KATHMANDU: Presenting the federal budget for Fiscal Year 2026/27 before a joint session of the Federal Parliament on Friday, Finance Minister Dr. Swarnim Wagle unveiled a high-budget capital expenditure plan for national development alongside sophisticated reforms for Nepal’s capital and financial markets.

The government has allocated a massive Rs 286.48 billion to the Ministry of Physical Infrastructure and Transport and for urban development. This capital pool is earmarked to finance road networks, bridge construction, routine maintenance, and the upgrade of existing highways.

Additionally, a portion of the funds will be utilized to conduct strategic feasibility studies for new railway tracks and advanced tunnel networks across the country.

To modernize Nepal’s capital markets, Dr. Wagle announced a structural restructuring of the Nepal Stock Exchange (NEPSE).

As part of this overhaul, the government will oversee the phased rollout of advanced financial instruments, including intraday trading, short-selling mechanisms, and derivative trading options to improve market liquidity and depth.