The Army Act bars the NA from
becoming a promoter to any development project or business firm as the Army
Welfare Fund is a non-profit making body.
If the army is to invest in
hydropower projects, the act will have to be amended, it said.
The NA said that it had prepared
a number of plans for making investments in the hydropower sector, but it
didn’t divulge the details. The army has been scouting for opportunities to
diversify investments as the Army Welfare Fund is flush with cash. Currently,
it has assets amounting to Rs 26.88 billion deposited in various banks and
financial institutions.
The welfare fund’s main sources
of income are interest on bank deposits and contributions by the UN
Peacekeepers deployed in various countries. The Army Act also bars the army
from investing in shares.
The NA said it is currently doing
study to prioritize the possible areas in the civilian sector for the
investment after the removal of legal hurdles. It said that consultations were
underway with the concerned bodies for the possible investment, particularly
with the government.
The NA said that it needed to
spread out its investments to make the welfare fund sustainable and
long-lasting.
“We have prepared a plan to
invest in the hydropower sector, and consultations are being held at various
levels,” said Brigadier General Dhani Das Karki, director of the welfare fund,
on Tuesday.
Considering the large amount of
money in the welfare fund, the NA has been diversifying its investments in
various areas in recent days. One of its latest projects is the construction of
a hospital to provide health services to the general public.
The NA has been providing health
services to incumbent and retired army officials, but the upcoming hospital
will serve the general public too. The NA said the services would be a little
more expensive than government hospitals and cheaper than private hospitals.
Meanwhile, the NA has started providing training to retired personnel.
Source:-
e-Kantipur
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