KATHMANDU: Nepal News presents today’s snapshot of Nepal’s economic activities. Get quick updates on major market movements, policy shifts, and financial developments shaping the economy of Nepal. Here are the key economic highlights for today.

Nepal Secures Rs 33 Billion FDI Commitments for 236 Projects:
Nepal has received foreign direct investment (FDI) commitments worth Rs 33.092 billion for 236 projects in the current fiscal year up to mid-September, according to the Department of Industry. The pledges include 225 small-scale, four medium-scale, and seven large-scale ventures. By project numbers, the Information Technology sector leads with 120 projects worth Rs 562.75 million. However, agriculture tops in value, attracting Rs 21.59 billion for nine projects. Other commitments include manufacturing (Rs 1.24 billion for 12 projects), energy (Rs 182.55 million for one project), services (Rs 2.82 billion for 15 projects), and tourism (Rs 6.69 billion for 79 projects). In two months, 409 foreign investors, 60 representatives, and 107 dependents received visas. Cumulative FDI commitments now total Rs 684.51 billion.

Gen-Z Protests May Trigger Over Rs 50 Billion in Insurance Claims:
Violent Gen-Z protests have caused widespread destruction, with private and corporate properties sustaining billions in damage. The Nepal Insurers’ Association (NIA) estimates non-life insurance claims could exceed Rs 50 billion, surpassing post-2015 earthquake levels. Major damages include Bhatbhateni outlets, Hilton Hotel, cable car infrastructures, schools, residences, and banks. Insurers warn premiums for politically motivated violence are minimal, raising concerns over economic fallout. The banking sector is also impacted, while insurers and Nepal Rastra Bank coordinate to assess nationwide losses.

Insurers Commit to Fast-Track Rs 20.7B Gen-Z Protest Claims:
The Nepal Insurers’ Association (NIA) has pledged swift settlement of Rs 20.70 billion in claims filed after the September 8–9 Gen-Z protests. Nearly 1,984 claims—mainly for private property and businesses—have been lodged. NIA urged insured parties to submit documents promptly, assuring that companies are committed to quick payouts.

Landslides Block Narayangadh-Muglin Road, Govt Mobilises Task Force Ahead of Dashain:
Efforts are ongoing to clear the Tuin Khola bridge section of the Narayangadh-Muglin road, blocked since Friday evening due to continuous landslides. Stones have been falling from 70 meters above the road, with a major slide reported again at 7:40 am Saturday. Three loaders and an excavator are working from both sides, and authorities expect the road to reopen later today if no further slides occur. With passengers stranded nationwide, Minister for Physical Infrastructure and Transport Kulman Ghising convened a meeting of key agencies. The government has decided to form a task force to coordinate traffic management and road clearance during the Dashain and Tihar festivals, prioritizing the reopening of key highways affected by landslides.

Government Releases Rs 9.8 Billion to Subsidize Concessional Loan Interest:
The Ministry of Finance has approved the release of Rs 9.8 billion to Nepal Rastra Bank for interest subsidies on concessional loans. The funds, allocated for the second quarter of the current fiscal year, will now be disbursed in the first quarter. Subsidies cover agricultural, livestock, women’s entrepreneurship, startups, youth, and disaster-affected housing loans, easing loan expansion and supporting borrowers nationwide.

Transport Minister Directs 24-Hour Management of Roads During Dashain:
Minister for Energy, Water Resources, Irrigation, Physical Infrastructure, Transport, and Urban Development Kulman Ghising has instructed authorities to ensure 24-hour operation of key roads during Dashain. Following a landslide on Narayangadh–Muglin road, the Ministry directed the Department of Roads to maintain traffic, clear blockages promptly, provide public updates, manage security, regulate large vehicles, and operate a focal control system to safeguard commuters and smooth festive travel nationwide.

Govt Opens Nagdhunga Tunnel for Dashain, Tightens Festival Road Safety:
The government has decided to open the Nagdhunga tunnel road for passenger vehicles to exit Kathmandu Valley on the eve of Bada Dashain, while public transport will be allowed to use the tunnel to enter the Valley after the festival. The decision was made by Minister for Physical Infrastructure and Transport Kulman Ghising following consultations with stakeholders. Authorities have been instructed to provide real-time road updates, ensure round-the-clock grievance handling, and strengthen security with increased police patrols at the New Bus Park and highways. Heavy trucks (12 wheels and above) will be barred on the Daunne section during Dashain. The Department of Roads will maintain highways, clear landslides, and keep major routes—including Narayangadh-Muglin and Tatopani checkpoint—operational throughout the festival.

Kisantari Substation in Gulmi Begins Operation After Nine-Year Wait:
The 33/11 kV Kisantari substation in Malika Rural Municipality-8, Gulmi, has officially come into operation, nine years after its construction agreement. Built at a cost of Rs 105 million by MSA2Jet Infrastructure Pvt. Ltd., the 3 MVA facility is expected to significantly improve power supply in Malika, Madane, and Dhurkot. Previously, electricity in western Gulmi was distributed through long 11 kV feeders, causing voltage drops and widespread outages during faults. The new substation, connected to a 33 kV transmission line, will reduce transmission losses and enhance reliability. Residents welcomed the development, though areas like ISMA and Musikot still face supply issues, which the Nepal Electricity Authority expects to resolve once a 132 kV substation in Paudi Arewa is completed.

SEBON Suspends 15-Minute Weighted Average Closing Price Method After Investor Protests:
The Securities Board of Nepal (SEBON) has suspended the 15-minute weighted average method used to calculate the NEPSE index closing price, following intense investor protests. Investors had gathered at SEBON demanding the removal of the rule, which was introduced in Chaitra to curb artificial price spikes in weak companies. The market will now use the last traded price as the official closing value.

Dharan Sub-Metropolitan Council Approves Rs 220.74 Crore Budget for FY 2082/83:
Dharan Sub-Metropolitan City unveiled its FY 2082/83 budget of Rs 220.74 crore, presented by Deputy Mayor Indra Vikram Beghale. The budget draws from internal revenue, federal and provincial grants, road board funds, and previous year’s balance. Major allocations include urban planning and infrastructure (Rs 66.94 crore), education and youth (Rs 46.85 crore), health (Rs 6.99 crore), and social development (Rs 4.86 crore), with priority given to infrastructure, agriculture, and disaster management.

Finance Minister Visits CG Group Factory Damaged in Gen-Z Protests:
Finance Minister Rameshwar Khanal, accompanied by FNCCI President Chandra Dhakal, inspected CG Group’s Satungal factory, which suffered massive losses during Gen-Z protests on September 23–24. Preliminary estimates suggest damage of around Rs 500 crore, including factories, machinery, vehicles, servers, and showrooms. CG Group urged the government to ensure industrial security, expedite insurance claims, provide loan relief, and offer tax and duty concessions to support recovery.

Nepal’s Second Sovereign Credit Rating Visit Postponed Amid Unrest:
Nepal’s plan for a second sovereign credit rating by Fitch has been postponed indefinitely due to political instability and the Gen Z protests, the Ministry of Finance confirmed. Fitch had scheduled a country visit for September 8–9, supported by Standard Chartered Bank, but cancelled after nationwide unrest. Officials said a rating now could yield a weaker score, harming international credibility. Last year, Nepal held a “BB-” rating. Authorities plan to wait for political and economic stability before pursuing the next assessment, aiming to protect investor confidence, foreign investment prospects, and borrowing conditions.

World Bank Report Warns Nepal Risks Wasting Human Capital:
A new World Bank report, Nepal Human Capital Review: Nurturing Nepali Talent to Foster Economic Growth, warns that children born in Nepal today may achieve only half their productivity potential, dropping to 18% when labor realities are considered. Weak education quality, poor healthcare, and limited formal job opportunities leave youth, particularly women, underutilized. Migration alleviates poverty but drains talent. Experts stress de-politicization, smarter investments in health and education, and expanded access to credit and training for micro and small enterprises. Without urgent reforms, Nepal risks squandering its demographic dividend. Effective human capital investment could multiply GDP per capita fivefold, transforming individual potential into national economic growth.

Far-West Nepalis Leave for India Amid Dashain, Economic Struggles Drive Migration:
As Bada Dashain approaches, thousands of Nepalis typically return home to celebrate. However, in the far west, a contrasting trend is emerging: hundreds are heading to India in search of work. Poverty and limited local employment opportunities are driving families from Sudurpaschim and Karnali provinces to Himachal Pradesh and other regions, even during the festive season. Many plan to return for Tihar after earning. Residents, including school students, are joining relatives in seasonal work, highlighting economic pressures that outweigh the cultural pull of Nepal’s largest Hindu festival.

107.3 MW from Rahughat River Hydropower Projects Linked to National Grid:
Three hydropower projects in Myagdi’s Raghuganga Rural Municipality have added 107.3 MW of electricity to Nepal’s national grid. The private sector–built projects include the 48.5 MW Upper Rahughat Hydropower Project, the 37.5 MW Chimkhola-Rahughat-Mangale Project, and the 21.3 MW Thulokhola Project. Upper Rahughat, developed by Tundi Power, began trial production this week, while the other two projects have already entered commercial production. Two more projects—40 MW Rahughat and 22.5 MW Upper Thulokhola—are nearing completion. Local officials say the projects have created jobs, spurred economic activity, and will generate royalties for the municipality. Electricity is temporarily being transmitted through the Rahughat switchyard at Tilkenichour.

Dashain Shoppers Hit by Price Hikes, Fair-Price Shops Offer Limited Relief:
With Bada Dashain approaching, consumers visiting Kathmandu’s major markets—including Asan, Indrachowk, Mahabouddha, and New Road—are dismayed by inflated prices of clothing, utensils, and food items. Shoppers report costs rising sharply since Teej, with traders blaming disruptions at the Tatopani and Rasuwagadhi border points with China. Consumers criticize weak government monitoring, accusing traders of issuing unauthorized bills without VAT or PAN. In response, the Food Management and Trade Company Limited has opened fair-price shops since September 15, offering discounts of Rs 5–10 per kilo on essentials such as rice, pulses, oil, tea, and spices. These shops will operate until Chhath, though citizens demand one outlet per ward to ease festival burdens. Dashain begins Monday with Ghatasthapana.

Damaged Vehicles from Singha Durbar Arson Shifted for Management:
Vehicles torched during recent Gen-Z demonstrations in the Singha Durbar area are now being relocated and managed, the Ministry of Physical Infrastructure and Transport confirmed. The damaged vehicles are being moved to an open space within the Parliament premises, while repair and daubing works have begun in the area. Minister Kulman Ghising, who oversees the ministries of Energy, Physical Infrastructure, and Urban Development, earlier directed authorities to clear and manage the vandalized vehicles promptly. The move aims to restore order in the Singha Durbar vicinity following the unrest, ensuring damaged government assets are systematically repaired and maintained.

Sunsari Expects Higher Rice Yields Despite Delayed Planting:
Rice production in Sunsari district is projected to rise this year due to favourable weather and fewer pest and disease outbreaks, according to the Agricultural Knowledge Centre. Although planting was delayed because of weak monsoon rains, farmers used boring machines and canal water, ensuring healthy crop growth. Rice has been cultivated on 48,090 hectares, with varieties such as Swarna Sub 1, Sawan Mansuli Sub 1, and Gangasagar widely planted. Farmers report good yields, and technicians confirm that delayed plantation has had little effect. Sunsari, one of the Tarai’s most productive rice districts, now anticipates a strong harvest.