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.

Share Market Slumps After Dashain, NEPSE Drops 58.55 Points

The Nepal stock market opened lower after Dashain, with the NEPSE index falling by 58.55 points (2.19%) to 2,604 points. Total turnover reached Rs 4.62 billion. Out of all listed companies, 16 saw price gains, 235 declined, and one remained unchanged. All sectoral indices recorded losses, with the “Others” group dropping the most at 4.83%, heavily impacted by Nepal Reinsurance’s sharp decline.

NRB Withdraws Rs 90 Billion in Excess Liquidity
The trend of increasing loanable funds in banks and financial institutions continues. As the liquidity surplus grows daily, Nepal Rastra Bank (NRB) withdrew Rs 90 billion from the financial system on Tuesday through its deposit collection instrument for 12 days. NRB has been regularly withdrawing money on Sundays and Wednesdays; it was unable to do so last week due to the Dashain holidays.

World Bank projects Nepal’s economic growth at 2.1% in 2026

The World Bank has projected Nepal’s economic growth to be limited to 2.1% in 2026. According to the projection released on Tuesday, the growth rate is expected to fall short compared to earlier estimates. Earlier, the World Bank had estimated Nepal’s economic growth at 2.9% for 2026. The new data indicates a downward revision of 0.8 percentage points, bringing the forecast to 2.1%. Nepal’s economic growth is expected to reach 4.6% in 2025. For 2027, the World Bank anticipates a rebound, with growth climbing to 4.7%.

Nepal Exporting 1,000 MW of Surplus Electricity Daily
The Nepal Electricity Authority (NEA) has reported that it is exporting an average of 1,000 megawatts of surplus electricity daily. According to NEA, electricity worth around Rs 15 billion has been exported since the beginning of the current fiscal year in mid-July. Electricity is being sold to the Indian states of Haryana and Bihar at competitive rates under bilateral medium-term power sale agreements.

Government Preparing to Privatize Sick Public Enterprises
The government is moving ahead with plans to privatize sick public enterprises. Even before the formation of the current government, the Ministry of Finance had begun preparations for the due diligence audit (DDA) of seven ailing public institutions to allow their operation by the private sector. Consultant tenders have already been invited and shortlisted for conducting DDAs of Janakpur Cigarette Factory, Butwal Yarn Factory, Nepal Metal Company, and Nepal Orient Magnesite.

Urban Areas Turning Cashless
In urban areas, almost all types of transactions have now become cashless. From buying items worth Rs 10 at shops to government payments worth billions, transactions are increasingly digital. According to the Office of the Auditor General, 99% of government payments (except water, telecom, and electricity bills) are now made through electronic fund transfers (EFT).

MCC-Backed Cross-Border Transmission Line Construction to Begin in October
Construction of the 400 kV, 18 km-long New Butwal–India cross-border transmission line under the Millennium Challenge Corporation (MCC) grant is set to begin in October. Contractor Transrail Lighting Limited, which has completed pre-construction work, plans to lay the foundation for the transmission towers this month.
The project implementation body, Millennium Challenge Account (MCA) Nepal, signed a $12.36 million contract with the company on August 30, 2024.

 “Mero Share” Accounts Surpass 6.1 Million
The number of “Mero Share” accounts has surged from 742,580 in fiscal year 2019/20 to 6,183,522. Similarly, beneficiary (demat) accounts have increased from 1,753,000 in 2019/20 to 7,107,130 by mid-September 2025. The number of investors using online usernames has risen from 35,119 in 2019/20 to over 2.6 million in the current fiscal year.

Minister Ghising Directs NEA to Solve Frequent Power Cuts
Minister for Energy, Water Resources, and Irrigation, Kulman Ghising, has directed Nepal Electricity Authority (NEA) officials to immediately resolve the issue of frequent power outages. Inspecting the Load Dispatch Center under NEA, he instructed them to prioritize addressing public complaints of intermittent electricity supply. Minister Ghising made the inspection on Monday evening at the Syuchatar-based Load Dispatch Center following widespread complaints from various parts of the country.

Floods Affect 32 Hydropower Projects in Three Provinces
Heavy rainfall from October 3 to 5 affected 32 hydropower projects in 10 districts across three provinces. According to the Independent Power Producers’ Association Nepal (IPPAN), 17 operational projects with a total capacity of 180 MW and 15 under-construction projects totaling 338 MW have been affected by floods.

Damage Assessment Begins in Morang–Sunsari Industrial Corridor
Assessment of flood damage in industries within the Morang–Sunsari Industrial Corridor has begun.
Industry associations started inspecting submerged industrial sites from Monday to confirm the extent of losses. Around two dozen industries in Sunsari–Morang Corridor and Katahari Rural Municipality of Morang were inundated and suffered significant damage.

Nagdhunga Tunnel Contractor Seeks Rs 3 Billion in Compensation
The Japanese construction company Hazama Ando Corporation, which failed to complete the Nagdhunga Tunnel project on time, has demanded about Rs 3 billion in compensation in addition to the contract amount.
The project agreement between the Department of Roads and the company was worth around Rs 13.5 billion. The government has not accepted the compensation claim, and a three-member independent dispute committee is currently reviewing the issue. Both sides must comply with the committee’s decision.

Sudurpaschim Investment Summit Uncertain
The Sudurpaschim Province government’s plan to hold an investment and development summit has become uncertain. The event was scheduled for November 16–17, but following the Gen-Z protests that caused massive destruction to provincial infrastructure on September 8–9, the summit is unlikely to take place even in November.

Gold Price Up by Rs 72,100 Per Tola in a Year
Over the past year, the price of gold has increased by Rs 72,100 per tola — a rise of 44.72%. This is the highest level ever recorded. Experts say it is uncertain how far gold prices will go, though many forecast it could soon reach USD 4,000 per ounce, up from the current USD 3,935 per ounce.

Surya Jyoti Life Donates Rs 15 Million to Reconstruction Fund
Surya Jyoti Life Insurance Company has donated Rs 15 million to the government’s “Physical Infrastructure Reconstruction Fund” established for rebuilding damaged structures. On Tuesday, the company’s CEO Prakash Bikram Khatri handed over a cheque to Finance Minister Rameshore Khanal. Massive damage was caused to public and government infrastructures due to arson and vandalism during the protests on September 7 and 8.

Gold Price Reaches Record High of Rs 235,400 Per Tola
Gold prices increased by Rs 2,300 per tola on Tuesday.
According to the Federation of Nepal Gold and Silver Dealers’ Associations, the price has been fixed at Rs 235,400 per tola — the highest in history. It was Rs 233,100 the previous day. As prices rise daily, gold continues setting new records, while silver traded at the same price as the previous day.