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:

NEPSE Plunges 74.73 Points as All Sectors Turn Red

The Nepal Stock Exchange (NEPSE) dropped sharply by 74.73 points, or 2.62%, to 2,776.36 on Wednesday, reversing Tuesday’s brief recovery. The Sensitive Index fell 11.21 points to 473.63, while the Float and Sensitive Float indices declined 2.62 percent and 4.02 percent, respectively. A total of 30.29 million shares of 347 companies were traded, generating Rs 12.109 billion in turnover. Only 13 companies gained, while 255 declined. All 13 sectoral indices ended in the red, led by Others (-5.26%), Trading (-3.96%), Development Banks (-3.18%), and Finance (-3.03%), reflecting broad market weakness.

NRB Collects Rs 25 Billion Deposit to Manage Liquidity Surplus

The Nepal Rastra Bank (NRB) conducted a deposit collection auction on Wednesday to manage excess liquidity in the banking sector. The NRB collected Rs 25 billion for a period of 39 days. Banks and financial institutions (BFIs) submitted bids online, with interest rates determined through the bidding process. The principal and interest for this transaction are scheduled for payment on May 10. Participating BFIs were allowed to bid for a minimum of Rs 100 million in increments of Rs 50 million.

Finance Minister Wagle Pledges Support for Honest Industrialists

During a meeting with the Nepal Chamber of Commerce on Wednesday, Finance Minister Swarnim Wagle assured that the government would facilitate an environment for the economy to flourish. He emphasized that the state would provide necessary support for employment generation and ensure that honest traders are not defamed by legal hurdles. Wagle urged the private sector to maintain integrity, warning of strict action against planned misconduct. He also acknowledged concerns regarding Nepal’s graduation from the Least Developed Country (LDC) status and reiterated the government’s commitment to strengthening the national economy.

NEPSE Identifies 123 Companies Eligible for Margin Trading

The Nepal Stock Exchange (NEPSE) has released a list of 123 companies eligible for margin trading starting April 15. According to the Margin Trading Directive Procedures, 2026, the list includes 19 commercial banks, 11 development banks, 11 finance companies, and 17 microfinance institutions. Additionally, the list features 12 life insurance companies, 11 non-life insurance companies, 28 hydropower companies, six investment firms, and companies from the hotel, manufacturing, and trading sectors.

Nepal Airlines Announces Full Refunds for Cancelled Middle East Flights

Nepal Airlines Corporation (NAC) issued a circular on Wednesday, announcing full refunds for passengers affected by flight cancellations to Doha, Dubai, and Dammam. Due to current regional circumstances, the national flag carrier confirmed that all passengers on cancelled flights are eligible for a total reimbursement. The Nepal Airlines Corporation (NAC) has instructed all ticketing agencies and online portals to facilitate the refund process and urged passengers to contact their respective booking offices for assistance.

Gautam Buddha International Airport to Launch Strategic Expansion Plan

The management of Gautam Buddha International Airport (GBIA) in Bhairahawa has introduced a new strategy to attract international airlines and operate at full capacity. For the upcoming summer and winter schedules of 2026, the airport is coordinating to increase flight frequencies, specifically targeting the Lumbini-Gaya Buddhist circuit. A key component of this plan is the “Fifth Freedom” flight concept, which would allow foreign carriers like Qatar Airways to use Bhairahawa as a transit point to third countries. Additionally, Nepal Airlines Corporation (NAC) is preparing to maintain a permanent base at the airport. Currently, Kuwait Airways operates charter flights to the facility, while Jazeera Airways and other carriers are in the process of securing permits for regular operations from Dammam and Kuwait City.

Fuel Price Hike Pushes Up Domestic Airfares

The Airlines Operators Association of Nepal has increased domestic airfares effective immediately, citing a sharp rise in aviation fuel prices driven by tensions in the Middle East. According to the association, Nepal Oil Corporation has raised domestic aviation fuel prices by Rs 124 per liter, bringing the rate to Rs 251. The steep increase has significantly raised airline operating costs. Airlines have adjusted ticket prices, including helicopter fares, across all routes from today to offset the impact and maintain operations.

Over 11,000 Cooperatives Register with National Cooperative Regulation Authority

The National Cooperative Regulatory Authority announced that 11,668 cooperatives have entered the registration process as of Tuesday. Among these, 1,836 institutions have already received formal operating licenses. Following the Cooperative Act Amendment Ordinance, 2025, all entities where savings and credit account for more than 30% of total transactions regardless of their initial registration purpose must register with the authority. Currently, 3,989 cooperatives have completed their digital profiles, while 5,039 have paid the required fees and received one-time passwords (OTPs). Failure to register will result in frozen bank accounts and blacklisting.

Govt. to Transition Foreign Employment Orientation to Free Online Platform

The Ministry of Labor, Employment, and Social Security is preparing to provide mandatory pre-departure orientation training (PDOT) for migrant workers through a free digital platform. As part of the government’s 100-day action plan, the ministry aims to replace the current system of 153 private training providers with an online curriculum featuring 15 to 16 hours of video content. Under this new model, workers will not be charged any fees, contrasting with the current rate of Rs 2,100. While the government argues this will increase transparency and reduce the financial burden on workers, private entrepreneurs who have invested between Rs 1.5 million and Rs 3 million per institution have expressed concerns regarding the future of their businesses and the 1,200 employees in the sector.

Foreign Tourist Arrivals Reach 120,516 in March

The country welcomed 120,516 foreign tourists in March 2026, according to data from the Nepal Tourism Board (NTB). South Asian Association for Regional Cooperation (SAARC) countries contributed 42,668 visitors, with India leading at 25,728. Other significant arrivals included 10,759 from Sri Lanka and 11,220 from China. Despite regional conflicts affecting European and American markets, Asian arrivals accounted for 27.7% of the total. Comparatively, arrivals in March 2025 were 121,687.

‘Governance Unit’ Formed in Ministry of Energy

A dedicated ‘Governance Unit’ has been established within the Ministry of Energy, Water Resources, and Irrigation to enhance transparency and performance. Formed under the direction of Minister Biraj Bhakta Shrestha, the unit is led by the Joint Secretary of the Administration Division. It is tasked with the regular monitoring and evaluation of employees’ performance indicators and the effective utilization of government resources. The unit will oversee the implementation of the Governance (Management and Operation) Act, 2008, ensuring that service delivery meets established deadlines and legal requirements across all ministry departments.

India Limits Electricity Sales to Nepal to 16 Hours Daily Starting April 16

The Indian Energy Exchange (IEX) has renewed Nepal’s electricity import permit but restricted the supply duration to 16 hours per day, effective from April 16. The Central Electricity Authority of India cited high internal demand during peak hours as the reason for the restriction, which will last for approximately 75 days. From April 16 to April 30, imports will be allowed from 2:00 AM to 6:00 PM, and during May and June, the window shifts to 4:00 AM to 8:00 PM. A full 24-hour supply is expected to resume in July. The Nepal Electricity Authority (NEA) stated that internal production from Upper Tamakoshi and the Kulekhani reservoir will prevent any power shortages during the restricted evening hours.

Sudurpashchim Province Amends Grant Procedures After Missing Deadlines

The Sudurpashchim Province government amended its procedures for special and equalization grants on March 30, after the initial deadline for local-level project requests had passed. The Ministry of Economic Affairs and Law revised the rules to allow the Provincial Policy and Planning Commission to set new timelines for the 2026/27 fiscal year. This delay follows a capital expenditure of only 10% in the first eight months of the current fiscal year. The amendment also allows for the invitation of experts in project selection and mandates that local budgets be integrated into the “Sutra” software.

Poverty Rates in Lumbini Province Districts Below National Average

New data from the National Statistics Office reveals that five out of 12 districts in Lumbini Province have poverty rates lower than the national average of 20.27%. These districts include Gulmi, Arghakhanchi, Palpa, Nawalparasi Purba, and Rupandehi. Conversely, Rukum Purba, Rolpa, Pyuthan, Kapilvastu, Dang, Banke, and Bardia exceed the average. In Dang, Banglachuli Rural Municipality recorded the highest poverty rate at 41.58%, while Dangisharan had the lowest at 14.69%. The survey defined the poverty line as a per capita annual expenditure of less than Rs 72,908.

Vehicle and Spare Parts Imports Through Birgunj Rise to Rs 23.57 Billion

Imports of vehicles and spare parts through the Birgunj border point reached Rs 23.57 billion in the first seven months of the current fiscal year. This marks an increase of Rs 6.42 billion compared to the same period last year. According to the Birgunj Customs Office, they collected Rs 16.73 billion in revenue from these imports. This includes 609 fuel-powered jeeps, cars, and vans valued at Rs 1.161 billion.

Herbal Exports from Nepalgunj Border Reach Rs 461.3 Million

Herbal exports through the Nepalgunj customs point totaled Rs 461.3 million during the first eight months of the fiscal year 2025/26. A total of 1,420,290 kilograms of various herbs were exported to India, which accounts for 85% of the market. For the first time, pine knots were exported, totaling 39,649 metric tons valued at Rs 1.9 million. Major export items include winter cherry, cinnamon, amla, and soapnut. Despite the volume, the Herbal Entrepreneurs Association of Banke noted that a 100% tax on pine knots has limited the potential growth of that specific export.

Economic Censuses Scheduled for Jumla and Mustang Districts

The Economic Census Office has announced that a comprehensive economic census will be conducted in Jumla and Mustang from April 15 to June 21. In Jumla, 17 enumerators and three supervisors will collect data from 1,569 commercial establishments and 263 industrial units. In Mustang, at least five enumerators and one supervisor will be deployed across five local units to update records from the previous 2018 census, which showed 775 registered firms. The census aims to reflect real economic activities from Ghasa to the Korala border.

Discussion Highlights Shortfall in Revenue Sharing for Local Units

During an interaction organized by Shivapuri Rural Municipality in Nuwakot on Tuesday, officials expressed concern that local levels are receiving less than their constitutionally mandated grants. National Natural Resources and Fiscal Commission (NNRFC) member Bipin Raj Niraula noted that while Article 60 and the Intergovernmental Fiscal Management Act, 2017, outline revenue sharing, legal discrepancies hinder equitable distribution. The municipality faced a liability of Rs 50.6 million from the previous fiscal year, which continues to impact current development programs and financial equalization.

NRB Penalizes 14 Microfinance Institutions for Regulatory Non-Compliance

The Nepal Rastra Bank (NRB) has taken action against 14 microfinance financial institutions (MFIs) for failing to maintain required capital funds and keeping savings interest rates below mandated levels. According to the second-quarter report of the current fiscal year, eight MFIs failed to meet the primary capital requirement of 4% and a total capital fund of 8% of risk-weighted assets. Specifically, Sanjivani Microfinance, which is currently undergoing a problem-resolution process, fell below the 8% threshold. Others penalized for low capital include NADEP, Abhiyan, Forward, Samudayik, Unique, and Matribhumi microfinance. Additionally, Kalika, NADEP, and Aatmanirbhar were cited for offering interest rates on deposits lower than the required minimum of 50% of their maximum loan interest rates.

Hetauda Cement Industry Resumes Clinker Production After Repairs

The Hetauda Cement Industry resumed clinker production on Wednesday after repairing faulty equipment in its coal mill furnace. Production had briefly restarted on March 28, following a seven-month closure, but was halted a day later due to technical issues. While the original daily capacity was 18,000 bags, the aging machinery currently produces 11,000 bags per day. The industry, established in 1976/77 with a Rs 1.5 billion investment, currently maintains a two-month coal reserve.

Work Halts at Arun III Hydropower Project Over Unpaid Wages

Approximately 1,500 workers and petty contractors at the Arun III Hydropower Project’s powerhouse in Chichila Rural Municipality-2, Pukhuwa, Sankhuwasabha, stopped work on Wednesday. The laborers, managed by the Indian firm Patel Engineering, claim they have not received salaries or allowances for six months. The District Administration Office is coordinating with the Indian company Sutlej Jal Vidyut Nigam (SJVN) to resolve the dispute. The 900-megawatt project is estimated to cost Rs 120 billion and aims for completion within five years.

Dhankuta Infrastructure Office Deploys ‘Road Mender’ for Key Routes

The Infrastructure Development Office in Dhankuta has deployed dedicated ‘Road Menders,’ commonly known as road watchmen, to oversee the maintenance of three vital road sections. The initiative covers the 10-kilometer Hile-Chhintang road, the 21-kilometer Bishware Hatia-Karmitar-Chhathar road, and the 10-kilometer Guthitar-Baghkhore-Chhiring road. The two menders have been assigned to each section under an initial three-month contract. Their responsibilities include clearing drains, removing minor landslides, preventing encroachment, and ensuring smooth traffic flow. These routes serve as primary links between the Dhankuta headquarters and rural areas, and the new oversight aims to ensure long-term road sustainability during the monsoon season.

Compensation Distribution Reaches Rs 180 Million for Kimathanka Arun Project

The Kimathanka Arun Hydroelectric Project has distributed over Rs 180 million in compensation to 26 landowners in Bhotkhola Rural Municipality-2 since March 23. The 454 megawatt project, managed by Vidhyut Utpadan Company, estimates a total compensation payout of Rs 450 million for 35.611 hectares of land. The land was valued at up to Rs 690,000 per 508.73 square meters during a December 23, 2025, meeting. The total project cost is estimated at Rs 93.8 billion, with 51% investment from the government and 49% from the public.

EV in Lumbini Begins Operations After 5-Year Delay Following PM’s Directive

Following directives from Prime Minister Balendra Shah’s office, the Lumbini Development Trust (LDT) commenced the operation of two electric buses on Wednesday. These vehicles were part of a 19-unit fleet, including vans, gifted by the Asian Development Bank (ADB) through a Rs 130 million “Clean Energy Project” grant half a decade ago. One bus now connects Lumbini to Belahiya via Bhairahawa Airport, while another runs to Kudan via Tilaurakot. Although Rs 139 million was invested in charging stations and Rs 35 million paid in customs revenue, the vehicles suffered battery and AC damage due to prolonged exposure under the open sky. Each bus is valued at Rs 20 million and each van at Rs 4 million.

NOC to Transition to Fully Digital Transactions in April

The Nepal Oil Corporation (NOC) has decided to conduct all financial transactions through digital platforms starting April 14. This move aligns with the government’s 100-point governance reform agenda aimed at making public services transparent and trackable. Under the leadership of Executive Director Dr. Chandika Bhatta, the NOC will utilize its Enterprise Resource Planning (ERP) software to manage both incoming revenue and outgoing payments to suppliers, construction contractors, and transporters. The new system will eliminate the use of physical checks, ensuring that all funds are transferred directly to bank accounts. While the ERP system was introduced six years ago, it was previously only used for employee salaries and internal accounting.

Bird Flu Spreads in Sunsari, Over 19,000 Fowl Culled

Bird flu infections have been reported across multiple local units in Sunsari District, including Inaruwa and Itahari, affecting both broiler and local poultry. Authorities confirmed outbreaks in farms at Inaruwa-2 and Itahari-16, with laboratory verification prompting intensified control measures. Officials have enforced heightened surveillance and containment efforts in affected and surrounding areas. So far, 19,365 chickens from 14 suspected farms have been culled to limit the spread. Farmers have been urged to report unusual symptoms promptly and restrict poultry contact to prevent further transmission.

Microfinance Sector Reports 9.99 Percent Non-Performing Loan Ratio

Data from the Nepal Rastra Bank or NRB supervisory information system reveals that as of January 14, the non-performing loan (NPL) ratio of microfinance institutions stands at 9.99%. To mitigate risks, these institutions have maintained loan loss provisions totaling Rs 33.4 billion, covering 66.38% of total NPLs. While Abhiyan, Nerude Mirmire, and Sanjivani (Super) have faced criticism for failing to upload data to the central bank’s system, most MFIs have complied with sector-specific lending rules. Notably, all microfinance companies met the requirement to invest one-third of their total credit into the agricultural sector, while collateral-based small enterprise loans accounted for 14.82% of total lending.

Gold and Silver Prices Surge in the Market Today

Prices of gold and silver increased in the domestic market on Wednesday. According to the Federation of Nepal Gold and Silver Dealers’ Association, the price of gold increased by Rs 7,400 per tola (11.66 grams) to reach Rs 297,600. On the previous day, the price of gold was Rs 290,200. Similarly, the price of silver increased by Rs 100 today to reach Rs 4,945. On the previous day, the price of silver was Rs 4,845.