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Nepal’s Capital Spending Falls to 23.58% in Nine Months

Nepal’s capital expenditure remains weak at just 23.58%, despite overall budget utilization reaching nearly 54%.

Published Updated By Share Gyan
Nepal’s Capital Spending Falls to 23.58% in Nine Months


Data from the Office of the Financial Comptroller General shows that Nepal’s capital spending has remained significantly low in the first nine months of the fiscal year.

Out of a total capital budget of over Rs. 4.07 trillion, only Rs. 96.19 billion has been spent by the end of Chaitra—just 23.58%. This is a clear decline from last year’s 32.24% during the same period, indicating slower progress in development projects.

In contrast, recurrent expenditure has been much higher, reaching 63.3%, highlighting an imbalance between operational costs and development spending.

On a positive note, revenue collection stands at 59.88% of the annual target, with strong tax income contributing the majority. Overall, 53.97% of the total budget has been utilized so far.

Despite stable revenue and overall spending, the continued slowdown in capital expenditure raises concerns about delays in infrastructure development and long-term economic growth

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