Objective Budget Presented Amidst Resource Pressure: Finance Minister

Finance Minister Barsha Man Pun presented the budget for the fiscal year 2081-82 BS (2024-25) today in the House of Representatives (HoR), emphasizing its objective nature despite significant pressure on resource management.

In his proposal to initiate general deliberations on the government’s income and expenditures for the current fiscal year, Minister Pun highlighted the budget’s potential to alleviate civic frustrations and counteract economic slowdown. He acknowledged the challenges faced during the budget formulation, including shrinking resources and high expectations from various sectors.

Addressing concerns about the budget’s priorities, Minister Pun assured that it aims to create an enabling environment for youths to seek career opportunities within the country and motivate the private sector. He credited outgoing Finance Minister Dr. Prakash Sharan Mahat for setting the principles and priorities upon which the current budget is based.

Regarding tax reforms, Minister Pun explained that changes in tax rates were made on a need basis after thorough analysis of their relevancy. He emphasized that tax rate revisions were kept at the lowest level to maintain political stability and avoid significant disruptions.

Minister Pun also provided insights into Nepal’s economic performance, noting a gradual improvement with the Central Statistics Office estimating a 3.9 per cent economic growth rate for the current year, compared to 1.9 per cent last year. While indicating signs of recovery, he stressed the need for further measures to achieve full economic recovery.