Kathmandu, Dec 20, Speaker Devraj Ghimire has said the comment that federalism is costly is illogical.

The Speaker said this while launching a souvenir publication of National Natural Resources and Fiscal Commission (NNRFC) here today.

According to Speaker Ghimire, it is wrong to make negative comments on federalism without proper understanding of the gravity of the topic.

"Federalism is being interpreted rendering it as weak, which is wrong. There are weaknesses in understanding several topics like capacity and the laws related to federalism," he said, adding that it is necessary to make an assessment of the weaknesses and shortcomings, and the good practices and achievements of the federal system.

Expert on fiscal federalism Yamnath Sharma said the Government of Nepal is liberal in terms of implementing federalism as it has managed funding to the provinces and the local levels even by taking loan.

NNRFC Chairperson Balananda Poudel shed light on the scope and functions of the Commission while NNRFC Secretary Kiran Raj Sharma said the souvenir publication includes 38 articles written by experts on federalism, fiscal federalism, inter-government fiscal management and natural resource management.