Congress MP Rai Expresses Concern Over Rising Foreign Debt in Budget

May 29, Kathmandu – Nepali Congress MP Niskala Rai has voiced serious concerns over the government presenting a budget that involves the highest amount of foreign debt to date. Speaking to reporters within the parliamentary premises on Friday after the budget statement, he revealed that the public debt is close to NPR 3 trillion.

He stated, “The size of the proposed budget is NPR 2.124 trillion, while the National Planning Commission had only accepted NPR 1.897 trillion. This exceeds the commission’s limit by 12 percent.” Regarding the budget sources, Rai explained, “NPR 1.47 trillion is expected from revenue and NPR 247 billion from foreign loans. This is the highest foreign loan amount in this period.”

Providing further details on internal debt, he said it stands at NPR 410 billion, bringing the country’s total internal and external debt to NPR 2.933 trillion. He added, “Including the additional NPR 657 billion debt to be incurred, debt will increase by 22.41 percent.” Rai noted that this will push per capita debt burden to over NPR 120,000.