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The country has received Rs 763.08 billion in remittance in the first six months of the current fiscal year.

Releasing the mid-term review report of the current fiscal year on Thursday, the Ministry of Finance stated that remittance inflows increased 4.1 percent in the review period compared to the same period of the last year. However, the remittance inflows had increased 22.2 percent in the same period of the last year.

Likewise, net secondary income, also known as net transfer, reached Rs 832.76 billion in the review period by increasing 4.2 percent, while the net transfer had increased 21.1 percent in the same period of the last year. 

According to the Ministry, the number of Nepalis taking first-time approval for foreign employment stands at 230,439 with an increase of 11.7 percent and those for renew entry stands at 162,628 increasing 21.4 percent in the review period compared to the same period of the last fiscal year.

The Ministry shared that the balance of payment in the review period remained at a surplus of Rs 249.26 billion while the balance of payment was at a surplus of Rs 273.52 billion in the same period of the last fiscal year.

The government is set to raise Rs 10bn in domestic debt through a development bond auction. The Public Debt Management Office (PDMO) issued a notice regarding the six-year ‘Development Bond-2087’ on Wednesday. This will raise the amount that the government has raised in the form of domestic debt in the month of Magh (mid-January to mid-February) to Rs 50bn. The government earlier raised Rs 10bn through treasury bills and Rs 30bn through development bonds.

Banks and financial institutions, non-banking financial institutions, insurance companies, organized groups, and the general public participated in the auction between 10 am and 3 pm on Wednesday. The bonds will be issued on Thursday. According to the PDMO, competitive and non-competitive bidders have been allocated 85 percent and 15 percent of the total amount, respectively, i.e., Rs 8.5bn and Rs 1.5bn. If the full amount is not received from non-competitive bidders, the remaining amount will be sold to competitive bidders. The interest rate will be determined through the auction process.

Interest payments on the bond will be made every six months, while the principal amount will be repaid on 7 Feb 2031. According to the PDMO, interested institutions and Nepali citizens can buy bonds for a minimum of Rs 500,000 and up to the total issued amount in multiples of Rs 500,000. The certificate of this loan or bond can be used as collateral to obtain loans and can be traded in the secondary market.

Taking advantage of the high liquidity and lower interest rates in the financial system, the government has expedited the process of raising domestic debt by revising its schedule. The PDMO has revised the quarterly domestic debt schedule for the current fiscal year. The government plans to raise Rs 113bn in the third quarter (mid-January to mid-April) of the current fiscal year. As per the revised schedule, only Rs 35bn will be raised in the fourth quarter.

According to the PDMO, the government raised Rs 115bn in the first quarter and Rs 66.5bn in domestic debt in the second quarter of the current fiscal year. It has set a target to raise Rs 330bn in domestic debt in the current fiscal year. Of this, it has already raised Rs 221.5bn.

Several projects under the Lumbini Province government, costing millions, remain incomplete due to insufficient budget allocation.

Twenty lift drinking water supply projects, initiated in the fiscal year 2018/19, have stalled. These projects, requiring significant funding, have struggled to progress due to minimal budget allocation, according to Raj Kishor Mandal, Chief of the Water Supply and Sanitation Division in Pyuthan. While some work was completed in the initial years, the lack of consistent funding has left the projects classified as complex and unfinished.

“The work was completed as per the budget received in the first year,” Mandal said. “Due to irregular and insufficient funding, we have categorized 20 projects as complex drinking water projects.” He added that a request has been made to the ministry for additional funding to complete the projects and operationalize the water supply.

The Luplung Lift Drinking Water Project, with an estimated cost of Rs 54.515m, has so far spent only Rs 833,000 in Naubahini Rural Municipality-8. “Not a single penny has been allocated in the last two years,” said Hemanta Raj Bhandari, Chairperson of the project construction consumer committee. “One government allocated funds, and the next reduced them.” Despite budget constraints, the construction of three tanks and a pump house for the three-stage lift project, which began in 2019/20, has been completed.

Bhandari mentioned that the project’s bank account has been updated following reports that Rs 2m worth of pipes will be purchased from this year’s Rs 6.4m budget allocation, with the remaining funds used to continue construction. “We plan to sign an agreement by depositing one percent of the total amount on behalf of consumers. If funds are consistently provided and work progresses as scheduled, 380 households in Luplung will benefit.”

Efforts are underway to provide drinking water facilities through lift systems in water-scarce areas with no nearby water sources. Water shortages persist not only in rural regions but also in the district headquarters. The Jhimruk Large Lift Drinking Water Project, designed to serve Khalanga and surrounding areas, faces similar challenges. Estimated to cost Rs 98.269m, the project has already incurred Rs 18.3m in expenses. However, the five-stage lift project, initiated in 2019/20, has yet to become operational. If completed, it would benefit 557 households.

Lumbini Province’s Urban Development and Drinking Water Minister, Saroj Thapa, assured that funding will be secured for projects nearing completion. “Many projects have stalled due to budget shortages in previous years,” he said. “We will allocate funds based on project status—either by transferring funds within this fiscal year or incorporating them into next year’s budget.”

So far, Rs 224.73m has been spent on 20 drinking water projects, which have an estimated total cost of Rs 842m. However, none of these projects have been operationalized.

Additionally, under the Climate Adaptation Comprehensive Drinking Water Project, several projects have been classified as complex, including the Pangraghat, Pyuthan, Satmule Barjivang, Bangesal, and Hanspur Drinking Water Projects. These initiatives, launched in 2014/15, remain unfinished. To date, Rs 122.8m has been spent on these projects, which have a combined estimated cost of Rs 269m.

The Nepal Stock Exchange (NEPSE) plunged by 11. 64 points to close at 2, 699. 81 points on Thursday.

Similarly, the sensitive index dropped by 1. 55 points to close at 454. 49 points.

A total of 18,680,392-unit shares of 315 companies were traded for Rs 9. 24 billion.

Meanwhile, Upper Lohore Khola Hydropower Company Limited (ULHC)was the top gainer today with its price surging by 10. 00 percent.

Likewise, Upakar Laghubitta Bittiya Sanstha Limited (ULBSL) and Corporate Development Bank Limited (CORBL)​​​​​​​​​​​​​​were the top losers as their price fell by 10. 00 percent.

At the end of the day, the total market capitalization stood at Rs 4. 47 trillion.