Kathmandu, August 21

Against the federal government’s direction to all local level governments to present their budget on time, 26 local bodies are yet to present their budget for the ongoing fiscal year 2019-20.

It has been over a month since the new fiscal year began. The federal government had given a June 25 deadline to the local bodies to present their budget.

However, according to the Ministry of Federal Affairs and General Administration, only 727 out of 753 local governments have announced their budget so far. It means 26 local bodies do not have any money to spend for this fiscal.

Jaya Narayan Acharya, joint secretary at the Ministry of Federal Affairs and General Administration (MoFAGA), said that the ministry had repeatedly forwarded a circular to the local governments urging them to present their budget, but 26 local bodies have failed to comply with the given direction.

As per the Intergovernmental Fiscal Management Act, local bodies have to present their budget latest by Asadh 25 (July 10). If they fail to present the budget on time, they will not be able to utilise the budget allocated to them, except for in extraordinary or emergency cases.

According to Acharya, 20 local bodies in Province 2 have been unable to present their budget for the ongoing fiscal year. Three local bodies in Province 3 and one local body each in Gandaki Province, Province 5, and Sudurpaschim Province are yet to make their budget announcements.

On a positive note, all the local bodies of Province 1 and Karnali Province have already unveiled their budget plans.