The Ministry of Finance has released a report stating that despite continuous government investment in public institutions, the expected returns have not been realized. As of Falgun 2082 (February/March 2026), there are a total of 45 public institutions in operation, with 20 fully government-owned and 25 majority government-owned entities. In the fiscal year 2080/81 (2023/24), only 2.4 percent of the total share investment, equivalent to NPR 884 crore in dividends, was received, the ministry reported.
Kathmandu, 14 Baisakh 2083 (April 27, 2026) – According to the country’s latest economic report published by the Ministry of Finance, government investment in public institutions has steadily increased, but satisfactory returns have not been achieved. As of Falgun 2082, the government operates 45 public institutions, including 20 fully government-owned and 25 majority government-owned bodies. Among these, 28 institutions are profitable, 15 are running at a loss, and 2 have been shut down.
The ministry stated that as of Ashad 2081 (mid-July 2024), the total government investment in public institutions reached NPR 703.94 billion. This total includes share investments amounting to NPR 364.86 billion and loan investments of NPR 339.08 billion. Despite such substantial investment, the returns on investment are significantly low. The report notes that in the fiscal year 2080/81, the government earned just NPR 884 crore in dividends, which represents only 2.4 percent of total share investments.
The ministry also highlighted weak financial health and governance issues within these institutions. Regular audits have not been conducted in some institutions, making it impossible to ascertain their actual losses and potential liabilities accurately. Given the low returns relative to the investment made, the report stresses the need for effective management of public institutions to ensure appropriate and improved returns.
