Remittance 1 min readRemittance Growth Boosts Nepal's Economy in FY 2024/25Nepal's workers' remittances reached NPR 1,356.6 billion by mid-May FY 2024/25, up from NPR 1,198.6 billion in the same period last year. Annual remittance inflows have steadily grown from NPR 875 billion in 2019/20 to a record NPR 1,445.3 billion in 2023/24. This upward trend strengthens Nepal’s economy, supports foreign reserves, and boosts household income. With continued growth, remittances are set to remain a key pillar of Nepal’s financial stabilitySandeep Chaudhary·12 Jun, 2025
Current Account Balance1 min readNepal's Current Account Balance Turns Positive, Showing Strong RecoveryNepal's current account balance has shown a strong recovery, turning from a record deficit of Rs. -623.4 billion in 2021/22 to a surplus of Rs. 255.9 billion by mid-May 2024/25. This positive trend reflects increased remittance inflows, reduced imports, and improved tourism income. The fiscal year 2023/24 also recorded a surplus of Rs. 221.3 billion, confirming sustained external sector stability. Nepal's improving current account position signals strong macroeconomic health and boosts investor confidence.Sandeep Chaudhary·12 Jun, 2025
Balance of Payments1 min readNepal's Balance of Payments Shows Strong Recovery Despite Past VolatilityNepal's Balance of Payments (BoP) shows strong recovery with a Rs. 438.5 billion surplus by mid-May FY 2024/25, up from Rs. 392.6 billion in FY 2023/24. After a severe deficit of Rs. 252.4 billion in FY 2021/22, Nepal saw surpluses in FY 2022/23 (Rs. 285.8B) and FY 2023/24 (Rs. 502.5B). Improved remittances, controlled imports, and tourism revival contributed to this positive trend. This indicates strengthened macroeconomic stability and better foreign reserve management in Nepal.Sandeep Chaudhary·12 Jun, 2025
Import1 min readNepal’s Import Trend Shows Recovery in FY 2024/25Nepal's import trends have shown notable changes over recent years. Imports peaked at Rs. 1920.4 billion in FY 2021/22 but declined to Rs. 1593.0 billion in FY 2023/24 due to tighter policies. However, data up to mid-May 2025 shows a recovery, with imports rising to Rs. 1474.2 billion, compared to Rs. 1303.4 billion during the same period last year. This growth indicates improved trade activities and relaxed restrictions. The import pattern reflects Nepal’s shifting economic strategy and external trade dynamics. Keep track of Nepal’s latest import data and fiscal trends for 2025 for informed economic insights.Sandeep Chaudhary·12 Jun, 2025
Export1 min readNepal’s Export Trends Show Strong Mid-Year Recovery in FY 2024/25Nepal's export performance has shown strong recovery in FY 2024/25, reaching Rs. 217.9 billion by mid-May—surpassing the annual totals of the previous two fiscal years. After peaking at Rs. 200 billion in FY 2021/22 and dipping in FY 2022/23 and FY 2023/24, this rebound signals renewed momentum in foreign trade. Key export drivers include garments, carpets, and herbal products. The data reflects improved trade policies, increased global demand, and stronger production capacity.Sandeep Chaudhary·12 Jun, 2025
Inflation1 min readNepal’s Inflation, Wholesale, and Wage Trends Show Mixed Signals in 2024/25Nepal's inflation rate dropped to 2.77% y-o-y by mid-May 2025, with food inflation sharply falling to 1.52%. The Consumer Price Index (CPI) and Wholesale Price Index (WPI) show a downward trend, indicating easing price pressures. Non-food inflation remained stable at 3.45%, while wage growth slowed significantly, with the Salary and Wage Rate Index showing only 3.56% growth in 2023/24. These trends suggest improved price stability but also highlight concerns over weak wage momentum in Nepal's economy.Sandeep Chaudhary·12 Jun, 2025
Inflation1 min readNepal's Inflation at 2.77% in Mid-May 2025 – Lowest in Five YearsNepal's consumer price inflation (CPI) dropped to 2.77% y-o-y in mid-May 2024/25, the lowest in five years. This decline follows a peak of 8.08% in 2021/22 and reflects improved monetary policies, reduced import pressure, and stable food prices. The easing inflation boosts purchasing power and economic stability, indicating effective inflation control by Nepal Rastra Bank.Sandeep Chaudhary·12 Jun, 2025
GDP2 min readNepal's GDP Growth Rebounds Slowly Amid Weak Investment and Savings TrendsNepal's GDP is projected to grow by 4.0% in FY 2024/25, reflecting a slow recovery from recent economic shocks. While nominal GDP is expected to reach Rs. 6107.2 billion, key concerns remain with declining investment (Gross Capital Formation down to 28.1% of GDP) and low domestic savings (6.6% of GDP). The economy continues to rely heavily on remittance-driven national savings. This report analyzes real and nominal GDP growth, GNI, GNDI, and investment trends in Nepal’s economy from FY 2019/20 to 2024/25.Sandeep Chaudhary·12 Jun, 2025
Top3 min readAfter 15 Years and 9 Studies, Nepal Still Debates: Is a New Stock Exchange Necessary ?After 15 Years and 9 Studies, Nepal Still Debates: Is a New Stock Exchange Necessary? Over the past 15 years, Nepal has conducted nine official studies regarding the improvement of its capital market. Out of these, three studies recommended establishing a new stock exchange, while four suggested restructuring the existing Nepal Stock Exchange (NEPSE). The remaining two studies were focused on Non-Resident Nepalis (NRNs) and did not make any recommendation regarding the exchange.Dipesh Ghimire·12 Jun, 2025
Top2 min readBAFIA Pushes to Separate Business from Banking: Seven dozen Commercial Bank Founders at RiskBAFIA Pushes to Separate Business from Banking: 82 Commercial Bank Founders at Risk Nepal’s financial sector is currently witnessing a regulatory shake-up that could redefine the relationship between the country’s commercial banks and their major shareholders. A proposed amendment to the Bank and Financial Institutions Act (BAFIA), 2073, aims to bar individuals or entities holding 1% or more of a commercial bank’s paid-up capital from taking loans from any financial institution.Dipesh Ghimire·11 Jun, 2025