Nepal’s trade deficit has reached a staggering Rs 1,177 billion as imports continue to overshadow exports. The Department of Customs reported that imports totaled Rs 1303 billion, while exports were a mere Rs 126 billion by mid-May of the current financial year. This marks a 2.50% decline in foreign trade compared to the same period last year, with imports decreasing by 2.39% and exports by 3.61%.
The trade deficit with India stood at Rs 729 billion, with imports from India at Rs 815 billion and exports to India at Rs 86 billion. Similarly, the deficit with China was Rs 238 billion, with Chinese exports to Nepal at Rs 240 billion and imports from Nepal at Rs 22.74 billion. Major imports included petroleum products and mobile phones, while key exports were carpets, cardamom, iron, and palm oil.
In other economic news, the Nepal Stock Exchange (NEPSE) Index showed strength with a significant increase of 1.33% on Monday, reaching 2,092 points by the end of the trading session. This surge, accompanied by high trading activity and volume, indicates investor confidence and market optimism.
Furthermore, the gold and silver trading market in Nepal experienced a record-breaking surge, with fine gold prices reaching an all-time high of Rs. 1,41,800 per tola. The government has also pledged to ensure an adequate supply of chemical fertilizers for the upcoming rice planting season, despite current shortages. Additionally, Cimex Inc. set a milestone by selling 50 BYD electric vehicles in Nepal in a single day, signaling a shift towards eco-friendly transportation in the country.