प्रदेश बजेट: वागमतिभन्दा आधा कम कर्णालीको बजेट

संघले बजेट ल्याएको दुई सातापछि सात प्रदेशले बुधबार आगामी आर्थिक वर्षको लागि कुल ३ खर्ब ५ अर्ब २२ करोडको बजेट ल्याएका छन् । 

प्रदेशमध्ये सबैभन्दा ठूलो आकारको बजेट बागमती प्रदेशको छ भने सबैभन्दा सानो आकारको बजेट कर्णाली प्रदेशले ल्याएको छ । बागमती प्रदेशको कुल बजेट ७० अर्ब ९३ करोड रहेको छ भने सबैभन्दा कम कर्णाली प्रदेशको ३२ अर्ब ६१ अर्ब रहेको छ । 

बागमती प्रदेशले चालू आर्थिक वर्षको तुलनामा आगामी आर्थिक वर्षको लागि १३ अर्ब बढीको बजेट ल्याएको छ । आगामी आर्थिक वर्षको लागि बागमती प्रदेशका आर्थिक मामिला तथा योजनामन्त्री शालिकराम जम्कटेलले ७० अर्ब ९३ करोड विनियोजन गरेका छन् । प्रदेशका आर्थिक मामिला मन्त्रीले कूल बजेटमा चालूतर्फ १९ अर्ब २ करोड, पुँजीगततर्फ ४१ अर्ब ५६ करोड, वित्तीय हस्तान्तरणतर्फ ८ अर्ब २३ करोड विनियोजन गरेका छन् । यस्तै, आगामी आर्थिक वर्षको खर्च व्यहोर्ने स्रोतमा कर राजस्वबाट २६ अर्ब ५७ करोड, अन्य राजस्वबाट ६ अर्ब २२ करोड, संघीय वित्तीय हस्तान्तरणबाट २१ अर्ब ६ करोड र चालू आर्थिक वर्षको सञ्चित कोषको बचतबाट १६ अर्ब व्यहोरिने आर्थिक मामिलामन्त्रीले बताए । 

सबैभन्दा सानो आकारको बजेट ल्याउँदै कर्णाली प्रदेशले आगामी आर्थिक वर्ष २०७९-०८० का लागि ३२ अर्ब ६१ करोड ६१ लाख ६३ हजारको बजेट सार्वजनिक गरेको छ । प्रदेशका आर्थिक मामिला तथा योजनामन्त्री बिन्दमान विष्टले बुधबार प्रदेशसभामा चालूतर्फ ९ अर्ब १६ करोड ९९ लाख तथा पुँजीगततर्फ १९ अर्ब ४३ करोड ५ लाख २४ हजार बजेट विनियोजन गरेको बताए । जसमा आन्तरिक राजस्वबाट ७१ करोड, चालू आर्थिक वर्षको बजेट खर्च नभई बचत हुने ४ अर्ब ५५ करोड, संघीय सरकारबाट राजस्व बाँडफाँटबाट प्राप्त हुने ९ अर्ब २ करोड, वित्तीय सामान्यीकरण अनुदानबाट प्राप्त हुने १० अर्ब ७२ करोड र सशर्त अनुदानबाट प्राप्त हुने ५ अर्ब ६९ करोड परिचालन गर्ने लक्ष्य लिइएको छ ।

हालसम्म नाम राख्न असफल प्रदेश १ सरकारले आगामी आवको लागि ३९ अर्ब ७३ करोड ८३ लाख रुपैयाँको बजेट ल्याएको छ । प्रदेशका आर्थिक मामिला तथा योजनामन्त्री इन्द्रबहादुर आङ्बोले प्रदेशसभामा कुल विनियोजनमध्ये स्थानीय तहमा वित्तीय हस्तान्तरणतर्फ ३ अर्ब १५ करोड १५ लाख र संघीय अनुदान बचत फिर्तातर्फ २ अर्ब रहेको बताए । अनुमानित खर्च व्यहोर्ने स्रोतमध्ये प्रदेश सरकारको आन्तरिक राजस्वबाट ४ अर्ब ९८ करोड, राजस्व बाँडफाँटबाट ११ अर्ब ८८ करोड, संघबाट प्राप्त हुने वित्तीय समानीकरण अनुदानबाट ९ अर्ब ८२ लाख, सशर्त अनुदानबाट ८ अर्ब ६९ करोड, समपूरक अनुदानबाट ९२ करोड र विशेष अनुदानबाट ४७ करोड ५० लाख एवं राजस्व तथा वित्तीय हस्तान्तरणबाट ३५ अर्ब ९६ करोड ६० लाख खर्च व्यहोरिने उनले बताए । अपुग बजेट नगद मौज्दातबाट ३ अर्ब ५१ करोड तथा वैदेशिक अनुदानबाट २५ करोड ६८ लाख व्यहोरिने पनि उनले बताए । 

मधेश प्रदेशले आगामी आर्थिक वर्ष २०७९-०८० को लागि पौने ४७ अर्ब रुपैयाँको बजेट ल्याएको छ । बुधबार प्रदेशसभामा अर्थमन्त्री शैलेन्द्र साहले आगामी आर्थिक वर्षको लागि ४६ अर्ब, ८८ करोड करोड, ९ लाख ४६ हजारको बजेट प्रस्तुत गरेका छन् । जसमा उनले चालूतर्फ २१ अर्ब ७६ करोड रहेको छ भने पुँजीगततर्फ २५ अर्ब ८२ करोड र वित्तीय व्यवस्थापनतर्फ १६ करोड २४ लाख विनियोजन गरेका छन् ।

गण्डकी प्रदेश सरकारले ३५ अर्ब ९० करोड ९० लाख बजेट ल्याएको छ । गण्डकी प्रदेशका आर्थिक मामिला मन्त्री रामजी प्रसाद बरालले आर्थिक वर्ष २०७९-०८०को बजेट प्रस्तुत गर्दै चालूतर्फ १३ अर्ब २६ करोड र पुँजीगततर्फ २२ अर्ब १४ करोड एवं वित्तीय व्यवस्थातर्फ ५० करोड विनियोजन गरेका छन् । केन्द्रको अनुदान १६ अर्ब ५४ करोडबाहेक राजस्व बाँडफाँटबाट ९ अर्ब २३ करोड र आन्तरिक राजस्वबाट ५ अर्ब ९ करोड र रोयल्टीबाट ३२ करोड आयस्रोतको अनुमान उनले गरेका छन् । 

लुम्बिनी प्रदेशका आर्थिक मामिला तथा योजनामन्त्री कृष्णध्वज खड्काले आगामी आर्थिक वर्षको लागी ४२ अर्ब ४३ करोड बजेट ल्याएका छन् । ृउनले चालू खर्चतर्फ १३ अर्ब ३२ करोड र पुँजीगततर्फ २४ अर्ब ४७ करोड विनियोजन गरेका छन् । कुल बजेटमध्ये खर्चको स्रोत तर्फ आन्तरिक राजस्वबाट ३ अर्ब १० करोड, राजस्व बाँडफाँडबाट १५ अर्ब ३५ करोड र रोयल्टीबाट ७० करोड हुने अनुमान पनि उनले गरेका छन् । 

यसैगरि, सुदूरपश्चिम प्रदेश सरकारले आगामी आर्थिक वर्ष २०७९-०८० का लागि ३६ अर्ब ७४ करोड बढीको बजेट ल्याएको छ । प्रदेशका आर्थिक मामिला तथा योजनामन्त्री प्रकाश रावलले बुधबार प्रदेश सभामा अगामी आर्थिक वर्षको लागि १२ अर्ब २९ करोड चालू बजेट तथा २४ अर्ब १४ करोड पँुजीगत बजेट विनियोजन गरेका छन् । यस्तै, अन्तर सरकारी वित्तीय हस्तान्तरणतर्फ १ अर्ब ३६ करोड ४० लाख र वित्तीय व्यवस्थापनतर्फ ३० करोड बजेट विनियोजन गरेका छन् ।

सात प्रदेशको कुल बजेट दुई खर्ब ६१ अर्ब

सात प्रदेशले आगामी आर्थिक वर्ष २०७८-०७९ का लागि कुल २ खर्ब ६१ अर्बको बजेट ल्याएका छन् । चालू आर्थिक वर्षका लागि सात प्रदेशको कूल बजेट २ खर्व ६४ अर्ब थियो । तर कोरोना कहरका कारण आगामी आर्थिक वर्षमा चालू आर्थिक वर्षको भन्दा बजेट घटेको छ ।

अन्तर सरकारी वित्त हस्तान्तरण ऐनको व्यवस्थाअनुसार असार १ गते प्रदेशले बजेट प्रस्तुत गर्नुपर्ने हुन्छ । त्यसैअनुसार सबै प्रदेशले बजेट ल्याए पनि अधिकांसले वितरणमुखी र पूर्वाधार विकासमा एकदम कम बजेट ल्याएका छन् ।

सबैभन्दा ठूलो अकारको बजेट ल्याउने बागमती प्रदेशले ५७.७२ अर्बको बजेट ल्याएको छ भने सबैभन्दा सानो बजेट गण्डकी प्रदेशले ३०.०३ अर्बको ल्याएको छ । प्रदेश १ ले ३२.४६ अर्ब र प्रदेश २ ले ३३.७९ अर्बको बजेट ल्याएका छन् भने लुम्बिनीले ४०.९५ अर्ब, कर्णालीले ३६.५४ अर्ब र सुदूरपश्चिम प्रदेशले ३०.३३ अर्बको बजेट ल्याएका छन् । 

प्रदेश–१ का आर्थिक मामिला तथा योजनामन्त्री टंक आङ्बुहाङ्ग (लिम्बु) ले मंगलबार प्रदेशसभा बैठकमा आगामी आर्थिक वर्ष २०७८-०७९ का लागि ३२ अर्ब ४६ करोड ९२ लाख रुपैयाँ बराबरको बजेट सार्वजनिक गरे ।

यस्तै, प्रदेश–२ का आर्थिक मामिला तया योजनामन्त्री विजयकुमार यादवले प्रदेशसभा बैठकमा आगामी आर्थिक वर्षका लागि ३३ अर्ब ७९ करोड १४ लाख ३० हजार रुपैयाँ बराबरको बजेट प्रस्तुत गरे ।

बागमती प्रदेशका आर्थिक मामिला तथा योजनामन्त्री कैलाशकुमार ढुंगेलले मंगलबार प्रदेशसभा बैठकमा आगामी आवका लागि ५७ अर्ब ७२ करोड ९ लाख २७ हजार रुपैयाँ बराबरको बजेट ल्याए भने आगामी आवको लागि गण्डकी प्रदेशले ३० अर्ब ३ करोड ९४ लाख २७ अर्ब रुपैयाँको बजेट ल्याएको छ ।

लुम्बिनी प्रदेशका आर्थिक मामिला तथा योजनामन्त्री बैजनाथ चौधरीले लुम्बिनी प्रदेशको आगामी आवका लागि ४० अर्ब ९५ करोड ९७ लाख रुपैयाँ बराबरको बजेट ल्याएका छन् भने कर्णाली प्रदेशले आगामी आवका लागि ३६ अर्ब ५४ करोड ६६ लाख ३६ हजार रुपैयाँ बराबर विनियोजन गरेको छ ।

सुदूरपश्चिम प्रदेशका आर्थिक मामिलामन्त्री प्रकाशबहादुर शाहले आगामी आव २०७८-०७९ का लागि ३० अर्ब ३३ करोड ९४ लाख ५५ हजार रुपैयाँको बजेट प्रदेशसभामा पेश गरेका छन् ।

प्रदेशगतरुपमा तीन प्रदेशको बजेट घटेको छ भने बाँकी चारवटा प्रदेशको बजेट बढेको छ । प्रदेशहरु विधिवत् रुपमा २०७४ फागुनको पहिलो सातादेखि सञ्चालनमा आएका हुनाले आर्थिक वर्ष २०७४-०७५ मा संघीय सरकारले प्रत्येक प्रदेशलाई १ खर्ब २ करोड वित्तीय समानीकरण अनुदान हस्तान्तरण गरेको थियो । सबै प्रदेशले त्यही अनुदानलाई कुल वित्तीय स्रोत मानेर बजेट ल्याएका थिए भने आर्थिक वर्ष २०७५÷०७६ देखि प्रदेशहरुले आ–आफना बजेट बनाउन सुरू गरेका थिए । 

प्रदेशले पहिलो पूर्ण बजेट आव २०७५-०७६ मा ल्याउँदा सात वटै प्रदेशको कुल बजेट २ खर्ब ८ अर्ब थियो । तर, चार वर्षको अवधिमा प्रदेशको कूल बजेट जम्मा ५३ अर्बमात्र बढ्नुमा प्रदेशमा स्रोतको अभाव देखिएको छ । 

यस्तै, आव २०७६-०७७ मा प्रदेशको कुल बजेट २ खर्ब ५९ अर्ब थियो भने आव २०७६-०७७ मा २ खर्ब ५९ अर्ब थियो । कारोना कहरका कारण आव २०७७÷०७८ प्रदेशको कूल २ खर्ब ६४ अर्ब मात्र रहयो ।

आफनो आय कम भएका कारण सबै नै प्रदेश संघीय सरकारको अनुदानमा भर परेका छन् । प्रदेशको खर्च गर्ने क्षमता पनि बढेको छैन भने आय पनि उल्लेख्य नभएका कारण प्रदेशको अस्तित्वमाथि नै प्रश्न उठ्ने गरेको छ । 

Government publishes expenditures related to Covid-19 response, Rs 2 billion vanished

After the huge pressure from the youth activists across the country to release the details of the expenses, the government has made public the expenditures related to the prevention, control and treatment of coronavirus infection. But the government expenses – made public today – and the Health Minister Bhanubhakta Dhakal, and secretary at the Office of Prime Minister and Council of Ministers (OPMCM) Narayan Prasad Bidari. Either the expenses made public today is false or the Health Minister Bhanubhakta Dhakal lied in the House of Representatives and secretary Bidari lied to the journalist. Minister Dhakal, addressing the House of Representatives last week said that the governments – from federal to provinces and local – have spent more than Rs 10 billion to fight Covid-19. Likewise, Bidari – on June 3 – told the journalists that the three tier of governments – from federal to provinces and local – have spent Rs 9.87 billion, and some local governments still have not filed for expenses, which could cross Rs 10 billion.
However, the government today – after three days of massive protest by the youth across the country – published the expenses of Rs 8.39 billion, far too less from the announcements of both Dhakal and Bidari. “Either the health minister Dhakal lied in the House or secretary Bidari lied to journalists,” said a leader from opposition party in the parliament Nepal Congress (NC).
The directorate of the Coronavirus Control and Management Committee (CCMC) – led by deputy prime minister and defense minister Ishwar Pokharel – has ordered to publicise the expenses as the protest against the government’s lack of accountability and transparency has angered the youth, who have been protesting since last three days, various places in Kathmandu including in front of Prime Minister’s Official residence Baluwater, and many cities including Pokhara, Chitwan, Birgunj, Biratnagar across the country.
Prime Minister’s press advisor Surya Thapa shared the expenditure details in his tweet today trying to pacify the agitating youths.
According to the document – that has neither any sign nor any official seal – a total of Rs 8.39 billion has been spent so far in Covid-19 response through three tiers of governments. “Of the total, some Rs 5.63 billion has been allocated under various headings including medical/health supplies, health infrastructure, mobilisation of human resources, quarantine, and others,” Thapa claimed, adding that a total of Rs 4.10 billion has been spent through government entities including the Ministry of Health and Population, Defence Ministry, Home Ministry; Ministry of Foreign Affairs, Minsitry of Culture, Tourism and Civil Aviation, Urban Development Ministry, and Ministry of Education, Science and Technology. Interestingly the Defence Ministry has spent Rs 2.40 billion – the highest among the ministries – whereas province-wise, a total of Rs. 2.002 billion has been allocated for the seven provinces under Covid-19 response fund, out of which Rs 1.3 billion has been spent so far. “Out of a total of Rs 4.83 billion allocated for the local governments, some Rs. 2.98 billion has been spent to fight the transmission of coronavirus infection,” Thapa explained.
The CCMC directorate has publicised the details of expenses made by various government agencies, money spent on procuring medical supplies including mobilization of human resources, development of quarantine facilities as well as other health infrastructures and miscellaneous expenses. According to the details, seven federal ministries have so far spent Rs 4.10 billion in response to Covid-19. “While the Ministry of Health and Population has spent Rs 1.58 billion, the Defence Ministry and Ministry of Home Affairs have spent Rs 2.40 billion and Rs 24.58 million, respectively. Similarly, the Ministry of Culture, Tourism and Civil Aviation has spent Rs 52 million, the Ministry of Urban Development Rs 26.97 million and the Ministry of Education, Science and Technology Rs 14.2 million so far.
The government has spent Rs 3.90 billion to buy medical supplies, Rs 1.12 billion to develop physical infrastructures, Rs 58.33 million to mobilize human resources, and Rs 135.59 million for developing quarantine facilities. Likewise, Rs 401.59 million was spent on miscellaneous purposes, according to the details.
Bagmati and Sudur Paschim provinces are among those provinces spending the highest amount of money in response to Covid-19. While Province 1 has spent Rs 193.56 million, Province 2 has spent Rs 133.94 million and Bagmati Province, Gandaki Province and Province 5 have so far spent Rs 136.7 million, Rs 154.21 million and Rs 77.93 million, respectively. Likewise, Karnali Province has spent Rs 239.28 million, Sudur Paschim Province has spent Rs 364.87 million so far.
The directorate claimed that this expenses does not include the details of the expenses made by various local bodies across the country. Government officials informed that they have asked all local bodies to furnish details of the expenses made so far in response to Covid-19.
CCMC directorate – issuing a press note yesterday – claimed that funds have been allocated under various headings by the government for the prevention and control of coronavirus infection. “Likewise, the provinces and local levels have been carrying out expenses from their funds in dealing with Covid-19 crisis and the details of which will be made public by the government soon.”

Government spends only 6 per cent of capital expenditure

The government failed to expedite the capital budget expenditure and spent only 6.05 per cent of the total budget – in the first four months of the current fiscal year – despite need of huge cost for the federal structure to sustain.
Of the total Rs 408 billion capital budget for the current fiscal year, the government has spent only Rs 24.71 billion from mid-July to mid-November, according to Financial Comptroller General Office (FCGO).
The government bodies are usually busy devising plans and preparing for developing procurement procedures during the initial days of every fiscal year but decreasing spending capacity of the government, age-old bureaucracy and corrupt governance contributed to the low spending of the capital budget.
In the last fiscal year too, the government failed to spend, as it was able to spend 73.4 per cent of the total development budget. “The low spending in the first trimester will put the government under tremendous pressure this fiscal year too,” according to an official in the Finance Ministry. The last minute spending in the development works means only to meet the spending target but the quality of the work is always under question.
Last year, the government had spent only 35 per cent of the total capital budget of Rs 313.99 billion, while 16.4 per cent of the budget was spent in the last one week alone raising the question of the quality of the work.
The 56th annual report of the FCGO also showed that the government had spent 40 per cent of the total capital budget of Rs 108 billion in the last month of the fiscal year 2017-18. The last month and last week spending is, though financial crime, the two-third majority powerful and stable government of Prime Minister KP Sharma Oli has failed to boost the spending let alone meet the revenue mobilisation target.
The Constitution mandates a government to bring the budget before one-and-a-half months in advance, which will help approve the budget from the parliament before the fiscal year begins. But the constitutional provision also failed to expedite the capital expenditure.
Though, the finance minister Dr Yuba Raj Khatiwada has been defending the worst performance saying that the government’s focus has been diverted to the other actions, the failure is also attributed to the lack of preparations of the projects before budgeting. The government has brought Rs 1.53 trillion budget for the current fiscal year 2019-20. “Of the total Rs 957 billion recurrent budget, the government has spent 20.57 per cent in the four months of the current fiscal year,” according to the FCGO.

Some 149 local governments miss budget presentation deadline

At least 149 local governments missed the deadline – fixed by the Local Government Operation Act – to present their annual budget for the next fiscal year.
According to Section 71 of the law, local governments must table the annual budget at the municipal assemblies by Asar 10 (June 25 this year) after endorsing the estimation of annual income and expenditure from the municipal executive, according to the the Ministry of Federal Affairs and General Administration (MoFAGA).
Out of the total 753 local governments, some 565 presented their annual budget at their respective municipal assemblies yesterday, whereas the status of 39 local bodies still remains unknown.
The ministry has have received budget updates from 714 local units within office hours today. “The record shows that some 565 local governments have presented their budget yesterday –abiding by the law – whereas some 149 have not yet,” the ministry spokesman Jaya Narayan Acharya said, adding that the ministry had issued a circular to all local governments to unveil their budget by Asad 10 (June 25 this year) and endorse it within the deadline. “The local government law has made it mandatory to endorse annual budget of local governments from the municipal assembly by end of Asar (July 16).”
But the expenditures made by the local units without having endorsing such expenditures from the respective municipal assemblies are shown under unsettled accounts, according to the Office of the Auditor General (OAG). Local governments must spend their budget only after annual planning and budget allocation, and if they breach the process, the expenditures will be shown under unsettled arrears, according to OAG.
Some rural municipalities like Balan-Bihul Rural Municipality in Saptari district presented the budget for the current fiscal year in December 2018, which was endorsed by assembly only on April 13 this year, due to differences over allocation of budget among different wards. The rural municipality failed to present the budget for the next fiscal year 2019-20 as well.
According to the Intergovernmental Fiscal Arrangement Act, the local government must present their budget by Asad 10 (June 25 this year), but the law is being violated in a number of local governments since elected representatives assumed office after the 2017 local elections. Although the federal government had warned of cutting the grants to the local governments for failing to present the budget on time, it has not taken such step yet.
Delay in presenting the budget in time will hit the development projects at the local level, as the responsibility of the development of the local level has been on the local governments, under the federal structure. 

Kathmandu metropolis presents Rs 15.5 billion budget

The Kathmandu Metropolis has brought a budget of Rs 15.50 billion – the largest budget among the metropolis – for the fiscal year 2019-20.
Metropolis deputy mayor Hariprabha Khadgi Shrestha presented the budget in the fifth convention of the Metropolis' Council today. “The budget for the coming fiscal year is an increase by 19 per cent compared to the current fiscal year's budget of Rs 13.2 billion budget,” she said, adding that the Metropolis has aimed at raising Rs 7.56 billion as its internal source, which is 52.58 per cent of the total budget. “Under the expenditure, Rs 1.55 billion is allocated for capital expenditure.”
The budget has prioritised infrastructure development as it has allocated Rs 7.43 billion, some 39 per cent of the total budget, to the sector.
Likewise, Kathmandu metropolitan city expects to raise Rs 7.5 billion – which is 52.58 per cent of the total budget – through revenue from its internal sources. “The budget has targeted to generate Rs 3.6 billion from local tax revenue, Rs 2.4 billion from non-tax revenue and Rs 1.5 billion as revenue sharing,” the deputy mayor said, adding that the metropolis has allocated Rs 594.3 million for office operation, and Rs 1.41 billion to pay salaries and allowances for its staff.
The budget has allocated Rs 1.34 billion for education sector, Rs 1.52 billion for social development, Rs 123 million for the public health sector, she added. “Similarly, the metropolis has allocated Rs 50.4 million for the Prime Minister Employment Programme.”
Likewise, deputy mayor said that a 'Mayor Ujjyalo' programme will be launched for maintaining lights on the major intersection of the valley roads. “Some major activities planned for the coming fiscal year,” she said, “are flyover, overhead bridges, construction of Metropolis Elderly Citizen Hospital, modernisation of Balaju Garden, production of energy from the waste collected in the Metropolis, cleaning of rivers.”
Deputy mayor Khadgi said the metropolitan city has not been able to meet its revenue target because it has not been able to bring big taxpayers under the tax net due the delay in formulating laws.
Thus, the Kathmandu Metropolitan City has proposed increasing the tax net in the new fiscal year 2019-20 rather than increasing the rates of taxation. 

Government spent Rs 222.83b in last one month of fiscal 2017-18

The government’s habit of spending hefty sum on the last month of the fiscal year continued in he last fiscal year too. In the last month of the fiscal year 2017-18, the government agencies spent Rs 222.83 billion.
According to the report of the Office of the Auditor General (OAG) published today, the government agencies spent 20.55 per cent of the total budget of Rs 1.27 trillion for the fiscal year 2017-18. "The government agencies sped up their expenditure in the last week of 2017-18, spending 10.87 per cent of the total capital budget of Rs 117.92 billion for the fiscal year."
"Lack of effective implementation of the electronic procurement system, delays in awarding contracts and low capacity of the contractors hit the spending capacity as earlier years,” according to the report, that also revealed that low utilisation of foreign assistance, lack of proper planning for construction of national pride projects and awarding contracts without conducting the necessary preparation were also some of the key problems of the government machinery.
Earlier, it was said that the late budget presentation has hit the spending, so the Constitution has clearly stated to present the budget one-and-a-half months ago by May-end. The Finance Ministry has also issued time-bound action plan to speed up the capital spending.
Likewise, the government has also been unable to settle the tax dues. "The tax dues has reached Rs 252 billion, with an additional Rs 900 million due in the first nine months of the current fiscal year," the report revealed, adding that as of fiscal year 2017-18, the government was left to collect tax of worth Rs 161 billion. The government has been unable to monitor extended tax bases and tax mobilization mechanism," it added.

Effective public finance management a challenge for fiscal federalism

Stakeholders have underlined the need for the effective public finance management (PFM) for smooth transition to and effective implementation of fiscal federalism.
Speaking at an interaction programme on ‘Public Finance Management’ organised by Society of Economic Journalists-Nepal (SEJON) with the support of Public Expenditure and Financial Accountability (PEFA) secretariat today, they also pointed out various challenges for the effective public finance management – in ensuring transparency putting in place better reporting standards and strengthening institutions involved in public spending – in the new federal system.
"As the country is implementing the fiscal federalism, institutional capacity, fiscal capacity and technical capacity building is the key challenge for the effective public finance management," secretary at the National Natural Resources and Fiscal Commission (NNRFC) Baikuntha Aryal said, adding that the capacity of Finance Ministry alone is not adequate for the efficient resource allocation. "All spending agencies should have similar capacity."
However, there is a huge question on the capacity of the Finance Ministry as well.
Likewise, chief of Budget and Programme Division at the Finance Ministry Hari Saran Pudasaini, on the occasion, pointed out the problem of lack of database and reporting system at the sub-national level. He also said that the lack of functionaries at the local levels have led to the poor execution of capital budget. "We have handed over the functions and finances to the local level governments," he said, "But, there was delay in sending functionaries which has led to low spending of the capital budget, particularly that should have been spent through local-level governments."
Former Financial Comptroller General Suresh Pradhan warned that lack of proper accounting, recording and reporting system at local level could lead to financial indiscipline. 
"The public finance management in recent years is getting linked with the macro-economy of the country, rather than limiting it to budget cycle," said coordinator at the PEFA Secretariat Sushil Pandey. "The public finance or spending should be aimed at increasing social equity, maintaining financial balance and ensuring justifiable results,” he added.
Likewise, lead financial management specialist at the World Bank Office in Nepal
Franck Bessette, opined that the public finance management remains a core part of democracy. "Having right and experienced people able to prepare, discuss and implement the budget and do the procurement works at the local level in the new federal system remains a challenge."
Despite the early budget approval from last couple of years – according to the Constitution – the government spending has not been increased due to inefficient bureaucracy, lack of capacity and technical knowhow of the not only local governments but also the federal government.
Though, the government has been working to simplify the public procurement process to boost spending on development projects, it has not been able to due to mainly lack of an effective oversight agency. Almost every year, the government fails to spend budget allocated for the development projects. According to the Financial Comptroller General Office, only 28.89 per cent of the total Rs 313.99 billion earmarked for capital expenditure for the current fiscal year 2018-19 had been spent as of mid-March.
Even if the budget is spent, lack of quality, transparent and accountability has always been under question.
Former finance secretary Shankar Prasad Adhikari, on the occasion, said that the government needed to devise a mechanism to promptly address issues related to quality assurance and project design. 

Will govt refund tax collected since July 16

The government has to refund the taxes collected since the last one week – the beginning of the current fiscal year on July 16 – as Finance Bills presented by the incumbent government were rejected by Parliament today. However, the government can continue to spend as usual as the Appropriations Bill has already been passed.
"Since the Finance Bills have failed, the Periodic Tax Recovery Act, 1955 will become redundant, and the government has to refund tax collected under that Act," according to former finance secretary Rameshwor Khanal.
Though it has never happened before in the history of Nepal, the government has to refund the taxes collected since July 16, the beginning of the current fiscal year, following rejection of the Finance Bills by Parliament on Friday, he added.
The Periodic Tax Recovery Act 1955, which is meant to help the government continue to mobilise taxes, came automatically into effect from the day after finance minister Bishnu Prasad Poudel presented the budget for the fiscal year 2016-17 on June 28. And it would have been automatically superseded had the Finance Bills been approved by Parliament today.
The Periodic Tax Recovery Act, 1955 authorises the government to collect taxes for 6 months until the Finance Bills are duly approved by the House. "But when the Finance Bills are rejected, then the Periodic Tax Recovery Act also becomes redundant," he said, adding that any taxes collected under the said laws need to be refunded.
Chief of the Customs Department Shishir Dhungana, however, said that the government would now bring in a Periodic Tax Recovery Directive to help mobilise taxes from Sunday.
Parliament had scheduled approval of the corollary bills on July 13 as it had already approved the Appropriation Bill, paving the way for expenditures by the government from the beginning of the new fiscal year. But the incumbent government was reduced to a minority as one of the key coalition partners, CPN (Maoist Centre), withdrew its support on July 13. The Finance Bills then became uncertain.
The political tug-of-war that has left the fate of the budget uncertain is a historic blunder, Khanal added.
Nepal has seen many things – that it had never witnessed in its history – over the past decade, some good others bad. And as if that were not enough, the country could now also see a new budget altogether for the current fiscal year 2016-17 once a new government is formed.
With the House today rejecting the Finance Bills – including the Finance Bill 2016, the Bill to Mobilise Internal Loans, and the Loan and Guarantee Bill (21st amendment) – the future of the budget introduced by the Khadga Prasad Sharma Oli government has also become uncertain as the new government will be in moral pressure to bring new budget.
It will eventually hit an already battered economy hard.