foreign exchange<\/a> requirements for Nepalis visiting overseas following the balance of payments crisis.<\/p>\nAs per latest reports of the Nepal Rastra Bank (NRB), the country\u2019s foreign exchange reserves stand at USD 9.4 billion as of November 2018, similar to March 2016.<\/p>\n
This fall in forex reserves has been continuing since July 2018 due to rise in imports.<\/p>\n
According to the Central Bank, the current reserves are sufficient to deal with prospective merchandise imports of 9.2 months and merchandise & services imports of 7.9 months.<\/p>\n
Outflow of reserves exceeded the inflows to the Central Bank during the first four months of the fiscal, NRB added.<\/p>\n
The outflow surpassed inflows by NPR 57.3 billion during the period, resulting in a balance of payments deficit of Rs 57.3 billion between mid-July and mid-November.<\/p>\n
<\/p>\n
This situation was observed despite 36.4 percent rise in remittance inflows (around NPR 312.3 billion), which got affected by a 35.8 percent rise in imports during the period.<\/p>\n
Major concern here was the mismatch in trade during the period. While imports saw an 18.1 percent high, year-on-year, exports grew by a modest 11 per cent to NPR 29.3 billion. This eventually widened the country\u2019s trade deficit by 37.8 per cent.<\/p>\n
On the other side, while Nepalis spent NPR 34.9 billion overseas, the country received only NPR 25.1 billion in earnings from foreign visitors.<\/p>\n
Foreign Direct Investment is another important factor that fell from 51.3 per cent to Rs 4.9 billion in the first four months of current fiscal, contributing to overall forex decline.<\/p>\n","protected":false},"excerpt":{"rendered":"
In another update concerning economy, Nepal saw a deep decline in its foreign exchange to a…<\/span><\/p>\nRead more<\/a><\/div>\n<\/p>\n","protected":false},"author":761,"featured_media":15232,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7042,3],"tags":[1382,2840,6694,7795,11178,6949,1076,11179,925],"yoast_head":"\n
Imports Rise Downsize Nepal\u2019s Forex Earnings in FY 2018-19<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n