Ministry of Physical Infrastructure Seeks Budget of Rs 200 Billion Despite Poor Spending

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Ministry of Physical Infrastructure Seeks Budget of Rs 200 Billion Despite Poor Spending

March 1: The Ministry of Physical Infrastructure and Transport (MoPIT), which has achieved 29 percent progress in budget expenditure in the current fiscal year (FY), has been given a budget ceiling of Rs 131 billion for the upcoming fiscal year. The ministry has estimated it will require a budget of Rs 200 billion.

The ministry says that the ceiling fixed by the National Planning Commission is not sufficient. The ministry has said that it cannot initiate new programmes without a budget of 200 billion.

MoPIT Secretary Keshav Kumar Sharma said that the budget should be increased by at least 10 percent for the upcoming year. He said that the ceiling fixed by the NPC is very low. According to Sharma, the budget is not enough money to pay for the projects with which the ministry has already signed contracts.

The ministry said that the Kathmandu-Terai Fast Track alone will require a budget of Rs 50 billion and the Department of Roads will need Rs 100 billion in the upcoming fiscal year.

The ministry had achieved 23 percent progress in budget expenditure in the first seven months of the last fiscal year. Secretary Sharma said that the ministry is yet to pay the dues worth Rs 5 million of the last fiscal year.

"The progress would have reached 35 percent if we could have released that amount," he said. With the current ceiling, we cannot start new programmes in the upcoming year," added Sharma.

Most of the budget allocated for this ministry goes to the Department of Roads. Sushilbabu Dhakal, director general of the Department of Roads, informed New Business Age that the department has achieved 26 percent material progress in the current fiscal year.

Speaking at a discussion on 'Strategic road connecting constituencies' in the Infrastructure Development Committee of the House of Representatives on Thursday, Sharma said, “We have been given a low ceiling. It's like swimming with hands and feet tied.”

The ministry's budget in the fiscal year 2079/80 was Rs 165 billion. In the years since then, the budget allocated to the ministry has gradually decreased.

 

 

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