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 announced the establishment of a sovereign ‘Matribhumi Fund’ (Motherland Fund) to bankroll highly critical, long-term strategic projects.

According to Dr. Wagle, the Matribhumi Fund will be utilized to finance mega-infrastructure initiatives, including scaling up the country’s national fuel storage capacity to last for at least three months, alongside setting up dedicated Artificial Intelligence (AI) factories.

In a parallel move to raise capital and modernize the digital landscape, the government has announced a major divestment plan for state-owned telecom giant, Nepal Telecom.

The federal government will retain a 66% controlling stake in the company while offloading the remaining government shares to the general public.