Government Completes Six Months, Economic Performance Mixed
Summary
Nepal’s government has completed six months in office with progress in governance reforms but mixed results in the economy. While banking liquidity, remittances, and foreign exchange reserves have improved, private-sector morale, investment, employment, and market monitoring remain weak.
Key Points
- The government marks six months in power after launching a 100-point governance reform agenda and cutting the number of ministries from 25 to 17.
- Experts say governance and transparency improved, but market monitoring, price control, investment, and job creation have lagged.
- Natural disasters, including floods and landslides, have added a major economic burden and complicated recovery efforts.
- Nepal Rastra Bank data shows improved remittances, reserves, exports, and credit growth, though loan demand remains subdued.
