Kathmandu:The Government of Nepal has not paid the amount for the grant of agriculture and livestock insurance since mid January of the last fiscal year. The non life insurance companies are in trouble as the government has not paid the subsidy on time.
Government had been providing 75 percent subsidies to farmers for agro and live stock insurance. Recently, the coalition government has announced to provide 80 percent subsidy on agro and live stock insurance.
According to the Insurance Board, the GoN has to pay Rs. 810 million for the grant of agriculture and livestock insurance in the last fiscal year 2077/78. The subsidy of first three months of the current fiscal year is also unpaid.