#NepalEconomy #GovernmentBudge
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By Sandeep Chaudhary

Nepal Government Budget Surplus Rs. 31B in Mid-August 2025/26: A Rare Positive Shift

Nepal Government Budget Surplus Rs. 31B in Mid-August 2025/26: A Rare Positive Shift

Nepal’s government recorded a budget surplus of Rs. 31.1 billion in mid-August of fiscal year 2025/26, marking a rare moment of fiscal positivity in recent years. According to data published by the Nepal Rastra Bank (NRB) based on banking transactions, the surplus emerged due to higher revenue mobilization and slower expenditure growth.

Government revenue and grants reached Rs. 75.1 billion during the one-month period, while total expenditure stood at Rs. 44.3 billion, leaving the state with a healthy balance. Internal loans, including treasury bills and development bonds, also supported financing needs, but the reduced expenditure kept overall fiscal operations in surplus.

Analysts say this short-term surplus should not be mistaken for structural fiscal stability. Expenditure commitments in the months ahead, including capital projects and debt repayments, are expected to increase sharply, which may turn the balance back into deficit. However, the mid-August figures demonstrate that Nepal’s fiscal system can generate positive balances when revenue performance outpaces expenditure pressure.

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