Government investment in public enterprises rises 13 percent, dividend returns decline

Summary

Government investment in public enterprises rose by 13 percent this fiscal year, while dividend returns declined by over 5 percent due to losses in several enterprises, highlighting concerns about governance and efficiency.

Key Points
  • Government investment in public enterprises increased by 13.4 percent to Rs798.56 billion in fiscal year 2025-26.
  • Dividend income from public enterprises declined by 5.2 percent to Rs8.37 billion, mainly due to losses in 16 of 45 enterprises.
  • Nepal Airlines Corporation recorded the highest accumulated losses, exceeding Rs18.90 billion.
  • Experts cite outdated technology, market competition, administrative procedures, and lack of autonomy as key challenges for public enterprises.
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