Nepal’s Public Debt Soars: Debt Jumps by Rs 2.42 Trillion in Eight Months

Nepal’s public debt has reached a staggering Rs 26.76 trillion, accounting for 46.91% of the country’s Gross Domestic Product (GDP). As of Falgun, this translates to approximately Rs 91,000 per Nepali citizen, up from Rs 83,000 last Asar—an increase of nearly Rs 8,000 per person. Based on the 2078 National Census.

with a population of 29.16 million, the figure paints a grim picture. According to the Public Debt Management Office, the total outstanding debt comprises Rs 13.15 trillion (23.06% of GDP) in internal loans and Rs 13.60 trillion (23.85% of GDP) in external loans, highlighting the growing financial strain.

From Shrawan to Falgun, Nepal’s public debt surged by Rs 2.42 trillion. The government aimed to borrow Rs 5.47 trillion this year, raising Rs 3.34 trillion so far. During this period, Rs 1.34 trillion in internal and Rs 245 billion in external principal were repaid. However, foreign exchange rate fluctuations alone added Rs 662.9 billion to the debt, per the office. From Rs 24.34 trillion last Asar, this rapid rise in just eight months signals mounting challenges in economic management.