Nepal, April 15 -- The National Natural Resources and Fiscal Commission (NNRFC) has recommended the limit of internal borrowing that the three tiers of government can mobilize in the next fiscal year.

As per the recommendation, the federal government will be able to raise internal debt of five per cent of the country's gross domestic product (GDP) while the province and local levels will be able to raise loans not more than 12 per cent of the total revenue from their internal resources and financial transfers.

"The government can raise internal debt for the fiscal year 2025/26 not more than five percent of the estimated GDP after analyzing the country's macroeconomic situation, the estimates of revenue and expenditure, and the convenien...