Print Edition - 2015-02-19 | MONEY
Total debt down 4pc to Rs 531b as of Q2
Feb 18, 2015-
Nepal’s total debt decreased 4 percent to Rs 531.82 billion as of the end of the second quarter compared to the beginning of the fiscal year, a government report said.
External debt declined 3 percent to Rs 337.43 billion and internal debt slipped 6 percent to Rs 194.38 billion, according to the latest report released by the Financial Comptroller General Office (FCGO).
The FCGO said the country’s external debt in Nepali currency terms shrank due to an appreciation of the rupee in the second quarter. “The internal debt liability decreased due to the repayment of principal worth Rs 12.3 billion,” the report stated. Of the total debt, external debt accounts for 63 percent.
As of the second quarter, Nepal received Rs 12.82 billion in loans. The entire amount represents external borrowing as the government has not raised any internal loans. The government did not see any need to borrow internally as its treasury contains more than Rs 90 billion in unspent development funds.
According to the report, 73 percent of the total borrowing as of the second quarter came from multilateral donors and the rest from bilateral donors. Nepal repaid debts amounting to Rs 25.98 billion until the second quarter. Of the total amount repaid, 39 percent went to external creditors.
Meanwhile, Nepal has the highest debt liability to the World Bank among multilateral donors with its liability valued at Rs 148.98 billon. Nepal owes the second largest debt liability to the Asian Development Bank with Rs 142.46 billion followed by IFAD with Rs 6.44 billion. The total outstanding debt to be repaid to the multilateral bodies amounts to Rs 303.78 billion.
Among the bilateral donors, Nepal’s debt liability to Japan is the highest at Rs 11.84 billion followed by China with Rs 7.68 billion and India with Rs 5.09 billion, according to the report. Nepal owes Rs 33.65 billion to the bilateral donors.
Published: 19-02-2015 07:58