RSP lawmakers join budget lobbying rush, Ministries see surge in project requests

KATHMANDU: As Nepal’s federal budget for the upcoming fiscal year enters its decisive preparation phase, a familiar pattern has resurfaced across key ministries: lawmakers lining up to secure project allocations for their constituencies. This year, however, the trend has expanded beyond traditional parties, with legislators from the Rastriya Swatantra Party (RSP) increasingly joining the race.

Historically dominated by lawmakers from the Nepali Congress, Communist Party of Nepal (Unified Marxist–Leninist), and Maoist factions, the practice of lobbying to th ministries seeking budget allocations through direct lobbying—has now widened to include newer political entrants. RSP lawmakers, elected on reformist and anti-establishment platforms, are now actively approaching ministries to push for constituency-specific projects.

Infrastructure Ministry Under Pressure

The Ministry of Physical Infrastructure and Transport has emerged as the primary hotspot, with lawmakers prioritizing road expansion, blacktopping, and bridge construction projects. According to ministry sources, approximately 100 Members of Parliament have already submitted budget requests, most focusing on small-scale, localized infrastructure schemes.

Officials describe a structured but aboudunt workflow: lawmakers arrive, queue for hours, and submit project proposals through the ministerial secretariat rather than direct meetings.

“MPs come, wait, and eventually hand over their project files to the minister’s core team. Direct access to the minister is now rare,” a ministry source said.

Controlled Access to the Minister

With the volume of requests escalating, Physical Infrastructure and Transport Minister Sunil Lamsal has significantly restricted direct engagements. Except for exceptional cases, interactions are being managed by his private secretariat, which has set up a separate coordination mechanism to process submissions.

The ministry premises have seen near-constant crowds—not only lawmakers but also local representatives and interest groups seeking inclusion in the budget.

Friction and Pushback

The mounting pressure has triggered visible friction. Minister Lamsal, advocating for fiscal discipline and project prioritization, has reportedly taken a strong stance against what he views as politically motivated micro-project demands.

In several instances, lawmakers seeking small road and bridge allocations were bluntly turned away. “If you want ward-level projects, you might as well become ward chairs,” the minister reportedly told some MPs, signaling resistance to fragmented budgeting practices.

Shift Toward Large-Scale National Projects

Minister Lamsal is pushing for a strategic reorientation of infrastructure spending—prioritizing completion of ongoing national road networks over initiating new, scattered projects. His approach aligns with broader fiscal constraints and efficiency concerns.

There are also internal discussions around standardizing road allocations—potentially capping constituency-based projects at around 10 kilometer per MPs, though this remains informal.

Budget Constraints Tighten

The pressure comes amid a tighter fiscal envelope. The infrastructure ministry has received a reduced ceiling of approximately Rs 123 billion for the upcoming fiscal year, down from Rs 151.74 billion in the current year. This contraction has intensified competition among lawmakers for limited resources.

A significant portion of the allocation is expected to be absorbed by strategic national projects such as the Kathmandu-Tarai Fast Track, which alone may receive up to Rs 31 billion, compared to Rs 24.49 billion in the ongoing fiscal year.

Finance Ministry Signals Policy Shift

At the macro level, Finance Minister Swarnim Wagle has instructed ministries to prioritize high-impact, long-term infrastructure over politically driven small-scale schemes. The directive aims to curb inefficiencies that have historically plagued Nepal’s budget execution, where fragmented project allocations often lead to delays, cost overruns, and underperformance.

Recurring Structural Issue

In the eve of the budget allocation preparation, the MPs regular lobbying for their respective districts project to include is not new. ।n Past budgets have frequently drawn criticism for being shaped by political pressure rather than technical evaluation, resulting in diluted capital expenditure effectiveness.

The current surge—including participation from RSP lawmakers—suggests that institutional incentives remain unchanged, even as new political actors enter the system.

With budget formulation entering its final stages, the tension between political representation and fiscal discipline is once again at the center of Nepal’s economic governance debate.