Weekly Economic Updates (15th December 2023- 21st December 2023)
1) IRD makes mandatory to issue electronic billing
The Inland Revenue Department (IRD) has mandated that businesses with an annual turnover exceeding NPR 250 million must now register in the Central Billing Monitoring System (CBMS), extending the requirement beyond just large taxpayers.
2) India-Nepal Economic Partnership Summit 2023
On December 20, the India-Nepal Center of PHD Chamber of Commerce and Industry (PHDCCI) organized the “India-Nepal Economic Partnership Summit 2023” at Birgunj. The Summit focused on fostering deeper economic engagement between India and Nepal.
https://kathmandupost.com/money/2023/05/20/india-nepal-economic-partnership-summit-2023-held
3) BFIs have loanable funds of NPR 600 billion
Banks and financial institutions (BFIs) currently hold investable funds totaling approximately to NPR 600 billion. This surplus liquidity in the banking system is said to have resulted from increased deposit collections, rising remittance inflows, and heightened economic activities.
https://www.newbusinessage.com/Articles/view/19763
4) NAC records a revenue of NPR 22.24 billion
Nepal Airlines Corporation has posted a fiscal year 2022/23 income of NPR 22.24 billion, signaling recovery from pandemic challenges, credited to normalized conditions, international flights, and ground handling services.
https://english.onlinekhabar.com/nac-earns-money-2022-23.html
5) Government Disburses Funds for Quake-Hit Housing
The government has allocated NPR 1 billion for temporary housing after the Jajarkot earthquake on November 3, with NPR 930 million already distributed to affected districts.
6) NEA Imports Electricity
The Nepal Electricity Authority(NEA) imported electricity from India to bridge the seasonal deficit, as the country grapples with a shortfall of approximately 70 megawatt hours. https://myrepublica.nagariknetwork.com/news/rising-domestic-demand-spurs-nepal-to-halt-electricity-exports-amid-dropping-temperatures/
7) Nepal’s remittance outflow surge
Nepal’s remittance outflows surged 46% to NPR 3.16 billion, driven by foreign workers, while inflows rose NPR 26.4% to NPR 477 billion, resulting in a net gain of NPR 474 billion amid increased overseas employment by Nepalis.
8) AFU and USAID to host a two-day conference
The USAID and Agriculture and Forestry University (AFU) jointly organized a two-day international conference highlighting the role of agricultural universities and agricultural education I driving socio-economic change.
9) BOP excess amount to NPR 147.11 billion
In the first four months of the current fiscal year 2023–2024, Nepal’s balance of payments (BOP) was NPR 147.11 billion, primarily due to a rise in remittance inflows and a decrease in import expenses.
10) 16th Periodic Plan drafted
The 16th periodic plan has been drafted, which aims for the GDP size of NPR 30 billion in the coming five years. The inflation rate is further expected to be contained within 6.5 percent.
