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Paper Details

Government expenditure and economic growth in Nepal a minute analysis

Basudev Sharma

Journal Title:Basic Research Journal of Business Management and Accounts

Government expenditure is one of the important determinants of economic growth. However the growth of economy depends on the size, spending capacity, and effective use of capital expenditure in the development process. In Nepal due to political instability internal inability and weak governance situation capital expenditure is unable to influence on economic growth and development. The study suggests increasing the spending capacity of government and regular monitoring in expenditure tracking and effective use of capital expenditure. The government should focus on law and order and fair and transparent use of government investment avoiding corruption and misuse of public investment. Keyword: Capital expenditure, Correlation, Economic growth, Nepal