Karnali Province's Irregularities Rise to Rs 4.73 Billion, Second Highest Among Provinces

Surkhet. The graph of irregularities of the Karnali Province government has started to rise again. 

While it was 1.22 percent in the financial year 2080/081, the graph of irregularities has increased to 2.08 percent in the last year (2081/082), which is the second highest compared to other provinces. Madhesh Province has the highest irregularity with 3.77 percent. 

With this, the irregularities of Karnali Province have increased to more than 4 billion 73 crore 56 lakh 7 thousand. According to the 63rd annual report of the Auditor General published on Friday, Karnali's irregularity amount was 4 billion 12 crore 5 lakh 84 thousand in the previous financial year (2080/081). 

Out of that, only 17 crore 64 lakh 58 thousand rupees have been settled. 

However, in the last financial year 2081/082 alone, an additional 77 crore 35 lakh 62 thousand rupees of irregularities have been added. From audit alone, an additional 1 crore 79 lakh 19 thousand was added in that year. The Auditor General's office determined this irregularity amount after auditing the accounts of 137 offices, including provincial ministries and bodies under the provincial government, amounting to 37 billion 19 crore 80 lakh 76 thousand rupees in that year. 

Out of the irregularities determined in that year, only 7 crore 27 lakh 39 thousand rupees are advance payments. The Auditor General's report states that the net irregularity excluding advance payments is 70 crore 8 lakh 23 thousand rupees. The Auditor General has defined irregularities as amounts transacted without following legal procedures, not keeping required accounts, and transacting money in an irregular or unreasonable manner. 

Under this, the 63rd annual report of the Auditor General and the eighth report of Karnali Province have pointed out that financial discipline is weak in Karnali Province. According to the report, Karnali Province has the second highest percentage of irregularities among all seven provinces, and its budget expenditure capacity is the lowest. 

'In terms of financial performance, Karnali Province appears to be weaker compared to other provinces,' the report states. In that year (2081/082), Karnali Province could spend only 63.67 percent of its total annual budget, which is more than 31 billion 41 crore. 

'This is the lowest expenditure percentage among all seven provinces,' the report states. 

While Koshi Province spent the highest at 79.89 percent, Karnali has failed to even touch the 70 percent mark. This situation has persisted since Karnali's establishment until now. Karnali Province has raised only about half of its expenditure from its own internal resources, the Auditor General's office has stated. 

Only 50.16 percent of the total expenditure has been borne by internal resources, which is the lowest among all seven provinces. While Bagmati Province bears 77.06 percent of its expenditure from internal resources, Karnali is more dependent on grants from the federal government. Karnali Province's internal income is very weak compared to other provinces. However, the Karnali government is not able to properly utilize the budget received as grants from the center. In that year, Karnali received 20 billion 27 crore 38 lakh 47 thousand rupees as financial transfer from the center. The center provides financial equalization, conditional, counterpart, and special grants to the provinces, as well as revenue sharing. 

Under four types of grants, Karnali received an amount of 12 billion 32 crore 19 lakh 20 thousand in that year, while it received 8 billion 40 crore 19 lakh 27 thousand in revenue sharing. The Auditor General's report has suggested Karnali Province enhance its internal resource mobilization capacity and strictly adhere to financial procedures and fiscal responsibility. 

In accordance with the Auditor General's suggestions, the Public Accounts Committee under the Karnali Provincial Assembly has already discussed the sixth report and is discussing the seventh report, said the committee chairman Bindaman Bisht. 

However, he stated that the irregularities are increasing because the government does not heed the directives given by the committee. Even though more than 200 directives were given in the sixth report, the government has not implemented them. 

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