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In a year when the total wealth of the world’s billionaires dipped by $500 billion, Binod Chaudhary, Nepal's only Forbes billionaire, managed to increase his wealth by 20 percent. Chaudhary, who debuted on the Forbes billionaire list in 2013, saw his fortune jump by $300 million in the last one year. According to the Forbes Billionaire List 2023, the wealth of the Chairman of the Chaudhary Group has risen to $1.8 billion in 2023, from $1.5 billion last year. In the Forbes 37th Annual World’s Billionaires List, Chaudhary has been ranked at 1647 position. Chaudhary, a Nepali Congress lawmaker in the House of Representatives controls CG Corp Global and is Nepal’s sole billionaire, according to Forbes, a US-based media company that profiles and lists the world’s billionaires. "His biggest asset is a controlling stake in Nabil Bank, one of the largest private sector banks in Nepal and CG Foods," states Forbes. Chaudhary has expanded CG Foods, the makers of popular Wai Wai instant noodles, to a number of countries including India, Serbia, Egypt, and Bangladesh. Chaudhary also has a strong presence in the hospitality sector. According to Forbes, CG's hotel assets consist of 143 owned and managed properties, including a string of luxury hotels with India's Taj hotel chain. The group's other business verticals include trading, electronics, telecom, hydropower, education, cement, and real estate. According to Forbes, the number of billionaires around the globe as well as their wealth has declined for the second straight year. The number of billionaires has dropped to 2,640 in 2023 from 2,668 in 2022 while total billionaire wealth has dropped by $500 billion to $12.2 trillion. “Nearly half the planet’s billionaires are poorer than they were a year ago,” says Forbes. “A total of 254 people have lost their billionaire status altogether.” The United States tops the Forbes list with 735 billionaires, followed by China with 495, India with 169, and Germany with 126.

The World Bank has made a downward revision in Nepal’s economic growth prospect in the current fiscal year pointing out that downside risk continues to prevail because of concerns over political stability in the country. In the Nepal Development Update, a biannual country update of Nepal's economy, which was released on Tuesday, the Washington DC-based agency estimated that Nepal’s economy would grow by 4.1 percent in the fiscal year 2022/23 ending mid-July. In October, the bank projected Nepal’s economy to grow by 5.1 percent in the current fiscal year. The latest GDP growth projection of the World Bank for the current fiscal year is the same as the Asian Development Bank. According to the World Bank, slower than the previous forecast was made due to the impacts of import restrictions, monetary policy tightening, higher inflation, and shrinking government expenditure reflecting lower government revenue. Even now, the risks to the outlook are tilted to the downside as no new shocks have been included while making the current forecast of growth considering the increasing frequency of shocks in recent years. The report said that there is a downside risk because of the concerns over political stability in the country. “Local elections in May 2022 and national and provincial elections in November 2022 were followed by successive changes in administration, the most recent being the collapse of the ruling coalition in March 2023,” reads the report. “Political stability remains important to manage the economy and ensure the continued pursuit of development priorities. Political stability may not be achieved in the forecast period.” Besides concern over political stability, higher-than-expected inflation, which will dampen consumption and growth, the possible impacts of likely rotations in government officials, and rising inequality from reduced investments in human capital, especially amongst those yet to recover from unemployment following the pandemic are other factors that could drag the growth down, according to the World Bank. Speaking at an interaction program organized in Kathmandu on Wednesday, Faris Hadad-Zervos, World Bank Country Director for Maldives, Nepal, and Sri Lanka said Nepal’s government’s move to adopt fiscal prudence such as import restrictions to address the challenges of the external sector came at a cost. “It has come at the cost of investment to advance the development agenda,” he said, adding, “This is a very delicate balance to strike which is not easy and there are trade-offs." He also talked about tightening monetary policy by hiking the policy rates which slowed credit growth. Though the move was taken to fight inflation, the high-interest rate caused by a raise in policy rate also sowed the investments. Thus, there has been a trade-off,” he said. Post Covid, Nepal had adopted an expansive fiscal and monetary policy that has resulted in a massive trade deficit and a sharp depletion of foreign exchange reserves. In order to stabilize the external sector, the government introduced import control measures and the central bank also hiked policy rates that resulted in higher interest rates for the borrowers. As a result, Nepal’s fiscal revenue and expenditure both decreased. “Amid measures taken to address pressures on the external sector, the Nepali economy has faced the unintended consequences of a slowdown in economic growth and lower fiscal revenue,” said Zervos. According to the World Bank, the import control policy resulted in a steep drop in fiscal revenues and slower growth in the first half of FY 2022/23 as goods imports fell, according to the World Bank. Nepal relies heavily on imports as a tax base, which contributes about half of total tax revenues through VAT, excise, and import duties. “For the first time in five years, Nepal’s fiscal balance was negative in the first half of FY23 at -0.3 percent of GDP as revenues fell across the board while expenditures remained flat,” the report said. “The downturn in revenue growth reflects not only lower imports but more sluggish economic activity as well.” Speaking on the occasion, Finance Secretary Toyam Raya said the situation has been improving along with easing pressure on the external sector of the economy. “Now, we hope revenue collection will gradually improve. There are also positive developments in the economy in this fiscal year in terms of international tourist arrivals, remittance, agriculture production, and hydropower production too,” he said.  

One more motorcycle brand is planning to set up an assembly plant in Nepal. Royal Enfield, the global leader in middleweight motorcycles, has announced plans to set up its assembly operation in the country. Indian news agency Press Trust of India (PTI) has reported that Royal Enfield plans to set up assembly plants in Nepal as well as Bangladesh. The company's CEO B Govindarajan in an interview with PTI said, "The company is in the process of setting up assembly plants in Nepal and Bangladesh as it cannot export its fully built motorcycles from India to these countries due to legal reasons." According to him, the establishment of assembly plants will be carried out through local partners. The local partner of Royal Enfield in Nepal is Triveni Group. The group's subsidiary company Alfa Automotive Pvt Ltd is the official dealer of Royal Enfield in Nepal. Triveni has already registered a company named TG Auto Group Pvt Ltd for motorcycle assembly at the Department of Industry. The group has proposed to invest Rs 380 million for the plant to be established in Jitpur, Bara. The group plans to assemble 8,000 motorcycles annually. As of now, Golchha Group's Hulas Auto Craft has been producing Bajaj motorcycles in Nepal through its assembly plant in Nawalparasi. Similarly, Shankar Group has also started assembling TVS motorcycles in Nepal from its Simara-based plant. After the government incentivized the establishment of automobile assembly plants in the country, Nepali business houses having authorized dealerships of international motorcycle brands have shown their interest in setting up such assembly plants in Nepal. A year ago, the government led by the then Prime Minister Sher Bahadur Deuba through a substitution bill announced a 50 percent excise duty exemption on two-wheelers, four-wheelers, and assembly kits imported by companies to be assembled in Nepal. The government, however, increased the excise duty on 125cc to 250cc two-wheelers by 10 percent while those with engine capacity between 500 cc and 800 cc by 20 percent. This has forced major automobile dealers to set up assembly plants in the country. The authorized dealers of Yamaha, Hero, Honda, and Suzuki motorcycles have also already started the process to set up an assembly plant. MAW Enterprises, the authorized dealer of Yamaha motorcycles in Nepal, has registered MAW Auto Industry to assemble Yamaha two-wheelers. MAW has planned to set up a plant in Tankisinwari, Morang for the purpose. It has proposed to invest Rs 1.51 billion for the assembly plant to assemble 31,000 motorcycles and 19,000 scooters annually. Meanwhile, Syakar Trading, the authorized distributor of the leading Indian motorcycle brand Honda has started the process to set up assembly plants in Nepal. Syakar has registered Himal Moto Pvt Ltd to assemble Honda two-wheelers in Nepal. The assembly plant will be set up in Ward No 4 of Rohini Rural Municipality, Rupandehi. Syakar is said to be investing Rs 600 million in Himal Moto to assemble 25,000 motorcycles and 75,000 scooters annually. Likewise, NGM Pvt Ltd, the authorized distributor of Hero two-wheelers in Nepal, has registered NGM Engineering and Sales Pvt Ltd to assemble Hero motorcycles and scooters. NGM has planned to establish a plant in Ward No 32 of Birgunj Metropolitan City. The company has proposed to invest Rs 330 million in the assembly plant which will produce 45,000 motorcycles annually. Not to be left behind, Vishal Group has entered into the automobile assembly business. The group which is the official dealer of Suzuki motorcycles in Nepal has recently registered Global Automobiles Pvt Ltd for the assembly of motorcycles, scooters, and three-wheelers. The group is investing Rs 464.59 million to set up an assembly plant to produce 30,000 motorcycles and scooters and 5,000 three-wheeled auto rickshaws annually. The assembly plant will be set up in Bindabasini Rural Municipality of Parsa district.

The government has decided to use the Devanagari script on the embossed number plates of vehicles from now onwards. Amending the Vehicle and Transport Management Act, 2049, the government has allowed vehicle owners to choose between Latin script and Devanagari script on embossed number plates. As of now, Latin script is used on embossed number plates. Amid criticism over the use of Latin script, the Ministry of Physical Infrastructure and Transport (MoPIT) initiated the process to use the Devanagari script on the embossed number plates of vehicles. The cabinet meeting on Monday endorsed the proposal of the MoPIT to amend Schedule 2 of the Vehicle and Transport Management Act. Narayan Prasad Bhattarai, Director General of the Department of Transport Management (DoTM) said that now the process of installing embossed number plates in Devanagari script will be started. “With the Cabinet decision, the way has been legally opened to use Devanagari script on embossed number plates,” said Bhattarai. “We will now sign an agreement with the company that has received the contract for installing embossed number plates.” According to MoPIT, further decisions will be taken for making the use of the Devanagari script mandatory or optional on embossed number plates. “For now, the cabinet decision has allowed the use of both Devanagari and Latin scripts on embossed number plates,” said the official. The ministry plans to keep the name of the country and province in the Devanagari script. The contract of installing embossed number plates was given to Decatur-Tiger IT, a Bangladeshi company at $44 million. The DoTM says it will now negotiate with the Bangladeshi company to implement the cabinet decision. The department officials said the cost of the contract will increase now. The department had earlier questioned the contractor company Tiger Decatur IT as to why they could not make embossed number plates in Devanagari script. The company, in response, had said that it was possible but the government should readjust the contract price. The DoTM has been facing criticism for the slow installation of embossed plates as well as costly fees for the installation. The department has installed embossed number plates on around 40,000 vehicles. An embossed number plate is a camera-readable plate that contains a microchip connected to the vehicle’s GPS system. This makes it efficient in terms of maintaining digital records of the vehicles, collecting revenue on time, monitoring vehicles, and controlling vehicle thefts. According to the ministry, it has also advanced the discussion to reduce the fee for embossed number plates. Currently, the DoTM charges Rs 2,500 for two-wheelers Rs 2,900 for three-wheelers, Rs 3,200 for light four-wheelers including cars, jeeps, vans, and tractors and Rs 3,600 for heavy vehicles for installing embossed number plates.

The Nepal Stock Exchange (NEPSE) gained 8.39 points to close at 1, 875.07 points on Wednesday. Similarly, the sensitive index surged by 1.97 points to close at 353. 95 points. A total of 2,602,956-unit shares of 262 companies were traded for Rs 816 billion. Meanwhile, Kalinchowk Darshan Limited was the top gainer today, with its price surging by 9. 97 percent. Citizens Mutual Fund was the top loser as its price fell by 7.14 percent. At the end of the day, total market capitalization stood at Rs 2. 71 trillion.

The much-talked-about initial public offering (IPO) of companies through the book building mechanism is expected to move ahead with the Securities Board of Nepal (Sebon) assuring that the preparations will be completed within the next two months. The IPO through the book-building mechanism has been stalled for almost two years ever since the controversy related to Sarbottam Cement Limited surfaced in July 2021. The planned IPO of Sarbottam Cement was mired in controversy for the alleged involvement of then chairman of Sebon Bhisma Raj Dhungana and then CEO of Nepal Stock Exchange (Nepse) Chandra Singh Saud in insider trading. It was found that Dhungana’s daughter Rebika Dhungana and Saud’s wife Sushila Kumari Bohora each had purchased 11,911 shares of Sarbottam Cement at a far lower price, even before the company's planned IPO under the book-building mechanism. Following the controversy, Sebon Chairman Dhungana was sacked by the government while Nepse CEO resigned from his post. Now, Sebon has said that it is ready to finalize the IPO mechanism under the book building method within two months. The board has recently given instructions to hold a meeting with Nepse and companies planning to issue IPO under book building, merchant bankers who are in charge of issuing shares, qualified institutional investors, and make necessary preparations. Book building is the process by which an underwriter attempts to determine the price at which the IPO of a company is offered. An underwriter, normally an investment bank, builds a book by inviting institutional investors (such as fund managers and others) to submit bids for the number of shares and the price(s) they would be willing to pay for them. According to Sebon Chairman Ramesh Kumar Hamal, necessary discussions have been held with the stakeholders concerned to finalize the process. "We have asked everyone to complete the work to be done on their part in one and a half months," he said, " The board will finalize it within two months." The board issued guidelines related to book building in 2017. According to Sebon, there are some issues related to merchant banks and credit rating agencies. Hamal said the board has taken the necessary decisions to resolve the issues. The board has also instructed the companies that have planned their IPOs through the book-building IPO to adjust the previously determined share price. Sarbottam Cement and Reliance Spinning Mills had earlier applied at Sebon seeking permission to issue IPOs through book-building. Sarbottam has fixed a maximum price of Rs 751.50 per share while Reliance Spinning Mills has fixed a maximum price of Rs 912 per share. According to Sebon, Sarbottam has sought to issue 2.4 million shares at the price range of Rs 501-751.50. And, Reliance Spinning Mills has asked Sebon permission to issue 770,640 shares at the price range of Rs 608-912. As the regulator of the capital market, Sebon needs to make an evaluation of investor demand and give its okay to set the issue price before the company can float shares to the general public. As the price was determined more than eight months ago and the stock market has fallen significantly since then, the board has asked the companies including Sarbottam that are looking to issue shares through the book building method to adjust the share prices. Similarly, the board has instructed Nepse to proceed with the preparation of inviting tenders for the IPO sales through book building. The merchant bankers based on the Nepse tender should initiate the IPO issuance process.  

Naba Raj Lamsal is a Nepali author, poet, and former radio journalist who was also awarded the Madan Puraskar for his epic, ‘Agni’. In total, he authored three epics—‘Karna’, ‘Dhara’, and ‘Agni’—along with eight more publications, four of which were recognized at the national level. Babita Shrestha from ApEx interviewed Lamsal to learn more about his reading and writing journey. What inspired you to become a writer? I started writing before I even knew what it entailed. I loved reciting poems and used to read classical poetry and verses written in Sanskrit. I think that influenced me to pursue writing. I used to win numerous prizes at competitions as well, and readers seemed to enjoy my writing, which has been my driving force ever since. I consider my favorite writer, Laxmi Prasad Devkota, as my greatest inspiration. His work, especially ‘Shakuntala’ gave birth to modern poetry which started a new trend in Nepali literature. Do you have a particular theme/topics you usually work on?  I prefer historical, geographical, and cultural writings. In terms of literature, I’m more inclined to write about marginalized communities, diverse races, identities, and cultures, and primarily about Nepal. I feel it’s my job to chronicle the history of my nation. Besides, I write about the need to provide a platform for the voiceless, so they can speak for themselves. In my opinion, a writer shouldn’t limit themselves to just one theme. They need to be versatile. What is your writing process like? I like to do my research before I begin to write. Once I have read every text there is to read on the subject I’m working on only then do I sit down to write. I like to write, revise, and review my work thoroughly. For instance, I have dedicated 20 years to ‘Agni’. The book was supposed to be published first in the epic series. But I had to suspend my work and begin writing other pieces because there was a research gap. I waited and looked for material that would help me complete this book. I just wanted to make sure that my readers understood what I had and wanted to say. And it ultimately got published after my other two epics. Patience and research are very important in writing. What legacy do you hope to leave behind? Recently, I’ve noticed that authors are more focused on creating works that are appealing to the readers. My ideology is different. I write to impart knowledge. I wouldn’t mind if fewer people read my books, but it has to have the potential to educate and empower them. Without a doubt, I want my readers to get some knowledge about Nepal. I hope to inspire aspiring writers to include our culture and identity in their writings. What’s your opinion on the future of Nepali literature? I’m very optimistic about it. I believe that writers from every generation, especially new ones, have and will contribute a lot to the progress of Nepali literature in their own way. I also think that the younger generation is very intelligent and has a lot of potential. I’m sure that these aspirant young minds will do a good job, or maybe even better than what we have seen so far. What books do you recommend to the readers? Books are good teachers. I can’t recommend one or two books. I would suggest people read books that impart historical, cultural, and geographical knowledge. These books will help you to enrich your critical thinking and help you to understand ideologies better. Having said that, a few books have inspired me in the past. They are ‘Shakuntala’ by Laxmi Prasad Devkota, ‘Narsingh Avatar’ by Jagadish Shamsher Rana, and ‘Tarun Tapasi’ by Lekhnath Paudyal. I think people should read these masterpieces. Lamsal’s Picks Shakuntala by Laxmi Prasad Devkota This is one of the greatest works of Laxmi Prasad Devkota, which was published in the year 1945. Narsingh Avatar by Jagadish Shamsher Rana  Narsingh Avatar is a poetry epic written by Jagadish Shamsher Rana that was awarded Madan Puraskar in 1981. Tarun Tapasi by Lekhnath Paudyal  Tarun Tapasi by Lekhnath Paudyal was published in 1953. The epic is divided into 19 cantos and is written in ‘shikharini chhanda’.

Nepal’s gross domestic product (GDP) growth is projected to slow largely due to tight monetary policy, slackened domestic demand, the unwinding of the Covid-19 stimulus, and persistent global headwinds. Asian Development Bank (ADB) on Tuesday said that the country's growth is expected to decelerate to 4.1 percent in 2023. In September last year, the Manila-based agency had expected Nepal's economy to grow by 4.7 percent this year. According to ADB, agriculture growth will likely moderate to 2.0 percent in 2023. "There has been an increase in paddy output, but winter rainfall has been scanty and will likely affect winter crop yield and overall agriculture output," states the Asian Development Outlook (ADO) April 2023 report. The manufacturing sector growth will likely decelerate due to higher interest rates, import restriction measures, and the slowdown in domestic consumption. A dampened external demand has affected manufacturing and construction subsectors. The ADB has projected that the industry sector's growth will likely decelerate by half, from 10.2 percent to 5.1 percent in 2023. "The key areas of the economy have contracted, notably construction and manufacturing," reads the report. Services growth will also moderate to 4.4 percent in 2023 from 5.9 percent in FY2022. Credit control measures and a hike in interest rates have slowed down real estate, wholesale, and retail trade activities. While tourism growth has been strong, international tourist arrivals are still at half of the pre-pandemic level. The ADB outlook has projected inflation to be on the higher side. Despite the monetary tightening, the country's inflation will edge up to 7.4 percent in 2023 from 6.3 percent in 2022. According to ADB, the current account deficit (CAD) is estimated to narrow to 4 percent of GDP due to a declining trade deficit amidst buoyant remittance inflows. ADB has expected inflation to decelerate to 6.2 percent in 2024 assuming a normal harvest, subdued oil prices, and a decline in inflation in India. CAD is expected to further moderate to 3.9 percent of GDP in 2024 as global commodity prices normalize and fossil fuel imports are partially replaced with increased domestic hydroelectricity output. ADB said that growth in private consumption expenditure will slow, and public investment may grow marginally in 2023. Public investment, having contracted by 6.0 percent in 2022, is expected to expand only marginally by 1.3 percent in 2023. After rising by 5.4 percent in 2022, growth in private consumption expenditure will decelerate to 3.7 percent in 2023, dampened by higher prices and credit controls. Public sector consumption is anticipated to expand by 3.6 percent in 2023, largely on election spending by provinces and the federal government. However, the growth in private investment expenditure will slow from 8.8 percent in 2022 to 4 percent in 2023, tamped down by higher policy rates, import restrictions, and cash margin requirements for imports (both have already been lifted). “There are downside risks to the outlook such as a global downturn hitting Nepal’s tourism and remittance receipts,” said ADB Country Director for Nepal Arnaud Cauchois. “Accelerating capital budget spending through focused investment planning, financial management, and project readiness will help spur Nepal’s economic growth over the years.”