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MoI to reach its Capital Expenditure to 80 Percent

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MoI to reach its Capital Expenditure to 80 Percent
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April 19: The Ministry of Industry (MoI) has said it would reach the capital expenditure of the current fiscal year (FY) to 80 percent.

The Ministry has targeted to spend the remaining 50 percent of its allocated development expenditure when only three months remain for completion of the fiscal year.

Industry Minister Nabindra Raj Joshi while directing the staff of the Ministry on April 18 stressed on continuing works to reach the target of capital expenditure.

According to the Financial Comptroller General Office (FCGO), the current expenditure of the Ministry was 36.26 percent and capital expenditure 23.34 percent till March 13 this year.

The ratio of the capital expenditure is minimal as compared to the current expenditure of the ministry.

The total expenditure of the government has only reached 52.61 percent on current and 26.60 percent on capital expenditure so far.

According to Purushottam Nepal, Head of the Planning Department of the Ministry, the capital expenditure of the Ministry has so far reached to 30 percent.

According to Nepal, the Ministry should spend more than 50 percent in the remaining period of three months to reach the capital expenditure 80 percent as directed by the minister.

Nepal, who is also the spokesperson of MoI, claimed that capital expenditure will reach 80 percent as 77 percent of total budget is allocated on industrial infrastructure. He said, “The major portion of the budget is allocated in mining and access roads to industries and also in electricity transmission lines.”

According to Nepal, of the Rs 700 million allocated for roads, Rs 230 million has already been spent. The remaining amount will be spent through the Department of Roads (DoR).

Nepal said assurances have been received that of the Rs 220 million allocated for transmission lines, all the amounts except for Rs 15 million will be spent.

Nepal said that it seems the expenditure of the remaining Rs 300 million to Rs 400 million is in doubt, but if the local level election is held on time, the staff working on election will return, and the capital expenditure can increase.   

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