Kathmandu: The Government of Nepal and the Government of the Federal Republic of Germany have signed two important agreements regarding financial and technical assistance. 



At a programme organised at the Ministry of Finance today, Joint-Secretary at the Finance Ministry, Dhaniram Sharma, on the behalf of the Government of Nepal and Ambassador of Germany to Nepal, Udo Volz, on the behalf of German government, signed on the agreements. 



The two agreements would support the priorities of Nepal's energy, health, agriculture, and inclusive development, shared the Ministry. Under the Financial Aid Agreement, the German government has expressed commitment up to 20 million Euro support for the Power Distribution Strengthening Programme. 



The project would be focused in upgrading and strengthening Nepal's power distribution system, it is said. The project would be implemented through Nepal Electricity Authority (NEA) and an implementation agreement will be signed between NEA and German Development Bank for the same. 



The agreement would be implemented till September 2, 2029. It is stated that the technical cooperation agreement is based on the long-term framework agreement signed in 1974 and the amended agreement of 2009. 



Germany will provide support in various sectors with an estimated commitment of up to 21 million Euros under this agreement. The said project will support the health sector by continuously providing support for national gender equality and social inclusion strategies in the health sector, and will help to enhance the quality of infrastructure in the health system. 



Similarly, the project aims to support programmes that promote the development of agriculture and the private sector, and an inclusive and climate-resilient economic development. The project will also provide consultative and technical assistance through further studies and an expert fund. 



It is stated in the agreement that the implementation of this technical assistance agreement will also be completed within five years, that is, by 5 September 2029. On the occasion, Ministry Joint Secretary Sharma expressed gratitude for Germany's continuous support in the development endeavours of Nepal. 



Ambassador Volz said that this new commitment has further strengthened Germany's collaboration with Nepal and the Nepalese people in the areas of energy, sustainable economic development and health.

Nepal and Germany sign two agreements

Kathmandu: The government has removed Hitendra Dev Shakya from the post of Executive Director of the Nepal Electricity Authority (NEA), appointing Deputy Executive Director Manoj Silwal as his successor.



The decision was made during a cabinet meeting on Sunday. Prior to the announcement, NEA Managing Director Kulman Ghising held a one-on-one discussion with Shakya, according to officials.



This marks another leadership reshuffle at the state-run power utility. In March, the KP Sharma Oli-led government had removed Ghising from the top post following disputes with then Energy Minister Deepak Khadka over unpaid industrial dues. Shakya was subsequently appointed to replace him.



With Sunday’s decision, Silwal now takes charge as NEA’s new executive director, as the authority faces mounting challenges in power supply, industrial demand, and financial management.

Government removes NEA Chief Shakya, appoints Silwal amid leadership shifts

Kathmandu: The business leaders from the private sector have vowed revival, while expressing sorrow over the loss in the industrial and commercial enterprises during the Gen-Z protest taken place on September 8 and 9. 



During a meeting with Prime Minister Sushila Karki on Sunday, the business leaders mentioned that they would rise again with new vigour. 



The private sector witnessed a serious setback from vandalism and arson, President of the Federation of Nepalese Chamber of Commerce and Industry (FNCCI) Chandra Prasad Dhakal said. "As per the preliminary estimates, the total damage is around Rs 80 billion to Rs 100 billion. But, we won't remain idle by being disappointed, will rise again," Dhakal said. 



He shared the vandalism and arson are not merely impacts of the protests. The lootings and arsons were carried out deliberately, he asserted, demanding that those involved in vandalism and arson must be booked immediately. 



Also speaking at the event, Chair of the Confederation of Nepalese Industries Birendra Raj Pandey stated that the private sector has suffered the worst in every movement. "Against this context, special subsidy and concessional loan are needed to boost up confidence of the private sector," Pandey reminded. 



Likewise, Chair of the Federation of Nepal Cottage and Small Industries Umesh Singh, informed that almost 500,000 small and cottage industries out of total 900,000 in the country were not renewed and asked to waive off the renewal fees for once for such industries. 



Similarly, President of the Nepal Chamber of Commerce, Kamalesh Agrawal, suggested that the government that it unveiled a special integrated security plan to safeguard industrial property and develop confidence for investment. 



He was of the view that the current situation has marred both the investors and industrialists. On the occasion, President of the Federation of Contractors' Association of Nepal, Rabi Singh, viewed that this government should initiate a campaign for a corruption-free environment in the country along with the preparations for elections.

Private sector estimates loss of Rs 100 billion during Gen-Z protests

Kathmandu: The price of gold in the domestic market today hits all-time high, reaching 207,900 per tola (11.66 grams). The price of gold has risen in the international market and its ripple has seen in the domestic market, it is said. 



According to the Federation of Nepal Gold and Silvers Dealers' Association, on Tuesday, the price of gold was Rs 205,900 per tola and it soared by Rs 2,000 per tola on Wednesday. 



However, the price of silver slightly fell today to set at Rs 2,480 per tola, Rs five less than of Tuesday. According to international media, the price of gold is 3,536 US dollar per ounce in the international market today.

Gold price hits all-time high, reaching 207,900 per tola in Nepali market

Kathmandu: The price of gold in Nepal surged by Rs 3,000 per tola on Sunday, setting a new record high in the domestic market just days after crossing the Rs 200,000 mark for the first time.



According to the Federation of Nepal Gold and Silver Dealers’ Association, fine gold, which was traded at Rs 200,600 per tola on Friday, climbed to Rs 203,600 per tola today.



Silver prices also jumped sharply, rising by Rs 65 per tola. The precious metal is now being traded at Rs 2,425 per tola, up from Rs 2,360 per tola on Friday, also an all-time high.

Gold hits record high of Rs 203,600 per tola in Nepal

Kathmandu: Federation of Nepalese Chambers of Commerce and Industry (FNCCI) President Chandra Prasad Dhakal and Qatar Chamber Chairman Sheikh Khalifa bin Jassim bin Mohammed Al Thani held a meeting in Qatar to discuss strengthening bilateral economic and business relations.



During the talks, both sides agreed to hold the next Nepal-Qatar Joint Business Council (JBC) meeting in Kathmandu. Dhakal said the JBC has become an important mechanism to promote trade and investment between the two countries and stressed the need to finalise its membership list to make it more effective.



Inviting Qatari investors to explore opportunities in Nepal, Dhakal highlighted sectors such as hydropower, solar energy, information technology, fintech and agriculture-based industries. He also emphasised FNCCI’s ongoing digital transformation and called for collaboration with the Qatar Chamber on advanced technologies, including AI-based business tools, blockchain trade documentation and digital investment platforms.



Al Thani assured that efforts would be made to make the JBC more effective and reiterated Qatar’s commitment to deepening business ties with Nepal.



Dhakal also invited Qatari business leaders to participate in the Nepal International Economic Summit scheduled for February in Kathmandu, where a special “Qatar-focused investment session” will be featured. He further proposed collaboration in certification, standardisation and joint branding to boost Nepali exports such as tea, coffee, cardamom, herbs and processed foods in the Qatari market.



High-ranking officials and businesspeople from the Qatar Chamber attended the meeting.

Nepal-Qatar joint business council meeting to be held in Kathmandu

Kathmandu: Nepal Rastra Bank (NRB) will issue new paper notes only in the denomination of Rs 5 for the upcoming Dashain festival, while providing clean notes in other denominations.



The central bank said the move is part of its cost management strategy and efforts to encourage digital transactions. Until last year, NRB used to print new notes of multiple denominations for the festival, spending an average of Rs 1.3 billion annually.



According to an NRB source, individuals will be allowed to exchange clean notes and new notes worth up to Rs 18,500 per person through any commercial bank and the central bank’s seven provincial offices.



Dashain, the biggest Hindu festival in Nepal, is less than a month away.

NRB to issue only Rs 5 new notes for Dashain

Kathmandu: Gold price has reached all time high today reaching Rs 200 thousand 600 per tola. 



A tola is equivalent to 11.66 grammes. According to the Federation of Nepal Gold and Silver Dealers' Association, the price of one tola of gold has soared to Rs 200,600 per tola compared to Rs 199 thousand 400 per tola on last Thursday. 



Similarly, the same quantity of silver is being traded at Rs 2,360 per tola today against Rs 2,355 on Thursday, said the Federation. The international media reported that the precious yellow metal is currently being traded at USD 3,408 per ounce in the international market. An ounce of gold weighs 31.1 grammes.

Gold price hits record high at Rs 200,600 per tola

Kathmandu: Nepal’s public debt increased by Rs 14.05 billion in the first month of the current fiscal year 2082/83 (2024/25), reaching Rs 2.684 trillion, the Public Debt Management Office said in its latest report.



The figure, equivalent to 43.94% of GDP, includes Rs 1.42 trillion (52.26%) in external debt and Rs 1.27 trillion (47.74%) in domestic debt. The government has set a borrowing target of Rs 595 billion for the year, of which Rs 44.57 billion — 7.48% of the target — was raised by mid-August, including Rs 40 billion from domestic sources and Rs 4.57 billion externally.



During the same period, Rs 36.68 billion was spent on interest payments, accounting for 8.93% of the Rs 411 billion allocated for debt servicing in the current budget.

Nepal’s public debt rises by Rs 14 billion in first month of new fiscal year

Kathmandu: Despite a large number of universities and colleges established in the country for higher studies, a hefty amount of money is spent for abroad studies by Nepali students. 



According to the Current Macroeconomic and Financial Situation of Nepal released by the Central Bank on Sunday based on annual data, travel payments from the country increased 18.1 percent to Rs 223.72 billion, including Rs 138.48 billion for education. 



"Such payments were Rs 189.43 billion and Rs 125.13 billion respectively in the previous year," it stated. According to the Nepal Rastra Bank, the net services income remained at a deficit of Rs 90.94 billion during 2024/25 compared to a deficit of Rs 55.86 billion in the previous year. 



Under the service account, travel income increased 7.7 percent to Rs 88.66 billion in the review year which was Rs 82.33 billion in the previous year.

Nepali students spend Rs 138 billion for abroad studies

Kathmandu: The economic growth rate has increased and inflation has decreased in the last Fiscal Year 2024/25 as compared to the previous fiscal year. 



Nepal Rastra Bank (NRB) stated this in its report entitled Current Macroeconomic and Financial Situation of Nepal (Based on Annual Data (Mid-July 2025 of 2024/25) which was issued today. According to the central bank, the economic growth rate for 2024/25 has been estimated to be 4.61 percent. 



In the previous year the economic growth rate was 3.67 percent. Agriculture, industry and service sectors are estimated to grow 3.28 percent, 4.53 percent and 4.21 percent respectively. Share of agriculture, industry and service sectors in GDP stands 25.16 percent, 12.83 percent and 62.01 percent respectively in 2024/25. 



Gross domestic saving to GDP stands 6.55 percent in 2024/25. Ratio of gross fixed capital formation and gross national saving to GDP stands 24.07 percent and 36.24 percent respectively. Annual average Inflation remained 4.06 percent in 2024/25. In the previous year annual average inflation was 5.44 percent. 



The y-o-y consumer price inflation stood at 2.20 percent in mid-July 2025 compared to 3.57 percent a year ago. Under the food and beverage category, the annual average consumer price index of vegetable sub-category increased 10.71 percent, ghee &amp; oil 8.72 percent, pulses &amp; legumes 7.90 percent and cereal grains &amp; their products 6.13 percent while the annual average consumer price index of spices decreased 2.62 percent and meat &amp; fish 0.34 percent. 



The annual average non-food and services category inflation stood at 3.71 percent in 2024/25 compared to 4.64 percent a year ago. The y-o-y non-food and services category inflation stood at 4.12 percent in mid-July 2025 compared to 3.26 percent a year ago. The NRB report stated that Balance of Payments remained at a surplus of Rs 594.54 billion compared to a surplus of Rs 502.49 billion last year. 



Imports and exports increased 13.3 percent and 81.8 percent respectively. In the previous year, imports and exports decreased 1.2 percent and 3.0 percent respectively. Remittances increased 19.2 percent in NPR terms and 16.3 percent in USD terms. 



During mid-June to mid-July 2025 remittance inflows stood at Rs. 189.11 billion, according to the report. Gross foreign exchange reserves stood at 19.50 billion in USD terms. It is stated that this level of foreign exchange reserve is sufficient to cover merchandise and services imports for 15.4 months. The broad money (M2) increased 12.5 percent in 2024/25. In the previous year M2 increased 12.9 percent. Deposits at BFIs increased 12.6 percent amounting to Rs 7264 billion while private sector credit increased 8.4 percent amounting to Rs 5498 billion in 2024/25. The installed capacity of electricity increased to 3591 Megawatt in 2024/25, which consists of 3390 Megawatt from hydroelectricity. The total number of tourist arrivals increased by 1.7 percent to 1,147,834 in 2024/25.

Nepal's economic growth of 4.61 percent estimated for FY 2024/25

More than 103,000 Nepalis have applied for just 5,300 job quotas offered by South Korea for 2025 under the Employment Permit System (EPS), according to the EPS Korea Branch in Nepal.



South Korea has allocated the quota for workers in the manufacturing and agriculture, livestock sectors. Applications were open from August 10 to 15, during which more than 100,000 people submitted forms to sit for the language test, a mandatory requirement for selection.



EPS officials said the initial screening of applications is under way. The language test will be held in up to five shifts per day, and only those who pass will be eligible for the final employment selection.



The Korean labor market remains one of the most sought,after destinations for Nepali workers, with the EPS test drawing massive participation every year. High wages, a regulated labor market, and worker, friendly policies are considered the key attractions.



Observers note that the overwhelming number of applications compared to the limited quota reflects the strong pull of South Korea’s labor opportunities for Nepali youths.

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