Kathmandu: Development expenditure of the government is weak in the first five months of the current fiscal year 2025/26. The government spent only eight per cent of the capital expenditure till December 15.
According to National News Agency Nepal, the statistics from the Financial Comptroller General Office (FCGO) indicate that the capital expenditure was Rs 33.87 billion as of December 15. The government had allocated a total of Rs 407 billion 880 million under the capital expenditure heading for the current fiscal year, highlighting a significant shortfall in spending.
As per the statistics, out of the Rs 1,180 billion 980 million allocated for current expenditures this fiscal year, only 33.7 per cent, or Rs 398 billion, has been spent so far. Similarly, under the financial management heading, Rs 375 billion was allocated, with Rs 132 billion (35.32 per cent) spent to date.
According to the FCGO, 28.74 per cent of the total annual expenditure allocation of the government was spent by December 15. Out of a Rs 1 trillion and 964 billion budget allocated for the current fiscal year, Rs 564 billion has been spent so far.
Meanwhile, revenue collection has also shown weaknesses. The government set a target of collecting Rs 1 trillion and 533 billion in revenue for the current fiscal year, yet only Rs 414 billion (27 per cent) was collected in five months. The government had aimed to collect Rs 520.44 billion in revenue during the first five months.
Furthermore, only Rs 80.27 billion in tax was collected against the government’s target of collecting Rs 95.20 billion from November 17 to December 15. So far, 28.83 percent of the annual target for tax revenue, amounting to Rs 382 billion 230 million, and 15.59 percent of the target for non-tax revenue, amounting to Rs 24.70 billion, has been collected.
The government, which set a target to receive a foreign grant of Rs 53 billion 446 million 900 thousand this year, has so far received only 9.58 percent, equivalent to Rs 5 billion 121 million. Looking at the revenue and expenditure of the government so far, the budget deficit has reached around Rs 150 billion, meaning the government’s expenditure exceeds its revenue by Rs 149 billion 558 million and 500 thousand.