KATHMANDU: Nepal has witnessed remittance inflow of Rs 729 billion in the first nine months of the current fiscal year.
Though the coronavirus pandemic has negatively impacted employment opportunities in the key labour destinations, the remittance flow paints a different story.
According to the remittance inflow update of nine months disclosed by the Nepal Rastra Bank today, the inflow has increased by 16.5 per cent. The remittance inflow had declined by 4.2 percent in the corresponding period last fiscal year, according to the NRB update. Such inflow had slumped by 4.9 percent in the last fiscal year.
During the reporting period, number of Nepali people obtaining final work permit (institutional and individual – new and legitimization) for foreign employment destination had reduced by 66.7 percent. However, the number had increased by 10.2 per cent in the corresponding period last year.
Number of Nepali people receiving renewed work permit for overseas employment had declined by 55.7 per cent in the first nine months of the current fiscal year. In the same period last year it had gone down by 15.0 per cent.
According to the central bank, the net transfer has increased by 14.4 percent in the reporting period. It had slumped by 4.7 percent in the corresponding period last year.
Major Highlights
- CPI-based Inflation remained 3.10 percent on y-o-y basis.
- Imports increased13.1 percent and exports increased 20.2 percent.
- Remittances increased 16.5 percent in NPR terms and 13.0 percent in USD terms.
- Balance of Payments remained at a surplus of Rs.42.54 billion.
- Gross foreign exchange reserves stood at USD 11.96 billion.
- Federal Government spending amounted to Rs.690.28 billion and revenue collection
Rs.683.87billion. - Broad money (M2) expanded 14.2 percent. On y-o-y basis, M2 expanded 23.9 percent.
- Deposits at BFIs increased 13.7 percent and claims on the private sector increased 21.8 percent.
- On y-o-y basis, deposits increased 23.0 percent and claims on the private sector 21.7 percent.
Please see the full report:
Current Macroeconomic and Financial Situation (Based on Nine Months data)
