Sudurpashchim Province Government Faces Budget Crisis Amidst Political Instability

Dhangadhi. The Sudurpashchim Province government has been without a budget for 25 days. Although 25 days have passed since the beginning of the current fiscal year 2083/084, the provincial government's annual budget has not been passed. Despite the constitutional and legal provision to pass the province's annual budget by the end of Asar, the budget could not be passed due to disputes in the then ruling coalition. At the same time as the dispute between the ruling coalition partner CPN-UML and Chief Minister Kamal Bahadur Shah over the budget, the political equation itself changed. Ultimately, the Shah-led government fell into a minority after the UML withdrew its support to the government on Asar 31. With this, the budget process in Sudurpashchim has also become uncertain. Currently, the provincial government has limited authority to spend on daily administrative and development construction work. Although the government is collecting revenue, there is no legal basis for spending. According to Arjun Khadka, information officer at the Sudurpashchim's Ministry of Economic Affairs, the provincial government is currently without spending authority. 'Since the law has been made, revenue collection is ongoing, but there is no authority to spend,' Khadka said. Due to the lack of a budget, regular programs dependent on the budget, as well as new development construction works in the province, are likely to be affected. The risk of the province's economic activity being affected has increased due to the government's inability to pass the budget for the current fiscal year. The dispute within the government intensified after the CPN-UML, a ruling coalition partner in the government led by Chief Minister Kamal Bahadur Shah, objected to the budget. Expressing dissatisfaction with the size of the budget, priorities, and program selection, the UML left the government and withdrew its support. Despite Chief Minister Shah's discussions and efforts at various political levels to get the budget passed, it did not yield a solution. After the budget could not be passed by the end of Asar, the new fiscal year began without a budget. According to the constitution, after the party supporting the government withdraws its support, the Chief Minister must obtain a vote of confidence from the Provincial Assembly within a specified period. Accordingly, Chief Minister Shah must obtain a vote of confidence by Saun 28. It is reported that Chief Minister Shah is currently preparing to take a vote of confidence. However, discussions are ongoing regarding whether to take a vote of confidence or resign, informed Dambar Bam, press advisor to Chief Minister Shah. Shah does not have the basis to secure a vote of confidence. Chief Minister Shah has three days left within the deadline given by the constitution to prove a majority. If he resigns or fails to get a vote of confidence, the process of forming a new government will move forward. According to the agreement reached at the center, the CPN (Maoist Centre) and the UML are preparing to form a new government in Sudurpashchim. According to the agreement, the CPN (Maoist Centre) will lead the new government. Accordingly, Khagaraj Bhatta, the parliamentary party leader of the CPN (Maoist Centre), is likely to become the Chief Minister. However, the formal decision of the parliamentary party is yet to be made. Discussions are also ongoing within both parties about who will become ministers in the new government. Since there are many aspirants for ministerial positions within both parties, there is a challenge to reach an agreement on the distribution of ministries and the selection of ministers. CPN (Maoist Centre) MP Om Bikram Bhat said that the process of forming a new government will move forward after Chief Minister Shah's constitutional deadline expires. 'After the Chief Minister steps down on the 28th, a new government will be formed. Discussions are underway to form a new government after three days. There are many aspirants regarding who will become ministers. Whatever decision is made, we will proceed accordingly,' he said. With the provincial budget in a state of absence, the new government faces the challenge of bringing a budget immediately. However, there is still no legal clarity on how the budget process will proceed immediately after the formation of the new government. According to Khadka, the information officer at the Ministry of Economic Affairs, an option to manage affairs through an advance budget could be a way to end the budget vacuum. In the past as well, the province had faced a similar budget vacuum. 'This is a matter of uncertainty. There is no legal clarity. There is also the option of managing affairs by bringing an advance budget which is under consideration,' Khadka said. According to him, a budget vacuum also occurred in the fiscal year 2081/082. At that time, the new government brought the budget by making minor amendments without significant changes to the size of the previous budget. This time too, the new government is under pressure to end the budget vacuum immediately. Along with the political process of government change, the responsibility of making the province's economic activities dynamic has been added to the new government. Potential Chief Minister Khagaraj Bhatta has also stated that after the formation of the new government, extensive consultations will be held to end the budget vacuum and make the provincial government's work dynamic. According to him, the new government is preparing to determine different programs and priorities for the province after holding necessary discussions in the process of advancing the budget.