Provinces unveil annual budget

Kathmandu, June 16: Provinces have unveiled their annual budget of Rs. 305.4 billion for the upcoming fiscal year 2022/23 according priority to agriculture, infrastructure and tourism development. 

The share of recurrent and capital expenditure in the provincial budget is Rs. 103.17 billion and 173.06 billion respectively – about 33.77 per cent and 56.65 per cent. 

Bagmati province has unveiled a budget of Rs. 70.94 billion, largest among the provinces, while Karnali has announced the smallest budget of Rs. 32.61 billion for the next fiscal. 

Province 1 has unveiled the budget of Rs. 39.74 billion for the next fiscal which is about Rs. 7 billion larger than the current year’s budget. Presenting the budget at the Provincial Assembly, Minister for Economic Affairs and Planning, Indra Bahadur Angbo said that he has allocated Rs. 14.16 billion for recurrent, Rs. 15.5 billion for development and Rs. 3.22 billion for fiscal transfer to local bodies. About 46.3 per cent is allocated for capital expenditure. 

The province aims at raising Rs. 4.98 billion in internal revenue, receiving Rs. 11.88 billion from revenue sharing, and getting about Rs. 20 billion in grants from the federal government. 

It has given priority to agriculture and industrial sector development. Minister Angbo said that a 10-year agricultural strategy would be formulated and programmes would be run accordingly. 

He has announced special grants to make the province self-reliant in agriculture, develop micro, cottage and small enterprises, establish bamboo facility centre and promote goods produced by using local raw materials.

Likewise, Madhes Province’s Economic Affairs Minister Shailendra Prasad Sah unveiled the budget of Rs. 46.88 billion for the next fiscal. He has allocated Rs. 21.76 billion for recurrent and Rs. 25.82 billion for capital expenditure. Share of development allocation in the budget is 53.21 per cent.

The province aims at raising Rs. 4.18 billion from its internal resources, and receiving Rs. 11.61 billion from revenue sharing. It said that about Rs. 19 billion would be received in the form of various grants from the federal government while Rs. 9.66 billion would be saved from the budget of current fiscal. 

Province 2 has given priority to agriculture, infrastructure and health sector development. Programmes like provincial agricultural master plan, modernization of agriculture, and irrigation projects have got priority. 

Similarly, Bagmati Province has unveiled the largest budget among the provinces amounting Rs. 70.94 billion. Economic Affairs Minister of the Province, Shalik Ram Jamkattel, allocated Rs. 19.41 billion for recurrent, Rs. 41 .56 billion for capital and Rs. 8.35 billion for fiscal transfer. Rs. 2 billion is earmarked for financial management. The share of recurrent, capital, transfer and financial management in the budget is 27 per cent, 58.58 per cent, 11.77 per cent and 2.81 per cent respectively. 

The province aims to raise Rs. 26.97 billion from revenue, Rs. 22.44 billion in fiscal transfer from the federal government and hopes to receive Rs. 16.67 billion in other receipts. 

Minister Jamkattel has emphasised on sustainable and high economic growth based on internal production. He has also unveiled programmes for  modernisation, mechanisation, and commercialisation of agriculture. Likewise, tourism sector development, ecological conservation, utilisation of forest and natural resources, social protection, and good governance have also got priority. 

The province also has a plan to forge collaboration with the Nepal Electricity Authority to promote electric vehicles and install charging stations along the highways. 

Meanwhile, Gandaki Province has unveiled the budget of Rs. 35.90 billion including Rs. 13.26 billion allocation for recurrent, Rs. 22.14 billion for capital, and Rs. 2.11 billion in fiscal transfers to local units. The share of development budget is about 61.66 per cent. 

Presenting the budget of the province, Economic Affairs Minister Ramji Baral said that he would collect about Rs. 16.5 billion from the grants by the federal government, Rs. 9.24 billion from revenue sharing and Rs. 5.9 billion from internal revenue. He said that about Rs. 2.71 billion would be saved from the budget of the current fiscal year. 

Gandaki Province has also given priority to agricultural development including increasing the productivity of livestock. Infrastructure like road, irrigation, tourism and walking trails are in priority of the budget. Minster Baral has also given priority to education and medial sector development as well. 

Similarly, Economic Affairs Minister of Lumbini Province, Krishna Dhoj Khadka, announced the budget of Rs. 42.63 billion. It has Rs. 13.32 billion as recurrent, Rs. 24.47 billion as capital and Rs. 4.83 billion for fiscal transfers. The size of capital budget is 57.41 per cent. 

Source of the budget include Rs. 3.10 billion from internal revenue, Rs. 15.35 billion from revenue sharing, Rs. 18.5 billion in federal grants and Rs. 4 billion from the savings of the current fiscal year. 

Minister Khadka said that he has given priority to agriculture, industry, tourism and education sector development as well as training, skill development, social empowerment and deprived sector development.

Karnali Province announced the smallest budget of all the provinces - Rs. 32.61 billion. Economic Affairs Minister of the province, Binda Man Bista presented the budget with Rs. 9.16 billion allocation for recurrent expenditure, Rs. 19.43 billion for capital and 4.1 billion for fiscal transfer to the local bodies. The size of capital budget is 59.58 per cent. 

The province with the smallest size of population plans to collect only Rs. 712 million from internal revenue. It hopes to mobilse Rs. 4.55 billion from savings of the current fiscal, Rs. 9.02 billion from revenue transfer, and Rs. 18 billion in federal grants. 

It has given priority to infrastructure development such as roads, irrigation, agriculture, health and education. Minister Bista said that he has given priority to the reduction of multidimensional poverty, creation of investment-friendly environment and provincial development. 

Likewise, Sudurpaschim government presented the budget of Rs. 36.74 billion for the next fiscal. Minister for Economic Affairs and Planning, Prakash Bahadur Rawal, said that he has allocated Rs. 12.29 billion for recurrent and Rs. 24.14 billion for capital expenditure.

The province has a plan to collect Rs. 2 billion from revenue mobilisation, and get Rs. 19.5 billion in federal grants. It has given priority to infrastructure development and agricultural growth. It has continued tax discounts in agriculture and tourism sector. 

(With inputs from Gokul Parajuli/Biratnagar, Dhirendra Prasad Sah/Dharbendra Jha/Janakpurdham, Rammani Dahal/Hetauda, Chhabi Pandey/Butwal, Nabin Shahi and Muna Hamal/Surkhet and Prakash Bikram Shah/Dhangadhi)