Nepal’s growth holds steady at 3.85 percent despite shocks
Summary
Nepal's economy is projected to grow by 3.85% this fiscal year despite shocks like agricultural losses, domestic unrest, and global geopolitical tensions. Fuel price rises and climate events have impacted sectors differently, with energy and financial services driving non-agricultural growth.
Key Points
- Nepal's economy is expected to grow by 3.85 percent in the current fiscal year, surpassing external forecasts despite shocks.
- Agricultural growth slowed to 1.58 percent due to extreme weather events impacting crop production.
- Non-agricultural sectors like electricity, gas, finance, and insurance showed strong growth, with electricity and gas growing by 20.93 percent.
- Remittances account for 33.02 percent of GDP, up significantly from the previous year, highlighting their economic importance.
