NPR 241.81 Billion Allocated in Grants for Provinces and Local Governments; Financial Equalization Grants Transferred

Kathmandu, May 29 – The federal government has allocated a total of NPR 241.81 billion in grants for provincial and local governments for the upcoming fiscal year 2082/83, under various categories such as financial equalization, conditional, complementary, and special grants.

Presenting the budget in the joint session of the Federal Parliament, Finance Minister Bishnu Prasad Paudel announced that financial equalization grants have already been transferred:

• NPR 60.66 billion to provincial governments

• NPR 88.97 billion to local governments

Other Key Allocations:

• Conditional Grants

  • Provinces: NPR 30.35 billion

  • Local Governments: NPR 211.46 billion

• Complementary Grants (for infrastructure projects)

  • Provinces: NPR 3.28 billion

  • Local Governments: NPR 10.06 billion

• Special Grants

  • Provinces: NPR 3.27 billion

  • Local Governments: NPR 9.78 billion

According to Minister Paudel, these grants aim to empower sub-national governments to implement development projects based on local needs and priorities, reinforcing the federal system of governance in Nepal.