KATHMANDU: In the first month of the current fiscal year 2024/25 ending mid- August, Nepal saw a decline in both imports and exports, with imports dropping by 0.6% and exports falling by 9.6%, according to the ‘Current Macroeconomic and Financial Situation ‘ report released by the Nepal Rastra Bank.
Despite this, remittance inflows surged by 18% in Nepali Rupees. Inflation, measured by the consumer price index, stood at 4.10% on an annual point basis, while the country’s balance of payments remained at a surplus of Rs. 40.90 billion.
The report highlights that the total foreign exchange reserves for the first month amounted to NPR 2092.22 billion. Government spending in the first month was NPR 40.21 billion, with revenue collection reaching NPR 94.74 billion.
Additionally, broad money supply decreased by 0.7%, reflecting a decline in cash held by the public and deposits in banks. The deposit collection in banks dropped by 0.7%, while credit flow to the private sector saw a modest increase of 0.3%. On an annual basis, deposits grew by 14.9%, and private sector loans increased by 6.2%.
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