Nepal’s foreign aid commitments have seen a sharp decline in the first three months of the current Fiscal Year (FY) 2025/26.

Compared to the same period of the previous fiscal year 2024/25, foreign aid commitments received by Nepal have decreased by 74.35 percent.

According to the Ministry of Finance, “Foreign aid commitments have declined during this period. By the end of Ashoj (mid-October) of the current FY, total foreign aid commitments stood at Rs 9.54 billion.”

In the same period last FY, aid commitments amounted to Rs 37.18 billion. Nepal received Rs 27.64 billion less in foreign aid commitments in the first quarter of the current FY compared to the previous year.

The Ministry of Finance stated that all foreign aid commitments received in the current FY are in the form of grants.

“Of the total aid commitments, the largest share - 71.3 percent - is in the energy sector, while the remaining commitments are in other sectors. The Chinese government has pledged additional support in the health and human resource development sectors,” the ministry said.