World Bank forecasts 4.5-5% growth for Nepal

World Bank forecasts 4.5-5% growth for Nepal

World Bank on Wednesday said Nepal’s economic growth will remain in range of 4.5 to 5 percent in 2015.

“The fact that consumption remains the country’s main growth driver leaves it vulnerable to a slowdown in remittance growth,” World Bank said in a statement.

The bank has also said that the country needs to boost infrastructure development to support private sector investment in order to improve its growth performance.

The government has targeted to achieve economic growth of 6 percent in the current fiscal year that ends in Mid-July. It, however, it has already revised the growth target to a little over 5 percent owing to dwindling growth in remittance flow and decline in agricultural yield.

Publishing growth forecast for South Asia, the bank has said that the region could take greater advantage of cheap oil to reform energy pricing. “Driven by a strong expansion in India, coupled with favourable oil prices, economic growth in South Asia is expected to accelerate. The region is among the greatest global beneficiaries from cheap oil, as all countries in it are net oil importers,” the statement added.

Source: Myrepublica