NBF Executive Order


Adopted by the Cabinet, May 2010

Highly appreciating the contribution and importance of private sector in economic development of the country,

Realizing the fact that contribution of institutional arrangements of regular dialogue and alliance between public and private sector can be extremely important to the economic prosperity of the country,

With an objective to create job opportunities by bringing reforms in nature of business operation and investment promotion in the country to accelerate the pace of economic development,

The Government of Nepal, hereby issues an Order to form Nepal Business Forum (Executive Order), 2010.

1. Short Title and Commencement

  1. Name: The name of this order is called Nepal Business Forum (Executive Order) 2010.
  2. This order shall become effective from Jestha 01, 2066(15 May, 2010).

2. Establishment and formation of NBF

  1. Nepal Business Forum is formed to stimulate dialogue and group effort between the public and private sectors on issues related to the effective implementation and monitoring of laws and policies related to investment and business operations, to identify constraints, limitations and barriers existing in business operations and growth of investment, to make recommendations to the government for the development and growth of investment and business and to assist in implementation and monitoring of such recommendations as well as to provide institutional framework for regular, results-oriented, and transparent dialogue between the public and private sectors.
  2. Nepal Business Forum will be an autonomous structured body. It shall have its separate seal.
  3. This institution shall be known as NEPAL BUSINESS FORUM and its abbreviated form shall be “Manch” in Nepali and “NBF” in English.
  4. The institutional framework of NBF shall comprise of the followings:
    • High Level Business Forum,
    • Steering Committee,
    • Private Sector Development Committee,
    • Working Groups
    • Secretariat

3. Composition of High Level Business Forum and its Procedural Affairs :

  1. The High Level Business Forum shall be the apex body for policy formulation and policy decisions to attain the objectives of NBF.
  2. The Prime Minister shall be the chairperson of the High Level Business Forum.
  3. The High Level Business Forum shall meet as required. Provided the time span between the two meetings does not exceed 6 months.
  4. The meeting of High Level Forum shall be convened as directed by the Prime Minister.
  5. High Level Business Forum shall comprise of different ministries and bodies of the Government of Nepal, representatives of professional organizations, representatives of private sector businessmen, representatives of civil societies and invitees.
  6. Concerned experts and professionals shall also be invited along with the representatives of private sector, concerned ministry and bodies, international development partners, representative of research division.
  7. Secretary of the Ministry of Industry shall serve as Member-Secretary of the High Level Business Forum.
  8. Formation of the High Level Business Forum is given in Annex -1

4. Power, Function and Duties of High Level Business Forum: Power, Function and Duties of High Level Business Forum shall be as follows:

  1. To recommend germane reforms in all aggregate and sectoral policies and principles concerning the economic development to the Government of Nepal,
  2. To recommend and bring about necessary reforms in institutional and managerial matters required for effective public-private dialogue and alliance,
  3. To recommend policy reforms in the industrial, economic, monetary, commerce, export-import and corporate governance sectors of the country,
  4. To coordinate to create strong and harmonious environment for industrial and professional investments.
  5. To recommend policy reforms in industrial and labor related matters.

5. Composition and Affairs of the Steering Committee:

  1. The steering Committee shall function as the executive organ of the NBF.
  2. The Minister of Industry, shall be the chairperson of the Steering Committee.
  3. Steering Committee shall consist of Co-Chairpersons of all Working Group and up to five other members nominated by the committee representing different professional fields.
  4. Development partners and experts from the relevant field may be invited to the meeting of the steering committee to participate as observers.
  5. The Minister of Industry, shall call the meetings of the Steering Committee.
  6. Steering Committee shall meet at least once in two months.

6. Authority, Function and Duties of Steering Committee:

The Authority, Function and Duties of the Steering Committee shall be as follows:

  1. The Steering Committee shall set the agenda for the General Assembly. and also carry out monitoring and evaluation of secretariat and working groups.
  2. It shall review the name, jurisdiction and number of members of the working groups as and when required
  3. Steering Committee shall determine the criteria for recommendations from working groups.
  4. The Steering Committee shall set administrative and financial procedures for the Secretariat. It shall also approve plan, program and budget for NBF.
  5. Steering Committee shall perform or have performed all other functions as directed by the Forum.

7. Private Sector Development Committee

  1. There shall be a Private Sector Development Committee, as given in Annex-2 , under the chairmanship of the Chief Secretary comprising of Secretaries of relevant ministries
  2. Number of members of the Private Sector Development Committee shall be increased or decreased if required.
  3. The Committee may invite representatives from the development partners, and experts to its meeting if deemed necessary.
  4. The Chief Secretary of the Nepal Government shall call the meetings of this Committee.
  5. Joint Secretary (Ministry of Industry, Industrial Promotion Division) serves as member secretary of this Committee.
  6. The Ministry of Industry shall serve as coordination body.
  7. The Committee shall request the concerned ministries to implement reform decisions taken by the Working Groups and if jurisdiction of such decision falls under two or more ministries or bodies, the Committee shall forward such decision to the Ministry of Industry to get it approved from the Cabinet.
  8. The Committee shall meet at least once every two months.
  9. The Committee shall prepare its procedural guidelines.
  10. The Committee shall submit report of its activities and its progress report to the High Level Business Forum.

8. Working Groups :

  1. Working Groups shall be formed to facilitate the activities of the Forum on the basis of sectoral themes as and when necessary. Regulatory institutions of private sector may be invited in the working groups.
  2. The Working Groups shall carry out their respective work on thematic areas as well as sector-specific areas.
  3. The Working Groups may be dissolved or combined or new groups may be formed if necessary.
  4. Working Groups may organize symposium, conference and interaction meetings on the issues related to their scope of work.
  5. One senior government official (Secretary or a person of similar rank) and one private sector representative shall be co-chairperson of each Working Group.
  6. Concerned private sector associations will nominate each Working Group’s vice-chairperson and members representing the private sector.
  7. Each Working Group shall have a total of eight members; composed of four members each from the government and the private sector.
  8. The sectoral Working Groups, their vice-chairpersons and members shall be as follows:-
    • Working Group on Industrial Investment Promotion Co-chairpersons: Secretary, Ministry of Industry and co- chair; President, Confederation of Nepalese Industries). and Joint-Secretary level members representing the Nepal Government from the Ministry of Commerce & Supplies, Ministry of Finance, and Ministry of Tourism & Civil Aviation
    • Working Group on Export Promotion and Trade Facilitation (Co-chairpersons: - Secretary, Ministry of Commerce and Supplies; President, Nepal Chamber of Commerce ) And Joint-Secretary level members representing the Nepal Government from the Ministry of Agriculture & Cooperatives, Ministry of Finance and Ministry of Industry.
    • Working Group on Infrastructure (Co-chairpersons:- Secretary, Ministry of Energy; and President, Independent Power Producers’ Association of Nepal; and Joint-Secretary level members, representing the Nepal Government from Ministry of Information & Communication, Ministry of Irrigation, and Ministry of Physical Planning and Works.
    • Working Group on Financial, Monetary, and Insurance Affairs (Co-chairpersons:- Deputy Governor (Banking), Nepal Rastra Bank, and Joint-Secretary level members, representing the Nepal Government from Ministry of Finance, Ministry of Industry and Ministry of Local Development
    • Working Group on Women Entrepreneurship Development (Co-chairpersons: Secretary, Ministry of Women, Children and Social Welfare, and President, Federation of Nepalese Women Entrepreneurs) and Joint-Secretary level members, representing the Nepal Government from Ministry of Commerce & Supplies, Ministry of Industry and Ministry of Local Development
    • Working Group on Business Environment, Labor Relations and Industrial Security : (Co-chairpersons:- Secretary, Ministry of Finance; and President, Federation of Nepalese Chamber of Commerce and Industry ), and Joint-Secretary level members, representing the Nepal Government from Ministry of Home, Ministry of Industry, and Ministry of Labor and Transportation.
  9. Functions of Working Groups shall be as follows:
    • To identify regulatory issues and their solutions related to investment and business and prepare required recommendations for reforms and implementable measures to overcome such problems.
    • To make decisions at its own level and provide recommendations (to higher authority), if needed.
    • To send its recommendations to the concerned steering committee for required solution, whenever it becomes necessary to coordinate at inter-ministerial and inter-agency level or obtain ministerial level decision on some matter and when the decision cannot be taken at the working group level.
    • Steering committee after reviewing the recommendations of working group shall forwards them to the PSD committee for implementation of appropriate recommendations.
  10. Working group shall prepare its T-O-R based on its scope of work.
  11. Working groups can get consultations/advise from businessmen, entrepreneurs, professionals, experts, and representatives of international development partners, as needed.
  12. Working Groups shall undertake all other activities as required by the High Level Business Forum and the Steering Committee.

9. Secretariat of NBF :

  1. There shall be a Secretariat of the Forum which shall act as a main facilitator for communication and interaction amongst the Steering Committee, Private Sector Development Committee and Working Groups.
  2. The Secretariat shall provide help in making the work of Working Groups, Steering Committee and the Private Sector Development Committee easy and standardized as well as maintain records of decision implementation.
  3. The Coordinator appointed by the private sector and selected on a competitive bases from the qualified and capable people, shall perform as the chief of the Secretariat.
  4. The Secretariat shall track the decisions taken by Working Groups, Steering Committee and the Private Sector Development Committee and prepare the Implementation Progress Report, and also make monitoring arrangements.
  5. Manpower required for the Secretariat shall be taken by having representation of government and private sector.
  6. Both, government and private sector, shall provide necessary support to enable the work of the Secretariat of the Forum.

10. Overcoming Difficulties :

If there are any difficulties in achieving objectives of the Forum, such difficulties can be overcome with the recommendation of High Level Business Forum.

11. Liaison with the Nepal Government:

The Forum shall liaise with the Nepal Government through the Ministry of Industry.

12. Financial Resources:

  1. There shall be provision of a separate budget for functioning of the Secretariat.
  2. The Nepal Government, donor agencies, private sector and other stakeholders shall deposit money in the said fund as prescribed by High Level Business Forum.
  3. Approval from the Ministry of Finance, Nepal Government is required before accepting aid from foreign donor agencies and organizations.
  4. The audit of the Forum shall be held by the auditor having approval from the Office of the Auditor General.

13. Power to promulgate the procedural guidelines:

The forum may frame and promulgate, or have framed or promulgated, procedural guidelines in order to simplify its work procedures.

14. Delegation of Power:

The Forum may delegate rights vested in it in accordance with this Order.

15. Dissolving the Forum and handing over of responsibilities:

  1. The Forum may be dissolved any time if it is deemed not required by the order of the Nepal Government.
  2. The property of the forum shall be transferred as per Sub-Article (1) after it is dissolved