The State no. 1 government has unveiled a budget of Rs. 40.89 billion for the new fiscal year 2020/21. Minister for Economic Affairs and Planning Indra Bahadur Angbo tabled the budget at the State Assembly meeting today.
The budget has been divided into Rs. 18.93 billion (46.29 per cent) as current expenditure and Rs. 21.92 billion (53.71 per cent) in capital expenditure. Likewise, Rs. 40 million has been allocated for fiscal measures while Rs. 2.88 billion under inter-governmental fiscal transfer.
Among the sources of income, Rs. 4.75 billion will be met through internal sources, Rs. 10 billion from revenue sharing, Rs. 15 billion from grants and Rs. 6 billion worth of cash savings. Remaining will be met by seeking credit from the central government, Minister Angbo said.
Likewise, Rs. 826.9 million will be provided to the local level units in the State through revenue sharing with an equalization grant worth one billion that will see 5 million rupees allocated to every local level. Supplementary grant worth Rs. 1.4 billion has also been allocated for joint projects with the local level.
The major focus of the budget is to address the current health crisis, with an allocation of Rs. 500 million for procurement of medical supplies and equipment, Rs. 1.1 billion for hospital consolidation and service expansion, and Rs. 64.6 million for upgrading the capacity of State public laboratories, modern PCR machine and other infrastructure development.
A budget of Rs. 120 million has been set aside to run start up agriculture projects under the ‘my agriculture my pride’ initiative. Funds have also been allocated in the budget estimates for cold storage, model agriculture and livestock farm, tea development, with a total budget of Rs. 3.83 billion for the overall development of the agriculture sector.
Finance Minister Angbo shared that the State government has allocated a budget of Rs. 148.5 million for the protection and promotion of the rights of people with disabilities, including for prevention and rehabilitation programmes.
The Chief Minister Rural Road Project has been given special priority with a budget of Rs. 5.21 billion.
Source: National News Agency Nepal