Kathmandu. The Asian Development Bank (ADB) has projected that the economic growth rate of the Asian region will be 4.9 percent in 2025 and that of Nepal will be 4.4 percent.
The ADB today released the ‘Asian Development Outlook-2025’ report, projecting the economic growth rate and inflation of Asian countries.
The report states that trade uncertainty in the Asia and Pacific region, including the customs policy decided by the US and geopolitical tensions, will affect economic growth rate and inflation. The ADB said that the new tariffs imposed by the US have created trade uncertainty around the world.
Analyzing the regional impact of the US tariffs, the ADB has estimated that economic growth in the Asia and Pacific region will shrink to 4.9 percent in 2025 and 4.7 percent in 2026.
Similarly, inflation in the region is projected to decline to 2.3 percent in 2025 and 2.2 percent in 2026. Inflation in the Asia region was 2.6 percent in 2024. Inflation in Nepal is estimated to be 5.2 percent in 2025 and 5 percent in 2026. The ADB has stated that the impact of the floods and landslides that occurred in Asoj last year on the supply chain has been seen in inflation. Nepal’s economic growth rate is estimated to be 5.1 percent in 2026.
“The full implementation of the US customs tariffs announced in early April and further US trade policy changes are expected to lead to a decline in economic growth.
Additional uncertainty in the trade sector may be seen,” the report said. In addition, expansionary fiscal policies are expected to increase inflation. ADB estimates that risks will increase due to supply chain disruptions due to tensions in the Middle East, rising food and energy prices, global economic uncertainty, and the problems created by the Ukraine-Russia war.
प्रतिक्रिया दिनुहोस्