National Accounts

Remittance Inflow in Nepal

 

Remittance as percentage of GDP, which was 11.1 percent in FY 2004/05, has reached 28.0 percent in FY2013/14. According to World Bank data, Nepal stands third among the countries in the world in terms of share of remittance to GDP. Nepal receives worker remittances worth Rs. 1.5 billion every day. The situation has been satisfactory from the perspective of its capacity to import goods with its available foreign exchange reserve. The average foreign exchange reserve has grown by 26.2 percent in the last decade. The foreign exchange reserve as percentage of GDP, which stood at 22.0 percent in FY 2004/05, went up to 34.3 percent in FY 2013/14. (Economic Survey 014/15)

 

Remittance Inflow Trend

  2009/10 2010/11 2011/12 2012/13 2013/14 2014/15*

Remittance Inflows

(Rs. In billion)

231.7 253.6 359.6 434.6 543.3 371
Percentage Change 10.5 9.4 41.8 20.9 25 4
Ratio to GDP 19.4 18.5 23.5 25.7 28  
Share of Remittance Income in Current Transfer Income 80.5 81.5 84 87.3 86 88.2

*First Eight Months

Source: Nepal Rastra Bank