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The price of gold has dropped by Rs 1, 500 per tola in the domestic market on Wednesday.

According to the Federation of Nepal Gold and Silver Dealers’ Association, the yellow metal is being traded at Rs 192, 000 per tola today. 

Similarly, the price of silver has dropped by 20 and is being traded at Rs 2, 140 per tola today.

Nepal Rastra Bank (NRB) has adopted a more flexible approach to direct sector lending by granting banks and financial institutions an additional year to meet mandatory credit flow targets for specific priority sectors.

Through an amendment to its Unified Directives for Banks and Financial Institutions, the central bank extended the deadline to meet minimum lending requirements in agriculture and small and medium enterprises (SMEs). Previously, commercial banks were required to meet these sectoral lending thresholds by mid-July 2027. With the revision, banks now have until mid-July 2028 to comply.

Under the new provision, commercial banks must gradually increase credit exposure in agriculture and SMEs to reach 15 percent of their total loan portfolio by mid-2028. The phased targets require banks to achieve 11 percent by mid-July 2025, 12 percent by mid-July 2026, 13 percent by mid-July 2027 and 15 percent by mid-July 2085. Previously, banks were expected to achieve 12 percent by this fiscal year, 13 percent by mid-2026 and 15 percent by mid- 2027.
Similarly, development banks are now required to channel at least 20 percent of their total loans into agriculture, cottage, small-scale industries, energy, and tourism by the extended deadline of mid-July 2028. Likewise, Class ‘C’ finance companies must disburse at least 15 percent of their total loans to these sectors by mid-July 2028.

NRB has also introduced flexibility for commercial banks that have already met the minimum lending requirement in the agriculture sector but are struggling to meet quotas in other areas. These banks are now allowed to allocate the shortfall to their area of expertise, provided the total lending across all targeted sectors meets the required percentage.

In addition, the central bank has allowed restructuring and rescheduling of loans up to Rs. 20m disbursed in agriculture, energy, and SMEs, if the borrower faces financial difficulties. The provision allows a one-time rescheduling based on the borrower’s request and a detailed assessment of the business plan and cash flow, provided at least 10 percent of the due interest has been recovered.

However, NRB has imposed strict conditions on such restructuring. As per the new provision, restructuring must be completed by mid-September, the restructured loan must retain at least the same risk classification as of mid-December last year and previously made loss provisions cannot be reversed during restructuring.

At 10:30 am, Dundrup Tsering, a businessperson from Nepal, waited at Lektse Port in the city of Xigaze, southwest China's Tibet Autonomous Region, carrying two large bags. “I’ve been doing business here since the opening of the port in Nov 2023, and my family’s living conditions have improved significantly,” said Dundrup Tsering.

In the past, traders set up stalls at traditional border trade points under simple tents with no fixed locations. Their goods were often damaged by rain or snow, and access to basic facilities like toilets was a constant challenge. The opening of the port and the completion of a modern trade market have significantly improved conditions. “We have moved into a proper market with better conditions. It is more convenient and rent-free,” said Dundrup Tsering. “My family had almost no income before the port opened. Now we no longer worry about food or clothing.”

Beyond boosting employment, the new and reopened ports along the China-Nepal border have accelerated regional cross-border trade. “Our products are specifically designed for Nepal’s needs,” said Jiang Zhengguang, chairperson of a machinery company located approximately an hour’s drive from the port of Gyirong.

In the company’s four bright and tidy workshops, workers were busy producing vehicles for export. “We’ve developed innovative new energy vehicles (NEVs) for Nepal’s rugged mountain roads, steep slopes, and high load requirements,” Jiang added. “Nepali customers said that our vehicles offered top-tier quality and performance. We expect annual exports to exceed 2,000 units.”

With the reopening of the ports of Zham, Gyirong and Burang in 2023, NEVs can now reach Nepal from manufacturing hubs within ten days. From January to May this year, Xizang’s import-export volume with Nepal reached about $249m, up 14 percent year on year, according to Lhasa Customs.

To facilitate trade, Lhasa Customs has established a green channel, supporting 24-hour advance declarations, and providing one-on-one assistance. Exports of NEVs, local wool, and fresh fruits are increasing, while imports of Nepalese medicinal herbs and silage fodder continue to diversify as more categories gain market access.

Since 2021, Xizang’s trade with South Asian Association for Regional Cooperation (SAARC) members has totaled $2.08bn, with Nepal accounting for 87 percent. The land ports between China and Nepal have played a vital role.

The Nepal Stock Exchange (NEPSE) gained 1.08 points to close at 2,601.84 points on Tuesday.

Similarly, the sensitive index surged by 0.52 points to close at 445. 59 points.

A total of 13,818,559-unit shares of 316 companies were traded for Rs 5. 76 billion.

Meanwhile, Om Megashree Pharmaceuticals Limited (OMPL) was the top gainer today, with its price surging by 1. 01 percent.

Likewise, 10% NIC Asia Debenture 2085/86 (NICAD85/86) was the top loser as its price fell by 5. 17 percent.

At the end of the day, total market capitalization stood at Rs 4. 33 trillion.