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The 'black box' of the aircraft belonging to the Yeti Airlines that crashed in Pokhara on Sunday has been found. Spokesperson of the Civil Aviation Authority of Nepal (CAAN) Jagannath Niraula said that the black box of the crashed aircraft was found this morning. The black box is an important device of the aircraft that helps in finding out the causes of the air crash. It contains the flight radar record and the cockpit voice recorder. ALSO READ: 69 dead, 3 missing in plane crash at Seti gorge CAAN spokesperson Niraula said that the black box has been handed over to the Nepal Army. It will be brought to Kathmandu today itself and handed to the Air Crash Investigation Commission.

India has completed the fieldwork for the proposed Raxaul-Kathmandu Railway. The study of the railway line connecting Nepal's capital to the Indian town bordering India and Nepal has come as a Chinese technical team started a detailed feasibility study of the proposed Kerung-Kathmandu Railway. The two neighboring countries of Nepal are conducting the study for cross-border railways linking Nepal’s capital Kathmandu with their own grant assistance. But officials say there is still no clarity about the construction of these railway lines and the financing modality for developing these connectivity projects. In late December last year, a-six member Chinese technical team representing the China Railway First Survey and Design Institute Group arrived in Nepal for the feasibility study of the trans-Himalayan railway. “They have conducted the field visit once and are making other necessary preparations,” said an official of the Department of Railway. The Chinese team is expected to take 42 months to complete the detailed feasibility study of the project. But the work being carried out by the Indian side has reached a much-advanced stage. “The Indian side completed the fieldwork of the Final Location Survey of the proposed broad gauge railway line linking Raxaul to Kathmandu,” the official said. “We have been notified that the report will be prepared by May this year.” With the Indian side starting the work on the project much earlier, it will complete the task earlier than the Chinese side which is starting the study now. With China adopting a strict 'zero-Covid policy' earlier, travels to and from China were difficult delaying the detailed feasibility study. Pre-feasibility studies of both projects have been completed. Konkan Railways Corporation of India has prepared a preliminary engineering-cum-traffic survey or pre-feasibility study of the proposed Raxaul-Kathmandu Railway Project. As per the pre-feasibility study, the railway line will start from India's Raxaul and pass through Nepal's Jitpur, Nijgadh, Sikharpur, Sisneri, and Sathikhel before connecting Chobhar, Kathmandu. As per the study, the railway line will have 41 bridges and 40 curves. Once completed, the railway line is expected to provide Nepal direct access to the huge Indian market and its large population and offer enormous potential for the development of Nepal’s tourism, Nepali officials say. The electric railway line will also help replace fuel-based transportation, saving huge amounts of money being spent on the import of fuel, they say. The China First Survey and Design Institute prepared the pre-feasibility study of the Kathmandu-Kerung Railway which was handed over to Nepali officials in December 2018 by the National Railway Authority of China. The Kerung-Kathmandu railway will be part of the 550-km railroad connecting the Tibetan city of Shigatse with Kerung near the Nepal-China border. The report pointed out the difficulty of constructing the railway due to difficult geophysical terrains and other complexities. China's Belt and Road Initiative (BRI) prioritizes connectivity with Nepal, therefore India started a variety of connectivity projects like roads, rivers, and the Kathmandu-Raxaul railway in response. The two neighbors decided to build a new electrified rail route between Raxaul and Kathmandu with India's financial backing during former Prime Minister KP Sharma Oli's state visit to India in April 2018. In a joint communique released at the time, both countries envisioned the goal of building the railway to increase connectivity in order to strengthen inter-people connections and foster economic growth and development. A memorandum of agreement (MoU) was signed by Nepal and India in August 2018 to conduct a preliminary engineering and traffic survey of the broad-gauge line. Similarly, both countries signed an MoU on performing a final location study in October 2021. In October 2019, during Chinese President Xi Jinping's visit, Nepal committed to producing a thorough project study for the Kerung-Rasuwagadhi railway. The two parties inked an agreement relating to the technical assistance scheme for the China-Aid Feasibility Study of the China-Nepal Cross-Border Railway Project during the official visit of Former Chinese Foreign Minister Wang Yi to Kathmandu in March of last year. As per the agreement, the Chinese government would bear all costs associated with the feasibility study.

With the end of the first half of the current fiscal year, the government has failed to meet the revenue target. The worrying sign is, unlike in past years, the government's overall revenue collection has decreased significantly in this fiscal compared to the last fiscal year. The revenue administration has been struggling to meet the revenue target from the first months of the current fiscal. According to the Financial Comptroller General Office (FCGO), the government's overall revenue collection (tax and non-tax) stood at Rs 458.98 billion in the first six months of FY 2022/23 compared to Rs 542 billion in the corresponding period of FY 2021/22. In the review period, the tax revenue collection totaled Rs 405.26 billion, a sharp drop from Rs 493.92 billion during the same period of the last fiscal year. The government had targeted to collect Rs 651.62 billion during the first six months of the current fiscal year. However, the target got missed by 30 percent. Though revenue administration officials blame higher revenue targets and import restrictions as major reasons behind decreased revenue collection, economists point out economic mismanagements under the former Finance Minister Janardan Sharma as one of the key reasons behind sluggish revenue collection. According to a former finance secretary, Sharma filled the key position of the Finance Ministry with inexperienced and incompetent administrators which resulted in a leakage of revenue. “The revenue target itself was not scientific given that the import restrictions were already in place when the federal budget was announced,” he said. Amid fear that the country would move in the direction of Sri Lanka due to depleting foreign exchange reserves, the government and the central bank introduced a series of restrictive measures to discourage imports - from import restrictions to cash margin provisions on opening letters of credit (LCs). The central bank made it mandatory for the importers to deposit a cash margin of up to 100 percent to open LC for importing nearly 50 types of goods; this policy arrangement is still in place. The policy was first introduced for 10 types of goods in December 2021 and was expanded to more goods in February 2022. In April 2022, the government imposed import restrictions on 10 types of goods including automobiles, alcohol, and expensive mobile phones among others. Though the government lifted the import restrictions in mid-December 2022, the impact of the policy is still visible in the government's revenue collection. On the one hand, import restrictions caused a sharp reduction in revenue collection, on the other hand, the shortage of loanable funds in the banking system contributed to a slowdown in the country's economy. As a result of import control and reduced economic activities, both customs and inland revenues have slumped in this fiscal. The Department of Customs (DoC) reported a deficit of more than Rs 120 billion in its revenue collection target while the Inland Revenue Department (IRD) has also reported collection of less than the targeted revenue. IRD aimed to collect Rs 106 billion in revenue in Poush (mid-December to mid-January) but managed to collect only Rs 71 billion. IRD's revenue collection fell short of 21 percent of the target in the first six months. The department had set a target of collecting Rs 281 billion in revenue by the end of January but only collected Rs 222 billion. IRD collected Rs 225 billion in the first six-month of FY 2021/22. As a result, the government revenue collection has been barely sufficient even to meet recurrent expenditure with the government’s revenue collection. The government's recurrent expenditure stood at Rs 455 billion against the total revenue collection of Rs 458.98 billion, according to FCGO. Capital expenditure remains dismal  In the first six months of the current fiscal year, the government's administrative expenditure surged while development expenditure continued to stay sluggish. The FCGO data shows recurrent expenditure stood at 38.46 percent of the allocated recurrent budget which was 31 percent in the corresponding period of the last fiscal year. Though the government introduced a guideline on austerity measures to control administrative expenditure, it appears that there has been little progress in this regard with a sharp rise in recurrent expenditure. Similarly, capital expenditure stood at 14.05 percent and expenditure of the budget under financial management stood at 29.44 percent in the review period. The latest statistics indicate a slight improvement compared to 13.44 percent capital expenditure and 26.12 percent expenditure of budget under financial management during the same period of the last fiscal year. Officials said with the government struggling to collect revenue, it has also been unable to make timely payments to the contractors for the work they completed. The ministries having a huge budget for development projects are reporting that they are not getting an extra budget from the Finance Ministry to expedite the development projects with the latter showing a shortage of resources. The contractors say they are not being paid timely by the government for the works that have been completed affecting their ability to expedite works of the development projects. “When construction activities slump, the government doesn't get taxes including Value Added Tax from the sector,” said a contractor, adding, "Construction activities are an important source of VAT for the government.” Data Target vs Collection

Newly appointed Chinese Ambassador to Nepal Chen Song called on Prime Minister Pushpa Kamal Dahal on Monday. Earlier on Friday, the Chinese Ambassador had presented a letter of credence to President Bidya Devi Bhandari. During the meeting held at the Prime Minister’s official residence in Baluwatar this morning, the duo discussed implementation of BRI Project, development of Nepal’s infrastructure, Nepal-China relations and mutual interests among others, the Baluwatar source said. On the occasion, Prime Minister Dahal said that Nepal has effectively implemented the agreements signed with China earlier. He further said that Nepal is always committed to One-China policy. The Ambassador said that China will always be with Nepal on the path of economic and infrastructure development and prosperity. Meanwhile, he expressed his sadness over the Yeti Airlines plane crash in Pokhara on Sunday. There were 68 passengers and four crew members on board the plane. Among the passengers, 53 were Nepalis, five Indian nationals, four Russians, two Koreans and one each from Ireland, Argentina, Australia and France, Yeti Airlines said in a press release. Chen Song is known as the expert on Asian affairs. He is the deputy director general at the Chinese Ministry of Foreign Affairs. The Chinese Ambassador is considered to be an expert on Nepal affairs.  

The average capacity utilization of industries in Lumbini Province has declined in the last fiscal year. The 'Lumbini Province Annual Economic Activity Report' released by Nepal Rastra Bank shows the average capacity utilization of industries in the province stood at 58.37 percent in FY 2021/22 compared to 62.91 percent in FY 2020/21. The NRB report shows capacity utilization of industries in the province decreased by 4.54 percent in the last fiscal year. The average capacity utilization plunges mainly due to a decline in the capacity utilization of the industry manufacturing dry syrup, electric wires and cables, cement, rice, synthetic fabrics, and pharmaceutical products. The highest capacity utilization in the last fiscal year was seen in the noodle industry (96.94 percent) and the lowest was in the dry syrup (8.30 percent). The industries, whose capacity utilization was above the average, were concrete, tablets, aluminum, mustard oil, rosin, plywood, animal feed, and alcohol. While the average capacity utilization of dry syrup has declined, its production has increased in the last fiscal year. According to the NRB report, the production of dry syrup has increased by 107.5 percent in FY 2021/22. The improvement in the production of pharmaceutical products, according to the NRB report, is due to a surge in the demand as well as the addition of new plants in the industries. Lumbini Province has been the mainstay of Nepal's cement production but cement production in the province declined by 1.1 percent in FY 2021/22. Out of the 60 cement industries operating in Nepal, 45 are in Lumbini province. The slowdown in construction and infrastructure work has affected the demand for cement, which resulted in a decline in production. The production of synthetic fabric has decreased the most by 45.49 percent. This is mainly due to a slowdown in the demand in the market as well as a rise in the price of raw materials in the international market. Among the major industrial products, paper production increased by 48.31 percent, rosin production by 38.84 percent, wheat flour by 18.48 percent, electric wires and cables by 18 percent. The production of rice declined by 22.09 percent, plastic goods by 12.98 percent, and alcohol by 5.02 percent. Industrial loan The industrial loans disbursed by the banks and financial institutions (BFIs) to the industrial sector decreased by 4.49 percent in the last fiscal year. The BFIs disbursed industrial loans worth Rs 119.19 billion in FY 2021/22. Such loans had increased by 14.93 percent in FY 2020/21. According to the NRB report, BFIs' loans to the mining industry increased by 33.36 percent, agriculture, forestry, and beverage industry by 36.59 percent, non-food product manufacturing industry by 10.90 percent, and metal manufacturing machinery and electronics industry by 25.46 percent. The loans to the construction industry declined by 65.14 percent, and electricity, gas, and water-related industries by  45.98 percent. Of the total loans disbursed in the Lumbini Province, 16.83 percent went to the industrial sector. Of the total industrial loans disbursed in the province, Rupandehi district has the highest share of 61.83 percent while Rukum-East has the lowest share of 0.04 percent. Banke has a share of 16.22 percent, Dang has 5.99 percent, Kapilbastu 5.66 percent, and Nawalparashi West has 5.75 percent.

Rescue teams have recovered 68 bodies from the Yeti Airlines plane crash site so far. They are searching for the remaining four. Police said that the bodies have been brought to the Gandaki Hospital. A Yeti Airlines plane carrying 68 passengers crashed in Pokhara on Sunday. The plane with call sign ATR-72 took off from Kathmandu to Pokhara at 10: 33 am today, police said. According to Sudarshan Bartaula, spokesperson of the Yeti Airlines, there were two pilots, two air hostesses and 68 passengers on board the ill-fated aircraft that crashed between the old airport and the Pokhara International Airport this morning.  

The government has announced a public holiday tomorrow to mourn the lives lost in the Yeti Airlines plane crash in Pokhara on Sunday. An emergency Cabinet meeting held on Sunday made the decision to this effect, Deputy Prime Minister and Finance Minister Bishnu Poudel said. Similarly, the government has also formed a five-member probe committee to investigate the incident. A Yeti Airlines plane carrying 68 passengers crashed in Pokhara on Sunday. The plane with call sign ATR-72 took off from Kathmandu to Pokhara at 10: 33 am today, police said. According to Sudarshan Bartaula, spokesperson of the Yeti Airlines, there were two pilots, two air hostesses and 68 passengers on board the ill-fated aircraft that crashed between the old airport and the Pokhara International Airport this morning.  

The government has formed a five-member probe committee to investigate Yeti Airlines plane crash. An emergency Cabinet meeting held at the Prime Minister’s official residence in Baluwatar on Sunday following the plane crash made the decision to this effect. Emerging from the meeting, Deputy Prime Minister and Finance Minister Bishnu Poudel said that the five-member probe committee has been formed to investigate the incident. The reason behind the incident, however, is not immediately known. A Yeti Airlines plane carrying 68 passengers crashed in Pokhara on Sunday. The plane with call sign ATR-72 took off from Kathmandu to Pokhara at 10: 33 am today, police said. According to Sudarshan Bartaula, spokesperson of the Yeti Airlines, there were two pilots, two air hostesses and 68 passengers on board the ill-fated aircraft that crashed between the old airport and the Pokhara International Airport this morning.