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Economic Survey of Nepal 2077/78

Article 28 May 2021 23934 49

Nepal Economic Survey FY 2077-2078

आर्थिक सर्वेक्षण २०७७/२०७८ सार्वजनिक (PDF Copy डाउनलोड गर्नुहोस)

Nepal Economic Survey FY 2077/2078: Nepal's economic growth rate has reached a negative level of 2.12 percent. For the first time in the last two decades, Nepal's economic growth rate has reached a negative level of 2.12 percent.

According to the Nepal Public Economic Survey FY 2077/2078 on Friday, it is higher than the economic damage caused by the 2072 earthquake. Announcing the Economic Survey 2078 at a program organized at the Ministry, Finance Minister said that for the first time in the last two decades, the country's economic growth rate has reached a negative level of 2.12 percent. He said that Nepal's economic growth rate was estimated to be 4.1 percent in the current fiscal year with the expectation of gradual improvement in the health crisis. However, he said the task of achieving the projected economic growth rate was becoming more challenging due to the second wave of Covid 19, which has been spreading rapidly since the third quarter of the current fiscal year.

He said, “In the fiscal year 2076/77, the Covid-19 epidemic has affected Nepal's economy and for the first time in the last two decades, the economic growth rate has been negative at 2.12 percent. This is even higher than the economic damage caused by the devastating earthquake of 2072. With the expectation of gradual improvement in the health crisis, Nepal's economic growth rate was estimated to be 4.1 percent in the current fiscal year. But the second wave of Covid 19, which has been spreading rapidly since the third quarter of the current fiscal year, has made it difficult to achieve the projected economic growth rate. ”

The Economic Survey 2078 estimates that per capita GDP will increase by 5.8 percent to US $1,191 in the current fiscal year.

Similarly, per capita gross national income is estimated to have increased by 5 percent and reached USD $1196. In recent years, the average price of goods and services has remained within the required range. In FY 76/77, the consolidated expenditure of all three levels of government was Rs. 1191.6 billion. Out of the consolidated expenditure, recurrent expenditure is 56 percent, capital expenditure is 34.1 percent and financial management is 9.9 percent.

Similarly, the government's budget deficit is 8.1 percent of the GDP, according to the ministry. As of February of the current Fiscal Year, the Federal Revenue has increased by 4.6 percent as compared to the same period of the previous Fiscal Year and reached Rs. 501.97 billion.

The ministry has sanctioned Rs 142.17 billion refinancing for 48,831 debtors till February 2021 for industries affected by Covid 19. Out of the Rs 34.11 billion allocated for the prevention, control, and treatment of the Covid-19 epidemic at all three levels, Rs 10.95 billion remains to be spent, the ministry said.

According to the report of the United Nations Development Program (UNDP) for the year 2020, the Human Development Index of Nepal has improved from last year to 0.602. The Ministry of Reconstruction has achieved historic success this year. According to the ministry, the businessmen affected by the Covid-19 epidemic have received Rs 10.21 billion in interest on bank loans.

The ministry said that the attraction of investors towards the capital market has increased, the scope of insurance business has expanded, exports have increased and the aggregate indicators of the economy including balance of payments and revenue collection have been positive.

The ministry said that despite the economic crisis caused by the Covid-19 epidemic, Nepal's inflation remained within the required limits, the balance of payments and foreign exchange reserves were favorable, the financial sector was strong and progress in reconstruction and infrastructure development was on the rise. Therefore, the economic situation was expected to strengthen in the coming days and the economy was expected to grow in V shape. The second wave of Covid-19 poses a new challenge and risk to the dynamic economy.

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