Govt targets to achieve 6 pc economic growth rate in upcoming FY

KATHMANDU: The government has projected 6% economic growth rate for the upcoming fiscal year, alongside an inflation rate of 5.5%.

Finance Minister Barsha Man Pun presented the budget for the fiscal year 2024/25 during a joint meeting of the federal parliament on Tuesday. He detailed the government's strategy to attain a 6% economic growth rate. Furthermore, he stated that  Nepal Rastra Bank would formulate the monetary policy to aid the government in implementing the policies and programmes specified in the budget.

The Finance Minister said the execution of the budget would hasten economic activities. This would, in turn, boost production growth and employment, resulting in sustainable, extensive, and inclusive economic growth.

However, Finance Minister Pun indicated that the economic growth for the current fiscal year is likely to reach only 3.9%, missing the 6% target, as economic activities did not progress as expected.