The Far Western Province Government's Financial Procedures and Accountability Regulations state that budget allocations cannot be made for projects not included in the Provincial Project Bank. However, the government and ministries have been ignoring the Project Bank and related legal provisions and have been arbitrarily selecting projects during budget preparation. Even now, as preparations are underway for the budget preparation of the upcoming fiscal year, the same trend is repeating itself. The regulations also state that 'there will be no obstacle to entering projects and programs in accordance with the prevailing law until the Project Bank is fully implemented.' Taking advantage of this provision, there is a tendency to not fully implement the Project Bank and include pocket projects in the budget. On the pretext that the Project Bank has not been fully implemented, ministries have been selecting projects on a fair and impartial basis and setting arbitrary budgets.

In addition, the Financial Procedures and Accountability Act 2079 of the Far Western Province has made a provision to allocate the budget by giving priority to the plans included in the provincial project bank after the preparation is completed. However, there is no practice of including pre-prepared projects in the project bank in the budget and annual program. ‘It must be admitted that the system of selecting the projects that come to the project bank and allocating the budget has not been established,’ says Ganesh Bahadur Singh, Member Secretary of the Provincial Policy and Planning Commission.

Employees say that during budget preparation, the selection of development projects and budget allocation based on the whims of ministers, MPs and leaders and workers with access are hindering the effective implementation of the allocated budget.

Even MPs admit that the budget preparation process is not being carried out based on the provisions of the law and long-term goal setting. ‘In our province, the system of transparent and long-term thinking has not been established.’ "Every time there is instability during the budget, that is why everyone with access to it has started to focus on killing the budget," says Naresh Kumar Shahi, a member of the Provincial Assembly. "The failure to prepare a proper budget has brought disrepute to the provincial parliamentarians, employees, and the entire provincial government."

The trend of preparing projects, including project studies and cost estimates, only towards the end of the fiscal year after the budget has been allocated for projects for which preparations have not been completed, and only at the end, has been repeated every year.

That is why, as the budget preparation period for the upcoming fiscal year approaches, there has been a rush of people asking for plans at ministries and offices. The general public, public representatives, party leaders and cadres have started to flock to ministries, provincial offices, and provincial parliamentarians to ask for plans. In the past, some people were accused of even extorting money in the name of preparing plans.

Although the provincial government claims to have worked to stop the trend of demanding projects and collecting money by saying that they will submit plans, the discussion has continued every year. Chief Minister Kamal Bahadur Shah had dismissed a minister for allegedly engaging in financial manipulation in the budget preparation of the fiscal year 082/83.