The Government of Nepal has allocated Rs 411.01 billion for servicing public debt in the upcoming Fiscal Year 2082/83 (2025/26), which includes both principal and interest repayments. Of the total allocation, Rs 343.57 billion has been designated for domestic debt, with Rs 250 billion set aside for repaying principal and Rs 92.96 billion for interest payments.
For external debt, the government has earmarked Rs 108.54 billion. This amount includes Rs 51.88 billion for principal repayment and Rs 15.57 billion for interest. Within this, Rs 11.71 billion has been allocated for interest on multilateral loans and Rs 3.86 billion for bilateral loan interest. Principal repayments comprise Rs 37.69 billion for multilateral lenders and Rs 14.19 billion for bilateral sources.
Among multilateral lenders, the government plans to repay Rs 21 billion to the Asian Development Bank (ADB), including Rs 16 billion in principal and Rs 5 billion in interest. Similarly, Rs 20.50 billion has been allocated for the International Development Association (IDA), with Rs 16.50 billion for principal and Rs 6 billion for interest. The OPEC Fund will receive Rs 1.80 billion, of which Rs 1.60 billion is for principal and Rs 200 million for interest. The International Monetary Fund (IMF) will be repaid Rs 1.65 billion in principal, while the European Investment Bank (EIB) is set to receive Rs 800 million in principal and Rs 130 million in interest. The International Fund for Agricultural Development (IFAD) will be paid Rs 800 million in principal and Rs 120 million in interest. The Nordic Development Fund will receive Rs 200 million in principal and Rs 31.5 million in interest. The European Economic Community (EEC) is scheduled to receive Rs 40 million in principal and Rs 10 million in interest. Nepal Investment Bank is also allocated Rs 100 million in principal and Rs 220 million in interest repayments.
In terms of bilateral debt, Japan will receive Rs 2.75 billion in principal and Rs 148 million in interest. Saudi Arabia is set to be paid Rs 600 million in principal and Rs 65 million in interest, while Kuwait will receive Rs 160 million in principal and Rs 130 million in interest. France will be repaid Rs 70 million in principal and Rs 20 million in interest, and Belgium will receive Rs 10 million in principal. An additional Rs 10.60 billion in principal and Rs 141 million in interest has been allocated for other bilateral lenders.
Meanwhile, the government has announced a plan to raise Rs 362 billion through internal borrowing in the current fiscal year. Of this amount, Rs 250.59 billion will be used to repay principal, resulting in a net internal borrowing target of approximately Rs 111 billion.
