Himal Press 
KATHMANDU: The government has begun internal preparations to increase the salaries of civil servants.
The move comes amid rising inflation and the fact that salaries have not been revised for the past three years.
The Civil Service Act stipulates that the salaries and allowances of employees should be reviewed every two years. However, there has been no salary increase in the past three years. In fiscal year 2022/23, the government raised salaries by 15%. In the current fiscal year 2025/26, the government raised the existing inflation allowance from Rs 3,000 to Rs 5,000 per month.
The Ministry of Finance has also indicated that salaries may be increased from the next fiscal year. Ministry spokesperson Amrit Lamsal said a salary hike would be timely and in line with the Civil Service Act. “On one hand, there is a need to increase government revenue. On the other hand, with a new government in place, employees are also expecting a salary rise. In such a situation, the government can make an appropriate decision by considering the fiscal situation,” he said.
The government has recently reduced the number of ministries from 22 to 18. Around 600 offices are also likely to be scrapped, which is expected to significantly reduce administrative expenditure in the coming fiscal year. The Ministry of Finance said the savings from reduced posts and offices could be redirected towards salary increases.
The Ministry of Land Management, Cooperatives, Federal Affairs and General Administration said the salary revision will not be based solely on recommendations from the salary review committee, but also on the country’s overall economic condition. Ministry Spokesperson Ekan Dev Adhikari said that a meeting of the salary review committee, chaired by the Chief Secretary, had been held, but he was not aware of its specific recommendations.
Although no formal decision has yet been made, officials said a concrete decision on salary increases could be taken in the final phase of the budget process.
It has been reported that the salary and benefits review committee, chaired by Chief Secretary Suman Raj Aryal, has made recommendations based on revenue growth, inflation, and market prices.
At present, the salary of civil servants range from Rs 24,702 for office assistants to Rs 77,211 for the Chief Secretary. Earlier, civil servants had demanded that the basic salary be fixed at Rs 38,862. They have also been calling for reforms in health benefits, housing, social security, pensions, and digital administration, alongside salary adjustments.
