Kathmandu. Nepal’s foreign exchange reserves have increased significantly to Rs 33 trillion. According to the Nepal Rastra Bank, the total foreign exchange reserves increased by 23.3 percent to Rs 3,302.66 billion as of mid-February 2082 from Rs 2,677.68 billion in mid-July 2082.

In US dollar terms, the reserve has increased by 16.7 percent from Rs. 19.50 billion in mid-July 2082 to Rs. 22.76 billion as of mid-February 2082.

Out of the total foreign exchange reserves, the reserve of Nepal Rastra Bank (NRB) increased by 21.2 percent to Rs 2,926.99 billion as of mid-July 2082 from Rs 2,414.64 billion as of mid-July 2082. Likewise, the foreign exchange deposit with the banks and financial institutions (excluding Nepal Rastra Bank) increased by 42.8 per cent to Rs 375.67 billion from Rs 263.04 billion.

The share of Indian currency in the total foreign exchange reserves as of mid-February 2008 was 21.5 percent. Based on the imports up to seven months of the current fiscal year 2082/83, the foreign exchange reserve with the banking sector is sufficient to sustain the import of goods for 21.3 months and goods and services for 18 months.

The ratio of foreign exchange reserves to GDP, total imports and broader currency supply has also increased. These ratios have reached 54.1 percent, 150.2 percent and 39.7 percent respectively in mid-February 2082. These ratios were 43.8 percent, 128.1 percent and 34.1 percent respectively as of mid-July 2018.

The price of crude petroleum in the international market fell in February. However, due to the tension in the Middle East, the price of crude petroleum in the international market is likely to increase.