Kathmandu, July 15
Total 72 local governments have failed to announce their budget, even 19 days after the deadline.
An intergovernmental finance management law has set June 25 as the deadline to announce the budget at local level.
Ministry of Federal Affairs and General Administration says that 681 local governments had announced the budget till Sunday.
But, 72 local governments are unlikely to announce their budget even after the new fiscal year starts on July 17.
The local governments will not be allowed to spend money on any activities until their budget is passed by their municipal councils.
Finance Ministry states that local government which have not announced budget will not receive any grant and share of revenue offered by the federal government.
According to the ministry, Province 2 has the highest number of local units that failed to announce their budget. Out of 136 local governments, 36 local governments have failed to announce their budget there.
Similarly, six local governments have failed to announce the budget in Province 1 and 10 in Province 3.
Only four local governments have failed to announce their budget in Gandaki and Sudurpachhim each whereas Province 5 and Karnali Province have six local governments each which failed to announce their budget.
