KATHMANDU: According to the latest data from the Financial Comptroller General Office (FCGO), the Nepal government’s expenditure has exceeded its income by approximately Rs 152 billion as of the end of the third quarter of the current fiscal year.
By the end of the month of Chaitra (mid-April), the government collected total revenue and receipts amounting to Rs 907.17 billion, while total spending reached Rs 1.059 trillion.
The government had set an ambitious target to collect Rs 1.48 trillion in tax and non-tax revenue for the current fiscal year. However, in the first nine months, only Rs 886.28 billion has been collected, which is approximately 59.88% of the annual target. Similarly, progress on foreign grants remains sluggish; against a target of Rs 53.44 billion, the government has received only Rs 15.61 billion, or roughly 29.21%.
The data reveals a significant disparity between administrative costs and development spending. Out of the Rs 407.88 billion allocated for capital expenditure (infrastructure and development), the government has managed to spend only Rs 96.19 billion, a mere 23.58%. This indicates a continued struggle to execute development projects effectively.
In contrast, current expenditure—which covers administrative costs, salaries, and recurring expenses—reached Rs 747.52 billion, or 63.3% of its Rs 1.18 trillion annual target.
Regarding financial management, which primarily involves debt servicing and principal repayments, the government has spent Rs 216.23 billion out of an annual goal of Rs 375.24 billion.
This widening gap between stagnant revenue growth and steady administrative spending highlights the ongoing fiscal pressure on the newly formed administration as it moves into the final quarter of the fiscal year.
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