The Asian Development Bank (ADB) has projected a 4.2 percent growth rate in the Nepali economy next year, 2022. Updating its major publication, Asian Development Outlook, today, the ADB estimated a slight increase in economic growth.
It had projected the growth rate to be limited to 2.3 percent in 2021.
The projection this year has said the production of rice and industrial goods would increase, thereby contributing to export promotion. Similarly, the national vaccination campaign would lower the infection, which it argued, would help improve the economy.
Moreover, inflation would be around 5.2 percent due to the high price of petroleum products. Last year, the inflation was projected to be 3.6 percent.
The supply of petroleum products would decrease with the increased production of hydropower, and the balance of payment is to receive low pressure.
The remittance and export would however increase, the Outlook said.