Kathmandu. Nepal’s total foreign exchange reserves have increased to Rs 3.946 trillion as of mid-July 2083. The reserves have increased by 1.2 percent in the month of July 2083 from Rs 3897.67 billion in mid-July 2083.

The foreign exchange reserves have also increased in terms of US dollars. The reserves increased by 2.1 percent to $25.84 billion in mid-July from $25.31 billion in mid-July.

Out of the total foreign exchange reserves, the reserves of Nepal Rastra Bank have also increased. The reserves of the Nepal Rastra Bank increased by 1.3 percent to Rs 3.517 trillion in mid-July from Rs 3.473 trillion in mid-July.

Similarly, the foreign exchange reserves with banks and financial institutions, except Nepal Rastra Bank, increased by 0.9 percent to Rs 428.22 billion in mid-July from Rs 424.48 billion in mid-July. The share of Indian currency in the total foreign exchange reserves stood at 21.8 percent as of mid-July.

Based on the imports of the first month of the fiscal year 2083/84, the foreign exchange reserve with the banking sector is sufficient to sustain the import of goods for 21.8 months and goods and services for 18.8 months.

Similarly, the ratio of foreign exchange reserves to gross domestic product (GDP), total imports and broad currency supply stood at 59.8 percent, 157.0 percent and 44.5 percent respectively in mid-August.

These ratios were 59.1 per cent, 163.4 per cent and 43.8 per cent respectively at mid-July. The increase in reserves and the ability to sustain imports has further strengthened the foreign exchange availability situation in the country’s external sector in the last month.