Total government spending amounts to Rs. 667.60 billion in 6 months

KATHMANDU, FEBRUARY 7 : In the first six months of the current fiscal year, Rs. 667.60 billion of the total national budget has been spent. According to the Ministry of Finance’s mid-year budget review report, a total budget of Rs. 1,860.30 billion was allocated for fiscal year 2024/24. By the end of Poush (mid-December to mid-January), 35.89% of the total allocation had been utilized- an increase of 17.66 percent compared to the same period last fiscal.

In the first six months of the current fiscal, government resources amounting to Rs. 618.51 billion were utilized, reflecting a 15.86% increase compared to the corresponding period last fiscal. Similarly, foreign grants spending reached Rs. 7.71 billion during the review period, marking a 43.79% rise compared to the same period last year.

By the end of Poush, the government had approved Rs. 101.96 billion in funding for various ministry-led projects.

In the first six months of the current fiscal year, out of the total outstanding liabilities of Rs. 28.51 billion, Rs. 22.22 billion was managed for payments, with efforts underway to arrange funds for the remaining liabilities.

The Ministry of Finance has provided opinions and approvals on 64 laws, regulations, procedures, directives, and standards as requested by various ministries. To enhance budgetary management and ensure uniformity in public spending, the Operational Procedure 2024 has been formulated and implemented, as stated by Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel.

Revenue Collection and Debt Management

During the review period, the total revenue collection was estimated at Rs. 672.80 billion. However, actual revenue, including miscellaneous receipts, stood at Rs. 567.39 billion—equivalent to 84.33% of the mid-year target. This represents a 10.09% increase compared to last year’s mid-year revenue collection of Rs. 515.39 billion.

By the end of Poush, internal borrowing amounted to Rs. 181.05 billion, while internal debt repayment stood at Rs. 127.24 billion, resulting in a net internal borrowing of Rs. 53.81 billion.

For the current fiscal year, Rs. 402.85 billion was allocated for public debt servicing (principal and interest). By mid-year, Rs. 182.40 billion had been disbursed, accounting for 45.28% of the annual allocation. This brings the total debt servicing cost to 3.20% of the previous fiscal year’s GDP.

Development Assistance and Foreign Aid

The government had estimated the mobilization of Rs. 270 billion in development assistance for the current fiscal year. However, by mid-year, only Rs. 49.09 billion—or 18.18% of the estimated amount—had been received. The Ministry of Finance reported securing a commitment of Rs. 205 billion in development assistance during this period.

 

 

4o