.png)
Although Nepal Rastra Bank could not achieve the objective of maintaining price stability, it will achieve the objective of foreign exchange reserves this year. The National Bank had intended to maintain foreign exchange reserves sufficient to cover 7 months of goods and imports through the current year's monetary policy. In the current year, every month, it has kept foreign exchange reserves that are enough to cover the import of goods and services for at least 7.7 months.
According to the monthly report of Rashtra Bank up to the month of Baisakh of the current year, the Rashtra Bank has 11.21 billion US dollars in reserves till the end of Baisakh. According to the Rastra Bank, this reserve will cover the import of goods and services for 9.7 billion months. In Nepali Rupees, along with Rashtra Bank, there is a foreign currency reserve of 14 trillion 70 billion 33 crore rupees.
Last year, due to the pressure on the foreign exchange reserves, the National Bank of India made arrangements to maintain a cash margin of 50 to 100 percent when opening an LC to import luxury goods.The government, in accordance with the policy of the National Bank, banned the import of ten items including expensive mobile phones, high-cc motorcycles, vehicles, alcohol, and televisions. The government has lifted the import ban on 10 items imposed by the government after improving foreign exchange reserves along with the ban for a few months.
The foreign exchange reserves which were 11 billion 420 million US dollars in July last year reached 9 billion 280 million US dollars by May 2079. The foreign exchange reserves in the month of Baisakh would only be enough to import 6.57 months of goods and services, which is the lowest in the last two financial years.
In July of the current year, the foreign currency reserves were 9 billion 420 million US dollars, and since October, it seems that the foreign currency reserves are gradually increasing.By the end of the current fiscal year, the reserve was 10.3 billion US dollars, but now it has increased to 11.21 billion US dollars by the end of May. The foreign exchange reserves with the National Bank have been sufficient to support the import of goods and services for at least 7.7 months to 9.7 months.
As a result of various policy efforts to bring in remittances, Nepal is now receiving more than 1 billion remittances every month. Recently, remittances have been helped to increase after quotas were set in IPO for workers who went for foreign employment. Similarly, due to the devaluation of the Nepalese currency compared to the US dollar, remittances have also been increased. Recently, the development in information technology also played an important role in increasing remittances.
Due to the recession in the economy, imports have decreased by almost 20 percent recently. The increase in remittances by 25 percent and the increase in imports by 20 percent has helped to increase Nepal's foreign exchange reserves. By Baisakh of the current year, the outstanding balance has reached 2 trillion 14 billion 67 crore rupees, which is the highest this year.
.png)
