Kathmandu, April 3: Advertising agencies and private media organizations have expressed serious concern over the government’s recent directive to limit government advertisements solely to state-owned media.
The move contradicts previous governments’ efforts to promote the private sector and is seen as potentially devastating for the advertising industry. Sudip Thapa, president of the Nepal Advertising Association, said agencies view this not just as a challenge for media but as a crisis for the entire advertising sector.
The directive overlooks the needs of service providers like advertising agencies and reflects a mindset that the government can handle all advertising in-house, creating contradictions in the market. Currently, more than 800 national and local media outlets, classified as A, B, and C, operate across the country, with government advertising providing critical support.
Businesses warn that this decision could lead to job losses in media and advertising, contradicting political promises to boost employment. If uncorrected, several media houses and agencies may be forced to close.
Some analysts link the decision to press freedom concerns, noting that while private media are not being banned, reliance on government advertising financially weakens them and gives the state indirect control.
Yet, this shift also presents an opportunity for private media to demonstrate their independence and reach audiences without government support. Agencies and media entrepreneurs plan to negotiate with the government to amend the directive, warning that if their concerns are ignored, they may take strict measures to protect both their businesses and employees’ jobs.
People’s News Monitoring Service
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