Weekly Economic Update (7 January 2022 to 13 January 2022)
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1. Nepal Power Exchange Ltd. and India’s Manikaran Power Limited signed a power trade deal, ending the monopoly of state-owned Nepal Electricity Authority in energy trade and paving the way for Nepal’s private sector to trade electricity in the Indian market. [1]
2. The custom checkpoints in Tatopani and Rasuwagadhi, which were closed due to heavy snowfall, have reopened. Hundred containers weighing up to 120 CBM which were stopped at the Nyalam and Khasa parking lots will be loaded and brought to Nepal after the snowfall stops. [2]
3. Commercial banks of Nepal were able to collect deposits of NPR 73 billion over the past two weeks, with NPR 59 billion collected over the past week. The increase in deposits along with the measures adopted by Nepal Rastra Bank will help ease the liquidity crisis. [3]
4. Nepal Rastra Bank has issued a unified directive limiting the importers of agricultural products to buy a maximum of USD 50,000 per import, amid declining foreign currency reserves caused by an increase in imports and fall in remittance. [4]
5. The Government of Bagmati province has approved cabs to increase their fare by 20% effective from January 15. The minimum charge for a taxi is fixed at NPR 60 with additional NPR 9.8 for every 200 meters travelled. [5]
6. The Ministry of Physical Infrastructure and Transport has only spent 8.26% of the total budget in the first 5 months of current fiscal year 2021/22. For Kathmandu-Terai fast track, a national pride project, only 1.69% of the total budget has been spent. [6]
7. Nepal Telecom is ready to begin Nepal’s first 5G technology trials for commercial purposes by the end of the current fiscal year 2021/22. As per Nepal Telecommunications Authority (NTA), 3G, 4G and 5G devices can be used on the same band by obtaining permission. [7]
8. Honey production has declined by 90% in Jajarkot district compared to last year. The decline can be attributed to heavy out-of-season rainfalls, use of insecticides, delayed flowering, and a decline in bee population. [8]
9. The production of gas and organic fertilizers has started in the waste recycling plant of Dharan. The gas produced from the plant will be used to manufacture CNG, the liquid fuel of three-wheelers operating in Dharan. [9]
10. The Insurance Board has prohibited non-life insurance companies of Nepal from distributing cash dividends to their shareholders as NPR 11 billion worth of claims against the COVID-19 insurance remain unpaid. [10]
[2] https://www.newbusinessage.com/Articles/view/14619
[4] https://kathmandupost.com/money/2022/01/08/further-curbs-on-foreign-currencies-for-imports
[6] https://ekantipur.com/business/2022/01/13/164203900552251067.html
[7] https://kathmandupost.com/money/2022/01/07/nepal-telecom-to-begin-first-5g-trials-by-june
[8] https://myrepublica.nagariknetwork.com/news/honey-production-drops-by-90-percent/
