KATHMANDU: Economic Digest presents a brief yet comprehensive roundup of major business developments in Nepal, delivered in clear and accessible summaries.
The developments highlight a broadening national and international response to the Bhote Koshi floods, with immediate relief increasingly being complemented by efforts to restore connectivity, communication and economic activity. The United States, China, India and the United Arab Emirates have provided substantial humanitarian assistance, technical expertise and logistical support, while international organisations have contributed critical communications equipment.
China’s evacuation of stranded nationals and deployment of tunnel-rescue specialists, India’s repeated relief flights and bridge-support plans, the UAE’s large-scale material and financial assistance, and the US funding for food, shelter and sanitation demonstrate the scale of international solidarity. At home, government agencies, political parties, municipalities, businesses, professional associations and civil society groups have mobilised financial resources, vehicles, food and emergency services, indicating a whole-of-society response.
However, the destruction of roads, bridges, telecommunications facilities and hydropower infrastructure reveals serious vulnerabilities in Nepal’s disaster resilience and supply chains. The collapse of the Prithvi Highway and suspension bridges, alongside disruption of Nepal-China trade routes, shows that the disaster is not merely a humanitarian emergency but also an economic and connectivity crisis.
The deployment of satellite phones and the proposed Starlink service could strengthen emergency communications, while alternative transport routes and planned bridges may help restore movement. Overall, the response demonstrates strong solidarity but also underscores the need for stronger preparedness, resilient infrastructure, coordinated relief distribution and long-term climate and disaster-risk planning.
US announces additional USD 3.6 million in aid for Nepal flood victims
The United States has announced more than USD 3.6 million in additional humanitarian assistance for communities affected by the devastating flash floods and landslides in Nepal. The latest assistance follows an earlier emergency contribution of USD 500,000 for communities affected along the Nepal-China border and in Rasuwa. The new funding will support up to three months of emergency food assistance for around 10,000 households, in addition to emergency shelter, relief supplies and water, sanitation and hygiene services. The assistance will be delivered through humanitarian partners, including Catholic Relief Services. The US Department of State has also deployed a disaster response adviser to Nepal to assist with the coordination of relief efforts.
China expands flood support as disaster disrupts Nepal-China economic links
China has stepped up emergency assistance to Nepal as the Bhote Koshi floods continue to disrupt cross-border travel, trade and commercial activities along the Nepal-China corridor. The Chinese Embassy in Nepal has assisted in the rescue and evacuation of 94 Chinese nationals stranded by the disaster and has also mobilised teams to support affected businesses. Two Chinese Air Force Y-20 transport aircraft arrived in Kathmandu carrying 13,200 emergency relief items as well as specialists involved in tunnel-rescue operations. The disaster has caused extensive damage to infrastructure near the Nepal-China border, threatening transport and commercial connectivity. Chinese assistance is expected to support immediate rescue and relief efforts while helping affected businesses cope with disruptions and prepare for eventual recovery.
Flood disrupts Nepal-China trade routes, stranded Nepalis to return via alternative route
Foreign Minister Shisir Khanal has said that around 1,000 Nepalis stranded in Kerung, China, following the Bhote Koshi flash flood will be brought back to Nepal through an alternative route. Speaking during an inspection of the flood-hit Dhunge area of Bidur Municipality-1 on Sunday, Khanal said the government had requested the Chinese authorities to facilitate the reopening of the Tatopani and Korala border points to restore cross-border movement and transportation. The flood has severely disrupted major road links between Nepal and China, affecting the movement of people, goods and commercial activities. The government has also sought technical assistance from international partners for rescue operations involving people trapped inside hydropower tunnels.
Gold and silver prices fall sharply in domestic market
Gold and silver prices declined significantly in Nepal’s domestic market on Sunday. According to the Federation of Nepal Gold and Silver Dealers’ Association, the price of gold fell by Rs 9,500 per tola, equivalent to 11.66 grams, to Rs 309,000 per tola from Rs 318,500 on Friday. The price of silver also dropped by Rs 185 per tola, falling to Rs 4,780 from Rs 4,965 on the previous trading day.
Nepali Congress to contribute Rs 10 million to flood relief fund
The Nepali Congress has announced a contribution of Rs 10 million to the Prime Minister’s Relief Fund to support people affected by the Bhote Koshi floods. Party spokesperson Devraj Chalise said the government should step up search, rescue and relief operations and make every effort to evacuate people still trapped inside hydropower tunnels. He said rescue operations should be assessed on the basis of tangible results and that the government should seek assistance from international experts wherever domestic expertise is inadequate. Chalise also called for greater involvement of local governments in relief management so that assistance can reach affected communities without delay. He urged authorities to give priority to locating and ensuring the safety of tourists, businesspeople and others from different districts who were caught in the disaster.
India sends fourth relief flight with 11 tonnes of supplies to Nepal
India sent its fourth relief flight to Kathmandu on Sunday carrying 11 tonnes of essential supplies and specialised personnel to support Nepal’s search, rescue and recovery operations following the Bhote Koshi floods. The latest shipment included blankets, sleeping bags, tarpaulins, plastic sheets and hygiene kits. It also carried teams specialising in tunnel search and rescue as well as DNA-based forensic identification. India has so far airlifted 68.5 tonnes of relief supplies to Nepal, including medicines, food, generators and technical equipment. Indian External Affairs Minister S Jaishankar said equipment for a 230-foot modular steel bridge had also arrived in Nepal, while preparations were underway to provide seven additional Bailey bridges to help restore damaged connectivity.
UAE provides additional 80 metric tonnes of relief materials to Nepal
The United Arab Emirates (UAE) has sent an additional 80 metric tonnes of relief materials to Nepal following the devastating Bhote Koshi floods. The UAE is also the largest cash donor to Nepal’s flood response so far, having pledged USD 10 million in assistance. Minister for Science, Technology and Innovation Mahabir Pun said the latest relief supplies arrived at around 11:30 pm on Saturday despite heavy rainfall. The materials were handed over to the government upon arrival. Pun said further relief supplies from the UAE are expected to arrive on another flight in the coming days.
Twenty satellite phones deployed to improve communication in flood-hit areas
The Nepal Telecommunications Authority has supplied 20 satellite phones to strengthen communication in areas affected by the Bhote Koshi floods. The devices were provided as disaster-relief assistance by the International Telecommunication Union (ITU) and handed over to the National Disaster Risk Reduction and Management Authority. Ten satellite phones have been sent to Rasuwa and another 10 to Nuwakot. The service will be available free of charge for three months. Unlike conventional mobile phones, satellite phones can provide voice and SMS services in locations without cellular network coverage. Authorities expect the devices to help maintain vital communication during network disruptions and strengthen coordination among agencies involved in search, rescue and relief operations in remote areas.
Food distribution begins for flood survivors in Rasuwa
The government has begun distributing essential food supplies, including rice, pulses, salt and cooking oil, to communities affected by the Bhote Koshi floods in Rasuwa. According to the District Administration Office, Rasuwa, three helicopters transported 15 quintals of food supplies to affected areas on Sunday morning. Additional shipments are planned as the relief operation continues. Assistant Chief District Officer Druba Prasad Adhikari said relief supplies had been delivered to Khaibi, Danda Gaun, Haku, Thulo Gaun, Sherpa Gaun, Khamjing and other affected settlements. The destruction of major roads and bridges by the flash flood has left several communities isolated and created an urgent need for food and other essentials. Personnel from the Nepal Army, Nepal Police and Armed Police Force are jointly involved in distributing relief supplies in the affected areas.
Nepal Telecom extends free services in flood-hit Bhote Koshi areas
Nepal Telecom (NT) has extended free voice call, data and SMS services to customers in and around the areas affected by the Bhote Koshi floods until further notice. The state-owned telecommunications company had previously provided free voice calls, 2 GB of data per day and 50 SMS messages through August 30. NT spokesperson Kamal Lamichhane said the extension was aimed at supporting ongoing search, rescue and relief operations in the flood-affected areas. Although the floods damaged several telecommunications facilities, NT technical teams have restored most of the affected sites and are working to bring the remaining infrastructure back into operation as soon as possible. The company has urged residents in the affected areas to make use of the free services according to their needs during the emergency.
Alternative routes opened after Krishnabhir collapse disrupts Prithvi Highway
Authorities have introduced alternative routes for vehicles travelling out of Kathmandu after a section of the Prithvi Highway at Krishnabhir in Dhading collapsed following flooding in the Trishuli River. According to traffic police, heavy vehicles are being diverted through Kathmandu Byroad, Naubise, Palung and Bhainse, while light vehicles and microbuses are being directed through Pharping. Traffic on the Prithvi Highway has been disrupted since early Sunday morning following the road collapse. Authorities are also working to reopen the Kanti Lokpath, which has been blocked by a landslide. Drivers have been advised to check the latest road and weather conditions and follow safety instructions before beginning their journeys.
Prithvi Highway collapse threatens Kathmandu’s supply chain
The collapse of part of the Prithvi Highway at Krishnabhir in Dhading has raised concerns over possible disruptions to Kathmandu’s supply chain and increased transportation costs if the damaged section is not repaired quickly. The highway is one of Nepal’s most important commercial corridors, carrying around 14,000 vehicles each day and linking Kathmandu with major markets and supply routes. Flooding in the Trishuli River has eroded the road, causing more than half of a 20-metre section to collapse. Officials said immediate repairs remain difficult because the river is still running at a high level. The Department of Roads has deployed a technical team to assess the damage and determine whether traffic can safely resume in one or both directions.
Suryabinayak Municipality to contribute Rs 5.56 million to disaster relief fund
Suryabinayak Municipality has decided to contribute Rs 5,555,555 from its Local Disaster Management Fund to the Prime Minister’s Disaster Relief Fund to support the rescue, relief and rehabilitation of Bhote Koshi flood victims. The decision was taken at the municipality’s 215th executive meeting chaired by Mayor Basudev Thapa. The municipality has also decided that Mayor Thapa will contribute Rs 35,000, Deputy Mayor Rs 15,000, each ward chairperson Rs 10,000, each executive member Rs 6,000 and each ward member Rs 2,500. Mayor Thapa appealed to civil society, the private sector and other organisations to extend support to communities affected by the disaster.
Starlink offers free internet to support Nepal flood relief efforts
Satellite internet provider Starlink has offered to deploy communication kits and provide free internet connectivity to support disaster response operations following the devastating Bhote Koshi floods in Nepal and the Tibet border region. The company said on X that it was awaiting approval from the Nepali authorities before deploying the equipment. According to Starlink, its portable kits can establish high-speed internet connectivity within minutes with access to a power source and a clear view of the sky. The satellite service could help rescue teams coordinate operations, support medical services and reconnect families in areas where conventional communication networks have been disrupted. Authorities have reported 734 deaths and more than 2,400 people missing across the affected river basin.
Trishuli flood sweeps away suspension bridge linking Gorkha and Dhading
A sudden surge in the Trishuli River on Sunday morning swept away the Charaundi suspension bridge, an important link between Gorkha and Dhading districts. The powerful current placed intense pressure on the bridge before eventually destroying the structure, cutting off direct pedestrian movement between Gandaki Rural Municipality in Gorkha and Benighat Rorang Rural Municipality in Dhading. According to the District Police Office, Dhading, the high-velocity current severely damaged the bridge before washing it away. Another suspension bridge at Dhabadi in Dhading was also damaged by the raging river. Authorities warned that continued rises in river levels could pose further risks to nearby settlements and infrastructure.
Contractors’ association appeals for vehicles for Bhote Koshi flood relief
The Federation of Contractors’ Association of Nepal has urged its members across the country to provide pickup trucks and mini-trucks for rescue and relief operations following the Bhote Koshi floods. General Secretary Shivhari Ghimire issued a circular on Saturday, stating that the disaster had caused extensive loss of life and property in Rasuwa, Nuwakot, Dhading and other districts. The federation said vehicles were urgently needed to transport relief supplies and evacuate flood survivors from affected areas to safer locations. It requested its members to provide vehicles in coordination with the Ministry of Physical Infrastructure Development and assist communities affected by the disaster.
National power grid expanded to Panthok and Jugja
The national electricity transmission network has been extended to Panthok and Jugja in Malika Rural Municipality-5, Devisthan, Myagdi, under the Nepal Electricity Authority’s ‘Ujyalo Myagdi’ initiative. A 100 KVA transformer has been installed in each settlement to connect them to the national grid. Panthok has 132 households, while Jugja is home to 72 households. The communities previously relied on peltric sets for local electricity generation and distribution. The expansion is expected to provide residents with a more reliable electricity supply and improve their access to the national power grid.
Jhapa administration warns against unauthorised fundraising for Rasuwa flood victims
The District Administration Office (DAO), Jhapa, has urged individuals and organisations not to collect financial contributions or relief materials without authorisation in the name of victims of the Rasuwa Bhote Koshi floods. The administration issued the notice after receiving reports that various groups had begun collecting donations and relief materials in the district. It advised those wishing to provide financial assistance to deposit funds only after verifying the official account details of the Prime Minister’s Disaster Relief Fund. The administration said the measure was intended to prevent unauthorised fundraising and the possible misuse of donations collected in the name of disaster victims.
Jawalakhel Group contributes Rs 30 million to flood relief fund
Jawalakhel Group of Industries (JGI) has contributed Rs 30 million to the Prime Minister’s Disaster Relief Fund to support rescue, relief and rehabilitation efforts for victims of the Rasuwa floods. The group said the contribution was made under its corporate social responsibility initiative. Expressing deep sorrow over the loss of lives and property caused by the devastating floods, JGI extended condolences to affected families and communities. The group said the contribution would support government efforts to provide assistance and rehabilitation to families affected by the disaster.
NAIMA contributes Rs 5 million to Rasuwa flood relief fund
The Nepal Automobile Importers and Manufacturers Association (NAIMA) has contributed Rs 5 million to the Prime Minister’s Disaster Relief Fund for the relief and rehabilitation of people affected by the Bhote Koshi floods in Rasuwa. NAIMA President Ritu Singh Vaidya expressed condolences to the families of those who lost their lives and wished those injured a speedy recovery. She said supporting the government and affected communities during disasters was a shared responsibility of the private sector. Vaidya also called for greater cooperation among the government, businesses and local communities. NAIMA said its member companies were separately providing financial, transportation and logistical assistance to flood-affected areas.
Tanahun Red Cross provides Rs 102,083 for Bhote Koshi flood victims
The Tanahun District Branch of the Nepal Red Cross Society has provided Rs 102,083 to support victims of the Bhote Koshi floods. In coordination with the District Administration Office, the branch also provided free ambulance services for the management of recovered bodies and supplied essential materials required for the process. Branch Chairman Krishna Prasad Gautam said the assistance was part of the organisation’s emergency response to the disaster. The Tanahun Red Cross has urged its municipal branches, sub-branches, and Junior and Youth Red Cross Circles to continue supporting disaster-affected communities and fulfilling their responsibilities during emergencies.
International Jhapali Samaj to contribute Rs 1.5 million to flood relief fund
International Jhapali Samaj has decided to contribute Rs 1.5 million to the Prime Minister’s Disaster Relief Fund for the relief and rehabilitation of Bhote Koshi flood victims. The decision was taken at a virtual meeting held on Saturday under the chairmanship of President Mahendra Prasad Chamlagain, according to General Secretary Chiran Khawas. The organisation expressed condolences to those who lost their lives in the floods and landslides and pledged continued support for rescue, relief and rehabilitation efforts. With national committees operating in more than 40 countries, the organisation said it would continue supporting communities affected by the disaster.
Arghakhanchi Cement contributes Rs 11.1 million to flood relief fund
Arghakhanchi Cement Pvt. Ltd. has contributed Rs 11.1 million to the Prime Minister’s Disaster Relief Fund to support rescue, relief and rehabilitation efforts for Bhote Koshi flood victims. Company Chairman Pashupati Murarka and Managing Director Rajesh Agrawal handed over the contribution to Finance Minister Swarnim Wagle. The company said the assistance was provided under its corporate social responsibility programme amid widespread loss of life and property caused by the disaster. Arghakhanchi Cement stressed the need for the government, private sector and social organisations to work together to support affected communities. The company also pledged to continue providing assistance during disasters and other emergencies.
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