By A Staff Reporter,Kathmandu, Apr. 14: The government has spent only around 52 per cent of the targeted annual budget during the first nine months of the current fiscal year 2023/24.
According to the daily report of the Financial Comptroller General Office under the Ministry of Finance, the government has spent only Rs. 909.39 billion by April 12, 2024.
This is only 51.93 per cent of the total annual budget allocation. The government had allocated an annual budget of Rs. 1,751.31 billion for the current fiscal year. Compared to the same period of the last fiscal year, the budget expenditure in the review period is slightly lower.
The government had spent 52.57 per cent of the annual budget in the first nine months of the last fiscal year 2022/23. Of the total budget expenses, capital expenditure stands at only 32.24 per cent of total allocation in the first nine months of the current fiscal year.
Of the Rs. 302 billion allocated under capital expenditure, only Rs. 97.34 billion has been spent by April 12, 2024. The rate of capital expenditure is slightly higher during the review period as compared to the same period last year. The capital expenditure stood only at 28.19 per cent during the first nine months of the last fiscal year.
The recurrent expenditure of the government stood at 56.41 per cent (Rs. 644.02 billion) of recurrent expenditure for the current fiscal year. The government has allocated a budget of Rs. 1,141.78 billion under the heading of recurrent budget for the current fiscal year.
The rate of recurrent expenditure is lower during the review period as compared to the same period last year. The recurrent expenditure stood at 59.73 per cent during the first nine months of the last fiscal year.
Likewise, the government has spent Rs. 167.9 billion under the heading of financing in nine months of the current fiscal year. That is 54.64 per cent out of the total allocation of Rs. 307.4 billion. Generally, the amount allocated under the heading of financial arrangements is used to pay the principal and interest of the public debt.
Through the half-yearly review of the budget, the Ministry of Finance has released a revised estimate that only Rs. 1,530.26 billion will be spent in the current fiscal year. It is 87.38 per cent of the initially allocated budget.
Revenue grows by 10%
During the review period, the government's revenue collection in the first nine months stood at around 53 per cent of the annual target. According to FCGO, the revenue collection of the government stood at Rs. 748 billion during the review period which is 52.58 per cent of the annual target (Rs. 1,422.54 billion).
Out of this, tax revenue stood at Rs. 671.11 billion or 51.41 per cent of the target and non-tax revenue stood at Rs. 76.92 billion or 65.71 per cent of the annual target. Of the total revenue collection target of Rs. 1,422.54 billion, goal has been set to raise Rs. 1,305.4 billion tax revenue and Rs. 117.06 billion non-tax revenue in the current fiscal year.
The revenue collection has improved during the review period as compared to the same period last fiscal year. Even though revenue collection of the government remained lower, revenue collection recorded a growth of 9.4 per cent in the review period as compared to the same period last fiscal year.
Revenue of Rs. 683.8 billion had been collected during the nine months of the last fiscal year. It was 48.73 per cent of the annual target of Rs. 1,403.14 billion. Due to the lack of revenue collection as per the target, a revised target of revenue collection of only Rs. 1,240 billion has been set this year.
During the review period of the current fiscal year, the government has received a grant only Rs. 2.75 billion. It is 5.52 per cent of the annual target of the government.
The government has set an annual target to receive Rs. 49.94 billion grant in the current fiscal year. Similarly, the other receipts of the government stood at Rs. 22.23 billion during the first nine months of the current fiscal year 2023/24.
