KATHMANDU, MAY 2
The National Statistics Office (NSO) has projected the country's economic growth at 2.16 per cent at basic price in the current fiscal year. As per the National Accounts Estimates unveiled by the NSO today, Nepal's gross domestic product is expected to grow at the given rate to reach Rs 5.38 trillion.
The NSO projection unveiled today in its preliminary report is 5.84 percentage points lower than the government's targeted growth rate of eight per cent. The projection is also lower than the growth projection for the current fiscal year made by the Asian Development Bank (4.1 per cent) and the World Bank (4.1 per cent). The International Monetary Fund had projected Nepal's economy would grow by 4.4 per cent in the current fiscal.
The annual growth rate of GDP at consumer price is projected at 1.86 per cent, according to the NSO.
According to the report, economic activities in Nepal are expected to increase slightly for the rest of this fiscal year compared to the last eight months. If everything remains the same, the economic performance of all economic sectors will also remain the same as in a normal year, as per NSO.
Furthermore, the contribution of the primary sector to GDP is projected to increase while that of the secondary and tertiary sectors is expected to decrease. The private sector is estimated to grow to 2.69 per cent from 2.39 per cent.
The contribution of the primary sector to the GDP is estimated at 24.6 per cent, while the contribution of the secondary sector is projected at 12.9 per cent. The tertiary sector is expected to contribute 62.4 per cent to the GDP.
It is estimated that the agriculture sector's contribution will stand at 24.12 per cent and the non-agriculture sector will contribute 75.88 per cent to the GDP in the current fiscal year. The GVA (gross value added) of the agricultural and forestry sector is projected to increase by 2.73 per cent in the current fiscal year.
The contribution of the mining and quarrying sector to the GDP is estimated at 0.51 per cent; that of manufacturing at 5.32 per cent; electricity, gas, steam, and air-conditioning supply at 1.64 per cent, water supply at 0.46 per cent; construction at 5.52 per cent; wholesale and retail trade sector at 15.39 per cent; transportation sector at 6.79 per cent; accommodation and food service activities at 1.98 per cent; information and communication at 1.97 per cent; financial intermediations at 7.37 per cent; real estate activities at 8.37 per cent; professional, scientific, and technical activities at 0.97 per cent; administrative and support service activities at 0.72 per cent; public administration and defence 8.15 per cent; education at 8.22 per cent; human health and social work activities at 1.92 per cent; and other economic activities at 0.59 per cent.
A version of this article appears in the print on May 3, 2023, of The Himalayan Times.
