IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this article

Impact of Privatization in Nepal

Listed author(s):
  • Fatta Bahadur K. C.

    (Nepal Commerce Campus)

Registered author(s):

    Privatization of public enterprises have been very much in the agenda of economic liberalisation in contemporary world specially in developing and countries in transition. Different modalities of privatisation with lofty goals such as enhancing productive efficiency, allocative efficiency, economic efficiency and to rescue governments from budgetary burdens. Upon evaluation of private and public undertakings in Nepal it was revealed that public enterprises were capital intensive, better in capacity utilisation, profitability and with high economic returns compared to private undertakings. Barring a few, production level did not increase much. Three out of ten enterprises studied showed a marked improvement in sales of their products after privatisation whereas only two enterprises turned out to be profitable. On various yardsticks such as price, employment and labour productivity, product diversification, privatised enterprises have not been successful to the level committed before privatisation. Privatisation therefore might not be beneficial unless it is accompanied by competition in the market place. The key issue is whether such privatisation better serves the long run development interest of a nation by promoting a more sustainable and equitable pattern of economic and social progress.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL:
    Download Restriction: no

    Article provided by Nepal Rastra Bank, Research Department in its journal NRB Economic Review.

    Volume (Year): 11 (1999)
    Issue (Month): (April)
    Pages: 15-34

    in new window

    Handle: RePEc:nrb:journl:v:11:y:1999:p:2
    Contact details of provider: Web page:

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:nrb:journl:v:11:y:1999:p:2. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dr. Bishnu Prasad Gautam)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.