Capital expenditure remains weak at 28 percent; Development spending lags behind overall expenditure

KATHMANDU, MAY 15

Government budget expenditure has reached nearly 60 percent of the total allocation in the first 10 months of the current fiscal year 2025/26, according to the Financial Comptroller General Office (FCGO).

By the end of Baisakh (May 14), the government had spent Rs 1.17 trillion, accounting for 59.75 percent of the annual budget of Rs 1.96 trillion.

Under recurrent expenditure, Rs 814.65 billion has been spent out of Rs 1.18 trillion, or 68.98 percent of the allocation.

Capital expenditure remains significantly low, with only 27.91 percent utilised. Out of Rs 407.88 billion allocated for development spending, Rs 113.84 billion has been spent so far.

Under financial management headings, 65.30 percent of the allocation has been utilised.

Revenue collection has also fallen short of targets. Against an annual goal of Rs 1.53 trillion, the government has collected Rs 1.01 trillion, achieving around 66 percent of the target. Similarly, under another revenue framework target of Rs 1.48 trillion, 66.69 percent has been collected.

Foreign aid mobilisation remains weak, with only 33.28 percent of the annual target of Rs 53.44 billion received so far.