KATHMANDU: Economic Digest (weekly) offers a concise yet comprehensive overview of significant business happenings in Nepal, presented in easily digestible summaries.
The NEPSE Index, on Monday, rebounded, gaining 44.45 points (1.80%) to close at 2,508.86, signaling a recovery in investor sentiment after previous losses.
Despite intraday volatility, with the index fluctuating between 2,462.79 and 2,508.86, market activity was strong, with 319 stocks traded and a turnover of Rs. 3.71 billion.
Conversely, the domestic gold and silver markets faced declines, with gold prices dropping to Rs 160,500 per tola and silver to Rs 1,940, reflecting shifting market dynamics.
Meanwhile, the Nepal Oil Corporation (NOC) reduced petroleum prices, aligning with supplier rates from the Indian Oil Corporation, which may help alleviate transportation costs for consumers.
Meanwhile, natural disasters caused by recent floods and landslides severely impacted electricity generation in Nepal, reducing output from around 3,000 MW to just 1,300 MW and forcing the NEA to import 300 MW from India to meet domestic demand.
NEPSE sees increase of 44.45 points
The NEPSE Index on Monday demonstrated a positive shift, gaining 44.45 points (1.80%) to close at 2,508.86 after a prior decline.
The day’s trading was marked by volatility, with the index starting at 2,466.6 points, dipping to a low of 2,462.79, and reaching a high of 2,508.86.
Overall, market activity was robust, with 319 stocks traded through 50,680 transactions, totaling 9,717,959 shares and generating a turnover of Rs. 3.71 billion.
This indicates a recovery in investor sentiment following the previous session’s losses.
Gold prices decline in domestic market
Gold prices in the domestic market experienced a drop on Monday. The Federation of Nepal Gold and Silver Traders reported a decrease of Rs 100 per tola, bringing the price of gold down to Rs 160,500, compared to Rs 160,600 on Sunday.
Silver also saw a decline, with its price falling by Rs 5 to Rs 1,940 per tola. This trend reflects a broader shift in market dynamics, impacting both precious metals.
NOC lowers petrol price
The Nepal Oil Corporation (NOC) announced a reduction in petroleum prices effective from midnight on Monday.
Under the new pricing, petrol will be reduced by Re 1 per liter, while diesel and kerosene will each see a decrease of Rs 2 per liter.
Additionally, the cost of aviation fuel for domestic flights will drop by Rs 6 per liter, and for international flights, it will be reduced by US $45 per kiloliter.
This adjustment aligns with the revised rates provided by the Indian Oil Corporation, the supplier for NOC.
In specific areas such as Chaaraali, Biratnagar, Janakpur, Amlekhgunj, Bhalwari, Nepalgunj, Dhangadhi, and Birgunj, petrol will now be priced at Rs 155.50 per liter, while diesel and kerosene will cost Rs 144.50 per liter.
The NOC’s price reductions reflect adjustments to align with supplier rates, potentially easing transportation costs for consumers.
Hyundai Motor hits major milestone with 100 million vehicles produced globally
Hyundai Motor Company on Monday celebrated a significant milestone, marking 100 million units of global cumulative production.
This achievement was accomplished in just 57 years since the company’s foundation, making it one of the fastest in the global automotive industry. In honor of this milestone, Hyundai Motor held a ceremony at its Ulsan Plant in Korea.
As a token of gratitude for the unwavering support and trust of its customers, the company delivered its 100 millionth and first vehicle, an IONIQ 5, directly to a customer.
The vehicle rolled off the final inspection conveyor belt at Ulsan Plant’s shipping center during a special handover ceremony.
Over 1,100 MW of electricity generation affected by disaster
Floods and landslides resulting from heavy rainfall over the past two days damaged at least 20 hydropower plants, disrupting electricity supply nationwide.
This natural disaster has forced the Nepal Electricity Authority (NEA), which previously exported over 500 MW of electricity daily to India, to instead import power to meet domestic demand.
NEA Spokesperson Chandan Kumar Ghosh confirmed that 300 MW of electricity was imported from India on Saturday.
Prior to the disaster, Nepal’s electricity generation was approximately 3,000 MW, but recent events have slashed production to just 1,300 MW.
(Prepared by Srija Khanal)
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