KATHMANDU: The white paper on economy presented by Finance Minister Janardan Sharma at the meeting of the House of Representatives on Tuesday showed that Nepal’s public borrowing has reached 40.5 percent of the GDP.
The data presented by Sharma showed that of the public debt worth Rs 1.729 trillion, Rs 928 billion accounts for external loans and remaining Rs 801 billion accounts for the government’s financial liabilities to different domestic agencies.
As per statistics, country’s debt was Rs 698 billion in 2017-18, accounting for 22.7 percent of the country’s GDP. As the country has failed to mobilize borrowing in the production and development sector effectively, Sharma stated that increasing borrowing will only create financial pressure to the government.