Nepalis spend more in recreation

Nepalis spend more in recreation and cultural activities than in education.According to the fourth Household Budget Surveys (HBS), out of the total expenditure, 8.7 per cent was in recreation and cultural activities (urban 8.7 per cent and rural 8.9 per cent) and 7.6 per cent in education (urban 8.3 per cent and rural 6.4 per cent).
The survey also revealed that the average household size in rural and urban Nepal stood at 5.21 per cent and 5.49 per cent respectively. For the country as a whole the average household size stood at 5.36 per cent.
The survey has manifested the changes emerged in the consumption pattern of the Nepali households. It revealed that there is a downward shift in the expenditure pattern of the Nepali households in Food and Beverages group compared to the earlier studies. It has declined to 38.90 per cent from 66.78 per cent of the first survey that was done in 1973-75.
Similarly, its share during the second (1984-85) and the third survey (1995-96) was respectively 62.63 per cent and 53.20 per cent. The fourth survey has also disclosed the fact that the consumption pattern of Nepali households is shifting to non-food and service group (61.1 per cent). Thus, the expenditure on non-food and service sector in urban area was increased remarkably at 64.2 per cent. The highest percentage of expenditure on the non-food and service group was occupied by housing and furnishing group (urban 30.2 per cent and rural 23 per cent).
It also revealed that 87.6 per cent of total household possessed their own dwelling unit, 10.5 per cent lived in rented house and 1.9 per cent lived in rent-free house. "Out of the total household, 91.9 per cent has access to electricity and 42.6 per cent has access to telephone," states the survey conducted by the Nepal Rastra Bank (NRB).
Like wise, 7.9 per cent household were engaged in agriculture, 12.8 per cent in business/industry, 10.9 per cent in service/teaching, 21.1 per cent as housewives, 28.5 per cent as student, 3.9 per cent as wage earner, 1.5 per cent as domestic worker and 13.5 per cent were engaged in other types of occupation.A new series of Consumer price Index (CPI) will be planned on the basis of the findings of this survey. It is expected that the new index representing both urban and rural market centre will be instrumental in drawing a more robust monetary policy. The survey aims to provide information on various socio-economic aspects of the urban and rural households like employment pattern, literacy ratios, income distribution pattern and housing characteristics.
The reported average monthly household income stood at Rs 27,391 (urban – Rs 31,935 and rural – Rs 22,225) of which, 7.3 per cent was contributed by agriculture, 28.1 per cent by salary, allowance, wages and pension, 29.5 per cent by business/service, 16.1 per cent by remittance and 10.2 per cent by imputed rent, according to the survey.
Similarly, the average monthly expenditure of the household stood at Rs 15,130 (urban – Rs 17,896 and rural – Rs 11,982), of which, 39 per cent to food expenditure and 61 per cent to non-food expenditure.
The present study — conducted during 2005-2006 — is the fourth in the series of Household Budget Surveys (HBS). It was conducted amidst a sample size of 5,095 households from 48 market centres (23 urban market centres and 25 rural market centres) during mid-November 2005 to mid-November 2006.
The results of the survey will benefit the policy makers and other related persons/institutions for conducting additional studies and framing the policies regarding the economic and social aspects of the country.