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 Index Ascends 15.70 Points; Market Liquidity Rises to Rs 4.10 Billion

The Nepal Stock Exchange (NEPSE) index experienced a robust market ascension on Tuesday, gaining 15.70 points to settle at 2566. Trading volume demonstrated a corresponding increase, rising to Rs 4.10 billion from Rs 3.94 billion the previous day, with 207 companies recording price hikes. Notably, five recently listed energy and infrastructure companies, such as Sagar Distillery, Mabilung Energy, Bungal Hydropower, Jhapa Energy, and Bandipur Cable Car, achieved a 10% price cap. All sectoral indices registered gains during this vibrant trading session.

NRB Assets Surge 29.23% to Rs 2.67 Trillion

The assets and liabilities of the Nepal Rastra Bank (NRB) surged by 29.23% year-over-year to reach Rs 2.671 trillion as of July 16, according to the fiscal year 2024/25 annual report submitted to Finance Minister Rameshore Khanal. Governor Prof. Dr. Biswanath Poudel presented the report, which indicated that the NRB’s net income (before foreign exchange revaluation) rose by 9.11% to Rs 80.482 billion. Investment constituted 88.92% of total assets, while cash and bank balances accounted for 7.32%.

Revenue Improves Despite Rs 13 Billion Non-Tax Dip

The government’s overall tax revenue showed a slight improvement in the first four months of the fiscal year 2025/26, despite a Rs 13 billion drop in non-tax collection. Total revenue collection reached Rs 329.51 billion, up slightly from Rs 329.01 billion in the same period last year. The decline in non-tax revenue is Rs 19.65 billion collected, down from Rs 33.34 billion last year was offset by a rise in tax revenue, which suggests growing economic activity. VAT was the highest earner at Rs 107 billion.

Tax Arrears Top Rs 275 Billion from 330,912 Taxpayers

As of the fiscal year 2024/25, the Inland Revenue Department (IRD) is owed Rs 275 billion in tax arrears from 330,912 taxpayers. The IRD’s annual progress report indicates that Rs 94.95 billion is due from outstanding taxpayers, while Rs 180.10 billion is tied up with 2,095 taxpayers undergoing administrative review. The largest share of the arrears is from Income Tax, totaling Rs 219.11 billion from 193,620 taxpayers.

Government Development Spending at Just 6.21% in First Quadrennial

The government’s development expenditure remained very weak in the first quadrennial of the fiscal year 2025/26. According to the Financial Comptroller General Office, only 6.21% of the annual capital budget allocation was spent by November 16, 2025. Of the Rs 407.88 billion allocated for capital expenditure, only Rs 25.313 billion was spent. Total government expenditure reached Rs 468.889 billion which is 23.87% of the total budget, while revenue collection was Rs 333.34 billion, which is 21.72% of the annual target.

Monsoon Crops Expected to Drop by 9% Due to Disaster

Nepal’s monsoon paddy production is expected to drop by approximately 9% this year due to drought in the Terai Madhes region during the monsoon and floods/torrential rains in October and November. According to an economist at the Ministry of Agriculture and Livestock Development, this loss translates to a potential reduction of 458,507 metric tons of paddy. Total harvested paddy is now projected at 4.63 million metric tons, which would result in a shortage of 1.12 million metric tons of rice needed to meet the annual demand of 4 million metric tons.

NRB to Invest Rs 3.53 Billion in Banks for One Year

The Nepal Rastra Bank (NRB) is set to invest Rs 3.53 billion from its gratuity and pension fund into eligible commercial banks and financial institutions for a one-year period. The central bank invited interested institutions to submit their applications, stating the desired amount and proposed interest rate, by 7:00 PM on Tuesday. The investment breakdown includes Rs 2.824 billion for Commercial Banks, Rs 529.5 million for Development Banks, and Rs 176.5 million for Finance Companies.

Floods Cause Rs 3.55 Billion Loss to Agriculture Sector

The torrential rain, floods, and inundation in October resulted in an estimated Rs 3.55 billion in damages to the agricultural sector. According to Ministry of Agriculture and Livestock Development Information Officer Mahananda Joshi, this includes Rs 3.337 billion damage to food crops and vegetables, Rs 149 million loss in livestock and fish, and Rs 44.5 million damage to agricultural infrastructure. Madhes Province was the hardest hit, suffering Rs 2.98 billion in crop damage and the loss of 38,000 livestock and fish. Data on losses from the last months’ rains are still being compiled by authorities.

Korala Border Imports Rs 7.365 Billion Goods in Three Months

Goods worth over Rs 7.36 billion were imported from China through the Korala border in Upper Mustang over a three-month period, up to November 16. Since the border fully reopened for commercial operation on September 15, the main import item has been 1,726 electric vehicles (EVs). Customs Chief Ramesh Khadka reported that 897 cargo containers were cleared, collecting Rs 3.626 billion in revenue. Exports were significantly lower, with 54 trucks carrying handicrafts and garments worth approximately Rs 8.38 million.

Ghisings Urges ADB to Finalize Dudhkoshi Hydro Funding

The Minister of Energy, Water Resources, and Irrigation Kulman Ghising urged the Asian Development Bank (ADB) to immediately finalize the financing for the 670 MW Dudhkoshi Reservoir Hydroelectric Project. During a meeting with ADB South Asia Department Deputy Director General Sona Shrestha and Nepal Resident Mission Chief Arnaud Cauchois on Monday, Ghising stressed that there should be no delay in moving the USD 2.2 billion project into the construction phase. ADB is leading the effort to secure USD 1 billion in concessional loans from various international financial institutions, having already committed USD 550 million itself.

Panchkhal SEZ DPR Study Underway with Chinese Partner

A Memorandum of Understanding (MoU) was signed on Monday between the Investment Board (IB) and the Nepal Hehe Economic Development Zone Company Limited to prepare the Detailed Project Report (DPR) for the Panchkhal Special Economic Zone in Kavre. The IB CEO Sushil Gyawali and company representative signed the agreement. The Chinese-owned company will now submit the DPR to the IB within approximately 10 months after receiving the survey permit. The project is being developed under a public-private partnership model.

NAC Designates Bhairahawa as Alternate Airport for Int’l Flights

Nepal Airlines Corporation (NAC) has designated the Gautam Buddha International Airport in Bhairahawa as the alternate airport for its international flights when landing at Tribhuvan International Airport is not possible. Previously, NAC utilized airports in India as alternatives. The new arrangement, effective November 19, is expected to significantly cut costs and save time. NAC also announced it has begun the process to study and potentially use Pokhara International Airport as a future alternate.

Dairy Farmers Still Owed Billions Despite Payment Agreements

Dairy farmers are still owed billions, despite agreements made with the government and dairy industries to clear overdue payments. Dr. Prem Dangal, President of the National Farmers Network, claims the Dairy Development Corporation owes approximately Rs 600 million and private dairies owe up to Rs 2.5 billion, out of a previous total exceeding Rs 4 billion. Although an agreement on September 3 set deadlines for clearing dues from mid-April to mid-September, farmers are still facing delays, affecting their ability to purchase feed and pay off loans.

Pathao Nepal Mandates Online Training for New Riders

Ride-sharing service Pathao Nepal has mandated online training and an examination for all new riders. Applicants, who must possess a bluebook, driving license, and third-party insurance, are required to complete training via the app’s Learning Management System. To pass the test, riders must achieve a minimum score of 80%. The company reports that approximately 85% of participants pass on their first attempt, and active riders earn an average of Rs 40,000 to Rs 50,000 monthly.

Nepal Telecom Profit Drops 24% Due to Call Decline

Nepal Telecom’s net profit declined by nearly 24% in the first quarter of the fiscal year 2025/26, falling by Rs 414.4 million compared to the same period last year. The unaudited financial statement released on Monday showed a net profit of Rs 1.32 billion, down from Rs 1.73 billion last year. The drop is primarily attributed to decreased revenue from inbound international calls due to the rise of third-party calling apps and a Rs 500 million loss in interest income from lower market interest rates on fixed deposits.

Sudurpaschim Hotel Occupancy Low at 36.40% as Tourist Arrivals Fall

An NRB study based on 10 sampled hotels found that average hotel occupancy in the Sudurpaschim Province was only 36.40% in the fiscal year 2024/25. The report shows a sharp decline in tourist arrivals compared to the previous year, with Indian visitors down 28%, Chinese down 71%, and visitors from third countries down 65%. The province saw a total of 16,925 foreign tourists. The NRB concluded that the province is failing to attract internal and external tourists due to inadequate promotion and development of religious and archaeological sites.

Syangja Produces Over 653,000 KG of Food Grain Seeds

Syangja district produced 653,873 kilograms of food grain seeds, including paddy, maize, wheat, and potato, in the last Fiscal Year 2024/25. According to the Syangja Agriculture Knowledge Center, potato accounted for the largest volume at 450,900 kg, followed by paddy at 117,043 kg. Galyang Municipality was the top producing area, yielding 470,000 kg of seeds. A significant portion of the output was consumed internally within the district’s local units, and local farmers reported good yields from indigenous seeds, which are being supported by local governments.

Sudurpaschim Industrial Loan Demand Up 68% for Energy Sector

Bank and financial institutions in Sudurpaschim Province saw a high demand for industrial loans in the gas, hydroelectricity, and water sectors, accounting for about 68% of the total industrial loan portfolio. As of mid-July 2025, industrial loans totaled Rs 26.72 billion, marking a 4.37% increase from the previous fiscal year. However, the study noted that loan investment in mining-related industries saw the steepest decline at 37.83%.

Greenedi Energy Appoints Prabhu Capital for IPO Issuance

Greenedi Energy Limited has appointed Prabhu Capital as the issue and sales manager for its Initial Public Offering (IPO) to local residents and the general public. The agreement was signed by Yuresh Man Kayastha, Chairman of Greenedi Energy, and Ashish Gauchan, Managing Director of Prabhu Capital. The company plans to issue 30% of its paid-up capital as ordinary shares. Greenedi Energy currently operates the Idi Khola Hydropower Project in Kaski, which began commercial production on April 21.

NIC Asia Bank Partners with NCHL for NepalPay Card Scheme

NIC Asia Bank and Nepal Clearing House Limited (NCHL) have signed an agreement for membership in the NPS-NCS and the domestic card scheme, NepalPay Card. The agreement was signed by Bank CEO Sujit Kumar Shakya and NCHL CEO Neelesh Man Singh Pradhan. This partnership allows the bank’s customers to issue and acquire the NepalPay Card, which is part of NCHL’s recently completed national payment infrastructure. NCHL currently serves over 54 banks, financial institutions, and more than 100 non-banking members.

50 MW Marsyangdi Besi Hydropower Construction Starts Friday

The 50 MW Marsyangdi Besi Hydroelectric Project will begin construction on Friday, November 21. The project, being developed by Divya Jyoti Hydropower Limited, is majority-owned by Api Power Company Limited (51% or more). The company aims to complete the construction within 30 months, utilizing domestic bank loans, resources, and manpower. Once operational, the project will pay the government an annual royalty of approximately Rs 35 million, including Rs 100,000 per megawatt, contributing to local development funds.

Rs 71 Billion New Currency Added to Market

The Nepal Rastra Bank (NRB) reported that Rs 71 billion in new currency notes were added to the market in the last Fiscal Year 2024/25. According to the NRB’s annual report, a total of Rs 761.41 billion worth of banknotes across different denominations were in circulation as of mid-July 2025, up from Rs 690 billion the previous year. The Rs 1,000 denomination notes account for the largest share of the value in circulation at 70.06%.

Gold Prices Plunge by Rs 3,800 Amidst Market Contraction

Gold prices experienced a significant market contraction on Tuesday, plummeting by Rs 3,800 per tola. According to the Federation of Nepal Gold and Silver Dealers’ Association, gold is currently trading at Rs 239,500 per tola, a pronounced drop from its previous price of Rs 243,300. This volatility extended to silver, which saw its price decrease by Rs 65 per tola. The price of silver now rests at Rs 3,090. This sharp decline signals a notable shift in the local precious metals market.