Only five percent of the total financial equalization budget allocated by the federal government to local governments actually reaches the municipalities. Despite the limited budget, municipal representatives remain optimistic, as the program has earned their trust. Since citizens directly participate in budget planning, municipalities do not receive arbitrary allocations. Local representatives argue that if the budget size is increased—especially in municipalities closely tied to the daily lives of people—development will no longer be a distant goal. The Federation of Rural Municipalities and Municipalities has also urged the federal government to increase the financial equalization budget allocated to the local level.
Devdaha Municipality in Rupandehi has introduced its annual policy, programs, and budget for the upcoming fiscal year 2025/26, which includes a plan to provide land ownership certificates to 14,300 landless individuals. Mayor Dhruv Prasad Kharel emphasized that land ownership is crucial to identity and human dignity. “We have appointed 34 employees, and work is underway across the Rupandehi district,” Kharel said. “We’ve prioritized this program, and all landless individuals will receive land titles by the end of the next fiscal year.”
Madhukrishna Paudyal, the municipality’s Chief Administrative Officer, said a budget of Rs 20 million has been allocated for the program—double the amount allocated in the previous fiscal year. “This land title distribution program is our main priority,” Paudyal noted. Currently, land surveys are ongoing in wards 3, 4, 5, 6, 7, 9, and 10.
Out of 1,400 individuals who received public notices, 834 have already paid the necessary fees to receive land ownership certificates. The municipality plans to distribute the certificates to them in the coming days and aims to complete all surveying work by September.
Meanwhile, Jhimruk Rural Municipality in Pyuthan has launched a “One Ward, One Product” initiative. Each of the municipality’s eight wards has been designated for the cultivation of specific agricultural products. Ward 1 focuses on turmeric and soybeans; Ward 2 on turmeric, soybeans, and millet; Ward 3 on seed production; Ward 4 on oranges; Ward 5 on commercial vegetables; Ward 6 again on seed production; and Wards 7 and 8 on commercial orange farming.
“We’ve linked each ward with a product through our policies and programs,” said Pramod Pokharel, Vice-chairperson of the rural municipality. “A municipality cannot progress without commercial agriculture.” He added that subsidies are being provided to farmers who are eager to engage in productive farming. To help market the products, the municipality has constructed a new marketplace in Machhibazar, its administrative center, which will be operational at the beginning of the next fiscal year.
“Local municipalities are the true engines of grassroots development,” Pokharel said. “National prosperity lies in the hands of local governments. But the subsidies we receive from the federal and provincial governments are not scientific. This must change. If resources are allocated appropriately, these local Singha Durbars can truly deliver transformative results.” He emphasized that financial equalization subsidies should be determined not only by geography and population but also by revenue generation capacity.
Tilottama Municipality in Rupandehi has introduced a popular policy: “One Ward, One Kilometer of Blacktopped Road.” Now in its third year of a five-year plan, the initiative ensures that each ward gets one kilometer of road blacktopped annually. Additional roadworks are also being carried out under regular municipal planning.
