Nepal Rastra Bank predicts that the economy will grow above average this fiscal year, supported by liquidity expansion and monetary easing. The Economic Activity Study Annual Report highlights low inflation, falling interest rates, and higher hydropower output as key growth drivers. While last year’s growth was 4.6%, the central bank expects expansion in construction and manufacturing sectors. Bagmati Province remains the largest contributor at 36.5% of GDP, while Karnali accounts for just 4.2%.






