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:

NRB Study Identifies Remittance Dependence Risks

A structural research paper titled “Economic Stability and the Nation: Achievements and Future Guidance,” published by the Nepal Rastra Bank (NRB), revealed that large remittance inflows are inadvertently steering the domestic economy away from industrial production toward consumption. The central bank report highlights that rising remittance dependencies are reducing labor engagement in domestic farming and manufacturing, driving down Nepal’s labor productivity compared to neighboring nations. Financial indicators show that while remittance money supports foreign exchange reserves, the banking sector faces systemic risks, with the non-performing ratio climbing to 4.62 percent by July 2025, up from 1.3 percent in 2022.

Gold Price Jumps Rs 18,400 Per Tola in a Week

The price of gold has increased by Rs 18,400 per tola (11.66 grams) in the week following the government’s presentation of the fiscal year 2026/27 budget, according to the Nepal Gold and Silver Dealers’ Association. Gold was traded at Rs 290,600 per tola on May 30, the day the budget was unveiled. The price surged by Rs 20,500 per tola the following day to Rs 311,100 per tola, marking a sharp single-day rise. Prices then fluctuated throughout the week, falling to Rs 310,900 per tola on June 1, rising to Rs 311,300 per tola on June 2, remaining unchanged on June 3, and easing to Rs 311,100 per tola on June 4. On June 5, gold fell by Rs 2,100 per tola to Rs 309,000 per tola. Despite the decline, the precious metal remained Rs 18,400 per tola higher than its price on budget day.

SSF Selects Green Energy and Core Capital Projects for Portfolio Expansion

The Social Security Fund (SSF) established a green energy development strategy on Saturday, identifying hydroelectric generation, solar arrays, transmission line grids, and domestic clinker fabrication as primary investment operations. Institutional data registers confirm that the state pension enterprise pooled Rs 111.07 billion in cumulative stakeholder contributions. To broaden its fiscal footprint beyond traditional bank deposits, the fund will provide working capital, fixed assets, and co-financing loans to public companies. Under its risk management framework, the fund will reject projects under 20 megawatts, private enterprises, entities lacking 30 percent equity, or locations with unresolved utility connection delays. Currently, the fund has registered 23,476 employers and 2,958,429 contributors while dispersing Rs 20.452 billion in total insurance benefit claims.

Ministry Suspends Rasuwagadhi Customs Chief and 8 Others

The Ministry of Finance suspended the chief customs officer of the Rasuwagadhi Customs Office alongside eight staff members, recalling them to department headquarters on the recommendation of a regulatory investigation panel. The administrative suspensions were triggered by an internal audit exposing fraudulent clearance files processed for import vehicles that had not physically arrived at the cross-border checkpoint. In a parallel anti-smuggling operation, the ministry deployed a joint task force consisting of under-secretaries, Nepal Police personnel, and Armed Police Force teams to conduct field audits regarding car clearances at the Korala checkpoint in Mustang, leading to the seizure of several suspected vehicles.

Egg Prices Rise by 20 Percent Today

The Nepal Layers Poultry Farmers Association implemented an upward revision to its official farm-gate support prices across retail channels on Saturday, following a virtual executive board consultation. Market analysts cited extreme summer heat waves, shifting production capacities, and rising costs of bird feed and medical supplements as reasons for the price adjustment. Under the new price matrix centered on the Chitwan distribution base, extra-large (XL) crates containing 30 eggs rose to Rs 560, large crates were set at Rs 545, and medium crates reached Rs 515. Meanwhile, small egg crates were priced at Rs 3,000 per case, bringing the average individual consumer retail cost to approximately Rs 25 per egg. This collective price adjustment represents a 20 percent price increase over a 30-day tracking window, climbing from the Rs 465 benchmark recorded on May 7.

Madhesh Spends 19% of Allocated Yearly Budget in 11 Months

Financial statements published by the Ministry of Economic Affairs reveal that the Madhesh Province government spent only 19.4 percent of its total fiscal allocation during the first 11 months of the current fiscal year. Out of a total budget of Rs 46.983 billion, the provincial administration spent Rs 9.119 billion. Budget books confirm that recurrent expenditures accounted for Rs 5.324, while capital expenditure projects reached Rs 3.795 billion following an incremental Rs 364.2 million spending rise recorded during the final week of monitoring.

Koshi Imposes Project Bank Registries and Divergent Budget Ceilings

The Koshi Province government introduced localized spending limits and strict structural guidelines for regional lawmakers ahead of its upcoming annual budget presentation scheduled for June 15. Under the new administrative rules, directly elected provincial assembly members are given a project proposal ceiling of Rs 40 million, while proportional representation members are limited to a Rs 20 million planning cap. To bring systematic order to fiscal planning, the Ministry of Economic Affairs and Planning made it mandatory for all proposed local public works to be listed within the official Koshi Project Bank, which currently holds 33,415 listed entries.

Kathmandu and Lalitpur Experience 4-Hour Outage Across 132 Locations

The Nepal Electricity Authority (NEA) executed a scheduled 4-hour power supply interruption across nearly 132 locations in Kathmandu and Lalitpur on Saturday. The distribution shutdown, which lasted from 10:00 AM to 2:00 PM, was initiated by the Matatirth-based 132 kV Transmission Conductor Upgrading Project to isolate the busbar at the Syuchatar Substation for system maintenance and capacity expansion. The infrastructure shutdown affected consumers across 53 areas under the Kuleshwor Distribution Center, 11 sectors under Kirtipur, 20 zones under Ratnapark, and 14 local grid feeds managed by the Pulchowk Distribution Center.

Bitumen Influx Deficit and Price Surges Halt Major Highway Blacktop

A continuous supply deficit alongside steep price hikes for bitumen and diesel, driven by geopolitical tensions in the Gulf, brought asphalt-laying works to a standstill across major national highways. The cost of bitumen spiked from Rs 80 per kilogram to between Rs 150 and Rs 160 per kilogram, following brief export restrictions from India that forced construction companies to cancel letters of credit. Road sector evaluations indicate that proceeding with current material costs imposes an extra deficit of Rs 20 million per kilometer. The pricing crisis forced infrastructure firms to freeze paving operations on the Nagdhunga-Muglin Road Project, which still requires 44 kilometers of asphalt layers.

6th Himalayan Travel Mart Successfully Concludes 4 Day Tourism Assembly

The Pacific Asia Travel Association (PATA) Nepal Chapter successfully concluded the sixth edition of the Himalayan Travel Mart (HTM 2026) in Kathmandu, attracting over 600 international delegates from 27 countries. The travel exhibition, held from June 1 to June 4, 2026, operated under the core promotional slogan “New Dimensions of Tourism” to pitch Nepal as the premier gateway to the Himalayas. The institutional travel market brought together 75 international buying firms and over 80 global sellers for business-to-business networking sessions after taking foreign delegates on curated pre-mart introductory tours to Pokhara, Lumbini, Haibung, Kirtipur, and Namobuddha.

Traffic Police Penalize 2,511 Drivers, Collect Rs 2 Million in 24 Hours

The Kathmandu Valley Traffic Police Office penalized 2,511 vehicle operators for violating transit regulations over a 24-hour tracking window, collecting more than Rs 2 million for the state treasury. Enforcement registries confirm that safety units booked 193 motorists for driving under the influence, 166 for running unauthorized ride-sharing trips, 129 for violating traffic signals, and 167 for exceeding speed parameters. Additional citations issued during the safety sweep targeted 42 lane discipline violations, 165 illegal horn uses in restricted zones, 156 pavement parking offenses, 168 one-way entry breaches, and 1,325 miscellaneous traffic non-compliance acts.

National Technology for Transformation Conference Commences in Nepalgunj

The Institute of Engineering and Information Technology, operating under the Lumbini Technological University, launched the two-day National Technology for Transformation Conference in Nepalgunj on Saturday. The scientific assembly was organized by the university’s internal Research, Innovation, and Development Unit to bridge the gap between academic tech findings and local societal challenges. The institutional convention features nine specialized thematic tracking sessions, gathering a registered delegation of 250 tech experts, scientific researchers, data analysts, and engineering students to discuss how to integrate automation frameworks into the regional development master plan of Lumbini Province.

CNI Proposes 110-Step Roadmap to Reach $100 Billion Valuation

The Confederation of Nepalese Industries (CNI) unveiled a joint economic projection report prepared in coordination with the Investment Board Nepal, stating that the country’s economic size can reach USD 100 billion over the next decade. The comprehensive assessment, compiled by over 20 financial experts over an 8-month period, establishes 2025 as its baseline and requires a 6 percent average annual economic growth rate through 2033 in nominal terms or 2039 in real terms. To drive this long-term expansion, the trade confederation proposed 100 strategic interventions across energy production, manufacturing units, information technology networks, commercial agriculture, and institutional infrastructure reforms.

FNCCI and Ceylon Chamber of Commerce Secure Investment Pledges

The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) hosted a bilateral business-to-business session with the Ceylon Chamber of Commerce, securing large-scale foreign direct investment commitments from Sri Lankan industrialists. The high-level economic assembly brought together 50 corporate executives from each nation to explore trade avenues across the subcontinent. Delegations identified hydro-energy, hospitality, infrastructural tourism, and Ayurvedic herb processing as primary investment sectors. Sri Lankan business leaders requested streamlined administrative processing, while trade organizers highlighted Nepal’s single-window clearance policy and its 40,000-megawatt immediate hydroelectric generation potential.

6 Industrial and Hydroelectric Entities File IPO Applications with SEBON

At least six private corporate enterprises from the energy and manufacturing sectors submitted formal registration files to the Securities Board of Nepal (SEBON) to secure initial public offering (IPO) approvals. Among the applicants, Raghuganga Hydropower is planning the largest issuance of 15 million shares to mobilize Rs 1.50 billion in capital via NIC Asia Capital. Additionally, Rajesh Metal Crafts aims to raise Rs 600 million, Premier Distillery targets Rs 225 million, Super Hewa Power seeks Rs 192.5 million, Yuvrani Agro Industries outlines a Rs 165 million goal, and Annapurna Machha Dana Udyog looks to secure Rs 100.9 million.