Kathmandu, October 6 The World Bank has projected that Nepal’s economic growth w

From Onlinekhabar English

Kathmandu, October 6 The World Bank has projected that Nepal’s economic growth will slow in the current fiscal year due to the Rasuwa floods on August 26. It has estimated that disruptions in the industrial and services sectors caused by the floods will bring economic growth down to 3.7 per cent. According to the World Bank’s latest Nepal Development Update, economic activity is expected to receive a boost once reconstruction and rehabilitation activities begin. The bank has projected economic growth to rise to 5.2 per cent in fiscal year 2027/28. The Nepal Development Update, titled “Building Back Differently for the Future”, states that Nepal’s economic growth and industrial sector are expected to be significantly affected by the widespread damage caused by the floods. Extensive damage to hydropower, solar energy, electricity transmission and transport infrastructure will directly affect power generation, manufacturing activities and the movement of goods, the report says. The services sector is also expected to be affected by disruptions to trade, transport, tourism and financial activities.