Kathmandu: Nepal Rastra Bank (NRB) is set to withdraw an additional Rs 25 billion from the banking system as part of its liquidity management efforts, after banks struggled to increase lending.



According to NRB, the funds will be withdrawn through a bidding system over a period of 22 days. The central bank has invited proposals from banks and financial institutions (BFIs) with excess liquidity.



This move follows NRB’s earlier withdrawal of Rs 149 billion, which has yet to mature. The central bank’s continued liquidity absorption aims to stabilize the financial system amid sluggish credit demand.

NRB to withdraw additional Rs 25 billion for liquidity management

Kathmandu: The price of gold in Nepal’s domestic market surged to an all-time high of Rs 171,300 per tola on Tuesday, according to the Federation of Nepal Gold and Silver Dealers' Association.



This marks an increase of Rs 500 per tola from Monday, when fine gold was priced at Rs 170,800 per tola. The previous record high was Rs 171,000 per tola.



Meanwhile, silver prices declined by Rs 15 per tola. Silver, which was priced at Rs 1,985 per tola on Monday, dropped to Rs 1,970 per tola on Tuesday.

Gold hits record high at Rs 171,300 per tola in Nepal

Kathmandu: Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel resumed his regular duties at the Ministry of Finance on Sunday after recovering from injuries sustained in a balloon explosion earlier this month.



Paudel was injured on February 15 during the official launch event of ‘Pokhara Visit Year 2025,’ organized by Pokhara Metropolitan City. He was immediately admitted to Kirtipur-based Burn Hospital, where he received intensive care for two days before being discharged.



Following his discharge, the minister had been handling only essential tasks from his residence. With his return to office, he is now back to full-fledged ministerial responsibilities.

FinMin Paudel resumes office after injury recovery

Kathmandu: Nepal recorded a trade deficit of Rs 861.38 billion in the first seven months of the current fiscal year, according to data released by the Department of Customs. The country's total foreign trade during this period stood at Rs 1,115.79 billion, with imports continuing to far exceed exports.



Between the start of the fiscal year and the end of Magh, Nepal imported goods worth Rs 988.58 billion, while exports totaled Rs 127.20 billion. Despite a 46.50% increase in exports compared to the same period last year, imports also rose by 10.09%, resulting in a 6.20% widening of the trade deficit. The imbalance in trade remains a concern, with imports making up 88.60% of total foreign trade, while exports account for only 11.40%.



Nepal's largest trade deficit was recorded with India, amounting to Rs 498.34 billion. Imports from India reached Rs 596.35 billion, whereas exports to the southern neighbor stood at Rs 98.75 billion. The country also faced a significant trade deficit with China, importing Rs 192.45 billion worth of goods while exporting only Rs 2 billion, leading to a shortfall of Rs 190.44 billion. Other countries contributing to Nepal’s trade deficit include Argentina, the UAE, and Australia.



Despite the overall deficit, Nepal managed to record a trade surplus with 35 nations, including Afghanistan, Denmark, Russia, Austria, Norway, and the Maldives. Nepal’s trade with Afghanistan, for instance, showed exports of Rs 494.5 million against imports of just Rs 12.4 million.



Petroleum products remain Nepal’s most expensive import item, contributing significantly to the growing trade deficit. On the export front, soybean oil continues to be the country’s leading export product. The persistent trade imbalance highlights Nepal’s heavy reliance on imports, raising concerns over economic sustainability and the need for policies that encourage domestic production and export diversification.

Nepal’s trade deficit reaches Rs 861.38 billion in seven months

Kathmandu: South Asia’s largest and most influential tourism fair, SATTE 2025 (South Asia Travel and Tourism Exchange), successfully concluded at Yashobhumi, New Delhi, from Falgun 7, 2081. 



Nepal’s diverse tourism offerings were showcased to more than 35,000 visitors, NTB with a distinguished delegation of 34 Nepali travel and tourism companies promoting Nepal’s tourism assets. The event specifically highlighted Nepal’s close proximity, affordability, and easy accessibility for Indian tourists. To further enhance Nepal’s tourism promotion, Nepal Tourism Board (NTB) organized a special side event during the fair. The event was graced by Deepak Raj Joshi, CEO of NTB, in the presence of His Excellency Dr. Shankar Sharma, Nepal’s Ambassador to India, along with high-ranking government officials from Nepal and India, tourism entrepreneurs, and representatives from various countries. Addressing the opening ceremony, CEO Joshi emphasized the cultural and linguistic similarities between Nepal and India, reinforcing Nepal’s commitment to becoming a premier travel destination for Indian tourists. He highlighted NTB’s innovative strategies in promoting religious, cultural, and adventure tourism, targeting India’s large and growing travel market. Among the key initiatives introduced by Nepal Tourism Board were Sudurpaschim Travel Mart, Buddhist Circuit, and Himalayan Travel Mart, which aim to attract more Indian travelers. As Nepal continues to see a rise in Indian tourists, Ambassador Sharma stressed the need for an efficient system to track and manage road-based travel from India. He also reaffirmed the Nepali Embassy’s commitment to collaborating with NTB to further enhance Nepal-India tourism relations through effective programs. Preeti Srivastava, Deputy Director of the Department of Tourism, Government of Uttar Pradesh, India, expressed her commitment to organizing joint tourism promotion programs to strengthen Nepal-India tourism ties. Similarly, Kumar Mani Thapaliya, President of the National Association of Tour and Travel Agents (NATA), emphasized the importance of SATTE 2025 in fostering “People-to-People” and “Business-to-Business” relationships, creating new market opportunities. Nepal Tourism Board’s active participation in SATTE 2025 has been widely appreciated for its role in elevating Nepal’s global tourism presence. Such prestigious international fairs are expected to further boost Nepal’s tourism sector, expanding its reach in the global market and unlocking new business prospects.

NTB successfully participates in SATTE 2025

Kathmandu: Nepal Airlines Corporation (NAC) and Japan Airlines have signed a bilateral interline agreement, enabling passengers to book tickets through Nepal Airlines for global destinations while traveling via Japan Airlines.



The Nepal Airlines Corporation (NAC) and Japan's national flag carrier Japan Airlines finalized this partnership to expand business and connectivity. As per the agreement, NAC's aircraft will transport passengers to Narita International Airport in Japan via direct flights. From there, travelers can connect to various destinations in America, Western countries, and Korea through short and efficient flights.



Passengers will also benefit from baggage check-in facilities with Nepal Airlines Corporation tickets, allowing seamless transfers to their final destinations worldwide via Japan Airlines' connecting flights. This arrangement is expected to facilitate tourist arrivals to Nepal through a unified travel network.



According to Nepal Airlines Corporation Spokesperson Ramesh Poudel, the agreement aims to promote tourism, support economic growth, and generate foreign exchange for the country. The deal was concluded after extensive coordination and negotiations, led by the Corporation's Executive Chairman Yubaraj Adhikari and the Market Management Department.



This agreement also strengthens trade ties between Nepal and Japan through their national flag carriers. With this addition, the number of airlines with which Nepal Airlines has passenger interline partnerships has reached 25, while the number of cargo partnership agreements stands at 28. NAC anticipates further expansion of its global network with the planned increase in its aircraft fleet in the near future.

NAC and Japan Airlines sign bilateral interline agreement

Kathmandu: The Finance Ministry has approved Rs 18.88 billion for the reconstruction of 26 infrastructure projects, including roads and bridges, damaged by the floods and landslides in late September.



Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel finalized the resource agreement on Wednesday after a request from the Ministry of Physical Infrastructure and Transport on February 16. According to ministry officials, the allocated funds will be used to rebuild 13 roads and 13 bridges across the country, including major highways such as BP Highway, Mechi Highway, Araniko Highway, and Kanti Highway.



In addition, the Finance Ministry has also authorized the National Disaster Risk Reduction and Management Authority to establish a temporary office and create necessary positions to expedite the reconstruction of structures affected by the Jajarkot earthquake.



The decision comes as part of the government’s effort to restore critical infrastructure and ensure connectivity in disaster-affected regions.

Finance Ministry releases Rs 18.88 bn for reconstruction of flood-damaged roads, bridges

Kathmandu: The United States government has put all US-funded Millennium Challenge Corporation (MCC) projects in Nepal on hold for 90 days, citing an executive order issued by President Donald Trump on January 20, 2025.



The decision was conveyed through an email from the Washington DC-based MCC to Nepal’s Ministry of Finance on February 14. The ministry made the communication public on Monday. As a result, all payments related to the MCC have been suspended until further notice.



Nepal signed the MCC agreement with the US on September 14, 2017, to fund infrastructure and energy projects. The temporary suspension raises concerns about the project's implementation and its impact on Nepal’s development initiatives.



Officials from Nepal’s Finance Ministry have yet to comment on the reasons behind the US decision or its potential implications for ongoing projects.

US suspends MCC projects in Nepal for 90 days

Kathmandu: The United States has withdrawn $39 million (Rs 5.39 billion) in aid previously allocated for Nepal’s fiscal federalism and biodiversity conservation programs. The funding cuts are part of a broader move to scale back foreign assistance across multiple sectors.



The Department of Government Efficiency (DOGE), led by billionaire entrepreneur Elon Musk, announced the decision via a post on X on Sunday. Nepal was set to receive $20 million for fiscal federalism and $19 million for biodiversity conservation, but both allocations have now been scrapped.



The cuts come amid a wider reassessment of US-funded initiatives abroad, affecting several other programs, including $40 million for gender equality initiatives and $47 million aimed at improving learning outcomes in Asia. Countries such as Bangladesh, Serbia, and Cambodia are also impacted by the decision.



The move reflects a shift in US foreign aid policy, with officials emphasizing the need to prioritize domestic spending. The impact of the funding withdrawal on Nepal’s programs remains to be seen.

US cancels $39 million in aid to Nepal for fiscal federalism, biodiversity conservation

Kathmandu: Prime Minister KP Sharma Oli has appointed Non-Resident Nepali Association (NRNA) President Badri KC as a member of the Industry, Commerce, and Promotion Dialogue Council. The appointment, based on a Cabinet decision from December 20, 2024, falls under the 2075 BS Industry, Commerce, and Promotion Dialogue Council (Formation) Order.



The council, formed to facilitate dialogue between the public and private sectors, held its first meeting on Tuesday. The meeting reviewed the government’s ongoing economic and administrative reforms, including amendments to 29 laws through ordinances, their impact on businesses, and efforts to promote start-ups and investment.



Committees were formed under the council to address key sectors such as production, infrastructure, trade, export, governance, and administration. These committees will study sectoral challenges and provide policy recommendations.



During the meeting, KC stressed the need to implement constitutional provisions related to economic, social, and cultural rights to attract non-resident Nepali investment.



The council includes representatives from national institutions, business organizations, and the private sector, including the Federation of Nepalese Chambers of Commerce and Industry.

PM appoints NRNA President Badri KC to Industry, Commerce Dialogue Council

Kathmandu: Japan is set to recruit 20,000 Nepali workers as caregivers under the newly signed Nepal-Japan Service Exchange Program. The agreement, announced at a press conference on Monday, involves Nepali and Japanese companies collaborating to facilitate the recruitment process.



Representatives from Japan's Genkou Research Institute, Kozai Koson Corporation, and Progressive Staff Agency, along with Nepal's Kathmandu University School of Medical Sciences, Sun &amp; Company Pvt. Ltd., and Sandipani Group of Companies, signed the agreement.



Naresh Ojha, Executive Director of Sandipani Group of Companies, stated that individuals aged 18 to 45 will be eligible for employment in Japan. Nepali candidates must pass a basic Japanese language test and a prescribed skills assessment to qualify as caregivers. According to PSS Executive Director Chizo Masuda, those who clear both tests will undergo interviews conducted by Japanese companies.



Selected candidates will have employment contracts ranging from three to five years and can earn up to 200,000 Japanese yen per month.

Japan to recruit 20,000 Nepali caregivers in health sector

Kathmandu: Nepal received Rs 763.08 billion in remittances in the first six months of the current fiscal year, marking a 4.1% increase compared to the same period last year, according to the Ministry of Financeâ€™s mid-term review report released Thursday.



However, remittance growth slowed significantly compared to last yearâ€™s 22.2% rise during the same period. Net secondary income reached Rs 832.76 billion, growing by 4.2%, down from the previous yearâ€™s 21.1% increase.



The report also revealed that 230,439 Nepalis received first-time approval for foreign employment, an 11.7% rise, while 162,628 workers renewed their permits, up 21.4%.



Despite these inflows, Nepal recorded a trade deficit of Rs 723.58 billion. The balance of payments remained in surplus at Rs 249.26 billion, though lower than last yearâ€™s Rs 273.52 billion.

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