The government has introduced a budget of 1 trillion 964 billion 110 million rupees for the upcoming fiscal year (FY) 2025/26.
Finance Minister Bishnu Prasad Paudel presented the budget of this size in a joint meeting of the Federeal Parliament today.
Accordingly, Minister Paudel has allocated 1 trillion 180 billion 980 million rupees (60.1%) for recurrent expenditure, 407 billion 890 million (20.8%) for capital expenditure, and 375 billion 240 million rupees (19.1%) for fiscal management.
This estimate is 5.6% higher compared to the current fiscal year's allocation and 18.2% more than the revised estimate, as stated by Finance Minister Paudel.
"Out of the total allocation, I have allocated 417 billion 830 million rupees for fiscal transfers to the provinces and local levels," he said while presenting the budget in Parliament.
Estimated sources of funding for the upcoming FY
It has been reported that out of the estimated sources of funding for the upcoming fiscal year, Rs 1 trillion 315 billion will come from revenue and Rs 53 billion 450 million from foreign grants, resulting in a shortfall of Rs 595 billion 660 million. To cover this gap, Rs 233 billion 660 million will be mobilized from foreign loans, as claimed Finance Minister Paudel.
Additionally, the government estimates that the remaining deficit of Rs 362 billion will be covered through internal borrowing, as revenue operations and foreign aid operations are insufficient.
Former Finance Minister Barsha Man Pun had presented a total budget of Rs 1 trillion 860 billion 300 million rupees for the current fiscal year 2024/25.
Full text:
.
