Public Entities Hold Rs 400 Billion in Overdue Dues Despite Heavy Govt Investment

The government has poured Rs 930.88 billion into 159 public enterprises up to FY 2024/25, but returns remain weak, the Public Debt Management Office reports.
Of this, Rs 404.81 billion went into share investments across 116 entities, mainly NEA, CAAN, Nepal Telecom, Rastriya Banijya Bank, and ADBL.
Loan investments total Rs 526.6 billion, with NEA, the Kathmandu Valley Water Supply Management Board, CAAN, and the Water Supply Corporation among the biggest borrowers.

Last fiscal year, the government added Rs 41.48 billion in fresh investments and recovered only Rs 7.91 billion in principal and interest combined.

Yet overdue liabilities have ballooned to Rs 400.08 billion, including Rs 259.19 billion in unpaid principal and Rs 140.88 billion in interest, raising serious concerns about the financial health and accountability of major public entities.