'From today, my focus will be on the execution of budget,' says Finance Minister

KATHMANDU: Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel has said that he will attach priority to the implementation of the budget presented in Federal Parliament for upcoming fiscal year. The Minister presented the budget for fiscal year 2025/26 at the joint session of both Houses of Federal Parliament on Thursday.

Addressing a press conference organised by the Ministry of Finance (MoF) regarding the budget for the upcoming fiscal year today, the Finance Minister stated that the implementation of the budget would not be delayed and that the process would begin immediately. He said he would not wait until the Nepali month of Shrawan, when the new fiscal year commences in Nepal, for the budget to be implemented. "The question of budget implementation is challenging. This budget is not introduced simply to please the ears of the citizens. Its effective implementation will take place. From today, my focus will be on the execution of this budget," he asserted.

Stating that the MoF has already begun working on a practical and objective implementation plan for the budget, Minister Paudel said, "We do not need to wait until Shrawan for the implementation of projects where preparatory work has been completed. We can proceed with the process immediately."

Paudel claimed that this time the size of the budget is not very ambitious and that it is objective in terms of revenue and expenditure. He mentioned that a policy had been adopted in the budget to increase capital expenditure, keep current expenditure within a certain limit and increase the amount of financial transfers to provinces and local levels.

Deputy Prime Minister Paudel also stated that he is optimistic that the revenue target set in the budget will be achieved by the end of the upcoming fiscal year. He added that the estimates for internal loans were made within the limits set by the National Natural Resources and Fiscal Commission (NNRFC).

According to him, certain policy reform topics have also been advanced through the budget statement and a policy has been adopted to mobilise resources through alternative financing for economic development and prosperity.

Finance Minister Paudel mentioned that the budget has been set in a realistic manner by defining the limits of consultation services so that the provinces and local levels can also formulate their budgets accordingly. He stated that efforts have been made to link the national identity card with social security and other facilities and that the value-added tax on digital payments and the advance income tax imposed at customs points have been removed.

Similarly, National Planning Commission (NPC) Vice-Chairman Dr Shiva Raj Adhikari stated that it is important to understand how the implementation of the budget progresses and what its results look like. He noted that efforts are being made for policy, practical and structural reforms to make budget implementation effective. "The NPC will coordinate with all ministries and agencies in the implementation, monitoring and evaluation of the budget. We will start discussions with all ministries soon to create a budget implementation action plan," he added.

The NPC Vice-Chairman expressed hope that the budget for the upcoming fiscal year would also focus on the implementation of the 16th periodic plan.

Likewise, Nepal Rastra Bank (NRB) Governor Dr Biswo Nath Poudel said that it is positive that the budget introduces various laws relating to monetary policy management and establishes an asset management company for banks and financial institutions (BFIs).

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