The Karnali Province government has also struggled with slow spending following the Gen Z protests, utilizing only 7.2 percent of its Rs 32.99 billion budget in the first five months of the fiscal year. Capital expenditure remains particularly weak at Rs 651.1 million, or 3.26 percent. Officials attribute the slowdown to coordination issues with the federal government and declining staff morale. The situation has been compounded by damage to 38 buildings during protests, leaving the provincial assembly without a functioning meeting hall for more than four months.
