Nepal’s economic condition: RS 10 b as deficit in BOP: NRB

Nepal’s economic condition: RS 10 b as deficit in BOP: NRB

Nepal recorded a Rs 10.5 billion deficit in the balance of payment in the first two months of the current fiscal year in the context it had Rs 33 billion surplus in the last fiscal year. 

According to the report unveiled by the Nepal Rastra Bank (NRB) on Wednesday, in the reviewed period, the current account has a deficit of Rs 9.98 billion. In the previous year, it had a surplus of Rs 18.35 billion. 

There was deficit in government account in the period due to high increase of import of goods and services, and decrease of remittances and grant inflow, the NRB said. 

The monthly remittance inflow has increased by 0.2 percent in August/September, as compared to the July/August of the current fiscal year. In the period, Rs 341.5 million has been brought in as foreign investment under financial account.

The total foreign exchange reserve by mid September was Rs 660.8 billion with a decline of 0.7 percent from Rs 665.41 billion. 

In this period, total export had come down to 14.43 billion with a decline of 4.8 percent. The annual inflation in the period is 7.6 percent, which, in the same period in previous fiscal year was 8.0 percent.

Source: Republica