42 Local Levels Failed to Submit Budget on Time

Illustration via The Kathmandu Post 

Local Governments Face Explanation and Performance Evaluation Penalty for Budget Delays

Out of the 753 local levels across the country, 42 failed to submit their budgets on time. According to the National Association of Rural Municipalities (NARMIN) and the Municipal Association of Nepal (MuAN), only 711 local levels managed to bring their budgets within the deadline of Ashad 10. The Local Government Operation Act 2074, subsection 1 of section 71, mandates the submission of budgets by Ashad 10 each year.

Despite the legal requirement, 29 rural municipalities and 13 municipalities were unable to meet the deadline. Madhesh Province had the highest number, with 23 municipalities failing to submit their budgets on time. Out of the 136 local levels in Madhesh province, 23 municipalities did not present their budgets to the local level assembly on Ashad 10. Among the province's 59 rural municipalities, 13 failed to bring their budgets, while out of the 77 municipalities, only 67 managed to do so. The problem of budget presentation persisted in Madhesh province during the current financial year.

Kamal Bhattarai, joint secretary of the Ministry of Federal Affairs and General Administration, was quoted as stating that failing to submit the budget by Ashad 10 is a violation of the law. He emphasized that non-compliance indicates a lack of adherence to the law and announced that the ministry will seek explanations from the local levels for their budget delays. Additionally, two points will be deducted from their performance evaluations, as reported by Joint Secretary Bhattarai.

Reasons for Delayed Budget Submission

Since the implementation of federalism, municipalities have been responsible for presenting budgets as local governments. However, some local levels encountered difficulties in meeting the budget deadline. NARMIN highlighted internal disputes in certain municipalities and technical reasons in others as factors contributing to the delays.

"NARMIN General Secretary Khim Bahadur Thapa stated that some rural villages failed to submit their budgets by the 10th due to the chairman's illness, absence of the chief administrative officer, conflicts among people's representatives, disputes over budget allocation, and insufficient time for preparation."

According to Thapa, rural municipalities are preparing to submit the delayed budgets in the coming days. Kalanidhi Devkota, executive director of the Municipal Association of Nepal (MuAN), attributed the delays to internal problems within the municipalities, such as staff shortages.

Meanwhile, the Ministry of Federal Affairs and General Administration has issued a directive requiring all local levels to enter their budgets on the ministry's portal. Chiranjeevi Nepal, an officer in the Ministry's local level coordination branch, was quoted as informing that an instruction letter was sent to all local authorities on Monday, urging them to input the budget presented in the assembly. Only 155 local levels have entered their budgets on the ministry's portal so far, while 598 local levels are yet to do so.

Budgets Submitted by 94% of Rural Municipalities

The majority of rural municipalities managed to submit their budgets for the next financial year, 2080/81, on time. Out of the 460 rural municipalities, 431 (94%) successfully submitted their budgets, while 29 rural municipalities were unable to do so.

According to NARMIN General Secretary Thapa, most municipalities in Madhesh province faced difficulties in submitting their budgets. However, all 54 rural municipalities in Sudurpaschim province managed to submit their budgets. Among the 88 rural municipalities in Koshi province, 85 submitted their budgets on the 10th. Similarly, 56 out of 58 rural municipalities in Gandaki province, and 71 out of 74 rural municipalities in Bagmati province submitted their budgets on time. In Lumbini province, 69 out of 73 rural municipalities succeeded in bringing their budgets on time, leaving only 4 rural municipalities in Karnali province that failed to submit their budgets.

Budget Delays in 13 Municipalities

Thirteen municipalities could not meet the Ashad 10 deadline for budget submission. Out of the total 293 municipalities, only 280 managed to submit their budgets on time.

According to MuAN's executive director, Kalanidhi Devkota, 10 out of the 77 municipalities in Madhesh province failed to submit their budgets on time. In Gandaki province, 25 out of 27 municipalities submitted their budgets by June 10, and all but one of the 25 municipalities in Karnali province met the deadline.

Except for Madhesh, Gandaki, and Karnali, all municipalities in other provinces successfully submitted their budgets on Ashad 10. Koshi province has 49 municipalities, Bagmati has 45, Lumbini has 36, and Sudurpaschim has 34 municipalities.

(Disclaimer: The article is a translation based on an original article. The consistency in data and information has been maintained for accuracy.)