Only 25% of Private Sector Plans in Last Fiscal Year’s Budget Fully Implemented

A new report released today reveals that only 25% of the private sector-related plans and programs outlined in the previous fiscal year’s budget have been fully executed. The “Budget Watch” report, jointly prepared by the Confederation of Nepalese Industries (CNI) and the Society of Economic Journalists of Nepal (SEJON), highlights significant shortcomings in the implementation of budgetary commitments.

The report analyzed 73 points related to the private sector and the economy that were included in the fiscal year 2023/24 budget. It found that while 18 points were fully implemented, 51 were only partially enforced, and four were not implemented at all.

During the report’s launch, Chief Secretary of the Government of Nepal, Leela Devi Gadtaula, stressed the importance of responsibility and accountability among thematic and subordinate ministries to ensure the effective implementation of the annual budget. She noted that the government is currently preparing a list of new initiatives and action plans to be executed within the next 100 days, with a focus on setting priorities and accelerating their implementation.

“The desired results are likely when the concerned ministries and agencies work responsibly and remain accountable towards the implementation of the budget,” Gadtaula asserted.

CNI President Rajesh Kumar Agrawal explained that the “Budget Watch” initiative was launched to monitor the implementation status of the commitments made by the government through its annual budget. He expressed hope that the findings of the report would be valuable to policymakers and the government.

Agrawal acknowledged that while there was some progress in budget implementation compared to the previous fiscal year, the overall execution remained lackluster. The report emphasized that most of the budgetary points related to policy and law formulation, and the absence of necessary acts, regulations, and procedural guidelines hindered the progress of many programs and plans.

The findings of the “Budget Watch” report underscore the need for more robust and accountable mechanisms to ensure that budgetary commitments, particularly those impacting the private sector and the broader economy, are fully realized.