NTB raises budget to Rs 1.7 billion despite spending only 56% in 2025/26

KATHMANDU: The Nepal Tourism Board (NTB) has increased its annual budget for fiscal year 2026/27 by 6.91% to Rs 1.7 billion, despite spending only 56% of its allocation in the previous fiscal year.

The NTB had allocated Rs 1.59 billion for 2025/26. However, it could spend only Rs 894.76 million, or 56% of the total budget, during the period. Despite the low spending rate, the tourism promotion body has raised its budget by around Rs 110 million for the current fiscal year.

NTB officials have attributed low spending during the year to the delay in approval of its Financial Bylaws. They say some international marketing and promotion programs were affected as the bylaws were approved just three months before the fiscal year-end.

In 2025/26, the NTB spent 74% of its allocation for staff expenses and 53% for office expenses. It achieved 77% spending progress under the tourism market management and promotion heading. The NTB spent Rs 337.09 million out of Rs 436.1 million allocated under the heading.

Spending under several other headings remained below 50%. It, for instance, failed to spend even a penny from Rs 111.2 million allocated for establishing provincial offices.

The NTB currently has only one provincial office, in Gandaki Province, which includes Pokhara, the country’s tourism capital.

Under its 2026/27 budget, the board has allocated Rs 156.31 million for staff expenses and Rs 102.15 million for office expenses.

A lion’s share of NTB’s total spending goes on international marketing and promotion. It has earmarked Rs 1.32 billion, or 78% of its total budget, for program expenses. Another Rs 203.39 million, or 12% of the total budget, has been allocated for the Trekkers’ Information Management System (TIMS).

The NTB has also allocated Rs 290 million for special promotional programs.

Of this amount, Rs 180 million has been allocated for the Wellness Year 2027 campaign, Rs 50 million for a digital promotional campaign, Rs 40 million for an influencers’ summit, Rs 10 million for the Sagarmatha Cleaning Campaign and Rs 10 million for preparations for Nepal Visit Year 2085.

The NTB expects to generate Rs 1.17 billion from the Tourism Service Fee (TSF), which remains its major source of revenue, in 2026/27. It has projected Rs 46.65 million in revenue from TIMS fees and Rs 34.36 million from miscellaneous sources.

TSF is levied on international air tickets. NTB currently levies Rs 1,130 (inclusive of VAT) from every departing passenger at Tribhuvan International Airport (TIA) as TSF.