Kathmandu. The government has been rapidly terminating contracts, vowing to accelerate development projects that have been stalled and in a state of disrepair for years. The Department of Roads has stated that it has canceled approximately 150 stalled contract agreements in the last six months alone against construction entrepreneurs who do not work and occupy state resources.
Meanwhile, the Public Procurement Monitoring Office under the Prime Minister and Council of Ministers' Office has blacklisted more than 120 construction entrepreneurs and companies since last March. The Prime Minister's Office has described the frequent cancellation of contracts as a 'bold decision' by the government to break the impunity and collusion that has flourished in the construction sector for decades. However, while the government claims this as its bravery and a standard of good governance, its internal impact is becoming extremely complex.
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