KATHMANDU, May 29: The government’s investment in public institutions has not yielded the expected returns.
According to the ‘Annual Performance Review of Public Enterprises’ released by the Ministry of Finance on Thursday, out of 43 institutions, 28 are profitable while 15 are running at a loss. The returns from the profitable institutions have also decreased.
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The government’s investment in institutions has reached Rs 703 billion. However, the net profit of the profitable institutions is only Rs 42.6 billion, which is 11.5 percent lower compared to the previous fiscal year.
This raises questions about the effectiveness of the government’s investment. The loss of the 15 loss-making institutions amounts to Rs 3.63 billion, which has grown by 8 percent compared to the previous year. The government has increased its investment in institutions by 5.8 percent. The total assets of public institutions have reached Rs 2.91 trillion.
