Nepal, Dec. 11 -- Nepal's planning and budgeting processes are rooted in constitutional and legal frameworks designed to empower federal, provincial and local governments to operate within their respective jurisdictions. Article 59(1) of the Constitution grants these governments the authority to draft laws, prepare annual budgets and formulate and implement plans and policies. This constitutional provision is operationalised through various laws, including the Financial Procedures and Fiscal Accountability Act, 2076 (2019).

These steps form the foundation for preparing the medium-term expenditure framework (MTEF) and the annual budget. The MTEF provision, among other fiscal rules, is also reflected in the Intergovernmental Fiscal Arrange...