KATHMANDU: Economic Digest offers a concise yet comprehensive overview of significant business happenings in Nepal, presented in easily digestible summaries.
The developments collectively reflect a mixed but evolving economic landscape in Nepal, marked by tighter financial regulation, rising asset prices, and uneven structural progress. The sharp rise in gold and silver prices signals inflationary pressures and heightened demand for safe assets, while the NRB’s cap on large cash transactions indicates a policy push toward greater financial transparency and formalization of the economy.
At the macro level, the Rs 1.53 trillion life-cycle deficit highlights deep demographic and productivity challenges, even as poverty levels show gradual improvement over the long term. At the same time, local government budgeting, expanding access to digital credit, rising agricultural commercialization (in milk, oranges, and honey), and targeted banking products suggest growing economic activity at the grassroots level.
However, the contrast between localized success stories and persistent national imbalances underscores the need for sustained investment in productivity, inclusion, and institutional capacity to translate sectoral gains into broad-based economic resilience.
Gold price rises by Rs 2,800 per tola
Gold prices in the domestic market increased by Rs 2,800 per tola on Saturday. The Federation of Nepal Gold and Silver Dealers’ Associations fixed the price of hallmark gold at Rs 270,600 per tola. Silver prices also rose by Rs 210 per tola, reaching Rs 4,990.
Cash transactions capped at Rs 500,000 from January 15
Cash payments will be limited to Rs 500,000 from Magh 1 (January 15) under a new directive issued by Nepal Rastra Bank (NRB). The provision has been included in the central bank’s Unified Directives to banks and financial institutions. Under the new rule, any transaction exceeding Rs 500,000 must be conducted through an account-payee cheque or deposited directly into the recipient’s bank account. Cheques issued in the name of firms, companies, institutions or offices must also be account-payee. However, NRB clarified that the restriction will not apply to salary and wage payments for workers involved in priority infrastructure projects such as hydropower, roads and communications. Cash payments related to government revenue, bail or guarantee deposits, pension distribution through camps, and procurement of goods and materials for projects are also exempted.
Nepal records Rs 1.53 trillion life-cycle deficit: NTA report
Nepal recorded a total life-cycle deficit of Rs 1.53 trillion in fiscal year 2021/22, according to the country’s first National Transfer Account (NTA) estimates released by the National Statistics Office (NSO). The findings highlight a gap between labour income and consumption, particularly in early life stages. The analysis shows that from birth to age 26, consumption exceeds labour income, resulting in a life-cycle deficit. The NTA estimates were prepared using data from the Nepal Living Standards Survey and the national population census, reflecting the economic impacts of demographic change.
Janakpurdham sub-metropolitan city approves revised Rs 2.46 billion budget
Janakpurdham Sub-Metropolitan City has endorsed a revised annual budget of Rs 2.46 billion for the current fiscal year 2082/83 (2025/26). The revised budget totaling Rs 2,468,916,894 was approved during the 14th Municipal Assembly’s winter session held on Sunday. Presenting the revised estimates, Deputy Mayor Kishori Sah said the budget incorporates federal and provincial grants, including equalization, conditional, complementary and special grants, along with revenue sharing, internal income and carryover funds from the previous fiscal year. The report shows that the sub-metropolitan city has collected Rs 99.41 million in revenue so far this fiscal year, while expenditures have reached Rs 41.07 million. Budget estimates approved earlier by the 13th Municipal Assembly remain under implementation.
Sana Kisan Bikas Laghubitta announces 14.25% bonus shares
Sana Kisan Bikas Financial Institution Limited has decided to distribute bonus shares equivalent to 14.25 percent to its shareholders. The proposal was approved at the institution’s 24th Annual General Meeting held in Kathmandu on Friday. According to the company, shareholders will also receive a 0.75 percent cash dividend to cover tax liabilities. The institution reported issued and paid-up capital of Rs 4.31 billion and total assets worth Rs 41.50 billion in fiscal year 2081/82. Chief Executive Officer Bashu Adhikari stated that the company’s earnings per share stood at Rs 20.29, book value per share at Rs 239.38, return on total capital at 8.48 percent, price-earnings ratio at 43.40, and capital adequacy ratio at 16.02 percent.
NIC Asia Bank offers 30% discount on locker services
NIC Asia Bank has introduced a special discount scheme offering 30 percent off locker services. The initiative aims to encourage safe storage of customers’ valuables and important documents. Under the scheme, customers will receive a 30 percent discount on annual locker fees for the first year. The bank said the offer will remain valid until January 20. Lockers of different sizes are available across the bank’s nationwide branch network, and the bank believes the scheme will make locker services more accessible and affordable.
Ncell launches ‘Yuva SIM’ targeting Gen Z users
Ncell has introduced the ‘Yuva SIM’ starter pack aimed at meeting the communication needs of Gen Z users. Priced at Rs 299, the pack includes unlimited on-net calls, 5 GB data, free access to digital wallets and an online education platform, along with discounted off-net call rates.
Poverty rate above national average in over half of local units
More than half of Nepal’s local governments have poverty rates exceeding the national average, according to the Small Area Estimation of Poverty 2023 released by the National Statistics Office. Out of 753 local units, 444 recorded poverty levels above the national average of 20.27 percent, while 309 were below it. The estimates were derived using data from the Nepal Living Standards Survey and the national census. The report shows a significant improvement in poverty reduction compared to 2011 figures.
Oranges worth over Rs 100 million sold from single ward
Ward No. 7 of Bhirkot Municipality in Syangja district has generated more than Rs 100 million in income this year through orange farming. Commercial production across multiple settlements in the ward contributed to the milestone. Ward Chairperson Tara Aryal said farmers earned between Rs 100,000 and Rs 3.5 million each from orange sales. Oranges were sold directly from orchards, either through contracts or at a rate of Rs 70 per kilogram. Settlements involved in production include Jimire, Lolunga, Balmata, Tilahar, Pangsang, Pasindanda, Koldanda and Dhowadi.
Machhapuchchhre Bank launches QR Merchant MBL Smart loan
Machhapuchchhre Bank Limited has expanded its MBL Smart Loan service to include QR merchants, targeting self-employed individuals and small and medium-sized sole proprietorships. The QR Merchant MBL Smart Loan allows eligible merchants to access collateral-free loans digitally through the MBL M Smart mobile application. The bank said the initiative will simplify financing and reduce approval time. The service reflects the bank’s commitment to leveraging digital technology to improve access to financial services nationwide.
Milk availability rises in Sudurpaschim Province
Per capita milk availability in Sudurpaschim Province has increased to 120–130 liters annually due to commercialization of dairy farming. Officials said milk production was previously limited to household consumption, but growing commercial practices have boosted supply. Around 60,000–70,000 farmers are involved in milk production, generating employment for 10,000–12,000 people. The province produces about 355,000 metric tons of milk annually.
Siddhartha Bank appoints Rameshwar Prasad Basyal as CEO
Siddhartha Bank Limited has appointed Rameshwar Prasad Basyal as its Chief Executive Officer, effective from Poush 25. Basyal brings nearly 36 years of banking experience, having served Siddhartha Bank in multiple senior leadership roles since 2005.
Honey sales in Humla reach Rs 45 million
Honey producers in Humla district earned approximately Rs 45 million this year, selling most of the 22,500 kg produced in the last fiscal year. According to the Agriculture Development Office, honey sells for around Rs 2,000 per kilogram, with production coming from 2,775 beehives. Most of the honey was supplied to markets outside the district, including Surkhet, Nepalgunj, Pokhara and Kathmandu.
Budhanilkantha street food festival concludes
The three-day Budhanilkantha Street Food Festival concluded on Sunday, attracting large crowds with local cuisine, cultural performances and tourism promotion. Organized jointly by Budhanilkantha Municipality and the Budhanilkantha Tourism Board, the festival aimed to promote local identity, religious sites and entrepreneurship. Officials said the event boosted community engagement and strengthened Budhanilkantha’s appeal as a tourist destination.
Nabil Bank introduces ‘Nabil Smart Nari Home Loan’
Nabil Bank has launched a women-focused housing loan scheme titled ‘Nabil Smart Nari Home Loan’ to promote female property ownership. The scheme allows women to access financing for home purchase, construction or renovation, supporting financial independence and empowerment.
Dongfeng Nepal marks 100+ Nammi EVs on Chitwan roads
MAW Vriddhi celebrated the presence of over 100 Nammi electric vehicles in Chitwan through a special Nammi Celebration Drive. The event brought together EV owners for a group drive across major landmarks before concluding in Sauraha, highlighting growing adoption of electric mobility in the region.
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