Kathmandu, February 7 – Nepal received Rs 763.08 billion in remittances during the first six months of the current fiscal year (July-December), according to a mid-term review report released by the Ministry of Finance on Thursday. This marks a 4.1% increase compared to the same period last year, though growth has slowed significantly from the 22.2% surge recorded in the previous year.
The report also highlighted that net transfers, or the total money Nepal receives from abroad after accounting for outflows, rose by 4.2% to Rs 832.76 billion. Last year, this figure had grown by 21.1%. Meanwhile, the balance of payments—a measure of the country’s financial transactions with the rest of the world—remained positive at a surplus of Rs 249.26 billion, slightly lower than last year’s Rs 273.52 billion surplus.
The Ministry noted a rise in Nepalis seeking foreign employment, with 230,439 individuals securing first-time work approvals (up 11.7%) and 162,628 renewing their permits (up 21.4%) compared to the same period last fiscal year. Remittances, a critical pillar of Nepal’s economy, support household incomes and national foreign exchange reserves. However, the slower growth this year reflects global economic uncertainties impacting migrant workers.
Experts stress the need for domestic job creation to reduce reliance on overseas employment. The Finance Ministry’s report underscores the ongoing challenges and opportunities in balancing Nepal’s economic stability with the livelihoods of its citizens. Further updates are expected in the upcoming annual budget announcement.
Source: nagariknetwork, thehimalayantimes,Business 360°.
