Fiscal Year 2080/81: Nepal Sets New Record in Remittances

Kathmandu, The Nepal Rastra Bank has recently released its annual report on the macroeconomic outlook for the fiscal year 2080/81, revealing significant economic indicators for the country. The key points are as follows:

1. Historic Growth in Remittances

   • Total Remittances: NPR 1,445.32 billion (USD 10.86 billion).

   • Growth Rate: Increased by 16% compared to the previous year.

   • Reason: Significant increase in the number of workers going abroad post-COVID-19. In the last three years alone, 2.5 million Nepalis have gone abroad.

2. Slight Reduction in Trade Deficit

   • Total Trade Deficit: NPR 1,440 billion.

   • Growth Rate: Decreased by 1% compared to the previous year.

   • Imports: NPR 1,593 billion.

   • Exports: Only NPR 152 billion.

3. Decline in Inflation

   • Annual Average Inflation: 5.44% (up to the end of Asar 2081).

   • Food Subgroup Inflation: 6.47%.

4. Increase in Foreign Exchange Reserves

   • Total Foreign Exchange Reserves: NPR 1,539.36 billion (USD 15.27 billion).

   • Growth Rate: Increased by 30.4%.

   • Reason: Growth in remittances, reduction in imports, and recovery in the tourism sector.

5. Current Account Surplus

   • Current Account Surplus: NPR 221 billion.

6. Need for Long-Term Economic Strategy

   • It is necessary to adopt long-term plans to reduce the trade deficit and dependence on foreign countries.

   • Campaigns like 'Make in Nepal' need to be promoted.