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 Rastra Bank Increases Daily Gold Import Limit
Nepal Rastra Bank has increased the daily limit for gold imports. On Friday, the central bank amended its integrated circular to raise the daily gold import quota. Similarly, it has also made changes to the payment limit for remittances coming from abroad. According to a new circular issued by the Foreign Exchange Management Department, these provisions will come into effect immediately. As per the new rule, the daily gold import limit has been raised from the existing 20 kilograms to 25 kilograms.
Finance Ministry Begins Work on New Guidelines for Vehicle Facilities
The Ministry of Finance has begun preparations to draft new guidelines for managing vehicle facilities used by government employees. The ministry has started collecting details of officials and employees who have been provided with vehicles from all ministries and subordinate agencies for the purpose of drafting the new guidelines. The ministry has initiated this process in accordance with the Cabinet decision made on September 21.
Thai AirAsia to Resume Flights from GBIA
After remaining without international flights for six months, Gautam Buddha International Airport in Bhairahawa will see Thai AirAsia resume operations from October 26. Thai AirAsia has already obtained permission to operate two flights per week from Bhairahawa. Other companies like Jazeera Airways are also in the pipeline. For Jazeera Air, coordination is underway between the country director and the airport.
Remittance Becomes Main Source of Liquidity in Nepali Banks
Remittance has become the primary source of liquidity for banks and financial institutions. When the inflow of remittances increases, liquidity in the banking system improves. As demand for new loans has remained low for a long time and remittance inflows have continued to rise, banks have accumulated large volumes of investable capital. Due to this excess liquidity, banks have been reducing interest rates on deposits, and interbank lending rates have also remained at low levels.
Government Approves Rs 20 Billion Energy Bond Issuance
The government has opened the way for the issuance of Rs 20 billion in energy bonds. The Cabinet meeting held on October 9 decided to allow the Nepal Electricity Authority (NEA) to issue bonds. The government has approved the phased issuance of energy bonds worth Rs 20 billion to manage financial resources for hydropower project construction by the Nepal Electricity Authority.
Government Implements New Procedure for Social Security Allowance Distribution
The government has implemented the “Social Security Allowance Distribution Procedure, 2025” to make the distribution system more technology-friendly, transparent, and organized. With this implementation, the earlier “Social Security Allowance Distribution Procedure, 2020” has been revoked. Currently, the government provides eight types of allowances, including for senior citizens, persons with disabilities, residents of remote areas, and protected communities.
IPPAN Urges Government to Provide Relief to Flood-Affected Hydropower Projects
The Independent Power Producers’ Association, Nepal (IPPAN) has urged the government to provide various relief packages to hydropower projects affected by floods. During a meeting with Minister for Energy, Water Resources and Irrigation Kulman Ghising, an IPPAN delegation led by its president demanded that the government announce relief measures for reconstruction of flood-damaged hydropower projects.
Over 600,000 Embossed Number Plates Destroyed in Fire
By the end of July, the Department of Transport had prepared 819,059 embossed number plates. Of these, only about 200,000 had been sent to the provincial offices and subordinate agencies. The remaining number plates were destroyed in a fire during the Gen Z protests while they were being prepared for dispatch. According to the Department’s estimate, around 619,000 number plates were burned and destroyed.
Government Earns Rs 31.5 Million in Revenue from Land and Housing in One Month
In the second month of current fiscal year alone, the government collected Rs 31.5 million in revenue from land and housing transactions, according to the Department of Land Management and Archives. In the first month of current fiscal year, the government had collected Rs 32.8 million from such transactions. Since the beginning of fiscal year 2025/26, land plotting has been halted in 500 local units where cadastral details have not been finalized, which traders say has reduced real estate transactions.
Finance Ministry to Continue Essential Projects Despite Budget Cuts
The Ministry of Finance will continue work on projects that are already in progress and deemed essential, even though budgets have been cut. After Finance Minister Rameshore Khanal adopted a policy of discontinuing small, fragmented projects and reducing expenditures, only necessary and ongoing projects will now be completed. The Finance Ministry has already circulated information about the budget cuts to all ministries.
Non-Banking Assets of Nepali Banks Exceed Rs 50 Billion
The non-banking assets of Nepali banks have exceeded Rs 50 billion. Due to sluggish real estate transactions in the past three fiscal years, properties kept as collateral could not be sold at auction, leading to an accumulation of non-banking assets. According to Nepal Rastra Bank data as of the end of first month of current fiscal year, non-banking assets of banks and financial institutions have surpassed Rs 50 billion, reaching Rs 50.56 billion in total.
Government to End Export Subsidy for Industries
The interim government led by Sushila Karki, formed after the Gen Z movement, is preparing to stop providing export subsidies to industries and exporters who have been receiving them for a long time. The government had previously been providing at least 5 to 8 percent in export subsidies to Nepali industries exporting goods to India and third countries.
Nearly 4,000 Youths Go Abroad for Jobs During Dashain Holiday
At a time when families are returning home from abroad to celebrate Dashain, nearly 4,000 Nepali youths have left the country for foreign employment. Due to a lack of employment opportunities in the country, many youths have been compelled to forgo the festival and go abroad for work. According to the Department of Foreign Employment, during the six days from Fulpati (the start of Dashain holidays), 3,850 youths obtained labor permits and departed for foreign employment.
Industrialists Protest Government’s Suspension of Export Subsidy
Industrialists and entrepreneurs have objected to the interim government led by Prime Minister Sushila Karki for suspending subsidies provided to export-oriented industries. While Nepali exporters had been demanding the inclusion of new products in the subsidy list, the government took the opposite step by halting the subsidy process. The Morang Chamber of Industry and Commerce issued a statement expressing its protest against the decision.
Tamor–Mewa Hydropower Project Secures Financial Closure
The 128-megawatt Tamor–Mewa Hydropower Project under construction in Taplejung, Koshi Province, has completed its financial management process. The financial closure agreement for the project, promoted by Spark Hydroelectric Company Limited, was signed on Thursday at the central office of Siddhartha Bank in Naxal, Kathmandu.
Poon Hill: From Pastureland to Global Tourist Destination
Four decades ago, Poon Hill in Annapurna Rural Municipality–6 of Myagdi was known only as “Lungtung Hill.” Once a grazing area for farmers from Khiwang village, the hill has now gained international fame as Poon Hill, a major attraction in the global tourism market. Situated at an altitude of 3,210 meters above sea level, Poon Hill has not only become a favorite destination for nature-loving tourists but has also contributed significantly to strengthening the local economy and generating internal revenue for the rural municipality.
Muktinath Capital Appointed Issue Manager for Dudhpokhari Chepe Hydropower IPO
Muktinath Capital Limited will serve as the issue and sales manager for the public offering of Dudhpokhari Chepe Hydropower Company’s ordinary shares. An agreement between the two parties has been signed for the appointment. Muktinath Capital CEO Kabindra Dhwaj Joshi and Dudhpokhari Chepe Hydropower Chairman Sabin Pradhananga signed the document.
Nagarkot Resort Records Rs 50 Million in Business Turnover
Nagarkot Resort Limited recorded nearly Rs 50 million in business turnover during the last fiscal year. The resort’s total transaction for the year stood at Rs 49 million. The resort had a turnover of Rs 20 million in 2024. Established in 2017, it was converted into a public company in 2023. Nagarkot Resort is currently preparing to issue an Initial Public Offering (IPO).
Gold Price Drops by Rs 4,200 in Nepali Market
The price of gold in the Nepali market fell by Rs 4,200 on Friday. According to the Federation of Nepal Gold and Silver Dealers Association, the price of hallmark gold was fixed at Rs 235,000 per tola on Friday. Earlier on Thursday, the price of the same gold stood at Rs 239,200 per tola. However, the price of silver increased on Friday.