Government’s Investment in Public Enterprises Reaches Rs. 704 Billion
May 30, 2025 | Investopaper
The government’s investment in public enterprises has surged by 5.86%, reaching 703.93 billion rupees. Of the total investment in 2080/81, share investments amount to 364.86 billion rupees, while loan investments stand at 339.07 billion rupees. The total assets of public enterprises grew by 2.20% compared to the previous fiscal year, reaching 29.10 trillion rupees.
Despite the rise in investment, dividends received by the government from public enterprises have declined. The dividends dropped from 13.75 billion rupees in the fiscal year 2079/80 to 8.83 billion rupees in 2080/81. Among the operational public enterprises, 28 are profitable, 15 are incurring losses, and two remain closed. The net profit of public enterprises in 2080/81 was 42.62 billion rupees, a 12.88% decrease compared to the previous review period. The net loss of unprofitable enterprises stood at 3.63 billion rupees, while the net profit of profitable ones declined by 11.50% compared to the last fiscal year.
The cumulative retained profit of public enterprises soared by 41.03% from the previous year, reaching 92.42 billion rupees. Nepal Telecom Company Limited leads with a retained profit of 48.03 billion rupees. Sector-wise, the public utility sector recorded the highest cumulative profit at 94.70 billion rupees, while the industrial sector posted the largest cumulative loss, amounting to 21.70 billion rupees. In 2080/81, public enterprises were expected to contribute 183.43 billion rupees under various heads, including 14.63 billion rupees in income tax, 52.20 billion rupees in value-added tax, and 37.41 billion rupees in excise duty.
A total of 34,951 employees are engaged across these enterprises, with the public utility sector employing the most at 14,674, and the social sector the least at 1,280.
