Kathmandu, Ashar 26, 2082 (July 10, 2025) – Nepal’s economy has expanded significantly, with the country’s Gross Domestic Product (GDP) rising by NPR 400 billion in just one fiscal year.
According to the Finance Ministry‘s recent data:
- Nepal’s GDP increased from NPR 5.7 trillion to NPR 6.1 trillion.
- Revenue collection rose by NPR 108 billion during the same period.
- Capital expenditure increased by NPR 36 billion compared to last year.
Growth Indicators
The ministry’s report shows encouraging progress across various sectors:
- Private sector lending increased by 8.7%, up from last year’s 5.6%.
- Remittances grew by 15.5%.
- Exports rose by a massive 77.8%, while imports increased by 13.1%.
Positive Growth Across 18 Economic Sectors
Based on the National Statistics Office’s survey, growth was seen in:
- Transport, construction, mining, electricity & gas
- Trade, banking, insurance, industry, real estate
- IT, agriculture & forestry, public administration
- Health, science, manufacturing, education, housing & food services
Economic Reforms Driving Progress
The Finance Ministry attributes this growth to investment-friendly policies and several key legal reforms:
- Amendments in the Financial Procedure and Fiscal Responsibility Act 2081
- Business Environment Reform Act 2081
- Privatization Act 2081
- Banking Offense and Punishment Act 2082
- Introduction of Customs Tariff Act 2081
- Proposal of Alternative Development Finance Bill in Parliament
Institutional Improvements & Challenges
- Formation and actioning of a High-Level Economic Reform Commission
- Addressing long-standing complaints from the private sector
- Settling over NPR 30 billion in previous year’s dues
However, the ministry also noted ongoing challenges:
- Meeting revenue targets
- Further increasing capital expenditure
- Navigating Nepal’s exit from the FATF grey list
