On behalf of the Association of Non-Resident Nepali Accountants, I extend my sincere best wishes for the success of the 5th National Convention of Professional Accountants being held in Kathmandu.
This convention is taking place at a critical moment in our nation’s journey. A strong wave of public awakening, particularly among the younger generation, has delivered a clear message: accountability, transparency, and an end to systemic corruption are no longer optional. The old ways are no longer acceptable.
In reaching this point, we cannot honestly claim to be entirely blameless. While we often regard ourselves as advocates of transparency, we must confront difficult questions: Why have we failed to ensure the effective implementation of property tax reforms since 1990? Why did we tolerate valuation systems designed to bypass the law? Why did we not take the risks of cash-based transactions seriously in time? These are not easy reflections. Yet, the truth remains we are not merely observers; in many ways, we have been complicit. At such a time, the accounting profession stands at the center of national responsibility.
ICAN members are not merely service providers, they are guardians of financial truth. However, we must acknowledge an uncomfortable reality. Practices such as under-declared customs, VAT leakages, hundi-based settlements, under-reporting of sales, and unexplained investments have become normalized. Many professionals are compelled to compromise simply to sustain their livelihoods. This is not merely a professional concern, it is a national risk. Silence today is not neutrality; it is complicity.
Nepal is rapidly moving toward a digital economy. QR-based payment systems have expanded even into rural areas, with user adoption far exceeding the number of registered businesses. This presents both an opportunity and a warning. While digital systems can significantly enhance transparency, existing loopholes and potential misuse still pose serious risks to both businesses and professionals. The time for incremental change has passed. Structural reform is now urgently required.
Reducing dependence on cash, strengthening digital accountability, and enforcing strict financial discipline must become national priorities. Measures once considered difficult are now unavoidable. The political and social direction of the country is clear: clean governance is no longer negotiable. The accounting profession must lead this transformation not follow it.
This convention must not remain a ceremonial gathering. It should become a decisive turning point, where the profession reclaims its integrity, restores public trust, and establishes a new standard of accountability.
At a time when the elected government has placed corruption control at the center of its agenda, it is important to recognize that a cash-dominated system continues to enable corruption and numerous illicit activities. Observations from Kathmandu and across sectors indicate that the widespread adoption of QR-based payments has already made a less-cash economy practical. Therefore, this convention should strongly recommend that the government move toward reducing cash usage in a time-bound manner, consider phasing out high-denomination notes, rationalize tax rates, and broaden the revenue base.
I trust ICAN will rise to this responsibility.
Thank you.
Aek Bahadur Kshatry
President
Association of NRN Accountants
5130 Door Drive Madison WI 53705 (Visting Kathmandu)
Email:Coordinator@nrnaccountants.org
