Jun 15, Kathmandu - Gandaki Province has announced a budget of Rs 32.99 billion for the upcoming fiscal year. During the presentation in the provincial assembly, Finance Minister Jit Bahadur Sherchan revealed that over 60% of the budget is allocated for capital expenditure. A total of Rs 20.06 billion has been earmarked for capital spending, while Rs 12.73 billion (38.56%) is allocated for current expenses.

The proposed budget is Rs 1 billion higher than the current year's expenditure, which stood at Rs 31.97 billion. Sherchan noted that Rs 25 million has been set aside for financial management, and current expenses have been reduced by 1% compared to last year. He also mentioned that salary hikes for government employees will align with the federal government's standards.

A significant portion of the budget includes Rs 7.84 billion from the federal government under the financial equalization scheme. Revenue sharing is expected to bring in Rs 1.02 billion, while royalties are projected at Rs 51.48 million. Additionally, grants—conditional, supplementary, and special—are estimated at Rs 393.05 million, Rs 55.46 million, and Rs 39.55 million, respectively.

The province aims to generate Rs 5.84 billion from internal sources and expects to retain Rs 2 billion in cash reserves. Moreover, internal borrowing of Rs 1.75 billion is planned for the upcoming year, according to Minister Sherchan.