KATHMANDU, July 19: Nepal's public debt has reached Rs 2.434 trillion, according to data released by the Public Debt Management Office (PDMO). By mid-July of the last fiscal year (FY), this debt amounted to 42.65 percent of Nepal's gross domestic product (GDP), comprising Rs 1.180 trillion in domestic debt and Rs 1.253 trillion in foreign debt.

In the last FY alone, the government raised Rs 358 billion in public debt, with Rs 234 billion from domestic sources and Rs 123 billion from external sources. The PDMO data indicates that the government has repaid only a portion of these loans, totaling Rs 223.34 billion—Rs 182 billion in domestic debt and Rs 40.72 billion in external debt.

By mid-July of the previous fiscal year 2023/24, Nepal's outstanding public debt stood at Rs 2.299 trillion. Thus, the government's outstanding public debt increased by Rs 134 billion in the last FY alone.

The government had set a target of mobilizing Rs 452 billion in public debt for the last FY. However, only Rs 358 billion, or 79 percent of the target, was collected. The PDMO reported that 97.68 percent of the targeted domestic loans were secured, while only 58.10 percent of the targeted external loans were received.

Throughout the last fiscal year, the government paid Rs 223.34 billion in public debt and Rs 82 billion in interest.