Koshi Province Accelerates Budget Formulation for Fiscal Year 2083/084

Biratnagar. The Koshi Province government has intensified the budget formulation process for the upcoming fiscal year 2083/084. The Ministry of Economic Affairs and Planning held discussions with ministry secretaries and branch heads on Wednesday regarding the priorities, objectives, and ceilings of the budget. The ministry is also preparing to consult with economic experts and specialists on Thursday.

Minister of Economic Affairs and Planning, Bidur Kumar Lingthep, stated that discipline and systems will be strictly enforced in budget formulation. He issued clear instructions that no projects outside the 'Project Bank' will receive funding. 'This time, only projects that have been entered and verified in the Project Bank will find a place in the budget,' Minister Lingthep said.

Minister Lingthep emphasized that instead of adding new schemes, the budget should be allocated to complete old and incomplete projects within three years. He noted that the main challenge is addressing the liability of approximately 20 billion rupees for multi-year contract projects in Koshi Province. He stated that the trend of dragging projects for 10-15 years must end.

The provincial government, which is implementing a budget of 35 billion rupees in the current fiscal year, has set a ceiling of 30 billion rupees for the upcoming year. The ministry stated that the size of the budget has shrunk due to cuts in grants received from the federal government and weak internal revenue.

During the discussion, secretaries of various ministries complained that the budget ceiling was too low. Representatives from the Ministry of Social Development stated that with 44 areas of work, they are in a position where important programs will have to be cut due to a lack of budget. Similarly, Secretary of the Ministry of Forest, Environment and Soil Conservation, Dr. Indra Prasad Sapkota, said that the capital budget is insufficient to complete buildings that have been abandoned for a long time.

Minister Lingthep said that the trend of transferring funds and requesting budgets for areas without guaranteed sources will be discouraged. He directed that investments should not be made in unproductive sectors and that priority should be given to sectors that create production and employment. 

The ministry has set a schedule to prepare the budget framework and enter it into the system by the end of Baisakh. However, employees have suggested that there should be a provision for adjustments or revisions during the budget formulation process, fearing that treating hasty entries as final could lead to problems.