Nepal News Evening Economic Brief – October 09, 2026

KATHMANDU: Nepal News presents today’s snapshot of Nepal’s economic activities. Get quick updates on major market movements, policy shifts, and financial developments shaping the economy of Nepal. Here are the key economic highlights for today:

LP Gas Association Arranges Special Cylinder Exchange Across 6 Locations In Kathmandu

The Nepal LP Gas Industry Association arranged special sales distribution and cylinder exchange services across 6 designated locations in the Kathmandu Valley starting from Sunday, October 11, to ease consumer access ahead of upcoming festivals. Operating daily from 9:30 AM to 4:30 PM until Saturday, October 17, these special distribution centers make specific regional gas brands available, including Everest and Sugam at Sifalchour, Sagar Gas in Pepsicola, and various brands such as Nepal, HP, Geeta, Rajdhani, and Triveni outside the Balaju Industrial Estate. Additional distribution points operate in Sukedhara, Kalanki, and Harisiddhi in Lalitpur. Association President noted that while refinery imports remain steady, with 4,213,661 cylinders distributed during Bhadra alone, the measure addresses holiday consumer difficulties regarding brand exchanges.

NRB Issues Notice To Absorb Rs 70 Through 2-Month Deposit Collection

The Nepal Rastra Bank (NRB) initiated administrative operations to absorb Rs 70 billion from the domestic financial system through a two-month deposit collection auction to manage excess liquidity within commercial banks. The central bank issued a formal bidding notice inviting Class “A,” “B,” and “C” licensed financial institutions to participate in the open-market operation scheduled for auction. Participating institutions are authorized to submit competitive interest rate bids ranging from a minimum threshold of Rs 100 million up to the total aggregate invocation amount, adhering to designated multiple increments. The principal and accrued interest obligations for the two-month deposit instrument will mature and settle on December 9. Central bank monetary management mechanisms frequently utilize short-term deposit collection tools to stabilize interbank interest rates and regulate surplus liquidity circulating across commercial banking networks.

NEPSE Gains 17.15 Points, Turnover Reaches Rs 4.84 Billion

The Nepal Stock Exchange (NEPSE) index rose by 17.15 points to close at 2,591.80 on Friday, as share prices increased for a majority of listed companies. The Sensitive Index, which tracks the performance of large companies, gained 3.80 points to reach 465.85. The Float Index rose by 1.42 points to 179.10, while the Sensitive Float Index increased by 1.50 points to 157.46. Shares worth Rs 4.837 billion were traded during the session, with more than 12.9 million shares changing hands. A total of 13 sub-indices posted gains. Share prices of 180 companies increased, while 89 companies declined and 10 remained unchanged. According to NEPSE, Kutheli Bukhari Small Hydropower, Sindhu Bikas Bank and Solu Hydropower were among the companies whose investors recorded gains. Investors in Ridge Line Energy Company, ICFC Finance Debenture and Prime Debenture, among others, incurred losses.

NRB Prohibits Staff Reductions During Bank And Financial Institution Branch Reorganizations

The Nepal Rastra Bank (NRB) amended its integrated regulatory directives to explicitly prohibit commercial banks and financial institutions from executing staff layoffs or personnel reductions during branch consolidation and integration processes. Under the revised regulatory framework, banking institutions undergoing branch restructuring are legally prohibited from terminating the employment of staff members assigned to the affected branches. Instead, institutions must reassign displaced personnel to nearby branches or alternative offices based on operational priorities and mutual agreement. Furthermore, financial institutions must publish advance public notices across national daily newspapers, institutional websites, and branch notice boards at least 90 days prior to executing any branch consolidation. The central bank mandated that customers serviced by closing branches retain the legal right to settle loan obligations or terminate financial services without incurring any additional fees or penalty charges.

Advance Bus Ticket Booking Opens For Festival Season As Passenger Queues Form At Central Terminus

Advance bus ticket bookings for the upcoming festival season officially commenced, prompting large crowds of travelers to form long queues at the central bus terminal in New Buspark, Kathmandu. In accordance with administrative arrangements finalized between the Department of Transport Management, the Federation of Nepalese National Transport Entrepreneurs, and security agencies, transport operators began issuing advance reservations to facilitate safe holiday travel. Lhotse Multipurpose General Manager confirmed that ticket counters experienced heavy passenger turnouts beginning late last evening. To assist travelers and maintain orderly operations, dedicated civic assistance booths have been established across major transit points in the capital, while transport authorities monitor vehicle fitness standards and enforce regulated fare structures to prevent overcharging during the mass holiday migration.

Investment Board Approves Financing For 2 Hydroelectric Projects Totaling Over Rs 21.17 Billion

The Investment Board of Nepal, convened under the chairmanship of Prime Minister Balendra Shah, approved major financial investments totaling Rs 21.17 billion for the development of two semi-reservoir hydroelectric generation facilities. The high-level meeting sanctioned financing of Rs 10.75 billion for the Nar Khola semi-reservoir hydroelectric project with an installed capacity of 58.9 megawatts, alongside Rs 10.42 billion for the Sani Bheri-3 semi-reservoir hydroelectric project rated at 46.72 megawatts. Furthermore, the board reviewed progress on the 900-megawatt Arun-3 project, noting its scheduled commercial production timeline by February 2028, and directed executive agencies to expedite development frameworks for the Upper Karnali hydropower venture in accordance with project development agreement stipulations.

Parliament Receives Renewable Energy And Energy Efficiency Bill To Promote Sustainable Power Expansion

The government registered the Renewable Energy and Energy Efficiency Bill, 2026, in the House of Representatives to establish a comprehensive legal framework governing clean energy development and environmental conservation. Minister for Energy, Water Resources, and Irrigation Biraj Bhakta Shrestha formally submitted the legislative proposal to parliament, emphasizing its objective to expand renewable energy technologies across rural and urban communities. The proposed statute implements constitutional mandates guaranteeing reliable, affordable, and accessible clean energy supplies while institutionalizing national strategies outlined within rural energy policies and energy efficiency frameworks. Upon legislative enactment, the statute will facilitate systematic investment in solar, micro-hydro, biomass, and wind energy infrastructure, empowering local populations, curbing fossil fuel dependency, and accelerating sustainable economic growth across all provinces.

Ministry Proposes Subsidized Vehicle Financing Rules For Teachers Under Education Regulations

The Ministry of Education, Science and Technology has forwarded the proposed Eleventh Amendment to the Education Regulations, 2026, to the Ministry of Finance for formal budgetary concurrence, introducing subsidized vehicle financing mechanisms for educators. Under the proposed administrative framework, secondary first-class teachers will be eligible to purchase motor vehicles valued up to Rs 5 million, while secondary second-class teachers can acquire vehicles up to Rs 4 million. Furthermore, secondary third-class, lower secondary, and primary level teachers across all operational grades will be permitted to purchase two-wheeled motor vehicles valued up to Rs 400,000. The regulatory proposal mandates that the government will subsidize up to 80 percent of the installment interest incurred through designated banking institutions during the tenure of active service, with teachers responsible for managing the remaining 20 percent capital cost independently.