Rs 241 Billion Below Target, Yet Encouraging Revenue Growth

In FY 2081/82, the Government of Nepal collected Rs 1.178 trillion in revenue. This marks an 11.33% increase from the previous year’s Rs 1.058 trillion, yet falls Rs 241 billion short of the revised target of Rs 1.286 trillion. Based on the revised goal, only 91.60% of the expected revenue was collected. Despite growth, the shortfall remains significant. The Ministry of Finance attributes the challenge to disasters and global conditions.

Historical data shows consistent revenue growth in the past decade. For instance, collections rose from Rs 405 billion in 2071/72 to Rs 1.066 trillion in 2078/79. In FY 2079/80, it dropped to Rs 957 billion, and again rose to Rs 1.058 trillion in 2080/81. The government now targets Rs 1.315 trillion in FY 2082/83. Officials say a fresh strategy has been prepared to meet this goal.

Last fiscal year, total government expenditure reached Rs 1.523 trillion. Of the Rs 352 billion allocated for capital expenditure, only Rs 222 billion (63%) was actually spent. Revenue also included Rs 1.219 trillion with non-tax and foreign aid components. The Ministry of Finance says it is now focusing on better spending implementation this fiscal year.