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Government may decide to suspend transport loans

July 14, 2016
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Government may decide to suspend transport loansThe economy has spent Rs 6.3B for the import of cars since the ban was lifted in mid 2014.

However, officials said, the issue of increasing number of cars has taken a backseat, since the government today is `engaged in other priority areas.

Ever since the ban on import of cars was lifted in 2014, the number of cars, especially in Thimphu has been rapidly increasing.

According to figures available with the Road Safety and Transport Authority, around 22 new cars are registered in the country every day.

Today, the total number of cars in the country has reached 75,829 vehicles, with close to half of them concentrated in the Thimphu region.

Finance minister, Namgay Dorji said over Rs 6.3 B worth of cars were imported since the ban lift.

“The government has not taken any sort of decision on the issue of increasing number of car imports, but we are definitely concerned for so many reasons, one being the import-export mismatch since we are importing so much.”

Lyonpo added, while the issue is still a concern for the government, it was not on top of the priority list today. The government is working on other important areas such as discussing with the central bank to lower bank interest rates.

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