Budget at a Glance

Nepal's economy is showing signs of steady recovery, with an estimated growth of 4.4%–4.6% in FY 2024-25, driven by remittances, tourism revival, and improved agriculture. Inflation is under control, fiscal discipline is improving, and foreign exchange reserves are strong. Growth is expected to rise to around 5.1% in FY 2025-26, supported by reforms, private sector activity, and expansion in key sectors. Credit availability has improved due to easing monetary policy and lower interest rates. However, risks such as geopolitical tensions, financial sector stress, and infrastructure delays persist. Strategic reforms and effective policy execution remain vital to sustaining growth. 

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