Development expenditure has declined significantly, reaching only 29 percent by the third quarter of the current Fiscal Year 2024/25.
According to data from the Financial Comptroller General Office (FCGO), by the end of Chaitra (April 13), the government’s capital expenditure stood at just Rs 102.90 billion. This is out of the Rs 352.35 billion allocated under the capital expenditure heading for the fiscal year. The current capital spending, therefore, amounts to only 29.2 percent of the total allocation.
Not only has development expenditure remained low, but overall budget spending has also been weak. By the end of Chaitra, just 53.67 percent of the total budget had been spent.
For FY 2024/25, the government had introduced a budget totaling Rs 1.860 trillion. However, only Rs 998.50 billion had been spent by the third quarter.
Under recurrent expenditure, Rs 1.140 trillion was allocated, out of which Rs 678.06 billion—or 59.45 percent—has been utilized, according to FCGO data.
Financial management expenditure has also followed a similar pattern. Of the Rs 367.28 billion allocated under this heading, which represents about 45 percent of the total budget, only 59.23 percent has been spent so far.
Revenue collection has similarly underperformed. Out of a total annual target of Rs 1.419 trillion, only Rs 821.67 billion—or 57.89 percent—has been collected by the end of Chaitra.
Furthermore, foreign grant inflows have been particularly low. The government had targeted Rs 52.32 billion in foreign grants for this fiscal year, but only Rs 14.26 billion—or 27.27 percent—has been received to date.
