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:

Bottled Water Prices Up 40%

The Nepal Bottled Water Industries Association has decided to increase the price of processed drinking water due to a 40% rise in the cost of raw materials such as bottles, caps, and wrapping rolls. Higher petroleum prices have also significantly driven up transportation expenses. The Association noted that international tensions, specifically involving Iran, Israel, and the United States, have disrupted global supply chains, further impacting the sustainability of the 620 water industries operating in Nepal. With a combined investment of over Rs 16 billion and 30,000 direct employees, the price adjustment is described as a necessary step for industry survival and quality maintenance.

Gas Industries Face Cylinder Surplus as Demand Drops by 50%

The gas industries are reporting a surplus of cylinders and grounded transport LPG bullet tanks as market demand for LPG has decreased by 50 %. This shift follows a government directive from March 12 to distribute half-weight cylinders of 7.1 kg to ease a temporary shortage, combined with an increasing consumer trend toward electric cooking. Gas industries have now requested the Nepal Oil Corporation to allow the sale of full 14.2 kg cylinders, arguing that the half-weight policy has increased transport costs and left them with nowhere to refill empty cylinders. Currently, approximately 13,000 metric tons of gas remain in stock across companies and in 350 transport bullets.

Bagmati Province Collects Rs 27.933 Billion in Revenue

The Bagmati Province government collected Rs 27.933 billion in revenue during the first nine months (July 17, 2025, to April 13, 2026) of the fiscal year 2025/26, reaching 41.40% of its annual target. Real estate registration and vehicle taxes remain the primary income sources, though collections were hampered by economic liquidity issues and damages to administrative offices during the Gen Z protests in September. Specifically, the province received Rs 7.942 billion in equalization grants from the federal government during this period.

Kailali Customs Office Collects Rs 6.327 Billion in 9 Months

The Kailali Customs Office in Dhangadhi collected Rs 6.327 billion in revenue during the first nine months (July 17, 2025, to April 13, 2026) of the fiscal year 2025/26. This total includes Rs 2.294 billion in customs duties and Rs 2.522 billion in value-added tax (VAT). While the office has reached 65.15% of its annual target of Rs 9.711 billion, officials noted that monthly targets were only met in the month of March. In the previous fiscal year, the office collected Rs 8.669 billion.

Capital Expenditure Remains Low in Tanahun at 20.73%

Development spending in Tanahun remains sluggish, with federal capital expenditure reaching only 20.73% of its Rs 3.457 billion budget as of yesterday. Similarly, the Gandaki Province government has spent only 33.16% of its allocated development funds in the district. While recurrent expenditure is higher at 75.52% due to administrative and election costs, the slow pace of physical infrastructure projects has been attributed to delays in the bidding process. This trend puts significant pressure on projects to complete work during the final month of the fiscal year in mid-July.

Internal Revenue Office Bharatpur Increases Collection by Rs 1.471 billion.

The Internal Revenue Office, Bharatpur, collected Rs 18.055 billion by mid-April, an increase of Rs 1.471 billion compared to the same period last year. Despite the growth, the office reached only 87.59% of its target due to a decline in excise duty following the closure of a major liquor industry in Jugedi. Currently, the office is managing 74,379 business taxpayers and 186,573 individual taxpayers. Efforts are underway to recover over Rs 5 billion in outstanding arrears and resolve Rs 2.158 billion in audit irregularities.

Resunga Airport Increases Weekly Flight Frequency to Kathmandu

The Nepal Airlines Corporation has expanded its flight schedule from Resunga Airport in Gulmi to four times per week, with flights now operating on Sundays, Tuesdays, Thursdays, and Saturdays. Following the maintenance of Twin Otter aircraft and rising fuel costs, one-way fares have been adjusted to Rs 10,902 from Kathmandu and Rs 10,702 from Resunga. Despite the price increase of Rs 3,402, the 45 to 50 minutes flight remains a popular alternative to the 16 hours road journey. Commercial operations at the airport originally commenced on May 12, 2023.

Tourist Influx Begins in Kanchanjunga Region as Weather Improves

The Kanchanjunga region, home to the world’s third tallest peak, has seen the arrival of 165 foreign tourists in the past month. The peak visiting seasons run from March to May and September to November. Local infrastructure has expanded to support the influx, with 52 hotels now operating along the trekking trails, including the recently opened Singi Namjong Hotel in Gyapla, built with an investment exceeding Rs 70 million. While the trek previously took 24 days from Phungling, improved routes now allow travelers to reach both base camps and return within 11 to 16 days.

Surkhet Emerges as a New Hub for Adventure Paragliding

Surkhet, the capital of Karnali Province, is rapidly becoming a center for adventure tourism through paragliding activities centered in the Bayalkanda area. Operating at an altitude of 1,500 meters, companies like Welcome Paragliding are conducting daily commercial flights led by experienced pilots. The sport has become accessible to a wide range of professionals and locals, contributing to the provincial economy and supporting the ‘Karnali Prosperity 2026/27’ campaign. Flights typically take off from the Chure foothills and land in the open fields of Birendranagar-1, offering scenic views of the lush forests and urban settlements that have revitalized local hospitality and transport businesses.

Kokhedanda and Hampal Become Popular New Tourist Destinations

The Kokhedanda and Hampal areas in Parbat have seen a massive surge in domestic and international visitors due to their scenic views and vibrant rhododendron forests. Kokhedanda, situated at 3,309 meters, features a newly established cottage built with an investment of Rs 12 million. Nearby, Hampal is renowned for hosting 12 distinct species of rhododendrons, blooming in shades of red, white, yellow, and blue. Local authorities have recently completed electrification and improved road access to these sites, which offer panoramic views of 16 Himalayan peaks, including Annapurna and Dhaulagiri, attracting students, researchers, and trekkers alike.

Precious Metal Prices Surge Following Hormuz Reopening Announcement

International markets witnessed a significant rise in precious metal prices after Iran declared the Strait of Hormuz open for commercial transit. On the New York Mercantile Exchange, gold prices for June delivery rose by approximately 2%, while silver for May climbed over 4%. Analysts suggest that the resulting drop in crude oil prices has weakened the U.S. dollar, prompting investors to pivot toward gold and silver as safer assets. The maritime route will remain fully operational as long as the current ceasefire in Lebanon is maintained, according to statements shared via social media by the Iranian foreign ministry.

Global Oil Prices Drop as Iran Reopens Strait of Hormuz

Global oil prices have plummeted following Iran’s announcement to fully reopen the Strait of Hormuz for commercial vessels during the ceasefire period. Brent crude prices dropped from USD 98 per barrel to approximately USD 88. The Strait of Hormuz is a critical maritime artery carrying nearly 20% of the world’s oil and gas. While the move sparked a recovery in global stock markets, with the S&P 500 rising 1.2%, international shipping organizations like BIMCO and the International Maritime Organization remain cautious, citing potential risks from sea mines and the need for further safety assurances.