Budget and Development: Reportedly on January 13, 2021, the government was able to spend only 14.4% capital budget in the first half of the fiscal year (FY) 2020/21. The government was able to spend only 15.48% capital budget in the last FY. Similarly, the government spent 28.19% recurrent budget in the current FY while the target was 36.08%. And the government has also collected 41.73% of the government-targeted revenue.
The Chief Minister of Province 2, Lalbabu Raut has committed that the provincial government will accelerate the development of the media sector during the 10th annual general assembly, of the Federation of Nepali Journalists in Saptari.
Bagmati Pradesh has released ‘Bagmati Pradesh Bikas Darpan’ detailing the activities of the provincial government related to development and administration. Meanwhile, the Chief Minister of Bagmati Pradesh, Dormani Poudel said that the provincial government is working as per the peoples’ aspirations and expectations and all development works related to good governance, prosperity, and economic development are going on.
In the interaction programme between the local representatives and the Natural Resource and Fiscal Commission, most of the local government demanded to increase the fiscal equalization grant. The local government has not been able to operate the development works due to COVID-19 and nationwide lockdown. After the lockdown eases, the local government wants to accelerate development works at the local levels.
The Central Bureau of Statistics, under the National Planning Commission, has estimated that the gross domestic product (GDP) will grow by 2.27%, but the economic growth could by shrink 0.6% due to Coronavirus.