The Nepal Rastra Bank (NRB) has published the Annual Monetary Policy Review Report for Fiscal Year 2082/83, highlighting stable inflation, strong foreign exchange reserves, and ample banking system liquidity despite slower-than-expected private sector lending.

According to the report, the average consumer inflation rate during the first ten months of the current fiscal year remained at 2.66%, indicating that price stability has largely been maintained.

The central bank also reported that Nepal's foreign exchange reserves are sufficient to finance 19.2 months of merchandise and service imports, reflecting a strong external sector position.

While the broad money supply expanded by 15.2%, credit growth to the private sector reached only 6.5%, falling short of expectations. The report suggests that weak credit demand and sluggish economic activity have limited lending despite adequate liquidity in the banking system.

The findings are expected to play a key role in shaping future monetary policy measures aimed at boosting economic activity, improving credit expansion, and maintaining overall financial stability.