The major highlights of current macro-economic and financial situation of Nepal based on four-month
data (ending Mid Nov 2025/26) published by Nepal Rastra Bank shows the very excitement and healthy
situations of Nepalese economy. Some of the major highlights are as follows:
- CPI-based inflation remained 1.11 percent on y-o-y basis.
- Gross foreign exchange reserves stood at Rs. 3055.52 billion. Such reserve remained 21.52 billion in USD terms. The reserve is sufficient to cover the prospective merchandise and services imports of 17.4 months.
- Current account and balance of payments remained at a surplus of Rs.279.65 billion and Rs.318.40 billion respectively.
- Remittances increased 31.4 percent in NPR terms and 25.3 percent in USD terms. During mid- October to mid-November, remittance inflows stood at Rs. 133.82 billion.
- Exports increased 77.5 percent and imports increased 18.7 percent.
- The weighted average inter-bank rate among the BFIs stands at 2.75 percent and the weighted average 91-days Treasury bills rate remained at 2.37 percent in the fourth month of 2025/26.
- Weighted average deposit rate of commercial banks stood at 3.74 percent and lending rate stood at 7.38 percent.
In spite of above wonderful and pleasure hearing glimpse of Nepalese economic scenario, the ground
level reality is very contrasting. If anyone ask the industrialists or talk to any small and medium-size
entrepreneur, the reality is very alarming.
There is situation of cash flush or over liquidity in banking sector, base rate is continuously
decreasing, yet it is hard to get loan from banks, thus credit expansion is in paralyzed conditions.
Non-performing loan (NPL) are rising in each quarter and banks has built a big chunk of Non-
Banking Assets (NBA) in their books of accounts.
The liquidity situation of commercial banks for 4 years is as follows: