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 Rises 13.51 Points, Turnover Hits Rs 12.03 Billion

The Nepal Stock Exchange rose by 13.51 points, or 0.48 percent, on Tuesday, closing at 2812.34, recovering from Monday’s sharp decline. The Sensitive Index also gained 2.14 points to 482.56. A total of 34.85 million shares of 340 companies were traded through 106,140 transactions, generating a turnover of Rs 12.03 billion. Share prices of 132 companies increased, 113 declined, and 17 remained unchanged. Among sectors, hydropower led gains with a 1.59 percent rise, followed by development banks and investment. Losses were seen in the finance, hotel and tourism, microfinance, and trading sectors, while most indices showed mixed performance.

Infrastructure Delays Hinder Economic Growth and Capital Spending

A World Bank study reveals that structural issues in project selection and implementation are causing Nepal’s capital expenditure to decline. Land acquisition and forest clearance remain the biggest hurdles, with the Nagdhunga-Naubise-Mugling road expansion taking 35 months just for land permits. Capital expenditure as a portion of the federal budget dropped from 27.1% in 2021 to 20.9% in 2024, with 40% of spending occurring in the final month. The report estimates that at the current pace, it will take 41 years to complete 17 National Pride Projects. The World Bank suggests prioritizing fully prepared projects and digitizing permit processes.

Public Debt Per Capita Reaches Nearly Rs 100K

The country’s total public debt has climbed to Rs 2.878 trillion, leaving each citizen with a debt burden of Rs 98,691. According to the Public Debt Management Office (PDMO), the liability increased by Rs 204 billion during the first eight months of the current fiscal year. Internal debt stands at Rs 1.348 trillion, while external debt reached Rs 1.531 trillion. Exchange rate losses accounted for Rs 979 billion, contributing to a total debt-to-GDP ratio of 47.13%.

Transporters and Builders Demand Relief After Fuel Price Hike

The Federation of Nepalese National Transport Entrepreneurs has demanded an immediate hike in transport fares following the recent increase in fuel prices. The federation called on the Department of Transport Management to adjust fares based on the 13 scientific indicators, noting that diesel and petrol rose by Rs 10 and Rs 15, respectively. Simultaneously, the Federation of Contractors’ Associations of Nepal (FCAN) urged the government to declare a “construction holiday.” They argue that fluctuating fuel costs have made infrastructure project budgets unsustainable, necessitating a suspension of work until prices stabilize or compensation is provided.

Consumer Court Resolves 21 Cases Amid Resource Constraints

The Consumer Court, by mid-March, has registered 41 cases, successfully resolving 21 so far. Court Chair Dr. Diwakar Bhatta reported that despite staffing shortages, the court has prioritized cases involving medical negligence (15), transport disputes (10), and fraudulent construction materials (4). The legal procedure mandates the resolution of cases within 90 days of the defendant’s appearance. Kathmandu Acting Mayor Sunita Dangol emphasized the need for wider “consumer education” to make the court more accessible. Currently, 20 cases remain in progress, with some delays occurring when expert technical opinions are required for complex fraud investigations.

Stalled Domestic Fuel Bullet Projects Cost Investors Billions

Domestic entrepreneurs face significant losses after failing to utilize gas bullets purchased under a 2015 government initiative. Despite importing hundreds of units with customs exemptions, India refused to grant the necessary “explosive certificates,” leaving the vehicles grounded. One investor reported losing Rs 7 million per unit, eventually selling bullets for a fraction of their cost. Currently, Nepal depends entirely on Indian transporters, paying Rs 6 billion annually in freight charges. Although a 130-kilometer pipeline from Motihari to Sarlahi is planned to reduce costs and shortages, the project remains stalled despite an initial Rs 50 million budget allocation.

Authorities Warn Against Black Marketing of LP Gas

The Department of Commerce, Supplies and Consumer Protection has urged the public to report the illegal trade or hoarding of LP gas by calling the toll-free number 1137. Complaints of artificial shortages and price gouging have increased despite the Nepal Oil Corporation implementing half-cylinder sales to manage supply. On Monday, the department fined Shreeram Gas Industry Rs 300,000 after discovering 6,377 hoarded cylinders at its Harisiddhi warehouse. Officials warned that any business found engaging in unfair trade practices will face immediate and severe penalties under the Consumer Protection Act 2018 to ensure fair market distribution.

Fuel Price Hike Triggers Immediate Increase in Freight Charges

Freight charges for transporting goods from the Pathlaiya-Birgunj industrial corridor rose by Rs 5,000 per ton on Monday. The surge follows the Nepal Oil Corporation’s decision to raise petrol by Rs 15 and diesel by Rs 10 per liter. Harisharan Adhikari, president of the Madhesh Transport Service Center, reported that a 10-ton load to Kathmandu now costs Rs 29,000, up from Rs 24,000. Industrialists note that only essential items are being loaded due to the high costs. The Birgunj Chamber of Commerce warned that these rising logistics expenses will lead to a direct increase in the market price of consumer goods.

Koshi Province Reports Stable LP Gas Supply Amid Hoarding Fears

Despite consumer fears of a shortage, the Nepal Oil Corporation (NOC) Koshi Provincial Office confirmed a stable supply of LP gas. NOC reported that 18 to 20 bullets are arriving daily from India, with 217 import permits issued in the last 15 days. Industry leaders noted that panic buying has strained distribution, as some consumers are holding two to three cylinders at home. To mitigate this, half-cylinder sales have been implemented. The NOC currently maintains an 85% stock of petrol and diesel in its Biratnagar depot, ensuring no immediate fuel crisis exists.

Authorities Ban Sale of Sitaram Gokul Milk Over Low Fat

The Department of Food Technology and Quality Control has banned the sale of processed milk produced by Sitaram Gokul Milks after samples failed quality tests. During routine monitoring, the milk was found to contain only 1.4% fat, significantly below the mandatory government standard of 3.0%. Department spokesperson Dr. Bal Kumari Sharma confirmed that 499 crates of milk from batch number 28669, produced on February 14, have been seized. The Kirtipur-based dairy faces legal action under the Food Hygiene and Quality Act 2024 for distributing substandard products to the public.

Middle East Conflict Stalls Labor Permits for 12 Countries

The U.S.-Israel-Iran conflict has significantly impacted Nepal’s foreign employment, leading the Ministry of Labor to suspend labor permits for 12 Middle Eastern nations since March 1. Monthly permits dropped to 52,944 in March, down from an average of 73,000. Qatar saw approvals fall to 6,751, while Saudi Arabia dropped to 6,225. Currently, over 1.7 million Nepalis work in the region, including 700,000 in the UAE and 6,500 in high-risk areas of Israel. The government has begun preparations for potential evacuations if the regional security situation worsens.

Govt. Plans Two-Year Timeline for Post-Protest Reconstruction

A government committee led by National Planning Commission Vice-Chair Prakash Kumar Shrestha has submitted a plan to rebuild infrastructure damaged during the Gen Z protests on September 8 and 9, 2025. The total estimated damage across public and private sectors stands at Rs 84.457 billion. Reconstruction for the three tiers of government is expected to cost Rs 36.32 billion over two years. The plan also proposes tax exemptions and loan restructuring for private businesses that suffered Rs 33.54 billion in losses.

Agriculture Department Studies Minimum Support Price for Spring Paddy

The Department of Agriculture has initiated a field study across 25 districts to determine the Minimum Support Price (MSP) for Chaite (spring) paddy. Director General Prakash Sanjel stated the study will analyze production costs, including seeds, fertilizer, labor, and inflation, to ensure fair rates for farmers. The proposed scientific price will be recommended to the Ministry of Agriculture and Livestock Development before final cabinet approval. Last year, the MSP was set at Rs 2,800 per quintal. Food Management and Trading Company will purchase the paddy based on these rates, provided the moisture content does not exceed 18%.

Nepalgunj Airport Completes Rs 2.98 Billion Terminal

Construction of the international-standard terminal building at Nepalgunj Airport has been completed one and a half months ahead of schedule. Sharma & Company finished the Rs 2.98 billion project, which began in mid-December 2022. The three-story facility covers 5,075 square meters and can serve 1,600 passengers per hour during peak times. Features include 14 check-in counters, three VIP rooms, and a commercial basement. The Civil Aviation Authority of Nepal aims to use this terminal for direct flights to Indian cities like Delhi and Lucknow by January 2027.

Tourist Information Center to Open at Pokhara Airport

The Nepal Tourism Board (NTB) is launching a Tourist Information Center at Pokhara International Airport in collaboration with the Civil Aviation Office and Tourist Police. Maniraj Lamichhane, head of the NTB Gandaki Province office, announced that the center will facilitate travel for visitors and provide details on destinations across the province. The facility will be staffed by Board personnel and two tourist police officers. As Pokhara serves as Nepal’s tourism capital, the center aims to streamline the arrival experience for both domestic and international tourists and provide essential safety and logistical support for their journeys.

Commission Rules Panchakanya Group Must Pay Electricity Arrears

The Electricity Regulatory Commission has ruled that Panchakanya Steels and Panchakanya Plastic Industries must pay their outstanding dedicated and trunk line tariffs. The industries had filed a complaint on November 6, 2025, claiming the Nepal Electricity Authority’s (NEA) billing was unjust. Commission Chairman Dr. Ram Prasad Dhital stated the ruling followed an analysis of consumption patterns during the load-shedding era. Panchakanya Steels owes Rs 5 million, while the plastic unit owes Rs 2.3 million. The NEA can now resume collection, though the industries retain the right to appeal in court.

Electricity Poles Delay Nagdhunga-Muglin Highway Expansion

The expansion of the Nagdhunga-Muglin Road Project faces significant delays due to the slow relocation of electricity poles by the Nepal Electricity Authority. Engineer Keshav Raj Ojha reported that although the project covers relocation costs, approximately 100 of the 500 poles in the eastern section, specifically around Naubise, Dharke, and Gajuri, remain unmoved. In some areas, contractors have paved around the poles, creating high accident risks. While the Bagmati Provincial Office claims work is ongoing, a lack of coordination between the Department of Roads and the utility provider continues to obstruct this National Pride Project.

Muglin-Pokhara Road Expansion Completes 41-KM Section

The 41-kilometer stretch of the Muglin-Pokhara Road Expansion Project, spanning from Anbu Khaireni to Jamune in Tanahun, has been completed. The construction company officially handed over the section to the government on Monday. According to Project Information Officer Vishnu Prasad Pandey, the road has been widened to four lanes in rural areas and market centers. The project was financed through a Rs 6.31 billion loan from the Asian Development Bank. The contractor is mandated to provide maintenance and repairs for this section for the next five years.

Local Unit Invests Rs 1.54 Billion in Kachhuwa Daha

Kalimati Rural Municipality in Salyan has launched a Rs 1.54 billion project to develop Kachhuwa Daha into a premier tourist destination. Chairman Dan Bahadur KC laid the foundation stone for the Baraha Temple on Monday. The infrastructure plan includes a perimeter wall, a park, children’s play areas, and large sculptures of a tortoise and a serpent. Once home to numerous turtles, the lake is the second largest in the district. Information Officer Bishnu Bhandari confirmed the project, funded in partnership with the federal government, aims for completion within this fiscal year.

Bharatpur Allocates Rs 30 Million for Waste Plant Land Acquisition

The Bharatpur Metropolitan City has allocated Rs 30 million to finalize the acquisition of 108362.01 square meters of forest land in Ward 11 for a waste processing center. Acting Mayor Chitrasen Adhikari stated the city has already paid Rs 51.9 million to the Ministry of Forests for land use and compensatory planting. An additional Rs 19 million is set aside for preserving new saplings over five years. Environment Division Head Birat Ghimire noted that the city currently manages over 80 tons of daily waste at a temporary site.

Rs 170 Million Embankment Project Begins Along Narayani River

The Irrigation and Water Resources Management Project Office has commenced a Rs 170 million embankment project to prevent erosion by the Narayani River in the Susta and Gajendra Mokshadham areas. Energy, Water Resources, and Irrigation Secretary Sarita Dawadi inspected the site on Monday, noting that protecting Susta is a high government priority. The project stated that an emergency field office has been established to monitor construction 24 hours a day. The goal is to finish the stone-laying work before the start of the monsoon season to ensure community safety.

Economic Census Office Established in Bardaghat Susta Paschim

An Economic Census Office has been established in Nawalparasi (Bardaghat Susta Paschim) to prepare for the nationwide data collection scheduled from April 15 to June 21. The District Coordination Committee and Chief District Officer inaugurated the office, which will oversee 48 enumerators and 8 supervisors. The Economic Census Officer stated that the census will cover 18 economic sectors, including registered and unregistered businesses. This marks the second (2nd) national economic census, following the first one conducted in 2018 to measure the country’s economic indicators.

Mustang Welcomes Over 370,000 Tourists in Eight Months

Mustang recorded 370,000 domestic and international visitors during the first eight months of the current fiscal year. According to Information Officer Santosh Basyal, the total includes 83,456 foreign tourists and 286,406 domestic travelers. High traffic was noted at the Muktinath Temple and the Korala border point, facilitated by improved road connectivity. The Mustang Chamber of Commerce emphasized the need for hotel capacity expansion and alternative homestays to accommodate peak-season demand. Security checkpoints at Ghasa continue to run awareness programs for travelers regarding high-altitude sickness and cold weather safety.

Kalanga Hydro to Issue IPO for Locals on March 24

Kalanga Hydro Limited will open its Initial Public Offering (IPO) on March 24 for local residents and Nepalis working abroad. The company received approval to issue 4,900,000 shares, representing 35% of its Rs 1.40 billion capital. Locally, 1,400,000 shares are allocated for project-affected areas in Bajhang, Baitadi, and Darchula, while 350,000 shares are reserved for foreign employment. Sanima Capital is managing the issue, which requires a minimum investment of 10 shares. Care Rating Nepal assigned a Double B rating, indicating moderate risk.

Shikhar Power Development Allots IPO to 184,260 Investors

Global IME Capital has finalized the IPO allotment for Shikhar Power Development. Out of 2,687,347 applicants, 2,650,847 were approved for the lottery process. A total of 184,260 individuals were allotted 10 shares each, while 2,466,587 applicants did not receive any shares. The IPO was open for public subscription from March 1 to 10. Investors can verify their results via the CDSC website. This allotment follows the successful public offering phase where the company sought to raise capital for its hydropower projects.

Gold and Silver Prices Increase in Domestic Market

The price of gold and silver saw a slight increase on Tuesday. According to the Federation of Nepal Gold and Silver Dealers’ Association, the price of gold was set at Rs 309,900 per tola (11.66 grams) on Tuesday. On Monday, the price of gold was Rs 309,500 per tola. The Federation stated that this represents an increase of Rs 400 per tola compared to the previous day. Similarly, the price of 10 grams of gold reached Rs 265,690 on Tuesday, whereas it was Rs 265,345 on Monday. The price of silver also increased. On Tuesday, the price of silver reached Rs 5,335 per tola, compared to Rs 5,265 per tola on Monday. Accordingly, silver increased by Rs 70 per tola. The price of 10 grams of silver reached Rs 4,574 on Tuesday, while it was Rs 4,514 on Monday.