Federal Ministries Show Wide Disparity in Mid-Year Budget Spending, Ranging from 6% to 55%

Kathmandu. Federal ministries have spent between 6 percent and 55 percent of their budgets by the end of Poush (mid-January). This was revealed by the mid-year review for the current fiscal year 2082/83 conducted by the Ministry of Finance.

According to the ministry's details, ministries responsible for development construction and infrastructure spent very little budget during this period. Ministries of an administrative nature showed a higher percentage of expenditure. The slow progress, especially in ministries holding a large share of the development budget (capital expenditure), is expected to impact overall economic activity.

According to the statistics, the Ministry of Urban Development proved to be the weakest in terms of budget expenditure. This ministry, which received a budget ceiling of over NPR 91.35 billion, managed to spend only 6.31 percent of its allocation even after half of the fiscal year had passed.

The situation is similarly dire for other ministries linked to infrastructure development. The Ministry of Industry, Commerce and Supplies spent 8.48 percent, the Ministry of Water Supply spent 11.95 percent, and the Ministry of Culture, Tourism and Civil Aviation spent only 13.28 percent.

Similarly, the Ministry of Physical Infrastructure and Transport, which has the largest budget of NPR 153 billion for the country's physical infrastructure construction, managed to spend only 18.12 percent in six months.

On the other hand, the Ministry of Foreign Affairs appeared strongest in expenditure. The Ministry of Foreign Affairs had already spent 55.80 percent of its allocated budget by the end of Poush.

Apart from Foreign Affairs, other ministries with higher mandatory liabilities and current expenditures also showed high progress. The Ministry of Education, Science and Technology spent 46.39 percent, the Ministry of Defense spent 45.88 percent, and the Ministry of Home Affairs spent 42.11 percent of their budgets. The Ministry of Agriculture and Livestock Development also reached nearly 43 percent expenditure.

The expenditure for the Ministry of Finance, considered a key body, stood at 35.54 percent, and the Office of the Prime Minister and Council of Ministers spent 32.98 percent. The Ministry of Health and Population spent 33.08 percent.