The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and the British Council signed a Memorandum of Understanding (MoU) valued at US$1.5 million on November 12 to boost the economy of Nepal by creating a model for the Employers’ Association to conduct harmonized demand-side Labor Market Information (LMI) activities. Signed to mark the establishment of an Employer-led Labor Market Secretariat (ELMS), this agreement forms part of the European Union (EU) funded Dakchyata: Technical Education and Vocational Training (TVET) Practical Partnership Project.
The agreement was signed by FNCCI President, Bhawani Rana, and British Council Country Director, Shahida MacDougall, at a function held at the FNCCI Secretariat last Wednesday.
It is anticipated that the project will address the problems faced by the business sector in the country due to the lack of essential data and information related to the labor market and will help with the industrial development of Nepal. In addition, the project aims to develop the labor market information system by making it more organized and reliable and provide the skilled manpower that is required for industrial establishments. The project is also expected to contribute towards job creation and change the overall TVET system by helping the industrial development of the country through the management of supply and demand in the labor market. This will help towards the formulation of government policies and programs related to the labor market as well as in the creation of skilled manpower required for the industry and business sectors.
During the MoU signing event, the FNCCI President, Bhawani Rana, thanked the British Council for its support in fulfilling the FNCCI’s goal of creating manpower in the labor market based on the demands of industry and business in the country and pledged to implement the project as per the agreement. Stating that training courses would help to create sustainable and reliable employment, President Rana said, “This initiative will be instrumental for improving the TVET sector, quality training and sectorial specialized capacity building of the manpower in the labor market as per the demand of the industries.” She thanked the British Council and the Dakchyata Project for its collaboration with the private sector.
At the same time, the EU Ambassador to Nepal, Nona Deprez, welcomed the cooperation between the EU and the British Council in the field of technical and vocational education and training and said that emphasis should be placed on efficient manpower creation and productivity growth to move the economy forward effectively. The ambassador said, “It will create employment opportunities by uniting the overall market demand and the manpower produced and will also contribute significantly to the economic development of Nepal.” She stressed that the agreement reached between the British Council and the FNCCI would significantly contribute to the production of skilled manpower required for Nepal’s labor market.
Shahida MacDougall, Country Director of the British Council, expressed her happiness at being able to assist the Nepali private sector in the implementation of the project and wished the project success. Stating that the project would be an important example of cooperation among Nepal’s leading business organizations such as the FNCCI, CNI, FCAN, FNCSI, and HAN, she said, “The project, which will be implemented in cooperation with the British Council and in partnership with the Dakchyata Project, will help in Nepal’s economic development, investment attraction and job creation through the production of skilled manpower.” This will help Nepal’s labor market to be more organized and balance the supply and demand levels, she added.