Bagmati Province’s budget expenditure lags at just 9% in first four months


November 28, 2023


Bagmati Province’s budget expenditure lags at just 9% in first four months

Office of the Chief Minister, Bagmati Province, Hetauda/File Photo

KATHMANDU: The budget expenditure of Bagmati Province raises concerns as it has only utilized 9 percent of its allocated budget within the initial four months of the current fiscal year 2080/081 BS.

Historically weak in budget spending, the provincial government’s lackluster performance in budget implementation is evident in this discouraging figure.

Typically, the budget expenditure in the first and second quarters experiences a slowdown, with a significant surge observed only in the final quarter.

This trend results in a substantial portion, approximately 15 to 20 percent, of the budget being spent in the last month of the fiscal year.

Office of the Provincial Treasury Comptroller Office reports that, as of mid-November, a mere 9 percent of the total budget allotted to the state government has been spent.

Homanath Rizal, the Information Officer at the Office, revealed that Rs 5.78 billion 71 million, equivalent to 9 percent of the budget, has been spent out of the total budget of Rs 62.709 billion.

Breaking down the expenditure, he stated that 13.48 percent (Rs 3 billion 56 crore 59 lakh) has been utilized on the capital side, while 6.21 percent (Rs 2 billion 22 crore 11 lakh) has been spent overall.

For the current fiscal year, the state government had earmarked Rs 26 billion 700 million 27 million 69 thousand for current expenses, Rs 35 billion 50 million 63 million 9 thousand for capital expenditures, and an additional Rs 50 million for financial management.

The Office reports that the state government still retains a balance of 56.92 billion 1.8 million rupees.

The government’s budget expenditure this year has slightly decreased compared to the same period last year.

In the first quarter of the previous fiscal year 2079/080, the state government had spent 10 percent, with 14.14 percent spent on the current side and 6.37 percent on the capital side.