Path to Nepal's economic recovery in fy24 likely to be bumpy one: report.

In a recent report, CareEdge Ratings has said that the path to Nepal's economic recovery in FY24 is likely to be a bumpy one. While a revival in the tourism industry, pick up in remittances and replenishing of forex reserves bodes well for the economy, there are several headwinds that could offset the positive impact. Elevated inflation, high import dependency amidst soaring global food prices, declining exports, and discouraging foreign direct investment flows pose a threat to the economic outlook, the report mentioned. Retail inflation rose to 7.4 percent YoY (YoY) in July, from 6.8 percent a month ago, taking the fiscal year average to 7.7 percent, 70 bps higher than the central bank's target of 7 percent. The...