Nepal receives remittance of Rs. 582.19b in 8 months
By A Staff Reporter
Kathmandu, Apr.19: Nepal has received remittance worth Rs. 582.19 billion during the first eight months of the current fiscal year.
The remittances from migrant Nepali workers’ increased by 23.4 per cent during the review period compared to an increase of 4.9 per cent in the corresponding period last year, according to a report of Nepal Rastra Bank (NRB).
In the US Dollar terms, remittances increased by 11.6 per cent in the review period compared to 9.5 per cent in the corresponding period the previous year.
Net transfer receipt increased by 22.9 per cent to Rs. 662.70 billion in the review period. Such receipt had decreased by 0.7 per cent in the same period the previous year.
However, the number of Nepali migrant workers (institutional and individual-new and legalised) decreased by 38.3 per cent in the review period.
It had decreased by 5.4 per cent the previous year.
However, an increase of 4.6 per cent was noticed in the reentry of the Nepali migrant workers in the review period.
It had decreased by 1.3 per cent in the same period the previous year.
According to economist and former member of National Planning Commission (NPC) Dr. Chandra Mani Adhikari, increment in the salary of the migrant workers in the international labour market has contributed to the increase of remittance despite a fall in the number of migrant workers.
The flow of remittance in terms of Nepali rupees increased significantly, but in terms of US dollar it has increased marginally during the review period, he said.
Use of the banking channel to send money by the migrant workers has been growing for the last couple of years, and it has been one of the reasons for the increase in remittance flow, he said.
However, he said no situation was there to be happy looking at the growth of remittance because widening trade deficit and deficit of balance of payment have affected the overall economy, he said.
The trade deficit was higher than the remittance flow, he said, adding that it was a must to overcome the widening trade deficit.
The total trade deficit, further, widened by 24.5 per cent to Rs. 887.88 billion in the first eight months of the current fiscal year.
He said that current account registered a deficit of Rs. 191.13 billion and Balance of Payments remained at a deficit of Rs. 58.99 billion during the review period.