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Govt Presents Principles & Priorities of Next FY Budget
The government has submitted the principles and priorities of the budget for the next fiscal year to the parliament on Monday. Making changes in the budgetary system, the principles and priorities have been presented at the parliament three months before the federal budget presentation. Presenting the principles and priorities of the budget in the meeting of the House of Representatives on Monday, Finance Minister Dr. Prakash Sharan Mahat said that the federal budget for the next fiscal year will be brought by prioritizing the development of hydropower, infrastructure, tourism, and information technology, modernization and commercialization of agriculture, promotion of the private sector. The government has said that the construction of Nijgadh Airport will be taken forward after finalizing the investment modality. Similarly, the government has also said that the obstacles to bringing Pokhara and Gautam Budh International Airports into operation at full capacity will be removed. Finance Minister Mahat has announced that more public enterprises (Pes) will be privatized in the next fiscal year. Of late, privatization has taken a back seat when the number of sick PEs is growing.
On the contrary, the government is trying to operate closed industries. Finance Minister Mahat said that the public enterprises in the areas where the private sector is competitive will be privatized. "The divestment of such public enterprises will be carried out through the sale of shares or management contract," said Mahat. In addition to this, Minister Mahat also announced that efforts will be made to operate closed public enterprises with the participation of the private sector. The government has also announced plans to implement necessary laws and institutional arrangements for regulating the cooperative sector. Speaking at the pre-budget discussion program in Parliament, Mahat emphasized the importance of strengthening and enhancing transparency within the financial sector. He highlighted the need to bolster professionalism in banks, financial institutions, microfinance, insurance, and capital market regulatory bodies while ensuring transparency and accountability.
Finance Minister Mahat has said that federal structures with dual jurisdiction will be phased out. "Recurrent expenditure will be controlled and structures with dual scope of work will be abolished gradually," said Finance Minister Mahat while presenting the principles and priorities of the next year's budget to Parliament, "Required funds will be allocated to complete projects under construction and projects whose resources have been ensured." There is now a problem in the implementation of the project as the Ministry of Finance gives a paper resource assurance letter but in reality, there is no budget. The government has made arrangements for multi-year contracts to provide at least a quarter of the budget in the first year.
