Far-western province faces financial strain as 145 road and bridge projects remain incomplete

Dhangadhi: The Far Western Province is experiencing financial pressure as 145 road and bridge projects under multi-year contracts remain unfinished. These projects, with an estimated total cost of over Rs 20.8 billion, were awarded contracts worth Rs 14.36 billion, yet a significant number have not been completed on schedule.

According to the provincial government, 39 contracts have lapsed, and the deadlines for 28 projects have been extended multiple times. Five of these projects were originally awarded by the federal government before the province’s establishment, and the provincial government is now executing them with federal conditional grants.

The failure to complete these projects on time has increased the financial liability of the provincial government. The Ministry of Physical Infrastructure Development reports that the multi-year contract liability for the coming fiscal year has exceeded Rs 2.3 billion, while only Rs 1.45 billion has been allocated for multi-year projects in the current fiscal year.

The ministry further stated that Rs 11.33 billion has already been spent under these multi-year contracts. Delays in completing old contracts have hindered the initiation of new projects, forcing a large portion of the ministry’s budget to be used to settle existing obligations.