KATHMANDU: Economic Digest offers a concise yet comprehensive overview of significant business happenings in Nepal, presented in easily digestible summaries.
Nepal Telecom’s fourth-quarter financial results for fiscal year 2080/81 show a significant 16.44% decline in net profit to Rs. 6.62 billion, primarily due to a 4.99% drop in revenue and decreased investments and finance income.
In contrast, the NEPSE index recently surged past 3,000 points, reflecting a vibrant market with a turnover of NPR 7.17 billion.
Meanwhile, the government has introduced concessions for Gautam Buddha and Pokhara airports, including fee waivers and reduced fuel costs, to enhance their operations.
In the precious metals market, gold prices remained stable while silver saw a slight increase.
Additionally, the Seti River Hydro Power Project has started its wet test phase, preparing for trial production within two weeks.
Nepal Telecom reports 16.44% drop in quarterly profit
Nepal Telecom’s fourth-quarter results for fiscal year 2080/81 reveal a 16.44% drop in net profit to Rs. 6.62 billion, down from Rs. 7.92 billion.
This decline is attributed to a 4.99% fall in revenue, totaling Rs. 34.46 billion. Investments decreased by 22.52% to Rs. 55.76 billion, and finance income fell 16.68% to Rs. 6.48 billion.
However, reserves and surplus increased by 0.83% to Rs. 76.58 billion, while operating and maintenance expenses were reduced by 12.98% to Rs. 6.64 billion.
NEPSE index surges past 3,000 points with significant turnover
The NEPSE index on Thursday surged past the 3,000-point mark, reaching 3,013.38 points—an increase of 1.88% or 55.62 points.
Earlier, it had peaked at 3,023.51 points. Within the first 47 minutes of trading, the index recorded a turnover of NPR 7.17 billion, reflecting significant market activity and enthusiasm.
This sharp rise and high turnover indicated a dynamic and optimistic trading environment.
Govt unveils concessions to boost operations at Gautam Buddha and Pokhara airports
The government has unveiled concessions for Gautam Buddha International Airport and Pokhara International Airport to boost their operations.
The plan includes waiving ground handling fees, ticket-related charges, and VAT on air tickets until September 2026. Additionally, the airports will procure fuel at reduced costs.
This decision, made following recommendations from a task force and a meeting led by Prime Minister KP Oli, aims to maximize the airports’ capacities and address airlines’ requests for operational support.
The Ministry of Labor, Ministry of Foreign Affairs, and Ministry of Agriculture and Livestock will oversee related functions.
Gold prices hold steady, silver rose slightly
Gold prices remained stable on Thursday, with fine gold trading at Rs 150,500 per tola, unchanged from Wednesday, according to the Federation of Nepal Gold and Silver Dealers’ Association.
In contrast, silver prices had increased by Rs 5 per tola, reaching Rs 1,740 per tola. This stability in gold prices, coupled with a slight rise in silver, reflected a steady market for precious metals.
Seti River Hydro Power Project begins wet test ahead of trial production
The wet test for the 25-megawatt Seti River Hydro Power Project in Machhapuchre Rural Municipality, Kaski, has commenced.
This test involves filling the project’s penstock pipe with water and rotating the turbine, following a prior dry test.
Managed by Vision Lumbini Energy Company, the project plans to begin trial production within two weeks.
The hydro project channels water through a 6,400-meter tunnel to generate electricity from a 187-meter drop, using twin turbines of 12.5 megawatts each.
With Rs 5 billion invested, including substantial contributions from banks, local residents, and an IPO, the project has received strong local support and will connect its output to the national grid.
US dollar and Bahraini dinar steady, others drop
Today’s foreign currency exchange rates announced by Nepal Rastra Bank reveal a mixed picture.
While the US dollar and Bahraini dinar maintain their stability, most other foreign currencies have seen a slight decline.
The US dollar remains steady with a buying rate of NPR 134.02 and a selling rate of NPR 134.62, unchanged from yesterday.
Euro has decreased marginally, with a buying rate of NPR 147.58 and a selling rate of NPR 148.24, down from NPR 147.72 and NPR 148.38, respectively.
Similarly, the British pound and Australian dollar have also experienced minor declines in their rates.
The Kuwaiti dinar shows a slight increase, while the Bahraini dinar holds steady.
This overall decline in the value of most foreign currencies against the Nepalese rupee may reflect broader market trends or adjustments in international exchange dynamics.
(Prepared by Srija Khanal)
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