance minister said in his budget speech for FY 2082/83 that the 5G network will be launched in major cities of Nepal in 2082. The statement aligns with Communication Minister Prithvi Subba’s recent suggestions that the fifth-generation cellular network will be launched somewhere in 2082. Today’s announcement further strengthens the possibility that we could see the 5G launch in Nepal pretty soon. As per the budget, 5G will be launched in Kathmandu valley and major cities across the country within the next FY (2082/83).
Nepal Telecom’s 30% share to the people
It’s also announced that the government will divest Nepal Telecom’s 30% share to the public. Similarly, long awaited strategic partner (from a globally renowned telecom giant) could be appointed in Nepal Telecom. Previously, the government said that it planned to float 22% of the company’s shares to the general public. The news is a delight for everyone, especially people who want to have a share in the country’s one of profiting public companies.
Cooperation with the private sector for the data center
The government will cooperate with the private sector for the construction and operation of data center and the development of digital infrastructure. At the same time, a data center will be built in a Mid-Hill region, and a willing company will be provided with land and electricity, and other necessary facilities. Also: Huawei to build data center of Nepal Telecom
The government will also improve the quality of integrated data centers and cloud infrastructure.
Satellite project
The minister also said that a foundation will be laid for Nepal’s own satellite in the geostationary orbit. The talk of Nepal’s own satellite has been ongoing for years, with a pico satellite grabbing some headlines in the past. Let’s hope that the initiative takes a major development in FY 2082/83.
Internet penetration at community schools
Internet service has been ensured at 85.43% of community schools across Nepal. Likewise, 29.58% of community schools have ICT Labs. There is a total of 27 thousand 2 hundred 98 community schools in operation across the country.
The government’s RTDF-funded broadband project has been instrumental in establishing fiber internet at community schools.
Digital Technologies
Digital Nepal Framework 2.0
The government will bring the second edition of the Digital Nepal Framework to enhance public access to public information services. The framework enlists major policies to achieve Nepal’s digital transformation. The next version of it could bring more practical policies and programs to guide the country’s digital goals.
Minister Poudel also said that a budget of Rs 74 crore has been allocated to create a digital ecosystem.
Techno-friendly agriculture
Finance Minister Poudel announced plans to promote agriculture with technology. He said that farmers will be provided with a mobile app and SMS facility to help them with their agriculture.
Likewise, land management services will be digitized, and LIDAR technology will be implemented for effective land measurement and inspection. He also said that arrangements will be made for an online system for land sales and purchases.
Also: National ID Card (NID) 2025, Process to Apply | FAQs
Telemedicine for the public
The government will expand telemedicine and digital health services for the public. In his budget speech for FY 20282/83, Finance Minister Poudel said that digital health services will ensure easier access to the public for their well-being.
He also said that robotics and artificial intelligence (AI) will be used for state-of-the-art health services. In addition, the child helpline service will come into operation on the Nagarik app. Similarly, AI center will be established to promote the use of AI/ML in research and other innovative works.
Make in Nepal, Made in Nepal campaign
The government will launch a “Make in Nepal, made in Nepal” campaign to promote domestic production. According to the finance minister, the government will cooperate with the private sector to head the campaign.
Use software made in Nepal
In his budget speech, finance minister Poudel also said that government bodies will now be using software made in Nepal. He shared that the government will issue hardware and software standards to bring uniformity in ICT infrastructure in government offices.
Switch to the electric industry to reduce pollution
The government also encourages industries to switch to electricity to reduce air pollution. The decision comes amidst growingly poor air quality indexes Nepali cities have registered in recent months. For this, the government will also provide industries with concessional loans. “Concessional loans will be provided to the private sector to convert traditional boilers used in factories to electric technology to reduce air pollution in major cities of the country, including the Kathmandu Valley,” Finance Minister Poudel said.
Sweat equity for ICT professionals
Nepali citizens will be entitled to sweat equity for providing technology or specialized knowledge, or services to foreign companies. According to Poudel, arrangements will be made soon for this initiative. The decision should please many ICT professionals, including freelancers who import services to entities abroad.
Arrangement for green hydrogen technology
The government will study the feasibility of green hydrogen in collaboration with universities and the private sector. The government will attract domestic and foreign private investment to produce green hydrogen.
In addition, the government will also make arrangements to enter into a power purchase agreement (PPA) similar to a reservoir-based project if solar and wind energy is stored in batteries and connected to the national system.
Minister Poudel said, “If solar and wind energy is stored in batteries and connected to the national system, arrangements will be made to enter into a power purchase agreement similar to a reservoir-based project.”
Check out: How to check Ntc Ncell number name and transfer ownership?
The new policies will come into effect from Shrawan 01, 2082, the first day of FY 2082/83.
What was your expectation from the telecom industry from the budget speech FY 2082/83? Did they live up to them or leave you wanting more? Do share your opinion in our comment section below.
