Kathmandu Metropolitan City's Budget for FY 2082/83 Passed Amid Internal Tensions

Hamrakura
Published 2025 Jul 17 Thursday

Kathmandu: The Kathmandu Metropolitan City (KMC) has officially passed its budget for the fiscal year 2082/83, though the process was overshadowed by internal tensions among key city officials.

Budget Passed in Municipal Assembly Session
The budget was passed during the second session of the 17th Municipal Assembly, held on Wednesday under the chairmanship of Mayor Balendra Shah (Balen). The city had presented its Rs 25.76 billion budget last Friday, well beyond the constitutional deadline for local governments.

The allocation breakdown is as follows:

-51% for infrastructure development

-20% for social development

-14% for operations and administration

-12% for good governance and related programs

-3% for economic development

Delayed Budget Linked to Leadership Conflict
The delay in the budget’s presentation and approval was largely attributed to ongoing friction between Mayor Balen and Chief Administrative Officer Saroj Guragain. According to sources, Mayor Balen was dissatisfied with Guragain’s working style, which he considered corrupt and untrustworthy.

A key point of contention was the approval of building maps, including the Kathmandu Tower project, which Balen claimed was done without proper procedure by Guragain back in Poush (around December–January).

Tense Public Appearances
Despite the deepening conflict, Mayor Balen, Deputy Mayor Sunita Dangol, and CAO Guragain shared the same stage during both sessions of the Municipal Assembly. Deputy Mayor Dangol was seen presenting the budget, while Balen outlined the policy and program.

Observers noted that while Sunita and Balen shared cordial smiles and casual conversation, Guragain remained visibly uncomfortable and distant. Notably, Balen and Guragain did not make eye contact during the session.

Budget Approved but Not Without Baggage
Though the budget has now been passed, the strained internal dynamics within the city’s leadership remain unresolved. Mayor Balen, elected as an independent candidate, has repeatedly stressed his commitment to reform, which often puts him at odds with entrenched bureaucratic practices.

Despite the approval, the ongoing tension could affect the implementation and pace of development projects, especially in key sectors like infrastructure and governance.

As the new fiscal year begins, the real test for KMC may not just be in budget execution, but in resolving internal disputes that risk undermining public confidence and city governance.



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