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Decision to halt dev spending draws flak

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KATHMANDU, April 1: Lawmakers on Friday condemned the government´s recent decision to stop spending capital budget endorsed by the parliament, saying that such a move was a blatant violation of financial and development norms.



Finance Minister and leader of Nepali Congress Dr Ram Sharan Mahat raised the issue seriously and sought clarification on it from Deputy Prime Minister and Finance Minister Bharat Mohan Adhikari.[break]



Adhikari had recently issued a circular to all government agencies to stop spending of development budget not disbursed so far and halt implementation of programs that were not approved by the concerned authority.



The circular was issued in context of informal exercises that Adhikari initiated for supplementary budget. It also asked all the government agencies to immediately report to the Ministry of Finance the budget thus ´saved´ from the total allocated budget for 2010/11.



"The DPM´s move to stop and alter development spending not only goes against the need of the hour, but also challenges the parliament that endorsed it. It is an objectionable act, which reflects nothing but financial anarchy of the government,” he said.



Adhikari, meanwhile, told journalists that he will study the nine-point circular that Dr Mahat referred to and will respond to it in the next parliament meeting.



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