Finance Minister Pun tables Economic Survey of FY 2023/24 at HoR

KATHMANDU: Finance Minister Barsha Man Pun presented the Economic Survey of Fiscal Year 2023/24 in today's meeting of the House of Representatives (HoR). 

Minister Pun presented the Economic Survey after Speaker Dev Raj Ghimire gave him permission to do so, despite protests and chants from the main opposition party Nepali Congress. 

"The overall economic, social, sector-wise development and good governance of the federal, provincial and local levels during the entire period of the last fiscal year and up to eight months of the current fiscal year have been reflected and analysed," said the Finance Minister.

He noted that the country's economic and social indicators have gradually improved. Finance Minister Pun estimated that the nation's economy will expand by 3.9% due to growth in the agriculture and service sectors, despite contraction in the productive sector and production in the industry and construction sectors. 

He estimated that, province-wise, the economic growth rate of Gandaki, Bagmati and Lumbini provinces will remain above the national average and the total investment is likely to increase by 2.8%, reaching Rs 1,741.48 billion in the current fiscal year.

"It is estimated that the per capita income will reach $1,456. The average consumer price inflation is 6.08% until Falgun (13 March 2024) of the current fiscal year. There is a gradual improvement in revenue mobilisation," he added.

He informed the House that the revenue collection of the federal government until the month of Falgun of the current fiscal year has increased by 9.7% and reached Rs 639.05 billion. Finance Minister Pun said the federal expenditure increased by 2.9% to reach Rs 801.58 billion during this period.

"The total public debt has reached Rs 2,388.26 billion until Falgun, 2080 BS. Of the total debt, domestic debt is 49.6% and external debt is 50.4%. In the fiscal year 2022/23, the provincial and local levels received Rs 517.62 billion, including Rs 397.26 billion through the fiscal transfer from the federal level and Rs 120.26 billion through revenue allocation," Minister Pun further added.

Reiterating that the fiscal sector is gradually improving, he said there is adequate liquidity in the banking system and the interest rate of loans and deposits is decreasing. He informed parliament that the loan disbursement towards the private sector as of Falgun of the current fiscal year has increased by 5.6%.

The Finance Minister said the population per bank branch has reached 2,515 with the expansion of the network of banks and financial institutions, the transactions carried out through electronic means and the promotion of financial literacy.

By RSS