Kathmandu
Thursday, July 23, 2026

Government to scrap 31 public bodies, restructure 18 in major cost-cutting drive

May 29, 2026
1 MIN READ
Finance Minister Swarnim Wagle
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KATHMANDU: The government has announced a sweeping administrative reform under the new federal budget, aimed at reducing state expenditure and improving efficiency.

Presenting the budget for fiscal year 2026/27, the Finance Minister Dr Swarnim Wagle said 31 public bodies will be dissolved and 18 others will be restructured as part of a broader effort to streamline government operations.

The plan also includes cuts in unnecessary posts across government offices, with officials estimating savings of around Rs 20 billion in recurrent spending.

The reforms are intended to make public institutions more efficient while redirecting resources toward development and infrastructure.