Weekly Economic Update (11 March 2022- 16 March 2022)
1. Expansion of Bilateral Trade and Investment: Minister for Foreign Affairs, Dr. Narayan Khadka held a bilateral meeting to discuss expansions of economic cooperation and promotion of tourism sector with Minister for Foreign Affairs of the Republic of Turkey, Mevlut Cavusoglu. (Source: https://risingnepaldaily.com/business/nepal-turkey-agree-to-further-expand-opportunities-of-bilateral-trade-and-investment)
2. Increase in inflation: The consumer price inflation has risen considerably in the first seven months of the current fiscal year. The consumer price inflation rose to 5.97% in the seventh month of the current fiscal year 2021/22, from 2.70% a year ago. (Source: https://risingnepaldaily.com/business/inflation-reaches-597-in-seven-months)
3. Free electricity in 55% of households in Karnali: The government has provided 20 units of free electricity to almost 55% of households which have access to electricity in Karnali. Out of 114,300 households in Karnali, 62,600 households are consuming free electricity. (Source: https://myrepublica.nagariknetwork.com/news/55-pc-of-households-in-karnali-consume-free-electricity/)
4. Decrease in BFIs deposit collection rate: The growth rate of deposit mobilization of BFIs dropped by 6.2% during the period. The deposit collection of BFIs has increased by 3.6% in the current 2021/22 fiscal year as compared to an increase of 9.8% in the previous year. (Source: https://risingnepaldaily.com/business/deposit-collection-rate-of-bfis-drops)
5. Rise in NEPSE points: Nepal Stock Exchange rose by 101.07 points as the banks agreed to maintain the interest rate stable for the next two weeks. A total of NPR 4.87 billion worth of transactions was recorded a rise in the Index. (Source: https://myrepublica.nagariknetwork.com/news/nepse-soars-by-a-whopping-101-07-points-on-sunday/)
6. Huge import of paddy: The country imported more than NPR 12 billion worth of paddy in the first seven months of the current 2021/22 fiscal year. The paddy weighing 426,357,810 kg was imported during this period. (Source: https://myrepublica.nagariknetwork.com/news/paddy-worth-over-rs-12-billion-imported/)
7. The private sector accounts over 80% of seed supply: The private sector is supplying more than 80% seeds in Nepal. The seed companies run by private sectors supply 80% cereal seeds and 90% vegetable seeds in the country. (Source: https://thehimalayantimes.com/nepal/private-sector-accounts-over-80pc-of-seeds-supply)
8. Decrease in price of solar electricity: The Nepal Electricity Authority has agreed to lower the maximum purchase price to NPR 5.94 per unit from NPR 7.30 per unit of solar generated electricity as the state-owned power provider prepares to obtain solar energy through competitive bidding. (Source: https://kathmandupost.com/national/2022/03/15/nea-lowers-purchase-price-of-solar-electricity)
9. Decrease in gold price: The price of gold has decreased by NPR 1200 and reached NPR 99,300 per tola in the domestic market. The federation has been fixing the price of gold and silver in Nepal in line with the international market’s transaction price. (Source: https://myrepublica.nagariknetwork.com/news/gold-price-declines-by-rs-1200/ )
10. ADB to provide a fund for pipeline project: The Asian Development Bank is investing USD 932 million in Nepal in 2022. The USD 932 million budgeted for 2022 will be disbursed to nine pipeline projects for signing this year. (Source: https://myrepublica.nagariknetwork.com/news/adb-to-provide-us-932-million-to-nepal-in-2022/)
