Nepal Budget 2023/24: Key Sector Allocations and Announcements ‣ NEP123.com

Discover the major announcements and sectoral allocations outlined in the Nepal budget 2023/24, presented by Finance Minister Prakash Sharan Mahat. With a total size of Rs 1.751 trillion, the budget aims to implement ambitious programs while addressing past unimplemented initiatives. Let’s explore the key highlights for each sector:

Special announcements:

Each member of the House of Representatives will receive Rs 50 million for the constituency development program, with a total allocation of Rs 8.25 billion.
Introduction of QR codes for payment of all types of revenues.
Busy government offices will operate in two shifts.
No specific raise in employees’ salary, but the recommendations of the Salary Commission will be implemented gradually.

Measures for expense control:

20 non-operational government agencies will be scrapped.
Public utilities will be operated in a company model, and strategic partners will be invited for problematic public utilities.
No new buildings and vehicles will be acquired unless necessary.
No additional motivational allowances.
No foreign trips unless necessary.
No creation of additional positions.

Innovation, invention, and investment:

Rs 7 billion allocated for driving towards an independent economy.
Rs 1 billion for innovation and invention research.
At least 1% of the annual budget will be spent on innovation, invention, and research.
Rs 1.25 billion for startups.
Promotion of “Make in Nepal” and “Made in Nepal” initiatives.

Sectoral allocations for key sectors:

Agriculture: Rs 58.98 billion allocated, including grants based on production, support for modernization projects, promotion of native indigenous crops, and technical support expansion.
Forest and environment: Rs 15.56 billion allocated, including the President Chure Conservation Project and the promotion of paper and cloth bags instead of plastic bags.
Land management: Rs 7.24 billion allocated, including providing land acquisition certificates to landless people and allowing halted land plotting.
Industry, commerce, and supplies: Rs 9.46 billion allocated, including the expansion of industrial districts, development of special economic zones and industrial villages, and support for micro-entrepreneurship projects.
Labour, employment, and social security: Rs 8.08 billion allocated, including the Prime Minister Employment Programme and promotion of contribution-based social security.
Culture, tourism, and civil aviation: Rs 11.96 billion allocated, including the celebration of Visit Nepal Decade, promotion of domestic tourism, construction of the Great Himalayan Trail, and reconstruction of cultural monuments.
Education, science, and technology: Rs 197.29 billion allocated, including scholarships, school day meal programs, free sanitary pads, and establishment of medical colleges.
Health and population: Rs 83.99 billion allocated, including control of communicable diseases, expansion of hospitals, free medicines, and improved services.
Water supply: Rs 28.16 billion allocated, including the expansion of the Melamchi Water Supply Project and wastewater treatment plants in Kathmandu.
Transport infrastructure: Rs 131 billion allocated, including the widening and upgrading of highways, construction of the Kathmandu-Terai fast track, and development of different road projects.
Urban development: Rs 2.15 billion allocated, including infrastructure development for local governments and housing for homeless people.
Energy, water resources, and irrigation: Rs 87.45 billion allocated, including irrigation projects, increasing electricity accessibility, adding to the national transmission line, and promoting alternative energy.
Communications and information technology: Rs 7.71 billion allocated, including the operation of a national cyber security center and restructuring of the postal service.
Climate change and disaster reduction and management: Special climate projects and relocation of disaster-hit and vulnerable populations.
Security and defense: Upgrading digital forensic lab, relocating central jail, and completing police adjustment.