Most of Nepal’s public enterprises struggle with weak operations

Summary

The Annual Performance Review 2026 reveals that Nepal's public enterprises show mixed performance with operational challenges and varied government ownership across sectors.

Key Points
  • Out of 45 public enterprises by fiscal year 2024/25, six are inactive and non-operational.
  • The government owns more than 90% shares in 32 enterprises and has full ownership in social and multiple industrial and service sector enterprises.
  • The paid-up capital of public enterprises increased by 2.38% to Rs 437.80 billion in 2024/25, while government equity ownership slightly decreased to 91.68%.
  • Public enterprises play a vital role in infrastructure development, market stabilization, and financial expansion despite some enterprises not operating at full capacity.
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