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Nepal’s burgeoning trade deficit

Nepal’s burgeoning trade deficit

By Himalayan News Service

The data unveiled by the Department of Customs reveal that while Nepal’s exports rose by merely 6.35 per cent to Rs 74.71 billion in fiscal year 2016-17, the country’s imports had surged by a whopping 27.02 per cent to Rs 984.07 billion. Consequently, the country’s trade deficit in fiscal 2016-17 widened by 29.09 per cent to Rs 909.35 billion against Rs 704.46 billion in the previous fiscal. The share of imports surged to 92.9 per cent of the total trade of Rs 1.06 trillion in fiscal year 2016-17, against its share of 91.7 per cent of the total trade of Rs 844.97 billion in fiscal 2015-16. The import-export ratio in 2016-17 stood at 13.2 against 11 in 2015-16. This means the country imported goods worth Rs 13.20 against every export worth one rupee in the last fiscal. Here are the trade figures at a glance: Particulars 2015-16 2016-17 Imports Rs 774.71bn Rs 984.07bn Exports Rs 70.25bn Rs 74.71bn Trade deficit Rs 704.46bn Rs 909.35bn Total  foreign trade Rs 844.97bn Rs 1.06tn Imports-exports ratio 11 13.17 Exports share to total trade 8.3pc 7.06pc Imports share to total trade 91.7pc 92.94pc