Govt spent just 30% of schemes budget in first 6 months of FY 27

In the first half of fiscal year 2027, the central government reported that only 30 percent of the budget allocated for various schemes had been spent. This figure covers all departments that receive central funding, including those that run large public programmes. The low spending rate suggests that many projects are still in the planning or early implementation stages. It also raises concerns about the efficiency of fund utilisation and the speed at which services reach the public.

The report highlighted that the Industries, Tourism, Nutrition, Women and Child Development and Environment departments are among those lagging behind. Each of these sectors plays a vital role in the country’s development. Delays in the Industries and Tourism ministries can slow job creation and reduce foreign investment. Nutrition and WCD programmes are essential for improving health outcomes, while the Environment department’s work is key to managing natural resources. The slow pace in these areas could hinder progress on several national priorities.

The slow disbursement of funds has implications for both the economy and public confidence. If spending remains below 30 percent for the remainder of the fiscal year, the government may need to review its procurement and monitoring processes. Officials are expected to present a revised plan at the upcoming budget meeting, outlining steps to accelerate implementation. The outcome of that meeting will be closely watched by policymakers, investors and citizens who rely on timely delivery of public services.