Tourism industry has highest female managers

Female managers outnumbers the male in the tourism industry. 

According to According to an analytical study report by the Central Bureau of Statistics (CBS), some 60.7 per cent of tourism establishments had male managers while 39.2 per cent of them had female managers. "The number of establishments with female managers in the tourism industry is the highest among all establishments in Nepal," the report adds.

Province-wise, Province 2 has the lowest proportion of female managers ( some 19.3 per cent) while Province 1 has the highest (some 50.1 per cent),” the report reads, adding that accommodation and food service businesses have a higher proportion of female managers. Likewise, only 38.2 per cent of the establishments in the tourism industry have been registered. "The proportion of registered establishments is low in food and beverages service activities since these micro scale businesses are operating without registration knowingly or unknowingly, although laws require any business to be registered," the report adds.

Petro-pipeline extention to Chitwan to cost Rs 4 billion

 Some 62 km long petroleum pipeline extension from Amlekhgunj to Chitwan is going to cost Rs 4 billion, though, the entire project, including building associated infrastructure, is estimated to be around Rs 14 billion, according to a feasibility study conducted by the Nepal Oil Corporation (NOC).

The government is planning to stretch the pipeline to Chitwan in the first phase, and to Kathmandu eventually. Currently, the 69-km cross-border pipeline from Motihari in India to Amlekhgunj is operational since last one-and-a-half year. 

A joint technical study team of NOC and its sole petroleum products supplier Indian Oil Corporation (IOC) has prepared the feasibility study that has suggested the extension of the pipeline from Amlekhgunj to Lothar in Chitwan. The team submitted the feasibility study report to the Ministry of Industry, Commerce and Supplies. 

The NOC has also started discussions regarding the investment and construction modality with the ministry as it doesnot have the technical expertise to build the project on their own. 

The ministry, however, said a decision regarding the construction and financial modality will be finalised next week by the cabinet.

According to the ministry, the same company that build the Motihari-Amlekhgunj pipeline could be awarded the project or it can be awarded to any other experienced company through an open bidding process.

The NOC, along with the pipeline, also plan to construct a modern depot in Lothar for oil storage. The depot in Lothar will have a capacity of more than 100,000 kilolitres. Currently, the NOC's total storage capacity across the country amounts to 71,000 kilolitres, enough to meet its requirement for less than a week.

The construction of the Motihari-Amlekhgunj pipeline has allowed NOC to save Rs 2 billion in freight charges so far. The NOC is able to save freight charges as it will not need to seek the services of tanker, after the construction of pipeline.

The pipeline currently brings diesel only, but the NOC plans to bring petrol too through the pipeline this year. The pipeline also helps in reducing petroleum leakage, theft and adulteration. According to the NOC, it spends around Rs 6 billion on transporting petroleum products through oil tankers annually.

Following the obstruction in petroleum supply during the four-and-a-half-months-long Tarai unrest in 2015, the government thought of expanding fuel storage capacity to meet domestic demand for at least three months.

Likewise, another team from Indian Oil Corporation (IOC), which built the Motihari-Amlekhgunj pipeline as a gift to Nepal, also conducted a survey for pipeline connecting Nepal Oil Corporation's depot at Charali in Jhapa with Siliguri, in West Bengal of India. The initial survey revealed that some 35 km of pipeline will be laid in Indian territory and 15 km on the Nepal side of the border.

Nepal imports petroleum products worth more than Rs 200 billion annually, except last fiscal year, when the entire country was under lockdown reducing the vehicular movement. However, Nepal's petroleum consumption has almost doubled in last five years, according to a report of the Central Bureau of Statistics. Nepal's total export receipt is not enough to pay for a single commodity petroleum product's import bill. 

Due to ever growing requirement, the government has also planned to extend the pipeline to Kathmandu.

Covid bleeds economy red

 Hit hard by the corona pandemic, economy saw a negative growth of 1.99 per cent in the last fiscal year 2020-21, according to Central Bureau of Statistics (CBS).

Earlier in April, the CBS had projected economy to grow by 2.27 per cent in the last fiscal year, though the Finance Ministry had claimed the economic growth rate of the country stands at 0.02 per cent in 2019-20.

The CBS also projected the economic growth of the first quarter of the current fiscal year also to remain negative by 4.6 per cent. "But the economy is 'recovering at a V shape,' deputy director general of the CBS Hem Raj Regmi said, during a programme today.

This year the economic growth has been based on a rebasing of the economic indicators, which has been done on an interval of every 10 years. "The gross domestic product, based on the revised estimate, stands at Rs 3.94 trillion," according to the CBS.

Unveiling the data today, the CBS also revealed that the economic growth went down by 15.4 per cent during the last three months, between mid-May and mid-July in the last fiscal year compared to the same period a year ago.

The economy was largely hit after the government imposed a complete countrywide lockdown from March 24 last year for almost four months and partial lockdown again for almost another four months. However, the gross domestic product (GDP) has reached Rs 3.94 trillion due to change in the base year for the national accounts. "The GDP size has been estimated in the revised reference year as the government central data authority has switched the base year to 2010-11 from the previous 2000-01 to calculate the new macroeconomic figures.

With the revision in rebasing, the CBS reveals that the contribution of the service sector to the GDP has grown by 8.4 per cent while those of primary and secondary sectors declined by 9.4 per cent and 3.2 per cent, respectively. Likewise, the CBS has revised the weightage of service sector in GDP estimation from 48 per cent to 52.2 per cent. "The weightage of primary sector in the new reference year has been taken at 34 per cent from 37.6 per cent and that of manufacturing sector has been reduced to 13.9 per cent from 14.4 per cent."

The CBS also claimed that the country’s average income stands at  1,134 per capita, based on the new reference year. 

Nepal makes significant progress in some SDGs indicators

 Nepal has made significant progress in reaching the Sustainable Development Goals (SDGs) indicators including those on child mortality, child nutrition, access to water and sanitation, and birth registration, according to a new survey.

“Approximately one million children in Nepal have at least one functional limitation,” Nepal Multiple Indicator Cluster Survey 2019 (NMICS 2019) released today by the Central Bureau of Statistics (CBS) finds.

The Nepal MICS provides statistically sound and comparable data to monitor the situation of children and women in Nepal, including the functional limitations status of children. It will help to monitor progress in reaching the goals of international agreements such as the Sustainable Development Goals (SDGs) and to formulate plans and programmes for those that require immediate attention, according to the CBS.

For the first time, the Nepal MICS 2019 included The Washington Group-UNICEF Module on Child Functioning. The module collects information on children aged between two and 17 years old and assesses any functional difficulties, including hearing, vision, communication and comprehension, learning, mobility and emotions. 

“Girls and boys are equally affected, although children living in rural settings and poor families have a slightly higher prevalence of such limitations,” the report reads, adding that the Sudoorpashchim Province has the highest rate (12 per cent) of functional limitations among children aged between two and 17, and the Bagmati Province has the lowest (9.3 per cent).

The findings of the Nepal MICS 2019 will be instrumental in formulating sectoral plans and shaping polices to help achieve national and international commitments. Most of the disaggregated results and the datasets were available to the public before the launch of the final report and are being used by policymakers, planners, researchers, development partners and non-governmental organisations to formulate programmes and strategies.

According to the survey:

• 8 per cent of women aged between 20 and 24 were married before they were 15 years old, and 33 per cent were married before they reached 18 years old. 

• 19 per cent of children aged between 10 to 14 experience severe physical punishment, 78 per cent experience physical aggression, and 82 per cent are exposed to some form of violent discipline.

• The under-five mortality rate, infant mortality rate, and neonatal mortality rate in Nepal have all declined over the past five years. Since the MICS 2014, the under-five mortality rate has declined from 37 to 28 deaths per 1,000 live births, the infant mortality rate dropped from 31 to 25 deaths per 1,000 live births and the neonatal mortality rate declined from 19 to 16 per 1,000 live births.

• 20 per cent of children in school Grades 2 and 3 have foundational reading skills and numeracy skills.

• 3 per cent of children have access to three or more children’s books, whereas only 66 per cent of children have access to two or more types of toys.

• Overall, the completion rate of lower basic education is 82 per cent, upper basic education is 73 per cent, and secondary level education is 27 per cent. The completion rate for girls is slightly higher than boys at all levels. 

• In the past two years, three out of four women gave birth to a child in a health facility. 

• Overall, 32 per cent of children under the age of five are stunted, 12 per cent are wasted and 3 per cent are overweight. One child in four, under the age of five, is underweight for his or her age.

• 95 per cent of the population has access to basic drinking water, but only 24 per cent of households are drinking safe water that is free from contamination such as E. coli and arsenic. Around 79 per cent of households have access to a basic toilet.

• Nationwide, the births of 77 per cent of children, under the age of five, are registered. The Bagmati Province has the lowest level of registrations with 70.8 per cent, whereas the Sudurpaschim and Karnali provinces have the highest percentage of births registered. 

The survey was led by the Central Bureau of Statistics with financial and technical support from UNICEF. Children, women and men in 12,800 households were surveyed using various methods in 512 clusters of Nepal, representing all seven provinces disaggregated by urban and rural areas. The fieldwork was conducted from May to November 2019.

Nepse posts three historic records, all-time high index, largest turnover and highest number of transaction

 It seems coronavirus crisis has not any negative impact on domestic market as the Nepse index went up by 0.98 per cent or 18.43 points to close at 1,893.24 points – the highest in the history – today. The previous highest close was 1,881.45 on July 27, 2016.

Though the Nepse index scaled as high as 1,926.91 points – during the intraday session today – it settled to close at 1,893.24 points also with the highest turnover of Rs 7.61 billion, which is also the record turn over in the market till date. Likewise, the secondary market witnessed some 17,188,099 shares of 201 listed firms are traded through 70,003 transactions, which is also the highest number of transactions in a single trading day, today the last trading day of the week.

Since the banks and financial institutions are flushed with lonable liquidity, and there is no other investment opportunity in the market due to coronavirus induced slowdown in economy, the investors have been putting their money on share, according to the analysts. “The change in guard in the Finance Ministry has also played the catalyst to push the share market up,” they claimed, as the incumbent finance minister Bishnu Prasad Poudel is considered market friendly, compared to his predecessor Dr Yuba Raj Khatiwada. 

The float index gained 1.45 points and closed at 128.54 while the sensitive index closed at 365.18 points after gaining 2.85 points, according to the Nepse, that is yet dominated by the banks and financial institutions. The banking index gained the most 2.7 per cent helping to push the Nepse up.

Nepal Reinsurance Company (NRIC) has the highest individual scrip turnover of Rs 581.3 million, whereas the shares of Prabhu Bank (PRVU) was the highest trading today. Likewise, four companies that hit the 10 per cent positive circuit today are NMB Laghubitta Bittiya Sanstha (NMBMF), Panchthar Power Company Ltd (PPCL), Himalaya Urja Bikas Company (HURJA), and Ankhukhola Hydropower Company Ltd (AKJCL).

The Salt Trading Corporation (STC) has however lost the most at 6.18 per cent. The trading index lost the most at 5.33 per cent.

The the Nepse index and gross domestic production (GDP) has had the positive correlation in the past years, it seems to have the negative correlation this fiscal year. In the past years, the Nepse has recorded highest when the GDP also posted high in the respective fiscal years. But this fiscal year, the GDP seems to be hovering between 0 to 2 per cent, according to the projections from multilateral development partners including Asian Development Bank (ADB), World Bank (WB) and International Monetary Fund (IMF), and also the Central Bureau of Statistics (CBS), and National Planning Commission (NPC).     

DATES TO REMEMBER
The lowest index level was on June 15, 2011 – 292.00
The highest index was on July 27 2016 – 1,881.45
The lowest Index level on March 3, 2019 – 1,100.58
The highest index is on today, Nov 26 2020 – 1893.25

UNFPA and UK Government handover IT equipment to Central Bureau of Statistics for census

 The United Nations Population Fund (UNFPA) handed over IT equipment today to the Central Bureau of Statistics (CBS), as the later ramps up its preparations for the 12th National Population and Housing Census (NPHC).

The first census to be conducted under the new Constitution and federal structure is going to take place in June 2021.

According to a press note issued by the UNFPA, the IT equipment, which is worth $609,873 (Rs 72 million), has been procured by UNFPA with UKaid funding and comprises of 2,250 tablets with power-banks and accessories, 35 laptops, 47 desktop computers, five mobile work-stations, one server, three high resolution printers and relevant software licenses. “It will enable CBS to produce census data that meets the highest technological standards.”

The need for high-quality and reliable population data has been underscored by the global Covid-19 pandemic, and is also essential to measure Nepal’s progress towards the Sustainable Development Goals (SDGs), with their strong commitment of leaving no one behind. The use of innovative technology in the 2021 NPHC – including tablets in selected census enumeration areas – will ensure that CBS captures detailed data on how many people are living in the country – disaggregated to the lowest administrative level¬– and how they are living – their health and well-being, problems and prospects and socio-economic circumstances, the press note reads, adding that the 2021 NPHC data will be invaluable for policymakers and planners to understand the situation across the country, development needs and where or how to invest in everything from schools to health care to roads.

The government is committed to conduct the 2021 NPHC in line with international standards, and to ensure that the data collected are used to improve the lives and realise the rights of those who are at risk of being left behind.

“We commit to undertake the census to address the data gaps at the lowest administrative level while ensuring that the health and safety precautions of our personnel and the respondents is in compliance with government guidance,” remarked director general of CBS Nebin Lal Shrestha. The CBS is leading census operations under the guidance of the National Census Steering Committee chaired by the National Planning Commission (NPC) vice chair.

The IT equipment will strengthen the CBS’s infrastructure and capacity and complements its efforts to modernise the census operation through amulti-method approach of data collection, the press note reads, adding that UNFPA is supporting Nepal to undertake the12thNPHC, recognising that reliable and timely data is the foundation of sustainable and inclusive development in Nepal. “The census is the cornerstone of the statistical infrastructure, it provides a numerical profile of the country hence is of great value to the public and government alike.”

UNFPA is proud to offer technical and financial support to Nepal to ensure that the census is of high-quality, upholds international standards, and produces data that are widely disseminated and utilised for development gains,” said UNFPA country representative in Nepal Lubna Baqi. “The UK’s support to Nepal always aims to be based on data that is reliable and which includes everyone,” she said, adding that the census is one of the most important chances to capture data so that any number of organisations – from government through to development partners and community organisations – can direct their assistance in the best way. “In turn this will help improve the services provided to women, men, children, poor, the vulnerable and other groups of people.”

“I am pleased that the UK has been able to contribute equipment and technology in this way through our partners at UNFPA and the CBS,” development director at the British Embassy Kathmandu Lisa Honan said.

Census 2021 to include economic and social indicators

 With the slogan ‘My Census, My Participation, National Population Census 2021’, the 12th series of National Population Census – scheduled to be conducted for 15 days, from June 8 to 22 in 2021 – is going to include more economic and social indicators, according to the Central Bureau of Statistics (CBS).

The census will collect more descriptive details as well as additional details than the previous census, it claimed, during a video conference jointly organised by CBS and Society of Economic Journalists Nepal (SEJON). The upcoming census will collect the detailed description of the households such as ownership, its uses and structure,” informed CBS director general Nebin Lal Shrestha. “The description related to land used for agricultural purpose and its area, number of animals and birds, number of households constructed with the grant provided by the government and number of people who have taken vocational training and skilled manpower, among others, will also be included,” he said, adding that access to financial facilities including account and loan in banks and financial institutions is an addition to the questionnaire this time. “Description of facilities used by households such as drinking water, toilet, cooking fuel, electricity, television, phone, and vehicles will also be collected during the census.”

Likewise, the census – conducted every 10 years – will collect the details of property in the name of women, small family businesses, absentees in family due to labour migration and details of their work, profession. “The census will also collect data about working status, institutional area, reasons for not working and job search.”

The data will also be collected at the ward level to verify the statistics collected from the household level, the CBS has planned as it has also prepared a questionnaire of 80 questions for 2021 census. It has projected that there are around seven million households and some 30 million population in the country at the moment.

CBS will be forming eight different coordination committees encompassing different tiers of government from the central to ward level and also technical and thematic committees to reach every populace and make 2021 census successful, Shrestha said, adding that the 2021 census will be the first to be conducted under federal Nepal. “Around 43,000 enumerators and 9,000 supervising staff will be mobilised to collect data.”

According to the CBS, earlier, teachers used to be taken as enumerators but this time people from local levels will be given opportunities to be enumerators. “They will be invited through open advertising,” Shrestha said, adding that the master trainers will be trained from mid-January and they will later train the enumerators. Though, it’s difficult to conduct the census during the coronavirus times, he said, the CBS has already conducted pilot census during the time of Covid19 crisis adopting health safety protocols. “The 2021 census also will be done in the same way.”

Joint Secretary at the National Planning Commission (NPC) Suman Aryal, on the occasion, highlighted the importance of transparency and stakeholder participation during census for the quality of the statistics that are collected.

Remittance may drop significantly, warns World Bank again

 Though, the central bank is upbeat about the remittance inflow, World Bank estimates that Nepali migrant workers are going to send home only $7.39 billion in 2020, down by 12 per cent from pre-coronavirus levels in 2019.

“In 2019, Nepali migrant workers sent home $8.25 billion back, the World Bank Migration and Development Brief released today reads. “The virus-related global slowdown and travel restrictions will also affect migratory movements, and this is likely to keep remittances subdued even in 2021.”

The Brief reads that tepid economic growth and employment levels in countries hosting migrants, weak oil prices and depreciation of the currencies of remittance-source countries against the US dollar were all factors behind the decline. 

The central bank however claims that Nepal might not see negative growth in remittance earnings in 2020, but the growth momentum might not last in 2021 as the global economy gets battered by the second wave of the Covid-19 pandemic.

According to the central bank, the remittance inflow continue to grow, against all the odds in the global job providing countries. The remittances inflow between mid-July and mid-September increased by 8.1 per cent to Rs 165.73 billion in 2020 compared to a decrease of 0.6 per cent in the same period of a year ago. “There has been a better-than-expected growth in remittance sent by Nepali migrant workers as of September but the uncertainty is rising due to Covid-19 pandemic the next year might see drop in the remittance inflow,” the central bank claimed.

The remittance inflow swelled, despite the spread of coronavirus, because of diversion of remittance to the formal banking channel from informal hundi, due to the Covid-19 created disturbances. The Nepali migrant workers also sent cash instead of goods due to global lockdown, according to the central bank.

The government imposed lockdown across the country on March 24, which continued for 4 months. The central bank – in April – released a survey claiming that the remittance inflow will drop by over 15 per cent in the last fiscal year 2019-20 that ends in mid-July. Likewise the World Bank also had projected remittances to go down by 14 per cent, whereas the Central Bureau of Statistics (CBS) also projected a reduction of Rs 163 billion – or over 18 per cent – in remittance inflow due to coronavirus pandemic. 

The number of Nepali migrant workers – institutional and individual-new and legalized – taking approval for foreign employment plunged by 99.2 per cent in April, according to the macro-economic report of the central bank. “Likewise, the number of Nepali migrant workers – renew entry – taking approval for foreign employment decreased by 86.5 per cent.”

The World Bank has also warned that the stock of international migrants is likely to decline for the first time in recent history as new migration has slowed and return migration has increased. “Return migration has been reported in all parts of the world following the lifting of national lockdowns which left many migrant workers stranded in host countries,” the World Bank Brief reads, adding that rising unemployment in the face of tighter visa restrictions on migrants and refugees is likely to result in a further increase in return migration.

Thus, the remittances growth is expected to slow down not only in Nepal, but almost all countries are going to see a decline in the amount they receive as transfers from their migrant workers abroad, the World Bank’s Brief reads. “In India and Sri Lanka, remittances are projected to fall by about 9 per cent in 2020 to $76 billion and $6.7 billion, respectively.”

But in Pakistan, remittances will grow at about 9 per cent, totalling about $24 billion. In Bangladesh, remittances are projected to grow at about 8 per cent to around $20 billion.

Remittance inflow continue to post growth

Remittance inflows in the first two months of the current fiscal year were recorded a growth rate of 8.1 per cent to Rs 165.73 billion, though it is down from the 23 per cent growth in the first month.

“Nepalis abroad sent home back Rs 165.73 billion in the two-month of the current fiscal year despite expectation of remittance drop due to Covid-19 pandemic,” according to central bank’s macroeconomic report released today.

The migrant workers sent home Rs 73.02 billion back during the period mid-August to mid-September – the second month of the current fiscal year, the report reads, adding that Nepali migrant workers sent home Rs 875.03 billion in the last fiscal year. 

Nepal received an all-time monthly high of Rs 100.16 billion in remittance in the last month of the last fiscal year boosting the annual earnings, unlike the expectation of drop due to coronavirus. The central bank – in April – had projected a drop of over 15 per cent in remittance inflow, after the government imposed a lockdown on March 24 to contain the spread of coronavirus. Likewise, the World Bank has also projected a drop of over 14 per cent in remittances in the last fiscal year 2019-20 due to coronavirus. The Central Bureau of Statistics (CBS) too had projected a reduction of Rs 163 billion or over 18 per cent fall in remittance inflow.

However, remittance inflow to Nepal failed all the projections, though the annual remittance inflow witnessed a marginal drop. Economists suspected that the illegal transfers through hundi has been halted due to coronavirus pandemic giving the official channel a boost. 

However, the economists still believe a drop in remittance inflow as the global growth is projected at 5.2 per cent in 2021, a little lower than in the June Update, reflecting the more moderate downturn projected for 2020 and consistent with expectations of persistent social distancing.

According to the macroeconomic report, the number of Nepali workers – institutional and individual-new and legalized – taking approval for foreign employment plunged by 99.2 per cent in the two months of the current fiscal year. Likewise, the number of Nepali workers – renew entry – taking approval for foreign employment decreased by 86.5 per cent in the same period.

Corona bleeds festive economy red

 Due to shrinking income and decline in business – because of coronavirus spread – this Dashain is witnessing little or no economic activities.

The shops are open, but there are no buyers, as most of the people have either lost their jobs, or their income has been decreased, only to hit the festive expenses.  

The 10-day Dashain festival officially began from Saturday but with many businesses shattered as a result of months-long lockdown and prohibitory orders, income of a majority of the population has been decreased pressurising people psychologically and financially before the festivals. 

Once used to be vibrant with the beginning of the festival, the manufacturing, construction, hotel and restaurants, transportation, wholesale and retail sectors are hit hard due to Covid-19 pandemic.

According to the Central Bureau of Statistics (CBS), the nominal GDP of last fiscal year stands at Rs 3.8 trillion, of which 82 per cent was made in consumption that accounts for Rs 3 trillion. The monthly consumption of Nepalis stands at Rs 250 billion. The consumption rate increases from mid-July till mid-October with the beginning of the major festivals. Though the consumption has suppressed this year in those months, the wholesale and retail trade saw less demand bleeding the Dashain economy red. 

During the first four months of the fiscal year the consumption used to account for an amount equal to Rs 1,000 billion with the start of festivity which got declined this year. Some 40 per cent of annual consumption used to take place in these four months of festivals.

Due to falling income – people’s purchasing power – and also increasing inflation due to supply chain disruption because of pandemic affecting transportation, workers and labour rate, the aggregate demand has fallen down. The government has – through the budget for the current fiscal year – and also the central bank – through Monetary Policy for the current fiscal year – failed to create aggregate demand.

IMF forecasts zero per cent economic growth last fiscal year

Nepal is growing at zero per cent in the last fiscal year as Covid-19 continues to wreak havoc on the economy, according to the latest forecast of the International Monetary Fund (IMF).

“Nepal’s economic growth remained flat in the last fiscal year 2019-20,” the World Economic Outlook (WEO) released today by the IMF reads.

Though, the World Bank has forecast 0.6 per cent economic growth, and Central Bureau of Statistics (CBS) has forecast 2.27 per cent economic growth, the IMF has downgraded Nepal’s growth forecast to zero percent for the last fiscal year. The IMF growth projection of Nepal is far lower than the government’s target to achieve seven per cent of growth in the current fiscal year.

The IMF has, however, projects that Nepal’s economy would grow by 2.5 per cent in the current fiscal year 2020-21. 

The IMF has also projected a deep recession in 2020. “Global growth is projected to be -4.4 per cent, an upward revision of 0.8 percentage points compared to its June update,” the report reads.

“The upgrade owes to somewhat less dire outcomes in the second quarter, as well as signs of a stronger recovery in the third quarter, offset partly by downgrades in some emerging and developing economies,” said the IMF’s chief economist Gita Gopinath.

Remittance surges by 23 per cent in first month of current fiscal year

 Contrary to the expectation, the remittance inflow has increased significantly in the first month of the current fiscal year, according to the macroeconomic report – released by the central bank – today.

Remittance inflows to Nepal has increased by a surprising 23 per cent to Rs 92.71 billion compared to 2 per cent in the same month of the last fiscal year. 

In the last fiscal year, the remittance inflow decreased by a marginal 0.5 per cent in the last fiscal year that ended mid-July due to coronavirus (Covid-19) pandemic that has affected the global economy.

According to the Nepal Rastra Bank (NRB) macroeconomic report, in the first month – from mid-July to mid-August – of the current fiscal year 2020-21, Nepal received Rs 92.71 billion in remittance earnings. 

 Nepali migrant workers sent home Rs 875.03 billion in the last fiscal year, which was 0.5 per cent less than a fiscal year ago due to coronavirus (Covid-19) that has left majority of the migrant workers in the labour destinations jobless.

However, Nepal received an all-time high remittance of Rs 100.16 billion in the last month of the fiscal year – mid-June to mid-July – that boosted the overall remittance earnings, though the coronavirus wreaking havoc on the global economy was expected to hit the remittances inflow to Nepal significantly.

The central bank had – after the country had imposed lockdown on March 24 – projected a drop of over 15 per cent in remittance inflow in the last fiscal year 2019-20 whereas the World Bank also had projected remittances to go down by 14 per cent. Likewise, the Central Bureau of Statistics (CBS) had also projected a reduction of Rs 163 billion – or over 18 per cent – in remittance inflow. But the country has witnessed only 0.5 per cent drop in the last fiscal year, whereas the first month of the current fiscal year also recorded a whopping 23 per cent gain in the remittance inflow.

The reduction of informal trade, hundi and other illegal channels – due to lockdown and subsequently the restrictive orders of the chief district officers – have helped remittance come through formal channels, according to the bankers. Likewise, the returnees have also brought back cash in recent months, while they used to splurge on gifts and other personal items earlier.

According to the Covid-19 Crisis Management Centre (CCMC), as of September 25, more than 76,000 stranded Nepalis have been brought home, most of them from labour destinations, whereas the number of Nepali migrant workers leaving for the labour destinations has also decreased. “The number of Nepali workers – institutional and individual-new and legalised – taking approval for foreign employment decreased by 99.2 per cent against the decrease by 19 per cent in the same period of the last fiscal year, according to the central bank, adding that the number of Nepali workers – renew entry – taking approval for foreign employment also decreased by 80 per cent in the first month of the current fiscal year. “In US Dollar terms, remittance inflows increased by 14.5 per cent compared to an increase of 0.7 per cent in the same period of the last fiscal year.”

Manufacturing is the largest pay master

 Manufacturing sector is the largest pay master in the country, according to the National Economic Census 2018.

The first ever census – conducted by the Central Bureau of Statistics (CBS) – revealed that in terms of annual salary and wages payment ‘manufacturing’ such as tea factories and brick factories is the largest paying sector with Rs. 86 billion accounting for 20.3 per cent followed by ‘education’ such as schools, universities with Rs 68 billion (16.3 per cent) and ‘wholesale and retail trade; repair of motor vehicles and motorcycles’ as shops, supermarkets and department stores pay Rs 66 billion (15.6 per cent). “In Nepal, almost 80 per cent of the entities with paid employees were registered.”

The report on salaries and wages of persons engaged in the entities throughout Nepal – published by the CBS – also revealed that annual salaries and wages of ‘Registered’ entities were Rs 406 billion accounting for 96.4 per cent of the total. “On the other hand, those of ‘Not registered’ entities were 15 billion (3.5 per cent) only,” it reads, adding that the most of registered entities pay salaries and wages. 

The first ever National Economic Census 2018 was conducted with the technical support from Japan International Cooperation Agency (JICA). The census covered all fixed and movable establishments that existed in Nepal at the reference date of the census operation that was April 14, 2018. According to the census data, there were 900,924 entities in Nepal where 3,115,112 persons were engaged. 

The economic census collected information on average monthly salaries and wages from the entities with paid employees. There were 219,303 entities with paid employees in Nepal and the number of paid employees stood at 1,709,101, the census data revealed, adding that the annual salaries and wages came out to be Rs 421 billion. 

Nepal had 36,172 entities with paid employees and female managers; and their annual salaries and wages accounted for 8.5 per cent of the total. Looking at the annual salaries and wages of entities with female managers by industry, ‘financial and insurance activities’ was the largest section with Rs 7.2 billion accounting for 20.1 per cent, followed by ‘education’ accounting Rs 6.8 billion (19.0 per cent), ‘wholesale and retail trade, repair of motor vehicles and motorcycles’ accounting 4.1 billion (11.5 per cent).

Looking at the annual salaries and wages by district, Kathmandu – the capital – was the largest district with Rs 141 billion accounting for 33.4 per cent followed by Lalitpur with Rs 32 billion (7.6 per cent), Morang Rs 21 billion (5.0 per cent), Rupandehi Rs 18.5 billion (4.38 per cent), Kaski Rs 18.3 billion (4.35 per cent). There is a huge differences between three districts in Kathmandu Valley and other districts across the country because many head offices and entities with paid employees are located in Kathmandu Valley, and their all financial statements are managed by head office.

Likewise, Rukum East was the smallest district with Rs 100 million accounting for 0.02 per cent followed by Manang Rs 103 million (0.02 per cent); and Rasuwa Rs 173 million (0.04 per cent) in terms of annual salary and wages payment.

Nepal to grow at 2.1 per cent this fiscal year

Though, the government has claimed to grow economy at 7 per cent, the World Bank has estimated to grow it at a nominal 2.1 per cent in the current fiscal year. The World Bank has also decreased last fiscal year’s economic growth rate to 1.8 per cent, from its earlier projection of somewhere between 1.5 per cent and 2.8 per cent, against the Central Bureau of Statistics’ (CBS) estimation of 2.3 per cent.
Economic growth is estimated to contract sharply to 2.1 per cent in the fiscal year 2020-21 from the Covid-19 pandemic and related lockdown, despite efforts by the government to curb the economic fallout from the crisis, reads the World Bank’s latest Nepal Development Update (NDU). Transitioning the economy from the relief stage through to restructuring and resilient recovery requires a strategic approach to get the country back on a sustainable and inclusive growth path, it reads, adding that the economic activity in the tourism sector will remain weak and remittances inflows will be moderate. “Supply chain disruptions will keep industrial and agricultural production low.”
Likewise, low economic activity and oil prices will also keep imports low and below the pre-crisis levels, leading to a projected narrowing of the current account deficit to 6.5 per cent of GDP, it adds. “Lower imports will continue to limit revenue collection.”
However, fiscal measures announced as part of the fiscal year fiscal year 2020-21 budget, including a revision of custom duties, will provide some support to the budget as spending levels on relief and recovery efforts remain elevated. “Taken together, the fiscal deficit is projected to marginally decline to 6.6 per cent of GDP in fiscal year 2020-21,” it adds.
While the government has adopted various relief measures to contain the pandemic, reduce the impact on households and provide economic support to the most vulnerable firms, the report highlights the importance of reforms to support a resilient recovery.
“For a resilient recovery and inclusive growth, economic support measures to firms and workers in the informal sector will be important,” World Bank senior economist and author of the update Dr Kene Ezemenari said, adding that incentives to agribusiness-based and forest-based SMEs, with a focus on returnee migrants and youths, could help increase employment and food security. “Inclusive growth could be further promoted through entrepreneurship support programmes and grants to small and medium enterprises.”
The report also outlines four pillars in the areas of health, social support, economic support and cross-cutting priorities including fiscal sustainability and focus on digital and green economies. This includes measures to strengthen the health system and scale up social protection systems, including the adoption of a social registry to make these systems more resilient against future shocks. Enhanced school sanitation and health protocols including health screening, water and sanitation facilities would be needed to enable a return to schooling for children.
“In the rapidly unfolding global scenario brought by Covid-19, insights from the Nepal Development Update on Nepal’s outlook, challenges and way forward is very helpful,” finance minister Dr Yuba Raj Khatiwada said, after launching the report.
Claiming that the government will achieve the target of 7 per cent economic growth for the current fiscal year, he painted the rosy picture of economy, though the economy has shattered due to the lackdown imposed by the government – to contain Covid-19 spread – from March 24. The service sector that has more than 50 per cent contribution to the economy has bleed red due to the lockdown, which has also pushed a sizable number of population into the poverty trap.
The finance minister, however, boosted that the exports have grown and imports have dropped in the last fiscal year. He also claimed that the government has been successful in budget implementation in the last fiscal year, though the government has transferred money from various funds to meet the revenue target. “We need to address the crisis with macroeconomic and sectoral policy focused on fiscal sustainability, financial sector stability, a digitally-oriented green economy and resilient public services,” he said, appreciating the rapid action taken by the development partners including the World Bank, Asian Development Bank, IMF and others for providing Nepal with tangible resources and support to maintain our fiscal balance and accelerate growth and inclusive development.
Expansionary fiscal and monetary policies will be important in the initial relief stage to support banking sector liquidity and provide relief to households and firms. From restructuring through to resilience, expansionary and monetary policies will help pave the way for strengthening financial sector stability in the long run while also building resilient public services and green growth through sustainable and resilient infrastructure, strengthened solid waste management and air and water pollution control.
Related investments and reforms would be critical to expand coverage of digital services and infrastructure to support e-services and help promote e-commerce. It would also help expand the reach and coverage of mobile banking and digital financial services to underpin development of e-commerce. However, digitisation is also limited across the economy. “Addressing this will require removal of access restrictions to any under-utilised fiber optic backbone managed by the governments and public utilities and the introduction of appropriate rules to manage conditions of access, capacity allocation, and access pricing,” he said, “This would also help expand access in rural and remote areas.”
For Nepal to emerge stronger from the crisis, it is important to adapt quickly to the new reality,” World Bank country director for Maldives, Nepal and Sri Lanka Faris Hadad-Zervos said, adding that the World Bank is encouraged to note the early start made by the government with the development of Nepal’s Relief, Restructuring and Resilience plan and are committed to work together with multilateral development banks and development partners in helping the country build back greener and better.

Finance Committee recommends to bring Rs 1.7 trillion budget

The Finance Committee – under the Federal Parliament – today recommended government to bring an expansionary budget of Rs 1.7 trillion, though the government has fall short of resources in the current fiscal year and has no means to meet the target in the next fiscal year too.
Despite calls from economists to not increase the size of budget from the current fiscal year’s figure, the Committee said that the the budget ceiling of around Rs 1.7 trillion – for the next fiscal year – has already been fixed before the pandemic. “It is not possible to reduce the size of the budget as the government has to provide relief to the industries, businesses and workers affected by the coronavirus.”
The budget for the current fiscal year stands at Rs 1.5 trillion, though the finance minister Dr Yuba Raj Khatiwada has revised it downwards – during the mid-term review – to Rs 1.3 trillion due to its inability in spending and also mobilising the revenue. The government is staring at Rs 300 billion shortfall to the revenue mobilisation target, whereas it has also failed to spend due to inefficiency, and lack of focus, despite having the majority and stable government in the history of the country.
The Committee also suggested finance minister Khatiwada set a target of mobilising Rs 1 trillion revenue without increasing the tax rate, which is going to be the tough task. 
The committee – which has all the former finance minister as its members – has also suggested mobilising bilateral and multilateral foreign aid worth Rs 1 trillion and domestic borrowing equivalent to 6 per cent of the GDP. “The deficit amount should be mobilised through the foreign loan,” it suggested. But the foreign loan and aid also seems not to be increasing because of coronavirus impact on the bilateral and multilateral development partners, and also due to government’s inability in spending. The government’s institutional capacity has been eroding over the years and it has not been able to spend more than 80 per cent of the development budget in previous years too.
The majority government has neither been able to spend not mobilise revenue according to its own target due to its failed vision, mission and goals, rather is promoting crony capitalism, though the government is led by the communist party that claims to create socialism oriented economy.
The parliamentary committee has also requested the government to bring a financial package worth 5 per cent of the Gross Domestic Product (GDP) – which comes to around Rs 188 billion – through the budget to mitigate the negative impact of the Covid-19.
The government is going to bring budget for the next fiscal year 2020-21 on May 28, Jestha 15 according to the Bikram Sambat calendar, as is directed by the Constitution.
The livelihoods of thousands of people have been badly hit by the pandemic, particularly the poor and migrant workers, many of whom have lost their jobs. The government has enforced lockdown from March 25 to contain the pandemic from spreading in the society. On Sunday, the government extended the lockdown till June 2, continuing to suspend ground and air travel, shutting down most of the industries, except essential ones.
Due to lockdown the economy has been projected to shrink to 2.27 per cent in the current fiscal year, according to the Central Bureau of Statistics (CBS). The government has targeted to meet 8.5 per cent economic growth in the budget for the current fiscal year 2019-20. Though, the Covid-19 pandemic has been blamed for the lower economic growth, the government was not going to meet the target anyway, according to the economists, who are also claiming that Nepal's economy is also headed for a catastrophe with no end in sight to months-long paralysis as the virus lockdown keeps getting extended. “The economy could grow at 1 per cent or it could go into the negative territory also due to prolonged lockdown,” they claimed.
The prolonged lockdown has also cost millions jobs and small and medium enterprises (SMEs) are also feeling the heat. As most of the workers in the industrial and business enterprises have become jobless, the committee has suggested that the government pay one-third of their salaries and one-third by the industries and enterprises.
The Committee has also suggested providing relief and concessions to the most affected hotels, restaurants, tourism businesses and public transport that cannot come into operation immediately.
The parliamentary committee has suggested to give high priority to health and agriculture in the budget. “The three governments – federal, provincial and local – should prepare health infrastructure in a coordinated manner by allocating 10 per cent of their budget for the prevention, control and treatment of coronavirus,” it suggested, asking the government to allocate at least 15 per cent of the total budget for the agriculture sector for its commercialisation and modernisation.

World Bank projects 6.5 per cent economic growth

The World Bank projects continued strong growth with an average annual rate of 6.5 per cent – in the medium term – driven by investments in the tourism sector, particularly the Visit Nepal Year 2020 (VNY2020) programme, including efforts to increase air connectivity.
High tourist arrivals will be supported by the Visit Nepal Year 2020 programme, the completion of the second international airport, the construction of big hotels and the increase in air connectivity through implementation of the newly-revised air service agreements with countries like Australia, Cambodia, China, the UAE and Vietnam, the update noted.
The 6.5 per cent growth forecast by the multilateral development partner – in fiscal year 2019-20 – is sharply lower than the 8.5 per cent economic growth target of the government for the current fiscal year.
Launching Nepal Development Update today, the World Bank claimed that industrial growth is likely to be supported by construction activities, investments in the cement and hydropower sectors, and improved capacity utilisation in the manufacturing sector.
The report also notes that import growth will slow down as the government implements its programme to keep the fiscal deficit in check. “It should help contain the trade deficit,” the report reads adding that inflation is expected to pick up slightly but will remain below 5 per cent assuming stable agricultural production, regular supply of electricity, and low inflation in India. “The focus going forward will need to be on strengthening exports.”
“Increased exports will be critical to sustained growth over the medium-term,” said World Bank senior economist Dr Kene Ezemenari, who led the team that produced the update. “It will be important for government to continue with reforms to attract foreign investment,” she said, adding that future reforms will need to be grounded in strong analysis and data to effectively support Nepal’s growth aspirations.
On the supply side, according to the report, the growth will continue to be driven by private investment and government consumption. “Government consumption will be supported by increased spending on salaries and on goods and services,” the report reads, adding that efforts, in addition, aimed at building capacity at the sub-national levels coupled with the implementation of performance-based contracts is also likely to raise government spending.
The Nepal Development Update – a bi-annual report of the World Bank – highlights the importance of data for development, particularly in the context of the country’s historic transition to federalism. Federalism has created a surge in demand for more and better data. Enhanced data availability is needed to strengthen planning and budgeting at the sub national levels, including the preparation of Medium-Term Expenditure Frameworks (MTEF).
In addition, the transfer of fiscal resources to sub national levels also requires data on several parameters. A robust federal framework therefore rests on more and better data that will support evidence-based policies.
“The need for Nepal is data that is disaggregated, more frequent, reliable and accessible,” finance minister Dr Yuba Raj Khatiwada said. “Nepal’s federal structure has added another dimension for data at the provincial level, which is a challenge but very important for development programmes to leave no one behind,” he said, adding that the Statistics Act, which is to be approved soon, is expected to further empower the Central Bureau of Statistics (CBS) and provide added responsibility to sub national governments on data for national policy making.
In its Special Focus section, the report articulates a vision for a future data ecosystem and the need for short-term reforms to make the most of existing data and long-term reforms that establish an enabling environment that fosters data sharing, integration and use. Measures that can be implemented in the short-term include the publication of data in machine readable format, and the development of a comprehensive data dissemination policy and open government strategy.
“Data is central to the success of federalism,” World Bank Country Manager for Nepal Faris Hadad-Zervos said. “Nepal needs a vision and strategy for a future data ecosystem that is aligned to the new federal structure and promotes engagement of civil society and the private sector,” he said, adding that engaging all data actors – including civil society, the private sector and government agencies at various levels – can play a greater role in data production, sharing and use. “This will help in the design of reforms for better service delivery to citizens and an improved business and investment climate.”
In Nepal, the World Bank Group (WBG) includes the International Development Association (IDA), the concessionary lending arm; the International Finance Corporation (IFC), the private sector arm; and the Multilateral Investment Guarantee Agency (MIGA), the investment risk insurance arm.
The World Bank currently supports 25 active investment projects in Nepal with $2.4 billion dollars in commitments from IDA. The indicative resources available under IDA18 (fiscal year 2018-20) were about $1.39 billion, including $300 million from the IDA Risk Mitigation Regime. IFC aims to commit about $800 million to $1.2 billion over the five-year period (fiscal year 2019 to fiscal year 2023). MIGA is actively seeking opportunities to support foreign private investment into Nepal. IFC and MIGA may make use of the IDA IFC/MIGA Private Sector Window (PSW) and the MIGA Guarantee Facility to underwrite eligible projects.
The World Bank Group (WBG) fielded its first economic mission to Nepal in 1963 to assess the country’s development prospects and challenges. It approved its first credit in 1969 for a telecommunications project. Since then, the World Bank has provided Nepal $4.75 billion in assistance, some $3.48 billion in credits and $1.27 billion in grants.

Only 10 per cent of Nepalis pay tax

Though the government claims to have reformed tax administration and expanded tax net, only 10 per cent Nepalis pay tax.
According to the Inland Revenue Department (IRD) director general Binod Kunwar, only 2.96 million Nepalis are under the tax net, including income tax and value added tax (VAT). The population of Nepal has around 3 million population, according to the Central Bureau of Statics (CBS).
“In the last fiscal year, some 2 million Nepalis were under the tax net,” he said, adding that some 800,000 tax payers have been added in the current fiscal year. “The ‘Pan for All’ programme has encouraged more Nepalis to come under tax net,” he claimed, adding that the government has also made PAN mandatory for all working Nepalis to get their salary paid. “Likewise, there are some 2339,000 taxpayers under the value added tax (VAT) net.”

Government revises economic growth target down

The government has revised economic growth target down by 1.49 percentage points to 7.01 per cent from its ambitious target of 8.5 per cent for the current fiscal year, according to a report published by the Finance Ministry.
Though the government has set 8.5 per cent growth target for the current fiscal year through the budget for fiscal year 2019-20, the slowdown in the economy has forced the Finance Ministry to revisit the growth target to downwards.
The World Bank (WB) – in its report ‘South Asia Economic Focus’ published last month – projected the economy to grow by 6.5 per cent, whereas Asian Development Bank (ADB) has projected the growth rate at 6.3 per cent. The International Monetary Fund (IMF) has also projected the economic growth rate to be around 6.5 per cent in the current fiscal year.
Thus, the revised growth rate, however, is still higher than the estimations made by international development partners including WB, ADB and IMF.
The public spending – which is not better than last fiscal year – not so promising agriculture production – that contributed to around one third to the economy – deceasing remittance inflow coupled with government’s inability to mobilise revenue are some of the reasons that economy is slowing down. “On top of the economic slowdown, the private sector is fast losing the confidence on the stable and two-third majority government in the history of Nepal,” according to an investor, who said that despite increased investment in infrastructure, capital expenditure is far below the level needed to achieve the ambitious growth target.
According to Financial Comptroller General Office (FCGO), the government has been able to spend only Rs 18.36 billion – in the first three months of the fiscal year – which is just 4.41 per cent of Rs 408 billion allocated for the capital expenditure, for the current fiscal year.
In the last fiscal year 2018-19, economy was expanded by 7 per cent due to better agriculture output, especially better paddy production. “Agriculture production contributes to 27 per cent to the country's GDP,” according to Economic Survey 2018-19, when the economy posted a growth of 6.81 per cent.
“Likewise, the economy grew by 6.3 per cent in the fiscal year 2017-18,” according to the Central Bureau of Statistics (CBS) that revealed that economy grew by 7.74 per cent in the fiscal year 2016-17, largely due to good harvest based on better moonsoon and reconstruction drive after the devastating earthquake that has pulled the economy down to around 1 per cent.

Kavrepalanchowk tops in coffee production

Among the 77 districts, Kavrepalanchowk district tops in coffee production, according to the Central Bureau of Statistics (CBS).
According to a report 'Nepal Commercial Coffee Farming Survey 2018-19' released today in Kathmandu by the CBS, Kavrepalanchowk district holds the top position in the list of the highest coffee farming areas with 104.3 hectares land used for farming followed by 96.3 hectares and 94.1 hectares in Lalitpur and Syangja districts, respectively.
“Kavrepalanchowk, the largest producer amongst the 32 districts, produces 221 metric tonnes of fresh coffee cherries, followed by Syangja with 158 metric tonnes and Sindhupalchowk with 141 metric tonnes of fresh coffee cherries,” the report reads, adding that a total of 1,573 metric tonnes of fresh coffee cherries are produced annually in 32 districts commercially.
According to the survey done in a year – from April 14, 2018 to April 13, 2019 – some 6,346 farmers from 32 districts are engaged in the coffee farming in 973 hectares land.
“Farmers owning 50 or more coffee trees have been considered commercial farmers in the survey,” director of CBS Badri Karki said, adding that a total of 943 commercial farmers, the highest from Kavrepalanchowk followed by Sindhupalchowk, 753 and Syangja, 708 farmers in the respective districts.
The CBS data also revealed that 96 per cent of coffee farmers are engaged in organic coffee farming, of which 9 per cent are certified firms, 34 per cent are cooperative or company certified and 57 per cent are operating without any certification. “Of the surveyed farmers, 74 per cent of them are male and 26 per cent are female.”
But only 1.7 per cent of farmers have registered their businesses, the CBS report reads, adding that some 83 per cent commercial coffee farmers are found to have been shifted from agricultural occupation (other than coffee farming), some 3 per cent from business, 10 per cent from the day job and 4 per cent from other occupations. “Only 2.8 per cent of coffee farmers have opted for a bank loans for the business, whereas 11 per cent of commercial coffee farmers consider coffee farming as their main source of income>”
According to CBS, of the surveyed participants, half of them do not know about the minimum price of coffee determined by the government. “The expenses of Rs 2.56 million on purchase of coffee plants, 2.87 million on fertilizers and 9.17 million under the head of others were recorded for coffee farming.”
While Rs 154.1 million was earned from 1573 metric tonnes of fresh coffee cherries and Rs 29.7 million from shade-grown coffee and Rs 16 million from underground crops. At least 78 per cent of commercial coffee farmers have received training regarding coffee farming.
The CBS has identified 55 coffee nurseries in Nepal through the survey. The report also has collected suggestions from farmers regarding the promotion of coffee farming in Nepal. Quality technological service, access to irrigation, training and study facility, market for produced coffee and subsidy for coffee farming are among the suggestions from the farmers reported the CBS.
According to National Tea and Coffee Development Board (NTCDB), lack of lab in Nepal – despite the coffees produced here are of better quality due to climatic conditions – has hit the coffee export that is a cash crop.

Half of businesses unregistered, one third owned by women

Almost half of the businesses in the country are operated without being registered, whereas one third of them are owned by the women, according to the first National Economic Census.
According to the final report of the National Economic Census – launched by the Central Bureau of Statistics (CBS) today in the capital – some 49.9 per cent (460,422) of the total 923,356 establishments are unregistered, whereas some 50.1 per cent (462,605) are registered and status of some 0.04 per cent (329) registration is unknown. “Likewise, some 29.8 per cent (247,880 enterprises) of the enterprises are owned by women as of April 14, 2018.”
According to director general at the CBS Suman Raj Aryal, the highest number of enterprises owned by women is related to wholesale and retail and the repair of motor vehicles and motorcycles category. “Accommodation and food service activities come second and manufacturing enterprises come third in terms of women's ownership.”
The number of person engaged in the total 923,356 establishments are 3,228,457, where some 2,012,237 (62.3 per cent) are male and 1,216,220 (37.7 per cent) are female.
Launching the final result of the first-ever National Economic Census 2018, vice chair of National Planning Commission (NPC) Prof Dr Puspa Raj Kadel, on the occasion, said that the Economic Census gives a true reflection of the Nepali economy where the distribution of establishments is uneven across the country with high concentration of establishments in Province 3 and very low in Karnali. “The government should utilise these data for future planning process to meet the national goals,” he added.
Ambassador of Japan to Nepal Masamichi Saigo, on the occasion, stressed on the utilisation of data for policy planning so that the trade deficit can be reduced and foreign direct investment can be increased as Nepal has high potential on human resource and hydropower.
JICA has been assisting the Central Bureau of Statistics (CBS) to conduct the first-ever National Economic Census 2018 under the ‘Project on Capacity Development for the implementation of Economic Census 2018’ since March 2016 until March 2021. Under the project, JICA gave technical knowledge and supported equipment to make the Economic Census meeting the international standard and the quality of data. “The project will further support CBS to produce successive analytical reports in future,” said JICA chief representative Yumiko Asakuma stressing on the easy availability of data and its utilisation by government agencies, researchers and private sector.