Domestic revenue of Karnali State is only about three billion in six years

KATHMANDU: The Karnali State government has generated only three billion rupees as internal revenue in six years. In the five years since the formation of the State government and till the end of May of the current financial year, the internal income has been only Rs 2.86 billion.

Minister for Economic Affairs and Planning Mahendra KC said that the internal revenue collection for the fiscal year 2022-23 was 2.24 billion which 94.8 percent of the total revenue target.

According to Minister KC, the province’s internal revenue collection in the fiscal year 2023-2024 is 61.97 million, or 74.10 percent compared to the target. The total budget of Karnali State government for the past 6 years is 66.66 billion 56 million rupees.

The structure of the budget, 37.46 percent has been allocated towards current and 62.54 percent towards capital, said Economic Affairs Minister KC.

Similarly, 62.71 percent of the allocation has been spent on operational side and 55.01 percent on capital side, and overall 57.90 percent has been spent.

As there is only one month left for the end of the current fiscal year, the government’s budget implementation side is also weak.

Presenting the next year’s budget in Parliament, Minister KC said that the expenditure up to the end of May 2023-24 was 49.38 percent on operational and 29.87 percent on capital, and 37.93 percent.

During the fiscal year 2018-2019 to 2023-24, a total of 27.52 billion was received from the federal government in conditional, supplementary and special grants from the federal government.