Nepal to grow at 5pc this fiscal     
Posted in NEWS on Feb 8, 2012 | no responses

Nepal’s economy will grow at 5 percent in the current fiscal year, while inflation will remain at 8 percent, according the Nepal Rastra Bank forecast.

A meeting of the NRB management committee represented by the governor, two deputy governors and a board member, on Tuesday decided to submit this forecast to the board for approval, according to a NRB source. The central bank will then review the monetary policy for the current fiscal year based on the forecast.

Recently, the Finance Ministry had forecast economic growth at 4.5 percent and inflation between 7 and 8 percent. The budget for the current fiscal year had targeted 5 percent growth and 7 percent inflation.

With food prices decreasing in India, the NRB management committee decided to keep inflation forecast moderate.

According to a recent NRB study, Indian inflation has direct impact on Nepal’s commodity prices under normal condition. As the current fall in food prices in India is seasonal, the possibility of a rise in food prices cannot be ruled out. On the other hand, better monsoon is expected to help to achieve the targeted economic growth.(Source:ekantipur)


Bookmark/Share it:   

  • Delicious
  • Facebook
  • Reddit
  • StumbleUpon
  • Twitter
  • RSS Feed
  • Google
  • Digg
  • LinkedIn
  • Technorati



Related Posts :

  • Nepal’s foreign currency reserves rose 42.2 percent to record Rs 386.96 billion in the first nine months of current fiscal year, spurred by growing remittance inflow and tourism and other service incomes, according to Nepal Rastra Bank (NRB) ...

  • International Monetary Fund (IMF) has projected Nepal’s economic growth will drop to 3.8 percent in the current fiscal year 2012-13. The country’s Gross Domestic Product expanded at 4.6 percent rate last fiscal year. According to the IMF, ...

  • Despite the economy not faring well, the country has achieved some success in social sectors in the fiscal year (FY) 2010-11. The Economic Survey 2011, presented in the Legislature-Parliament on Thursday, shows the average income of a Nepali ...

  • Nepal’s economy will grow at a rate of 4.6 percent in 2012, and the figure is expected to hover around 5.2 percent in the following three years, according to Nepal Economic Outlook 2012, released by the Institute for Integrated Development St ...

  • The freefall of Nepali rupee does not seem to stop, with the exchange rate for the domestic currency against the US dollar touching new lows almost every day. First, the rupee plunged to an all time low of Rs 84.20 per dollar on November 2 ...

  • The Nepalese economy is likely to grow by 4.5 per cent in 2012 as contrary to 3.5 per cent growth of last year, according to Asian Development Outlook 2012 (ADO 2012) launched by the Asian Development Bank (ADB). Faster growth of agricultu ...

  • The inflow of remittance witnessed a slight growth during the nine months of the current fiscal year. According to Nepal Rastra Bank sources, the remittance saw an increase of only by 9.6 per cent to Rs. 164.93 billion compared to 60.3 per ...

  • Nepalis are eating better according to the Global Hunger Index (GHI). The Global Hunger Index 2011 Report prepared by the International Food Policy Research Institute (IFPRI) has placed Nepal in the 54th position, up from 56 in 2010. Nepal ...

  • The country witnessed over four times increase in trade deficit in the four months of current fiscal year. From Rs 26.62 billion deficit in the first month, the trade deficit has gone up to Rs 111.80 billion during the four months, according ...

  • Nepal welcomed 280,575 air tourists in the first seven months (January-July) of Nepal Tourism Year (NTY) 2011, up 24.3 percent from the same period last year. According to the Nepal Tourism Board (NTB), visitor arrivals in July increased 2 ...

  • The remittances inflow has seen almost eight times increase in five months to Rs 133.19 billion from Rs 17.7 billion in the current fiscal year. “Workers’ remittance increased by 37.9 per cent to Rs 133.19 billion in the fifth month of the ...

  • Tourist arrivals to Nepal via air rose 18.5 percent to 332,472 in the first seven months of 2012 compared to the same period last year, said the Immigration Office, Tribhuvan International Airport (TIA). However, the aggregate arrival growth ...

  • Owing to soaring imports of consumer goods and insignificant amount of export trade, Nepal’s trade deficit is likely to go beyond Rs. 300 billion by the end of the current fiscal year. Trade deficit which was around Rs. 220 billion last ye ...

  • Passenger movement at Kathmandu’s Tribhuvan International Airport (TIA) is projected to reach 5.85 million by 2015, a jump of 36.62 percent from the figure for 2011, said the Civil Aviation Authority of Nepal (CAAN). According to its forec ...

  • Income of Nepali citizens has doubled in last one decade, though it might take more than a decade to graduate the country to even ‘very low income group’. During the 2000-01, the per capita gross national income (GNI) of a Nepali was $259 onl ...