KATHMANDU: Welcome to Nepal News’ Evening Economic Brief—your go-to source on key financial updates in Nepal. Stay informed with concise insights on market trends, economic indicators, and policy shifts. Here are today’s top economic news highlights.

NEPSE Surges by 112 Points, Weekly Turnover Nears Rs 100 Billion: The Nepal Stock Exchange (NEPSE) continued its upward momentum this week, with the benchmark index climbing by a total of 112 points over the five trading days from Shrawan 4 to 8 (July 20–24, 2025). This positive trend followed the unveiling of the new monetary policy by Nepal Rastra Bank for the current fiscal year, which appears to have boosted investor confidence across the board. By the close of trading on Thursday, NEPSE had reached 2,982.64 points, a notable rise from 2,870.63 points the previous week.

NRB Calls Tender to Print Rs 21 Billion Worth of New Banknotes: Nepal Rastra Bank (NRB) has issued an international tender to print new banknotes worth Rs 21 billion. The central bank aims to print 420 million pieces of Rs 50 denomination notes. According to a notice published by the NRB’s Currency Management Department, the tender invites pre-qualified security printers to participate in the process. The contract includes the design, printing, supply, and delivery of the banknotes under an international competitive bidding system.

Government Plans to Amend Citizen Investment Trust Act: The government is preparing to amend the Citizen Investment Trust (CIT) Act, 2047, in line with the policy provisions announced in the budget for fiscal year 2082/83. According to the Ministry of Finance, the amendment aims to resolve operational challenges faced by the Trust and to implement policy reforms. A draft of the amendment has been prepared and made public for suggestions. The draft includes provisions to expand the scope of investments and increase the capital base of the Trust.

Government Plans to Channel Employees’ Savings into Priority Sectors: The government is preparing a legal framework to allow the use of savings from civil servants and employees of organized institutions for loans in national priority sectors. The Ministry of Finance has drafted bills to amend the Employees Provident Fund Act and the Citizens Investment Trust Act. The proposed provisions will allow investments in projects related to energy, transport, tourism, IT, agriculture, health, and education.

60 Percent of Infrastructure Expansion at TIA Completed in 5 Years: The infrastructure expansion inside Tribhuvan International Airport, started five years ago with the aim of serving 10 million passengers annually, has reached about 60 percent completion. Engineer Dipendra Shrestha, Project Director of the Air Traffic Capacity Enhancement Project under the Civil Aviation Authority of Nepal, stated that the physical progress of three different ongoing projects inside the airport is around 60 percent.

Four Banks and Financial Institutions Penalized by Nepal Rastra Bank: Nepal Rastra Bank has taken action against four banks and financial institutions for regulatory violations during the fourth quarter of the previous fiscal year. The penalized institutions include Citizen Bank International, NIC Asia Bank, Pokhara Finance, and Guheshwori Merchant Banking and Finance Company. Nepal Rastra Bank stated that Citizen Bank’s directors were warned as a penalty because the bank amended the CEO’s contract against guidelines to increase CEO benefits and failed to conduct a detailed internal audit regarding the usage of loans under Citizen Fast Track Loan.

PAC Allows Controversial Contract Process for Jagadulla Hydropower Project to Proceed: The Public Accounts Committee of the House of Representatives has overturned its earlier decision and directed to proceed with the contract process for the 106 MW Jagadulla Hydropower Project. Previously, on June 6, the committee had directed not to proceed with the contract until complaints regarding some manufacturers associated with Jagadulla Hydropower Company submitting forged documents in the bidding process were clarified. However, in a committee meeting held on July 23, it was instructed to move forward with the process.

95 Percent of Business Firms Found with Irregularities in FY 2024/25: The Department of Commerce, Supplies and Consumer Protection found some form of irregularity in 95 percent of business firms monitored during the fiscal year 2024/25. Of the 3,900 business firms inspected in the Kathmandu Valley from July 2024 to June 2025, 3,733 were found with some issues. Only 167 firms were found to be in normal condition, the department reported.

MPs Raise Concern Over Water Resources Bill Conflicting with Constitution: Members of Parliament have drawn the attention of the concerned ministry regarding the Water Resources Bill, 2024, citing that its provisions requiring permits or consent from the Water and Energy Commission for water resource utilization conflict with the Constitution. The bill mandates obtaining permits or consent for using water resources under the water resource utilization policy.

Pokhara Hotel Association Urges Direct Flights from India, UAE Envoy Notified: To bring Pokhara International Airport into full operation, a delegation of Hotel Association Pokhara Nepal has drawn the attention of Prime Minister KP Sharma Oli, Finance Minister Bishnu Poudel, and the Ambassador of the United Arab Emirates (UAE). Targeting Prime Minister Oli’s upcoming visit to India, the delegation urged the government—via Finance Minister Poudel—to initiate direct flights between major Indian cities and Pokhara.

Sisnekhola–Nagdhunga Tunnel 92.5% Complete: Construction of Nepal’s first modern tunnel, the Sisnekhola–Nagdhunga tunnel, has reached 92.5% completion. Japanese contractor Hazama Ando Corporation began construction in December 2020, and after four and a half years, the project has reached its final stage. Financial progress stands at 86.34%, according to details released by the project on Tuesday.

New Aviation Fuel Depot at TIA Estimated at Rs 6.54 Billion: The estimated cost for constructing a new aviation fuel depot at Tribhuvan International Airport stands at Rs 6.54 billion. The Department of Consultancy Services of the Institute of Engineering, Pulchowk, submitted the detailed project report (DPR) with the cost estimate to the Nepal Oil Corporation on Thursday. The Civil Aviation Authority plans to build a taxiway at the current depot’s location as part of the airport expansion master plan.

Experts Warn of Major Rice Crop Loss in Madhesh and Koshi Due to Poor Rainfall: Experts have warned that a continued lack of rainfall in Madhesh and Koshi provinces could significantly reduce this year’s paddy harvest. Dr. Mathura Yadav, coordinator of the National Rice Research Program under the Nepal Agricultural Research Council (NARC), said if monsoon rains do not arrive by the fourth week of Shrawan (early August), rice production could fall by at least 25%. “If the current situation continues and there is no monsoon rain by the fourth week of this month, there will be a severe decline in rice cultivation,” said Yadav.

Coffee Cultivation Expands in Koshi Province Across 12 Districts: Coffee farming is expanding rapidly in Koshi Province, with commercial cultivation already underway in 12 districts. Ananta Dhungana, Information Officer at the Regional Office of the National Tea and Coffee Development Board in Birtamod, said that over 2,000 hectares of land have been brought under coffee cultivation in the region. According to Dhungana, commercial coffee farming is taking place in Ilam, Dhankuta, Bhojpur, Khotang, Sankhuwasabha, Okhaldhunga, Solukhumbu, Tehrathum, Udayapur, Morang, Panchthar, and Taplejung.

Nepal’s First Four-Lane Bridge Being Built Over Madi River: According to Prakash Chandra Bhandari, Project Chief of the eastern section of the Mugling–Pokhara road, Nepal’s first four-lane bridge is under construction over the Madi River. The bridge will be 318 meters long. Although initially designed by the Nepal government, the construction company later revised the design. The full responsibility for the new design lies with the builder. The bridge’s maintenance period is five years, and the contract value is Rs 1.21 billion. As of now, 71% of financial progress has been achieved.

Over Rs. 8 Billion Trade Conducted with 26 Countries via Nepalgunj Customs in Last FY: According to Nepalgunj Customs Office, trade worth more than Rs. 8.03 billion was conducted with 26 countries through the Nepalgunj border in the fiscal year 2024/25. Although revenue collection targets were not fully met, trade volume increased by over Rs. 774 million compared to the previous fiscal year. In FY 2023/24, foreign trade through Nepalgunj amounted to over Rs. 7.26 billion.

Over Rs 930 Million Budget Frozen in Mugu: Over Rs 930 million in budget was frozen in Mugu district in the fiscal year 2024/25. According to the District Treasury Controller Office and Provincial Accounts Controller Office, Rs 932.4 million remained unspent. Out of the allocated Rs 2.81 billion, only Rs 2.51 billion was utilized—Rs 2.38 billion for recurrent and Rs 1.25 billion for capital expenditures, according to office chief Hari Adhikari.

High Tension Switchgears Sees 73.60% Rise in Business: Hightension Switchgears Pvt. Ltd. has reported a 73.60% increase in its business compared to the previous year. The company recorded a business turnover of Rs 2.12 billion in 2024, up from Rs 1.22 billion in 2023. In previous years, the company had reported revenues of Rs 506.8 million in 2022 and Rs 537.8 million in 2021.

BYD Sealion-7 Officially Launched in Nepali Market: The BYD Sealion-7 has been formally launched in Nepal. SYMEX Inc., the official distributor of BYD for Nepal, brought the Sealion-7 into the country last year and officially launched the vehicle on Thursday. The company commenced sales alongside the launch event held on Thursday evening. The Sealion-7 was showcased last year at the NADA Auto Show, but sales have only just begun.

Gold Price Drops by Rs 500 per Tola in Nepali Market: The price of gold in the Nepali market fell by Rs 500 per tola on Friday. According to the Federation of Nepal Gold and Silver Dealers Association, the price of hallmarked gold was fixed at Rs 194,700 per tola on the final trading day of the week. On Thursday, the price had been Rs 195,200 per tola. Meanwhile, the price of silver slightly increased.