Over Rs 63 billion of NEA’s loan has matured

KATHMANDU: State-owned power utility Nepal Electricity Authority (NEA) has loans that have matured totaling 63.07 billion rupees. To finance a number of hydropower projects, the NEA has obtained government loans.

The principal and interest from the loans the NEA took out were included in the total, according to the Office of the Auditor General (OAG). Similarly, the amount of the Nepal Water Supply Corporation’s matured loan and interest is 7.58 billion rupees.

Kathmandu Valley Water Supply Management Board’s matured loan has reached Rs 5.76 billion, Janakpur Cigarette Factory Limited’s loan has reached Rs 3.88 billion, Udayapur Cement Industry’s loan has reached Rs 3.6 billion, and Biratnagar Jute Mills’ loan has reached Rs 2.8 billion.

Only six public institutions’ capital interest debt has increased to 85.46 billion rupees. There are up to 80 public institutions with mature principal and interest arrears. According to OGA, it is impossible to determine the matured principal and interest arrears because the information regarding principal and interest of the arrears has not been updated.

The OGA has called attention to the fact that despite making good profits, small agricultural development banks and agricultural development banks have yet to pay interest on capital.

The matured principal and matured interest for Nepal Orient Magnesite, Gorakhkali Rubber Industry, Raghupati Jute Mills, Janakpur Cigarette Factory, and Nepal Transport Institute have each reached Rs. 4.15 billion and Rs. 4.17 billion, respectively.