KATHMANDU: Economic Digest presents a brief yet comprehensive roundup of major business developments in Nepal, delivered in clear and accessible summaries.
Recent economic developments in Nepal reveal a mixed picture of market activity, expanding export opportunities, emerging livelihood prospects and persistent institutional and financial challenges. Rising gold and silver prices indicate upward movements in the domestic precious metals market, while Nepal’s participation in COP31 highlights growing efforts to connect climate diplomacy with sustainable economic development.
The government’s introduction of minimum wage and social security standards for public procurement workers represents a significant step towards improving labour protection, formalising employment and strengthening workers’ welfare. However, effective implementation and monitoring will determine its actual impact.
On the trade front, exports of large cardamom, tea, plywood and other products through Kakarbhitta demonstrate the economic potential of eastern Nepal’s agricultural and industrial sectors. Similarly, commercial marigold farming in Ilam illustrates how market-oriented agricultural diversification can generate rural income and employment.
However, substantial financial liabilities of Nepal Airlines Corporation, rising playing card imports and the contrast between legal imports and illegal gambling activities raise questions about financial management, consumption patterns and regulatory effectiveness. Meanwhile, delayed government paddy procurement in Banke exposes weaknesses in agricultural market management, leaving farmers vulnerable to low prices and financial pressure.
Overall, these developments highlight the need to strengthen institutional accountability, improve agricultural market systems, promote export-oriented production and ensure effective implementation of economic and social policies. Nepal’s economic resilience will depend on balancing growth opportunities with sound governance and inclusive development.
Gold rises by Rs 1,300 per tola, silver by Rs 45
Gold and silver prices increased in the domestic market on Monday, with both precious metals recording gains compared to their previous trading rates. According to the Federation of Nepal Gold and Silver Dealers’ Associations, the price of fine gold increased by Rs 1,300 per tola to reach Rs 284,300. Similarly, silver became more expensive by Rs 45 per tola and was traded at Rs 3,855. On Sunday, fine gold was priced at Rs 283,000 per tola, while silver was traded at Rs 3,810 per tola.
Finance Minister Wagle leaves for Türkiye to attend COP31
Finance Minister Dr. Swarnim Wagle left for Türkiye to participate in the 31st Conference of the Parties (COP31) to the United Nations Framework Convention on Climate Change (UNFCCC). Wagle left for Antalya, the host city of the climate summit, on Monday aboard a Turkish Airlines flight. During the conference, he is scheduled to represent Nepal and raise the country’s concerns regarding climate change and sustainable economic development at various high-level forums. COP31 officially commenced in Antalya on Monday. Foreign Minister Shishir Khanal has also arrived at the conference venue, leading Nepal’s delegation to the summit.
Govt introduces minimum wage and social security standards for public procurement workers
The government has introduced the Public Procurement Workers Remuneration and Social Security Working Procedure, 2026, establishing minimum wage requirements, social security benefits, occupational safety measures and welfare provisions for workers employed in public procurement projects. Developed by the Public Procurement Monitoring Office, the new framework sets a minimum daily wage of Rs 1,450 for unskilled field workers. With mandatory social security contributions of 10 percent each from the government and employers, the total amount comes to Rs 1,740 per day. Under the provisions, professional specialists with more than 15 years of experience are entitled to a minimum monthly remuneration of Rs 262,080. Similarly, factory workers and administrative employees have been placed in different salary categories, with monthly wages starting at Rs 32,607. The procedure also requires employers to register workers through electronic systems and provide them with national identity cards. Salaries must be deposited directly into workers’ bank accounts, while festival allowances, mandatory leave and other welfare benefits must also be ensured.
Large cardamom exports through Kakarbhitta cross Rs 988.8 million
Exports of large cardamom through the Kakarbhitta border point reached Rs 988.8 million by mid-October, according to customs data. A total of 541,940 kilograms of large cardamom was exported to India during the period. Other major export commodities included 1,715,932 kilograms of tea worth Rs 495.4 million, 118,444 kilograms of plywood valued at Rs 442.3 million and 1,319,140 kilograms of broom grass worth Rs 89.5 million. These products were primarily sourced from eastern districts, including Jhapa, Ilam, Panchthar and Taplejung. Other commodities exported through the border point included 46,745 kilograms of chhurpi worth Rs 89.5 million, 2,080,763 kilograms of iron sheets valued at Rs 298.4 million and 48,318 kilograms of dried meat worth Rs 48.3 million. The figures highlight the contribution of agricultural and locally produced goods from eastern Nepal to cross-border trade with India.
Nepal Airlines Corporation’s aircraft-related debt reaches Rs 55.92 billion
The outstanding debt of Nepal Airlines Corporation (NAC) incurred to purchase four aircraft has climbed to Rs 55.92 billion, according to financial records published by the Financial Comptroller General Office. The government-guaranteed loans were obtained from the Employees Provident Fund and the Citizen Investment Trust to finance the acquisition of two wide-body and two narrow-body aircraft. Of the total outstanding liabilities, Rs 44.68 billion represents the remaining principal amount, while accumulated interest accounts for Rs 11.24 billion. The initial financing included Rs 12 billion each from the Employees Provident Fund and the Citizen Investment Trust for the purchase of wide-body aircraft. An additional Rs 10 billion loan was secured to finance the acquisition of narrow-body aircraft. The figures reflect the corporation’s substantial financial obligations arising from its aircraft procurement.
Nepal imports playing cards worth Rs 116.8 million in three months
Nepal imported 3.42 million units of playing cards worth Rs 116.8 million during the first three months of the current fiscal year 2026/27, according to the Department of Customs. The imports, recorded between mid-July and mid-October, generated Rs 70.7 million in customs revenue, equivalent to around 60 percent of their total import value. The increase in imports has largely been attributed to higher demand during the festive season. Although playing cards are legally permitted to be imported as recreational items, gambling remains prohibited under Nepali law. Despite frequent police raids and enforcement operations targeting illegal gambling across the country, the import of playing cards continues through regular trade channels. The figures point to a contrast between the legal status of playing cards as recreational products and their use in gambling activities, while also highlighting the revenue generated by their imports.
Ilam farmer earns Rs 400,000 annually from marigold cultivation
Commercial marigold farming has become a lucrative source of livelihood for Ganga Bahadur Gole, a farmer from Silpur in Ilam Municipality-10, who earns approximately Rs 400,000 annually from flower cultivation. The growing demand for marigolds for religious ceremonies, cultural celebrations and decorative purposes has expanded market opportunities for flower growers, according to Ranjita Jimi, president of the Floriculture Association of Ilam. Traditionally known for tea, cardamom and ginger production, Ilam is gradually diversifying its agricultural activities, with commercial flower farming emerging as a promising alternative for local farmers. Gole sells his flowers from a roadside stall along the Silpur-Maikhola section of the Mechi Highway. The convenient location attracts travellers and commuters who frequently stop to purchase fresh marigolds. Local driver Raju Chauhan said the availability of fresh flowers directly along the roadside has made the stall a popular shopping point for people travelling along the highway. In addition to selling flowers directly to customers, Gole also receives bulk orders from traders who visit his garden to purchase the produce.
Delayed government paddy procurement puts Banke farmers under pressure
Farmers in Banke are facing growing difficulties in managing their harvested paddy as the Food Management and Trading Company Limited has yet to launch its annual procurement programme. With the harvest already completed, the delay has left many farmers struggling to find adequate storage space and secure reasonable prices for their produce. Kallu Bahadur Oli, a farmer from Nepalgunj-19, said he has been selling paddy to the government-owned company for several years, but its procurement programme has not started this season. He said the situation has created considerable difficulties for farmers who have nowhere to store their harvested crops. Ramsharan Lamichhane, chief of the company’s Nepalgunj office, said the office had sought approval to purchase 20,000 quintals of paddy this year. However, the government has approved a quota of only 10,000 quintals. The company had set a procurement target of 20,000 quintals last year. In the fiscal year 2081/82, the Nepalgunj office had a target of 40,000 quintals and successfully procured 32,000 quintals.
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