Weekly economic updates (15 November 2024–21 November 2024)
3 min readNov 22, 2024
- 173,000 Tourists Flock to Mustang in Two Months
Mustang welcomed 173,000 tourists from September 17 to November 15, generating NPR 2.59 billion. Its 325 hotels, hosting 7,000 guests daily, achieved full occupancy during Dashain and Tihar, reflecting the region’s rising travel appeal
(Source:https://thehimalayantimes.com/nepal/173000-tourists-visit-mustang-in-just-two-months ) - Nepal Exports Orthodox Tea to China
Nepal’s Gorkha Tea Estate exported 6,362 kg of orthodox tea to China, worth NPR 7 million, marking a milestone in diversifying markets. Nepal’s tea industry involves 17,000 farmers and produces 23,745 tons annually.
(Source:https://ekantipur.com/news/2024/11/19/nepalese-tea-started-to-be-exported-to-china-18-28.html) - Government to Raise NPR 17.25 Billion via Treasury Bills
The government will raise NPR 17.25 billion via treasury bills, with NPR 330 billion planned in internal loans and NPR 217.67 billion in foreign loans to address fiscal deficits under a NPR 1.86 trillion budget
(Source:https://ekantipur.com/business/2024/11/18/the-government-is-raising-17-billion-domestic-debt-through-the-treasury-bill-51-50.html) - Expenditure Exceeds Income in First Four Months of FY 2024/25
In four months of Fiscal Year 2024/25, Nepal collected NPR 323.27 billion (22.78% of the target), with tax revenue at NPR 289.92 billion. Despite a 16% revenue rise, the budget deficit reached NPR 86 billion.
(Source: https://risingnepaldaily.com/news/52134 ) - Nepal’s Exports Stalled by India’s BIS Certification Delays
Nepal’s exports to India, including cement and footwear, are delayed by strict BIS certification rules, disrupting industries. Tied to India’s anti-China trade policies, unresolved issues risk shutdowns for Nepali manufacturers reliant on Indian markets
(Source:https://kathmandupost.com/money/2024/11/15/requests-ignored-as-india-s-bis-red-tape-continues-to-stall-nepali-exports) - Land Transactions Rise in Kartik, Revenue Declines by 12.24%
In Kartik, land revenue fell 12.24% to NPR 2.7 billion despite increased transactions. Delayed land classification, restrictive land use policies, and stringent housing loan caps are hindering Nepal’s real estate market growth.
(Source:https://ekantipur.com/en/business/2024/11/18/the-real-estate-business-did-not-increase-during-the-season-48-51.html ) - Monsoon Triggers NPR 11.82 Billion Insurance Claims
Claims of NPR 11.82 billion were filed for September monsoon disasters, with NPR 610.79 million paid for 902 cases. Siddhartha Premier Insurance received most claims, mainly from Bagmati and Koshi provinces across diverse sectors.
(Source: https://risingnepaldaily.com/news/52222 ) - Banks Struggle with High NPLs Amid Prolonged Economic Slowdown
Nepal’s commercial banks face challenges despite a 7.02% base interest rate, with high Non-Performing Loans (up to 5.84%) and cautious lending. Profits are impacted by provisioning, while credit-deposit ratios dropped to 78.32%.
(Source:https://myrepublica.nagariknetwork.com/news/banks-struggle-with-high-npls-amid-protracted-economic-slowdown-673beea8f2dbe.html ) - EU, NRB, IFC Host Seminar on Climate Risks
A seminar by Nepal Rastra Bank, International Finance Corporation, and European Union highlighted climate change’s impact on Nepal’s banking sector, emphasizing green finance frameworks, resilience-building, and mobilizing private capital for sustainable development through partnerships with stakeholders and the World Bank
(Source:https://thehimalayantimes.com/business/european-union-nepal-rastra-bank-and-ifc-host-seminar-on-climate-risks-and-opportunities-in-nepals-banking-sector ) - DDC Focuses on Exports as Domestic Dairy Demand Stagnates
Nepal’s dairies cleared half of NPR 6 billion owed to farmers, but subdued demand and 800 tonnes of unsold stock risk rising arrears. Dairy Development Corporation (DDC) plans exports and price cuts, while winter sales continue to decline.
(Source:https://kathmandupost.com/money/2024/11/19/ddc-eyes-export-on-subdued-domestic-demand)
