Nepal’s public debt increased by Rs 84 billion in the first four months of the current fiscal year (FY 2024/25), according to the Public Debt Management Office. The total public debt now exceeds 44 percent of the Gross Domestic Product (GDP).

At the start of the fiscal year, Nepal's public debt stood at Rs 2,434.09 billion. By November 15, it had increased by Rs 83.95 billion, reaching Rs 2,518.05 billion, accounting for 44.94 percent of the GDP.

Of the total public debt, internal debt amounts to Rs 1,252.16 billion (21.95 percent of GDP), while external debt stands at Rs 1,265.90 billion (22.19 percent of GDP).

The government has set a target of mobilizing Rs 547 billion in public loans for the current fiscal year. By the end of the first quarter, Rs 165.72 billion—30.30 percent of the annual target—had been raised.

Specifically, Rs 330 billion in internal loans is targeted for the fiscal year, with Rs 144 billion (43.64 percent of the target) raised by November 15. Similarly, the government had set a target to secure Rs 217 billion in external loans by mid-November but has only raised Rs 21.72 billion, or 10.1 percent of the target.

The government allocated Rs 402 billion in the budget for repaying the principal and interest on public loans this fiscal year. By November 15, the government has spent Rs 108.14 billion for debt servicing, equivalent to 1.90 percent of GDP. -- RSS