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Two new cases of Kala-azar have been found in Jhapa, a district in the Terai region of Koshi Province. Similar cases have been reported in previous years as well.

The Health Office in Jhapa has confirmed that the infections were reported in Birtamod Municipality-5 and Shibashatakshi Municipality.

Following illness, the people visited the Dharan-based BP Koirala Institute of Health Sciences and were diagnosed with the infections. Both the infected are males.

The Public Health Office, Jhapa is currently undertaking efforts to raise public awareness about Kala-azar and its prevention measures, while also actively searching for potential cases.

These efforts are being carried out in collaboration with local representatives, women's health volunteers, and other relevant stakeholders. Kala-azar (black fever) can be fatal if left untreated.

Kala-azar is a parasitic disease transmitted through the bite of infected female sandflies.

Nepal’s tourism industry is back on track if foreign tourist arrival figures over the first three months of 2024 are anything to go by.

Foreign tourist arrivals via air recorded a year-on-year growth of 33.78 percent in the first three months of 2024. Tourist arrival data released by the Nepal Tourism Board (NTB) shows a total of 304,693 foreign tourists have entered the country till March this year, compared to 227,755 in the same period of 2023. Over the past few months, the tourism sector is playing a vital role in the tourism recovery. A report published by the World Bank on April 2 states that the services sector emerged as a primary driver of this growth on the supply side, buoyed by increased activity in tourism-related services.

A total of 128,167 foreign tourists arrived in Nepal in March this year, compared to 99,427 in March last year. This is higher than the pre-covid footfall for the month. Nepal had welcomed 127,351 in March 2019. However, the total arrival in the first three months of 2024 is still lower than the total arrivals in the first three months of 2019 when Nepal welcomed 311,047 foreign tourists.

Nepal welcomed 1,197,191 foreign tourists in 2019 which has remained the best year for the industry so far. Arrival numbers fell to 230,085 in 2020 and further to 150,962 in 2021. It improved to 614,869 in 2022 and rebounded to 1,014,876 in 2023. Arrival figures over the first three months suggest that Nepal is on track to beat the 2019 numbers this year. March marks the beginning of the spring tourism season which is considered the best for trekking and mountaineering. The spring season sees a lion’s share of mountaineering expeditions coming to Nepal. Most of the expeditions on Mt Everest, the tallest peak on earth, are organized in this season.

According to tourism entrepreneurs, tourist numbers will continue to increase till May which marks the end of the climbing season and the beginning of monsoon rains. While tourist numbers dip during the three months of June, July, and August, it starts picking up once the autumn season begins in September. The autumn season continues through December. 

As usual, India was the largest source market for Nepal in March, with 30,698 visitors. It was a year-on-year growth of 18.5 percent. The number of Chinese tourists also increased considerably to 12,093—a growth of a staggering 358 percent. The US came third with 10,763 visitors, followed by the UK with 7,241 tourists, Sri Lanka with 5,741 visitors, and Germany with 5,255 footfalls. Likewise, Thailand, Myanmar, France, and Australia were among the top 10 countries in terms of visitor numbers. Region-wise, Asia (SAARC) contributed the highest number of visitors in March, accounting for 31.8 percent of total arrivals. 

Similarly, Asia was next, contributing 22.4 percent of total arrivals, followed by Europe (21.5 percent), Oceania (4.8 percent), the Americas (9.8 percent), and Others (9.7 percent). Tourism entrepreneurs say the tourist arrivals would be much higher once the new international airports in Lumbini and Pokhara start handling international flights.

The consumer price inflation in Nepal is expected to remain high at 6.7 percent in Fiscal Year 2024, close to the central bank's 6.5 percent ceiling, due to VAT exemptions removal, India's food export restrictions, and increased paddy minimum support prices.

However, inflation is forecasted to decline to 6 percent in FY25 and 5.5 percent in FY26, driven by global commodity price moderation and domestic price containment through monetary policy. Projected lower inflation in India may also help reduce domestic inflation via the currency peg, mitigating imported inflation, the World Bank (WB) stated in its Nepal Development Update (April 2024) it unveiled on Tuesday.

According to the WB, Nepal's economic growth is set to rebound, from 1.9 percent in FY23 to a forecast 3.3 percent in FY24. Growth is then projected to further accelerate to 5 percent on average, over FY25-26. This recovery is largely attributed to the easing of monetary policy, assuming productive use of private sector credit. Additionally, reforms to improve the business environment could attract more private investment, further boosting medium-term growth prospects.

The services sector is expected to be the key driver of growth in the coming years. Accommodation and food services are poised to benefit significantly from the rise in tourist arrivals. The ongoing construction of new five-star hotels and government policies supporting real estate loans are expected to further stimulate the accommodation sub- sector.

Meanwhile, the industrial sector is expected to grow, buoyed by significant expansions in electricity generation capacity, fostering a more conducive environment for industrial activities. However, agricultural growth is projected to slow down due to various factors, including the outbreak of lumpy skin disease among livestock and a decrease in paddy production growth.

The current account balance is forecasted to return to surplus in FY24, driven by robust remittance growth and a narrowing trade deficit, but is expected to narrow subsequently as remittances taper off and the trade deficit expands.

The trade deficit is expected to improve in the medium term, falling below its FY23 level. This is due to a projected decline in goods imports in FY24, although imports are expected to rebound in FY25 and FY26. Goods exports, particularly in electricity, are expected to increase. While services exports could rise with tourism recovery, services imports may surpass exports due to continued emigration. Despite efforts to attract more foreign direct investment, inflows are likely to remain modest.

Nepal's fiscal deficit is poised to decrease significantly from its peak in FY23 (about 6 percent of GDP), stabilizing around 3 percent of GDP in the medium term, despite a projected higher deficit in FY24 compared to the government's revised forecast. Revenue is expected to rise to 20.1 percent of GDP by FY26, supported by robust GDP growth and increased goods imports. Meanwhile, spending is expected to increase to 22.8 percent of GDP by FY26, driven by enhanced execution of public investment.

The National Project Bank’s integrated guidelines, introduced in March 2023, aim to streamline project development and prioritization, contributing to more effective capital spending by FY25. Financing for the fiscal deficit will likely come from external concessional borrowing and domestic sources. However, public debt is projected to decline to 40.8 percent of GDP by FY26 from its FY23 peak because of higher economic growth.

The forecast is subject to both domestic and external risks. Externally, geopolitical uncertainty could trigger a rise in commodity prices, impacting all sectors. A growth slowdown in partner countries might also lead to a drop in remittances and tourism, hindering economic growth. Persistent inflation expectations and lower domestic demand could further dampen economic activity. Natural disasters pose additional risks to sustaining welfare gains.  Finally, frequent political changes, a top headwind for businesses for over a decade, could continue to deter private investment.

Nepal's poverty rate fell due to migration and remittances, alongside consumption increases. The recent nationally household survey data from the Nepal Living Standard Survey 2022/23 shows a large decline in poverty from 25 percent to just 3.6 percent between 2011 and 2023 (using the 2011 National Poverty Line). The prosperity gap and inequality also reduced over the same period. However, challenges persist with a weak labor market and limited social assistance, posing risks amid economic and climate shocks.

Overall, H1FY24 data corroborated the structural challenges facing Nepal's economy.

On the fiscal front, the Nepal Development Update highlighted the need to strengthen the execution and efficiency of capital expenditure to boost economic growth, as well as the importance of reducing dependence on imports tax revenue.

Sound and consistent monetary policy will also be key to boosting confidence and stimulating economic growth. Addressing the increasing level of non-performing loans in the financial sector is crucial to strengthen financial stability and support private investment. On the external side, the high dependency on remittance inflows exposes the country to external shocks. Thus, there's a need to strengthen Nepal's international competitiveness for other sources of external earnings, such as tourism and foreign direct investment, by boosting exports of goods.

Kathmandu Metropolitan City (KMC), Education Department has urged the institutional schools under the metropolis to name the schools embodying the Nepali identity.

Issuing a public notice today, the Education Department asked the institutional schools for the same.The Department reminded that the Rule 154 (1) of Education Regulations, 2059 (with amendment) and Rule (70) of KMC School Education Management Regulation, 2074 have the provision that schools should be named, reflecting the Nepali identity. 

The Department also directed such institutional schools under the KMC to contact the KMC Education Department within seven days, saying the names of most institutional schools are found against this provision.

The notice reads that legal process could be forwarded as per the law like prohibiting the student admission process if a process to name the school reflecting Nepali identity is not adopted and contacting the Department within a week.

The Department asked such institutional schools to file application at the KMC within 35 days of deciding the name from school management committee.