Weekly Economic Update (23 June 2023- 29 June 2023)
1. Governments’ Cash Reserve on the Decline: The Nepal Rastra Bank has revealed the government reserves with Banks and Financial Institutions (BFIs) for this fiscal year. It stood at NPR 166.26 billion in mid-June, which decreased by 35.6% in the past 11 months.
2. NOC Clears Loans: Nepal Oil Corporation (NOC) cleared its dues to the Indian Oil Corporation (IOC). The final installment of NPR 3.20 billion was paid after a period of two years.
Source: https://myrepublica.nagariknetwork.com/news/noc-clears-ioc-loan-dues-after-two-years/
3. WeChat Pay Enters Nepal: Chinese mobile payment service ‘WeChat Pay’ has entered Nepal after partnering with NMB Bank in Nepal. This service will allow Chinese tourists to pay for services using their mobile devices via WeChat Pay.
Source: https://kathmandupost.com/money/2023/06/26/chinese-tourists-can-now-use-mobile-pay-in-nepal
4. EVs Worth NPR 11.23 billion Imported: Nepal imported EVs worth NPR. 11.23 billion in the current fiscal year. The Department of Customs has revealed that a total of 3.870 electric vehicles (EVs) were purchased, through which a duty of NPR 3.05 billion was cashed in.
5. KMC Unveils Budget: Kathmandu Metropolitan City (KMC) has unveiled the budget for the fiscal year 2023/24. The total budget is over NPR 25.4 billion, where over NPR 8.6 billion is allocated for current expenditure and over NPR 16.9 billion for capital expenditure.
Source: https://english.khabarhub.com/2023/25/308534/
6. Floods Damage 30 Hydropower Plants: A total of 30 hydropower plants in Eastern Nepal has suffered damages worth of NPR 8.5 billion in the last week. The Independent Power Producers’ Association (IPPAN) revealed the damaged plants had a capacity of 463 MW.
7. ‘Sky Walk’ Tower Constructed at NPR 2 billion: A ‘Sky Walk’ tower worth NPR 2 billion is constructed in Kamaladi, Kathmandu. The 78m tall tower has glass floors and is expected to attract a large number of tourists after its launch on June 30.
Source: https://www.setopati.com/kinmel/tourism/305712
8. Nepal to Sell 200 MW Electricity: Nepal will be selling a total of 200 MW electricity to India in a 5-year deal. Nepal Electricity Authority (NEA) and India’s NTPC Vidyut Vyapar Nigam Limited had signed an agreement on May 23, to become the first long-term trading deal between the two states.
Source: https://kathmandupost.com/money/2023/06/26/nepal-to-sell-200mw-under-5-year-deal
9. NRB Indicates Flexible Monetary Policy: Nepal Rastra Bank (NRB) has signaled to move forward with an expansionary monetary policy, as the country’s liquidity situation has improved. The policy is likely to be implemented within the next two weeks.
10. Nepal-Mongolia Sign Agreement: Nepal and Mongolia jointly signed an agreement on June 28 for promotion of pashmina products. The agreement, that was signed in Ulaanbatar, Mongolia focuses on collaboration for testing quality, analysis of wool fibres and exchange of knowledge for research.
Source: https://kathmandupost.com/money/2023/06/28/nepal-mongolia-sign-pact-for-joint-pashmina-promotion
