Kathmandu, January 15
The government has managed to spend merely 13.72 per cent of the allocated capital budget in the first half of 2019-20, clearly indicating its failure to expedite project works and development.
As per the statistics of the Financial Comptroller General Office, the government managed to spend only Rs 58.39 billion till mid-January, out of the Rs 408 billion allocated under capital expenditure for the current fiscal. While the capital expenditure in first half of last fiscal had stood at over 14 per cent, development spending in the same period of fiscal 2017- 18 had been recorded at more than 16 per cent.
The government had expressed its commitment to improve budget spending this fiscal, defending the tepid spending in the previous years stating that it was busy forming necessary regulatory frameworks.
However, the plague of low capital spending has continued even this year, which might also affect the government’s economic growth target of 8.5 per cent in the ongoing fiscal year.
Economist Biswo Poudel said that the trend of low capital spending of the government is not going to change unless