The government has raised more than three and a half billion in loans and has paid more than two and a half billion in principal and interest up to the end of the current financial year 2081/82.

According to the public debt report prepared by the Public Debt Management Office up to the end of March 2081, the total public debt at the beginning of the current financial year was 24 trillion 34 billion 90 million, and in the last nine months, 2 trillion 33 billion 17 billion debt has been added. Thus, by the end of March, the total outstanding public debt of Nepal has reached 26 trillion 67 billion 26 billion.

'By the end of April, the public debt will be 46.75 percent of the gross domestic product (GDP). In the total public debt, the share of foreign debt is 51.19 percent and the share of domestic debt is 48.81 percent, said the report. 

Out of the country's total public debt so far, the internal debt is equal to 13 trillion one billion 94 billion and the external debt liability is equal to 13 trillion 65 billion 32 billion.

The government has set a target of raising public debt of around five and a half billion rupees for this financial year, but by March 2018, around 67 percent has been raised. ``In the current fiscal year, a total of 547 billion public debt was set to be mobilized, but 366 billion 90 million debt has been received by the end of March. Compared to the annual target, the total public receipt is 66.93 percent, said the report.

Till the third quarter of the current financial year, the government raised 2 trillion 91 billion 14 billion internal debt and 74 billion 95 billion external debt. Compared to the annual target, the realization of internal loans so far is 88.22 percent and the realization of external loans is equal to 34.54 percent. For this financial year, the government has set a target of raising three trillion 30 billion domestic debt and two trillion 17 billion external debt.

As the public debt continues to increase, the expenses for its principal and interest payments are also increasing. In the third quarter of the current financial year alone, more than two and a half billion has been spent on principal and interest payments. "In the current financial year, 2.52 billion 48 billion has been paid out of 4.2 billion 85 billion budget allocation for debt service expenses, and 2.52 billion 48 million has been paid by the end of March", the Public Debt Management Office said, "This is 62.67 percent based on the annual allocation." On the basis of GDP, the total debt service expenditure has been 4.43 percent by the end of March.

In the last nine months, 2 trillion 12 billion 93 crores have been spent only for the interest payment of internal debt. One billion 70 billion nine crores have been spent to pay the principal of internal debt and 42 billion 84 crores have been spent to pay interest. Similarly, 39 billion 43 crores have been spent to pay the principal and interest of external loans. Out of which, 32 billion 93 crores have been spent to pay the principal of external debt and 6 billion 61 crores have been spent to pay interest.