KATHMANDU: Welcome to Nepal News’ Evening Economic Brief—your go-to source on key financial updates in Nepal. Stay informed with concise insights on market trends, economic indicators, and policy shifts. Here are today’s top economic news highlights.
Share market recovers on Thursday after four consecutive days of decline: The share market, which had been declining for the previous four trading days, saw a recovery on Thursday. On this day, the NEPSE index rose by 2.07 points. Following this increase, the NEPSE index settled at 2,658 points. The total turnover also increased by Rs 300 million. While the previous day’s trading volume was Rs 7.57 billion, it reached Rs 7.87 billion today.
A total of 83 companies saw an increase in their share prices, while 161 declined and one remained unchanged. The “Investment” subgroup recorded the highest gain at 2.4 percent. Similarly, the Hydropower sector rose by 0.22 percent, Trade by 0.39 percent, and Banking by 0.03 percent. On the other hand, Development Banks fell by 0.76 percent, Finance by 0.83 percent, Hotels and Tourism by 1.16 percent, Life Insurance by 0.32 percent, Manufacturing by 0.17 percent, Microfinance by 0.46 percent, Non-life Insurance by 0.28 percent, and the “Others” group by 0.13 percent.
Capital Expenditure Responsibility Lies with Respective Ministries, Says Finance Minister: Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel clarified that the responsibility for capital expenditure lies with the concerned ministries, not with the Ministry of Finance. Speaking at a meeting of the Ministerial-Level Development Problem Resolution Committee held at the Ministry of Finance, Paudel emphasized that while the Finance Ministry is responsible for resource management and facilitation, it is up to the relevant ministries to implement the allocated budget and ensure progress in spending.
“The notion that the Finance Ministry is solely responsible for capital expenditure is incorrect,” Paudel said. He also directed government employees to focus on resolving audit issues, facilitating foreign investment, mobilizing capital, utilizing modern technologies, and improving service delivery.
Government Moves Ahead with Alternative Development Finance Bill: The government is proceeding with a new bill under the banner of “Alternative Development Finance Operations,” which experts say will only increase the financial burden on the state. A bill aimed at regulating the operation of alternative development finance has been registered in the Parliament Secretariat.
The bill proposes the establishment of a fund as an autonomous body under full government ownership. The proposed institution would have an authorized capital of NPR 100 billion and a paid-up capital of NPR 25 billion. Experts argue that with a paid-up capital even lower than that of commercial banks, the institution may become a liability to the state.
Private Sector Must Be Energized for Economic Transformation, Says FNCCI President Dhakal: President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Chandra Prasad Dhakal, has said that the economic transformation agenda cannot succeed without energizing the private sector.
Speaking at a workshop on the formulation and implementation of an effective wage policy in Nepal—organized with support from the International Labour Organization (ILO)—Dhakal emphasized that an effective wage policy must be linked with national economic development goals and the mobilization of the private sector. Citing factors such as low economic growth, contraction of the industrial sector, and low productivity, he warned that increases in wages could create financial liabilities that would be challenging to manage.
Trump Administration Begins Dismantling MCC, Nepal to Suffer: The administration of former U.S. President Donald Trump has begun dismantling the Millennium Challenge Corporation (MCC), a small independent body that supports the economic development of poor but stable countries. Staff of MCC were notified via email regarding offers of early retirement or delayed resignation. The shutting down of MCC will have direct impact in Nepal’s infrastructure development.
The notification came after a visit from Elon Musk’s budget-cutting task force, according to a report from The New York Times, which obtained a copy of the internal communication. “We have learned from the DoJ team that significant program cuts are imminent at MCC, along with a major reduction in staff,” said an email from the executive chief. Staff were given until Tuesday to either voluntarily resign or face job termination effective May 5.
MPs Push to Revive Scrapped Constituency Development Fund: Despite being scrapped in 2078 BS due to budget misuse and lack of accountability, lawmakers are now pressuring the government to reinstate the ‘Constituency Development Fund’. They argue that MPs best understand the local infrastructure needs in their constituencies.
During a budget consultation meeting with Finance Minister Bishnu Prasad Paudel and officials of the National Planning Commission, members of the Finance Committee of the Federal Parliament demanded that either each MP be allocated a budget for infrastructure or the government must include at least one infrastructure project per constituency in the upcoming fiscal year’s budget.
Nepal to Provide Free Health Services for Returnee Migrant Workers: The government has decided to offer physical and mental health counseling and treatment for migrant workers who return to Nepal with health issues. Health and Population Minister Pradeep Paudel made the announcement during his recent visit to the United Arab Emirates (UAE). The program is intended to support Nepali workers who fall ill either while abroad or after returning home.
A special ward will be established at the Shahid Dharmabhakta National Transplant Center in Bhaktapur under this initiative. According to a press release from Minister Paudel’s Secretariat, the hospital will offer a separate free OPD (Outpatient Department) ward for returnee migrant workers, where anyone who has worked abroad can receive free health checkups.
Load Shedding Resumes in Industrial Areas Due to Drop in Power Imports from India: Formal load shedding has resumed in industrial zones of Nepal due to reduced electricity imports from India. The Nepal Electricity Authority (NEA) stated that challenges have emerged in electricity supply management due to the dry season and insufficient imports from India. NEA issued a notice assuring that every effort is being made to manage the partial load cuts in industrial areas.
Currently, Nepal’s average electricity production is around 1,175 megawatts, including hydropower and solar energy. However, demand has surged, peaking at around 2,077 megawatts. As a result, a large gap between supply and demand has forced the country to rely on Indian imports to meet electricity needs.
Govt publishes Names of Over 48,000 VAT-registered Taxpayers Who Failed to Submit Returns: The government has made public the names of more than 48,000 taxpayers who, despite being registered under the Value Added Tax (VAT) system and operating businesses, have not submitted their tax returns. According to the Inland Revenue Department, the names were published as these taxpayers failed to file their tax returns for a continuous period of six months.
The department has posted the details of such taxpayers—who have surpassed the six-month non-filing period—on its official website, urging them to submit their returns and regularize their business transactions within 15 days. Taxpayers whose names have been published can contact the Inland Revenue Office or the Taxpayer Service Office where their businesses are registered to clarify and submit the necessary documents.
NECO Insurance Declares Dividends for Shareholders: NECO Insurance has declared dividends for its shareholders. In a board meeting held this morning, the company decided to distribute a 7% bonus share and an additional 0.36% cash dividend for tax purposes.
The dividend will be distributed after approval by the Insurance Authority and the company’s Annual General Meeting (AGM). Currently, the market value of the company’s shares is around NPR 744 per unit.
Himalayan Bank to Issue Further Public Offering (FPO) at Premium Price: Himalayan Bank is set to issue a Further Public Offering (FPO) at a premium price and has applied to the Securities Board of Nepal (SEBON) for the same. To maintain the 70:30 shareholding ratio between promoters and the general public, the bank will issue 9.25 million shares at a premium rate.
The proposal was approved by the bank’s Annual General Meeting (AGM) held on Poush 29 (mid-January). Following approval from the central bank (Nepal Rastra Bank) and AGM, the bank has approached SEBON to proceed with the share issuance.
Motorable Bridge in Tanahun Completed Four Months Ahead of Schedule: A motorable bridge over the Buldi River connecting Wards 1 and 2 of Byas Municipality in Tanahun district has been completed four months ahead of the deadline. The bridge was scheduled for completion by Bhadra 22, 2082 B.S. (early September, 2025), but Jwalamukhi Construction’s supervisor Narayan Pandey reported that it is already finished.
The bridge is 25 meters long and 8.40 meters wide. While the finishing touches are still underway and cars cannot yet cross officially, motorcycles have begun using the bridge. The company’s high prioritization of the project made early completion possible.
Pure Energy Limited Shares Distributed to Over 119,000 Applicants: The IPO allotment of Pure Energy Limited took place today (Thursday) at the office of the issue manager, Nabil Investment Banking. A total of 119,520 applicants received 10 shares each through a lottery system.
Out of 1.85 million applications, only 1.84 million were approved. The IPO was open for public subscription from Chaitra 28 to Baisakh 2. The company issued 1,195,200 units of shares at a face value of NPR 100 each, amounting to NPR 119.52 million.
Api Himal in Darchula Emerging as an International Tourist Destination: Api Himal, the highest peak in Sudurpaschim Province, is increasingly becoming a popular destination for foreign tourists. The mountain stands at 7,132 meters above sea level. According to statistics of tourists visiting the Api Himal Base Camp and the Api Nampa Conservation Area, located in Ward No. 1 of Api Himal Rural Municipality, Darchula, the mountain is gaining international recognition.
Binay Jha, the warden of the Api Nampa Conservation Area Office, stated that 175 foreign tourists have visited Darchula over the past nine years. The government agency continues to issue permits for visitors to the base camp and protected area, reflecting a steady rise in interest from international trekkers and nature lovers.
Himalayan Chyangra Farm Grows in Mustang for Pashmina and Breed Improvement: A Chyangra (mountain goat) farm is now operational in Charang, Ward No. 1 of Lomanthang Rural Municipality, Mustang, through a local consumer committee. The farm has 600 chyangras and focuses on improving breeds and producing kids and pashmina wool.
The Ministry of Agriculture and Livestock Development, under the Himalayan Project and with financial assistance from the Asian Development Bank (ADB), has established this resource center for breed improvement and pashmina production.
6-Megawatt Ralekhola Hydropower Project in Myagdi Enters Testing Phase: In Annapurna Rural Municipality–4 of Myagdi, the 6 MW Ralekhola Hydropower Project has completed its physical infrastructure and begun testing.
Project spokesperson Homanath Pandey confirmed that pipelines from the dam to the power station have been filled with water, and final technical tests are underway. The project features dams, sedimentation ponds, and a 3,600-meter pipeline connecting the dam at Kalokhola to the powerhouse at Relekhark.
Biratnagar Fixes Admission Fees for Institutional Schools: Biratnagar Metropolitan City has set maximum admission and tuition fees for institutional (public and trust-run) schools for the 2082 academic session. Based on recommendations from the Municipal Education Committee, the municipality issued a directive capping monthly fees at NPR 2,000–2,500 for classes up to grade 5.
Annual fees for extra activities, sports, labs, maintenance, and libraries are capped at NPR 4,000–5,000; admission fees at NPR 2,000–2,500; exam fees at NPR 1,000–1,250; and educational materials at NPR 200–250.
75% Work Complete on Alternate Route for Limestone-Carrying Trucks: About 75% of construction work is complete on an alternate road being built to support limestone transportation for cement factories, including Ghorahi Cement in Dang. Work on the five-kilometer alternative track began in 2076 BS due to damage caused by heavy trucks on the Ghorahi–Kamirechaur–Murkuti road.
According to engineer Liladhar Giri, four kilometers of track have been opened so far. The road passes through Jumlepani–Joulebad–Okhaldhunga–Urja–Bachi–Sukakhola in Banglachuli Rural Municipality.
Dharan and Birtamod Businesses Collaborate to Revitalize Trade: In response to sluggish trade caused by the COVID-19 pandemic and economic slowdown, businesses from Birtamod and Dharan have agreed to collaborate. The Women’s Entrepreneurs Group of Birtamod and the Sunsari Chamber of Commerce and Industry in Dharan signed a cooperation agreement.
Chair Radhika Chudal Humagai said the goal is to support women in generating income through joint production and marketing initiatives. A women’s team visited Dharan to formally propose the partnership.
Prime Commercial Bank Joins Nepal Pay for Domestic Card Scheme: Prime Commercial Bank has signed an agreement with Nepal Clearing House Ltd. (NCHL) to join the Nepal Payment Switch (NPS) and National Card Switch (NCS) under the domestic card scheme “Nepal Pay”.
The agreement was signed by Bank GM Amrit Charan Shrestha and NCHL CEO Nilesh Man Singh Pradhan. With the infrastructure for NPS–NCS now ready, customers will soon be able to issue and use domestic Nepal Pay cards via integrated banking systems.
Sudurpaschim CM Begins Budget Consultations for FY 2082/83: Chief Minister Kamal Bahadur Shah of Sudurpaschim Province has initiated discussions for the policy and budget for fiscal year 2082/83. In a meeting at the Office of the Chief Minister and Council of Ministers, all provincial ministers, state ministers, policy commission officials, and secretaries participated.
CM Shah directed ministries to identify impactful and executable long-term reforms and submit their reports within 15 days, with an emphasis on relevant and innovative policies addressing public needs.
Giant Nettle Processing and Textile Training Empowers Women in Baitadi: In Baitadi, the once-wasted allo (giant nettle) plant is being turned into a source of income. Pashupati Allo Processing and Spice Industry Pvt. Ltd., in partnership with Badikedar Rural Municipality, has launched a month-long training to process allo and weave textiles.
Funded with around NPR 2 million and supported by the municipality’s Enterprise Development Section and GIZ, the initiative has seen local women participate in yarn and cloth production.
Gold and Silver Prices Rise After Sharp Drop: The price of gold increased by NPR 200 per tola (11.66 grams) on Thursday, following a significant drop of NPR 7,500 the previous day. With the increase, the price of gold has reached NPR 190,600 per tola. On the previous day, gold was traded at NPR 190,400 per tola.
Silver prices also rose by NPR 45 per tola. After trading at NPR 1,965 per tola the previous day, silver is now being traded at NPR 2,010 per tola.
