Economy projected to reach Rs 6,107 billion this fiscal

KATHMANDU: The Nepali economy is projected to reach Rs 6,107 billion at consumer prices in the fiscal year 2024/25, according to preliminary estimates released by the National Statistics Office (NSO) on Monday.

Bagmati Province, which houses the federal capital Kathmandu, continues to dominate the national economy, contributing 36.52% to the total Gross Domestic Product (GDP), followed by Koshi (15.9%) and Lumbini (14.23%), respectively.

Madhesh Province saw a marginal increase in its contribution, reaching 13.16%, while contributions from Koshi, Gandaki, Lumbini, Karnali and Sudurpashchim experienced slight declines compared to revised estimates for fiscal year 2023/24, according to the NSO.

In absolute terms, Bagmati maintains a commanding lead with an estimated economic output of Rs 2,230 billion. Koshi Province was next with an economic output of Rs 971 billion, followed by Lumbini (Rs 869 billion) and Madhesh (Rs 804 billion). Gandaki, Sudurpashchim, and Karnali trail behind with GDP sizes of Rs 548 billion, Rs 430 billion and Rs 256 billion, respectively.

The NSO has projected the economy to grow by 4.61% in the current fiscal year. Among provinces, Gandaki is expected to post the highest growth at 5.51%, ahead of Bagmati (5.18%), while Sudurpashchim is expected to grow by the lowest rate of 3.32%. Karnali (4.74%) and Lumbini (4.7%) are also projected to outpace the national average, whereas Koshi (3.34%), Madhesh (4.5%) and Sudurpashchim fall short.