For the fiscal year 2021-22, the government has proposed a new budget, which amends the prior ordinance budget introduced by the former KP Oli administration.
The Finance Minister tabled the budget substitution bill on Friday afternoon, despite opposition from members of the CPN UML, the major political opposition party in the country.
Rs 1.632 trillion has been earmarked for fiscal management in the amended budget, which includes Rs 677 billion in recurring spending, Rs 371 billion in capital expenditure, and Rs 189 billion in recurrent expenditure. Additionally, the government has allocated Rs 387 billion for fiscal transfers to be distributed at the provincial and local level.
Previously, in May of this year, the former Finance Minister Bishnu Poudel proposed an annual budget of Rs 1.647 trillion, which was approved by the Cabinet. Rs. 678 billion had been set aside for recurring spending, with Rs 347 billion set aside for capital expenditure out of the overall budget. The ordinance budget, which was approved by the KP Oli-led government, allocated Rs 279 billion for fiscal management.
- A 7 percent growth target has been set for fiscal years 2021-22.
- The government has lowered the amount of the budget by Rs 15 billion, bringing it down to Rs 1.632 trillion.
- A total of Rs 37 billion has been deducted from the proposed internal and external debt by the government.
- Families of martyrs murdered in various political demonstrations will receive a Rs 3,000 per month payment.
- Patients suffering from cancer, kidney disease, and paralysis as a result of a spinal cord injury receive Rs 5,000 each month.
- In Kathmandu, there are ten free lunch spots for the needy.
- A reward of Rs 10,000 to each of the 500,000 disadvantaged households whose breadwinners had lost their livelihood chances as a result of the Covid-19 pandemic
- The government has promised that the Melamchi Water Supply Project, which was shut down due to floods and landslides, will reopen and begin supplying water to Kathmandu by the middle of April in 2022.