Development expenditure tumbles by 23 pc

Expenditure in the development sector during the last six months has declined by 23 percent to Rs 7.8 billion against 10.28 billion recorded in the same period last year, reports the Kathmandu Post.

Notwithstanding a higher allocation of budget for development activities by the incumbent government after a long gap, spending in such activities have witnessed a decrement.

The government has earmarked Rs 124 billion for the purpose of development out of the total of Rs 236 million.

“The level of spending resources in development would rise significantly from this month as the government has almost completed procedural matters,” the report quoted a key official at Finance Ministry as saying.

Concerned officials have been attributing the delay in release of budget for this fiscal year as a major hindrance in smoothly funding development activities.

The total amount in government treasury stood at 18.64 billion in mid-January against Rs 7.73 billion last year due to the slow pace of spending in development. nepalnews.com Jan 20 09