KATHMANDU: The National Planning Commission (NPC) has launched a comprehensive five-year action plan aimed at enhancing the effectiveness of government spending, particularly in the realm of public investment management.
The newly introduced public investment management action plan (2081/82-2085/86) seeks to streamline project spending in alignment with the government’s vision, encompassing investments from government, public corporations, and public-private partnerships.
Endorsed during a recent NPC meeting on April 23, the action plan represents a concerted effort to address the need for a long-term strategy to accelerate development projects, stimulate capital expenditure, and ensure the efficiency of public investments.
Dr. Divakar Luintel, Information Officer at NPC, highlighted the imperative of the action plan in addressing persistent challenges in project implementation, particularly the substantial budgetary allocations left underutilized across all levels of government.
The action plan aims to mitigate delays and cost overruns associated with incomplete development projects, ultimately safeguarding state finances and bolstering the government’s credibility.
Key goals outlined in the action plan include the establishment of a transparent central monitoring mechanism for effective management of the capital project portfolio, phased reform of the national project bank, and enhancements to the electronic public procurement system to enhance transparency and efficiency in procurement processes.
Moreover, the action plan emphasizes the regular maintenance and renovation of public structures and infrastructures, alongside the assignment of clear responsibilities to project chiefs to streamline project oversight.
Addressing concerns regarding project selection and budgetary allocations, the action plan prioritizes adequate project preparation to ensure budget allocation for viable projects while discontinuing support for non-feasible endeavors.
The introduction of the public investment management action plan underscores NPC’s commitment to fostering accountable and efficient utilization of public resources, thereby advancing Nepal’s development agenda and enhancing the well-being of its citizens.
Comment