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Nepal presented a $14 billion budget on Tuesday for the next financial year beginning in mid-July after the main opposition party ended protests that disrupted parliamentary sittings for nearly two weeks.
The main opposition Nepali Congress party had been demanding an investigation into the alleged misuse of funds from cooperatives, or small businesses, by Deputy Prime Minister Rabi Lamichhane when he was a television show presenter before becoming a politician.
Lamichhane denies the charges.
The protests ended when the government agreed on Tuesday to set up a parliamentary panel to investigate the charges and disclose findings within three months.
Finance Minister Barsha Man Pun said internal revenue and foreign grants would contribute $9.8 billion to the expenditure and the deficit would be met largely through internal loans and foreign borrowings.
The policies proposed in the budget will help achieve 6% economic growth next year, he added.
Nepal's economy is expected to grow by 3.9% in the current year.
Former Finance Minister Prakash Sharan Mahat of the opposition Nepali Congress party said the rise in internal borrowings would make funds scarce for the private sector and job creation.
"The growth target will not be achieved and there are no concrete programs for priority sectors like agriculture, tourism and energy," he told Reuters.
(Reporting by Gopal Sharma, editing by Ed Osmond)