Ministry of Industry, Commerce, and Supplies has issued an official gazette through the Department of Printing.
Forex Reserves have depleted by 17% due to various financial woes like the Widening trade deficit, decreasing remittance, soaring fuel prices, increased imports, and more.
The country has 9.75 billion USD (February 2022) in its reserves, which is down from 11.75 billion USD (July 2021) last year.
Forex Reserves facilitate international trade of daily necessities. According to Nepal Rastra Bank, the reserve will only last about 6.7 months.
There is a growing concern about Nepal heading into a situation similar to economically devastated Sri Lanka. However, the experts claim Nepal is financially in better shape.
In light of the situation, Nepal Govt has issued a ban on more luxury products.
The notice bans the import of 10 different luxurious items including automobiles, tobacco products, alcoholic beverages, appliances, and more.
You can read the full gazette here.
Latest Banned Luxury Items
The government bodies have classified the following products as non-essential. Thus, these products will be subjected to ban.
- Packaged Snack Foods (Lays, Kurkure, and other similar products)
- Color TV (screen size bigger than 32-inches)
- Mobile Phones (costing more than $600)
- Playing Cards
- Two-Wheelers above 250cc
- Jeeps, Cars, and Vans*
- Alcoholic Liquor**
- Cigarettes and Tobacco Products**
*excludes electric cars, ambulances, and hearse
**excludes those used as raw materials
The ban came into effect on 26 April 2022. Moreover, it will last until mid-July 2022, which is the end of the current fiscal year.
It should be noted that the ban will not be applicable to the companies that have completed the banking process before April 30.
This ban will go in line with Nepal Rastra Bank’s new policies to curb unnecessary imports.
The Central Bank of Nepal had previously implemented a 100% Margin to import other non-essential luxury goods. Moreover, the Gold imports have also been slashed to just 10 Kg per day.
Oppo F21 Pro with Fibreglass Leather Design Launched in NepalSmartphone brand Oppo has launched the Oppo F21 Pro, its latest F series phone, in…
Xiaomi 12 Lite with Snapdragon 778G Launching Soon in NepalXiaomi is set to launch the Xiaomi 12 Lite in Nepal. The phone was announced…
Samsung Galaxy Watch 5 Pro: Samsung Introduces a New Pro SmartwatchAt the Unpacked 2022 event on August 10, Samsung introduced the Galaxy Watch 5 Pro.…