Close Menu
    Facebook X (Twitter) Instagram
    Sunday, June 1
    Trending
    • Nepal Women’s Cricket Team Faces Growing Challenges on Path to 2026 World Cup
    • Tummoc Launches in Nepal, Accelerates International Mobility Tech Growth
    • Nepal’s Silent Mental Health Crisis Demands Urgent Action
    • Everything You Need to Know Before Renting an Electric Scooter
    • Best Foldable Electric Scooters for Easy Storage and Travel
    • Gold and crypto : why former rivals are now turning into powerful allies
    • Spring volatility shakes stock markets as tariffs cloud homebuying season
    • How to watch 2025 Met Gala Live in Canada and US Online | Met Gala 2025 Red Carpet Start Time
    Facebook X (Twitter) Instagram YouTube
    Nepal MonitorNepal Monitor
    • Home
    • About
    • News
    • Kathmandu
    • Business
    • Entertainment
    • Travel
    • Culture
    • Sports
    Subscribe
    Nepal MonitorNepal Monitor
    Home » Nepal Current Account Surplus and Economic Growth in 2024
    Kathmandu

    Nepal Current Account Surplus and Economic Growth in 2024

    TanjidBy TanjidMarch 14, 2025No Comments3 Mins Read42 Views
    Share Facebook Twitter Pinterest LinkedIn Tumblr Email WhatsApp Copy Link
    Follow Us
    Google News
    Nepal Current Account Surplus and Economic Growth in 2024
    Nepal Current Account Surplus and Economic Growth in 2024
    Share
    Facebook Twitter LinkedIn Pinterest Email Copy Link

    Nepal’s current account surplus has continued for seven months in the current fiscal year. The surplus reached Rs. 166.80 billion, which is slightly higher than the Rs. 162.52 billion surplus during the same period last year. According to Nepal Rastra Bank’s (NRB) report, this shows positive trends in Nepal’s economy.

    Growth in US Dollar Terms

    In terms of US Dollars, the current account surplus stood at 1.24 billion dollars during the review period. This was a slight increase compared to 1.22 billion dollars last year. The surplus highlights the stability of Nepal’s foreign financial position.

    Increase in Net Capital Transfers

    Net capital transfers have also increased. During the review period, Nepal received Rs. 5.83 billion. In the same period last year, it was Rs. 3.80 billion. This rise indicates an inflow of financial aid and other forms of capital that support Nepal’s economy.

    Higher Foreign Direct Investment (FDI)

    Foreign direct investment (FDI) equity also saw growth. Nepal received Rs. 7.45 billion in FDI during the review period, which is up from Rs. 5.19 billion last year. This shows more investor confidence in Nepal’s potential for growth.

    Balance of Payments Surplus

    Nepal’s balance of payments (BOP) recorded a surplus of Rs. 284.41 billion, which is slightly lower than Rs. 297.72 billion last year. In US Dollars, the BOP surplus stood at 2.11 billion dollars in the review period, compared to 2.24 billion dollars last year. Despite a small decrease, the surplus still reflects a strong financial position.

    Foreign Exchange Reserves Grow

    Nepal’s foreign exchange reserves have increased by 16.1%. The reserves reached Rs. 2,369.08 billion by mid-February 2025, up from Rs. 2,041.10 billion in mid-July 2024. In US Dollar terms, the reserves increased by 11.7% to 17.05 billion dollars. This shows strong economic growth and greater financial security for Nepal.

    Reserves Held by NRB and Other Institutions

    Most of the reserves are held by Nepal Rastra Bank (NRB). NRB’s reserves increased by 13.9% to Rs. 2,105.14 billion in mid-February 2025, up from Rs. 1,848.55 billion in mid-July 2024. Reserves held by banks and financial institutions (except NRB) also rose by 37.1%, reaching Rs. 263.93 billion in mid-February 2025. The share of Indian currency in the total reserves stood at 22.0%.

    Foreign Exchange Reserves Adequate for Imports

    The reserves held by the banking sector are sufficient to cover merchandise imports for 17.2 months. For both merchandise and services imports, the reserves can cover 14.4 months. This indicates that Nepal is well-equipped to manage external financial needs and imports.

    Improvement in Foreign Exchange Indicators

    Several foreign exchange indicators have improved. The reserves-to-GDP ratio increased to 41.5% from 35.8% in mid-July 2024. The reserves-to-imports ratio also improved, reaching 120.3% from 108.6% last year. The reserves-to-M2 ratio grew to 32.5% from 29.3%. These increases show a healthier foreign exchange position.

    Economic Outlook for Nepal

    Nepal’s current account surplus, increased foreign direct investment, and growing foreign exchange reserves all signal positive economic growth. These developments show that Nepal is becoming increasingly stable financially. The strong reserves and adequate coverage for imports will help maintain economic security in the future.

    The steady growth in capital transfers and foreign investments reflects confidence in Nepal’s potential. The rise in foreign exchange reserves further solidifies Nepal’s economic position.

    Overall, Nepal’s economic situation remains positive with continuous growth in reserves, a surplus in the current account, and a manageable balance of payments. With the support of increasing foreign direct investment and capital inflows, Nepal is on track to maintain economic stability.

    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email WhatsApp Copy Link
    Tanjid
    • LinkedIn

    Tanjid Osman is a dedicated local news reporter based in Nepal. With a passion for storytelling, he covers a wide range of topics including current news, business trends, entertainment, travel, culture, and sports. As a freelance author, Tamjid provides insightful and engaging news articles that highlight the diverse aspects of Nepal, with a particular focus on Kathmandu. Through his work, he aims to inform, educate, and connect audiences with the latest happenings in his community.

    Related Posts

    Kathmandu

    Amnesty Report: Human Rights in Nepal Worsened in 2023, Says Amnesty International

    May 1, 2025
    Kathmandu

    Woman Sets Herself on Fire After Domestic Dispute in Balaju, Kathmandu

    April 30, 2025
    Kathmandu

    Maternity Care Crisis in Baglung: Women Face Life-Threatening Challenges

    April 29, 2025
    Kathmandu

    NEPSE Rises Slightly by 3.58 Points as Daily Turnover Reaches Rs 10.87 Billion

    April 28, 2025
    Kathmandu

    Protesters in Kathmandu Burn Photo of Pakistani Army Chief Near Embassy

    April 27, 2025
    Kathmandu

    Nepal Medical Association Halts Non-Emergency Services Over Doctors’ Pay Dispute

    April 26, 2025
    Add A Comment
    Leave A Reply Cancel Reply

    Recent Posts
    • Nepal Women’s Cricket Team Faces Growing Challenges on Path to 2026 World Cup
    • Tummoc Launches in Nepal, Accelerates International Mobility Tech Growth
    • Nepal’s Silent Mental Health Crisis Demands Urgent Action
    • Everything You Need to Know Before Renting an Electric Scooter
    • Best Foldable Electric Scooters for Easy Storage and Travel
    • Gold and crypto : why former rivals are now turning into powerful allies
    Categories
    • Blog
    • Business
    • Culture
    • Entertainment
    • Kathmandu
    • News
    • Others
    • Politics
    • Sports
    • Travel
    © 2025 Nepal Monitor
    • Home
    • About
    • News
    • Kathmandu
    • Business
    • Entertainment
    • Travel
    • Culture
    • Sports

    Type above and press Enter to search. Press Esc to cancel.