Govt. income and expenditure fall short of targets

KATHMANDU, FEBRUARY 15: Both income and expenditure of the Nepalese government have remained sluggish as of February 12 in the current fiscal year 2024/25, according to the Financial Comptroller General Office. The government income stands at 44.83% of the annual target, while expenditure is 40.58%.

The government had set a budget of NPR 1.86 trillion for the fiscal year, with a revenue target of NPR 1.47 trillion. However, due to weak income and spending, the target was revised to 90.99% (NPR 1.69 trillion) of the annual budget in the half-yearly review.

By February 12, the total expenditure was 45.82%. Of the NPR 1.14 trillion allocated for current expenses, NPR 522 billion (45.82%) has been spent. For capital expenditure, NPR 68.41 billion (19.42% of the NPR 352 billion budget) was used. Under fiscal management, meant for paying public debt, 44.6% of the NPR 3.67 billion budget was spent.

The revenue collection also showed slow progress. Out of the NPR 1.47 trillion target, only NPR 6.29 billion (44.83%) was collected in seven months. Tax revenue was 44.05% (NPR 12.84 billion), while non-tax revenue reached 57.15% (NPR 5.65 billion) of their respective targets.

The foreign grants were significantly lower than expected. Against a target of NPR 52.32 billion, only NPR 8.82 billion (16.87%) was received within the seven-month period.