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The average non-performing loans (NPLs) of commercial banks increased by 13.28 percent in the fiscal year 2024/25, reflecting the continued strain on the country’s economic activities and credit recovery challenges faced by banks. A study of financial statements released by 20 commercial banks shows the average NPL ratio rose to 4.23 percent in fiscal year 2024/25, compared to 3.74 percent in the previous fiscal year.

Bankers attribute the rise in bad loans to sluggish economic activity, weak demand for credit and repayment constraints across several business sectors.  Thirteen commercial banks saw their NPL level go up, while seven managed to bring it down. NIC Asia Bank reported the largest spike in NPLs, up by 82.02 percent to 6.28 percent, from 3.45 percent the previous year. Himalayan Bank recorded the highest NPL ratio overall at 7.28 percent. The bank’s NPL was 4.98 percent in the previous fiscal year.

Similarly, Sanima Bank’s bad loans rose by 75 percent to 3.01 percent, while Nepal SBI Bank’s increased by 70.91 percent to 3.35 percent. Siddhartha Bank’s NPL climbed by 20.73 percent to 2.62 percent, and Citizens Bank reported a 20.48 percent rise to 4.94 percent. Prime Bank’s NPL rose by 19.56 percent to 5.56 percent, Nepal Investment Mega Bank’s (NIMB) by 19.14 percent to 5.85 percent and Global IME Bank’s by 16.78 percent to 4.87 percent. Likewise, NMB Bank saw a 9.41 percent increase in NPL to 3.72 percent, Kumari Bank saw its NPL rise by 7.71 percent to 6.42 percent, Nepal Bank’s by 3.23 percent to 4.47 percent and Prabhu Bank’s by 0.40 percent to 4.96 percent.

In contrast, Everest Bank succeeded in lowering its NPL ratio by 46.47 percent to just 0.38 percent, the lowest among all commercial banks. Similarly, Standard Chartered Bank reduced its NPL by 18.69 percent to 1.74 percent, while Agricultural Development Bank brought its NPL by 16.62 percent to 3.26 percent and Rastriya Banijya Bank by 16.12 percent to 3.59 percent. 

Likewise, Laxmi Sunrise Bank recorded an 8.20 percent decline in NPL to 4.25 percent, Nabil Bank’s NPL dropped by 4.04 percent to 4.27 percent, and Machhapuchchhre Bank trimmed its NPL by 0.77 percent to 3.83 percent.

The price of gold has dropped by Rs 1, 600 per tola in the domestic market on Wednesday.

According to the Federation of Nepal Gold and Silver Dealers’ Association, the yellow metal is being traded at Rs 193, 500 per tola today. It was traded at Rs 195, 100 per tola on Tuesday.

Similarly, the price of silver has dropped by Rs 45 and is being traded at Rs 2, 255 per tola.

Apple farming has been expanded in Baikunthe, Ram Prasad Rai Rural Municipality-6, Bhojpur. A total of 36 farmers from Samke and Tamalung villages have planted over 1,800 grafted apple saplings across about 100 ropanis of land.

The initiative is part of a grant program launched by the rural municipality, under which farmers received seedlings with 50 percent cost-sharing support from the ward office. Ward Chairperson Ekraj Acharya said the favorable climate and high potential for apple production have motivated farmers to pursue commercial apple farming. “There is a plan to make this area a model hub for apple production, as the geography and soil are well suited for it,” Acharya said. “Our goal is to make Baikunthe’s farmers self-reliant through commercial apple farming.”

According to Dheeraj Kumar Thakur, head of the municipality’s agriculture department, the grafted saplings, brought from Baglung, will start bearing fruit within three to four years. He added that farmers have received training on preparing organic fertilizers and pesticides, with a focus on organic farming and disease prevention in apple crops.

The municipality has also introduced a long-term Agricultural Master Plan aimed at self-reliance in agriculture by identifying and investing in suitable crops through soil testing. “We have been investing in agriculture by assessing the potential for fruit and cash crops in different areas,” said Rural Municipality Chairperson Tham Bahadur Rai.

To support production, the municipality has established humidity centers in Baikunthe (Ward 6) and Bhulke (Ward 3) for storage of agricultural produce. Alongside fruit farming, the “One House, One Tunnel” program has been launched in all wards to encourage vegetable cultivation. Officials and farmers expect that continued government investment in agriculture, coupled with the active participation of locals, will transform Baikunthe into a key center for fruit production in the region.

On Aug 18, WTO Director-General Ngozi Okonjo-Iweala received Nepal’s instrument of acceptance of the Agreement on Fisheries Subsidies from Nepal’s WTO Ambassador Ram Prasad Subedi. Just three more acceptances are needed for the agreement to enter into force. 

DG Okonjo-Iweala said: “Only through collective action can we restore the health of our oceans—and curbing harmful fisheries subsidies is an important step to this end. I am deeply grateful to Nepal for its leadership as a landlocked least-developed country. With Nepal’s ratification, we are even closer to crossing the finish line in bringing the landmark Agreement on Fisheries Subsidies into force. Only three more acceptances to go!”

Ambassador Subedi said: “Nepal is very pleased to deposit its instrument of acceptance of the WTO Agreement on Fisheries Subsidies today, reaffirming our commitment to a rules-based multilateral trading system. As a landlocked country, we nonetheless share with other WTO members a responsibility to ensure the sustainable use of marine resources. We believe that healthy marine ecosystems are vital for food security, environmental sustainability and the livelihoods of millions of people around the world.”

Formal acceptances from two-thirds of WTO members are required for the agreement to enter into force—representing 111 members. At the WTO’s 12th Ministerial Conference (MC12) held in Geneva in June 2022, ministers adopted the Agreement on Fisheries Subsidies through consensus, setting new, binding, multilateral rules to curb harmful fisheries subsidies. The agreement prohibits subsidies for illegal, unreported and unregulated fishing, for fishing overfished stocks, and for fishing on the unregulated high seas.

Ministers also recognized the needs of developing economies and least-developed countries (LDCs) by establishing a fund to provide technical assistance and capacity-building to help governments that have formally accepted the agreement to implement the new obligations.

In early June, the Fish Fund launched a Call for Proposals inviting developing economies and LDCs that have ratified the agreement to submit requests for project grants aimed at helping them implement the Agreement. Applications are due by Oct 9. 

WTO members also agreed at MC12 to continue negotiating on remaining fisheries subsidies issues with the aim of finding consensus on additional provisions to further strengthen the disciplines on fisheries subsidies.