The government spent Rs 54.46 billion to settle its debt, which was almost double of the amount spent in development projects in the first four months of the current fiscal year.
According to the Financial Comptroller General Office (FCGO), the government spent Rs 29.98 billion under the heading of capital expenditure. Out of the total expense of Rs 355.63 billion made during the review period, more than 15 percent was spent to settle interest and principal repayment on public borrowing. The government has allocated Rs 307.45 billion for financing purposes in the fiscal year 2023/24.
The capital expenditure however has improved in the review period this year, shows the record of the FCGO. The government spent 9.93 percent during mid-July and mid-November this year, compared to 6.91 percent in the same period last year.
The government has allocated Rs 302.07 billion in construction of development projects for this fiscal year, while around one-tenth has been spent so far. For the last fiscal year, the government had allocated Rs 380.38 billion and only Rs 26.29 billion was spent in the first four months.
Meanwhile, the government has collected 19.45 percent of the targeted revenue for the current fiscal year. While the revenue collection target for this year is Rs 1.422 trillion, the government generated earnings of Rs 276.64 billion in the first four months.
At a time when the government is struggling to generate revenue collection, mainly due to the ongoing recession, it received minimal amounts in foreign assistance. During the review period, the government received foreign grants of just Rs 2.758 billion against the annual target of Rs 49.94 billion. The amount is only 5.53 percent of the total target.
