The NEPSE Journal
Market commentary, data deep-dives, and trading notes from the NEPSE Trading desk.
Nepal’s reserves surged to Rs. 2.95 trillion, covering 20.4 months of imports, thanks to remittances and BoP surplus. Yet, a large trade deficit poses long-term risks.
Other current transfers rose to USD 108 million in 2025/26, driven by foreign pensions, grants, and social-support inflows—providing a growing income cushion for Nepali households.
Nepal’s deficit in insurance and pension services stood at USD −7.3 million in the first month of FY 2025/26, driven by high reinsurance payments abroad and limited domestic capacity.
Nepal paid USD 42 million in external loan repayments in the first month of 2025/26, led by the government sector. The repayments, while healthy for debt sustainability, have added pressure on short-term reserves and liquidity.
Nepal recorded a USD +1.4 million surplus in financial-derivative transactions during FY 2025/26’s first month — a minor but positive sign of deeper financial integration and risk-management maturity.
Nepal posted a USD +0.2 million surplus in health-related travel for the first month of FY 2025/26, indicating early signs of medical tourism growth and reduced outbound healthcare spending.
Nepal’s education-related travel deficit reached USD −100.9 million in just one month, driven by a surge in students studying abroad and persistent brain drain pressures.
Nepal imported petroleum worth USD 124 million in one month, keeping oil as its largest import component and a major cause of trade imbalance.
Nepal’s foreign reserves surged to USD 671 million, with currency and deposit holdings at USD 654 million, marking the strongest external position in recent years.
