Currency of Nepal

The currency of Nepal is the Nepalese Rupee (NPR). As well, the people of Nepal City: to as Nepalese. The currency of Nepal is called Nepali Rupee. The Nepali rupee is subdivided into Paisa. The tradition of using currency was commenced from the regime of Mandela.

At that time Nepal used to use the coin since the trading system was not flourished but since 1945, NRB makes the paper currency for the convenience in the market, banking, and trade. Since Nepal is the landlocked countries and due to the plain region in the south, Nepal links most of the international trade market with coordination of India through the shipping.

So for this, Nepal is adopting a dual exchange rate arrangement. It is dual because, on one hand, the Nepali currency (NC) is pegged with the Indian currency (IC) and on the other hand it floats with other major convertible currencies such as US dollar, UK pound Japanese Yen, etc.

Nepalese currency became fully convertible in current accounts in 1993 after partial convertibility in 1992. So, Nepal introduced a dual system of the exchange rate since February 12, 1993. Before this, the regime of currency basket system was in use since June 1, 1983. The currency basket, at which NC was pegged, was never disclosed and NC-IC rate remained fixed.

This shows that Nepal has been following the de facto pegged exchange rate system since the 1960s. Nepal’s exchange rate is determined not by the return of the financial investment but by trade. India is the single largest trade partner. It is also influenced by cultural proximity and open border with India.

The peg of NPR-INR has worked as the anchor for price stability in Nepal. The present NPR-INR was fixed in 1993. Since then, it has not been adjusted. Nepal has maintained the fixed exchange rate of Nepalese rupee vis-à-vis the Indian rupee for the management of the external sector.

The pegged exchange rate system has acted as an anchor to maintain price stability and controlling inflationary expectations in the country. Nepal is benefitting from the pegged exchange rate regime because of its high degree of economic ties with India.

The risk that could emerge from the large volume of current and capital account transactions with India arising from close economic ties, free labor mobility, and prevalence of informal family relationship between India and Nepal are minimized by the fixed exchange rate with India.

Many reforms were initiated in the area of foreign exchange management from the early 1990s. Freedom to determine the exchange rate of the foreign currencies, except the Indian rupee, to the market; relaxations of rules and regulations for providing foreign exchange facilities; opening foreign currency account in local banks, amendment in foreign exchange management laws, permission to import selected goods from India in convertible currencies etc. are some of the important reform measures adopted over the period.

Despite these reforms, there still remain restrictions in current account transactions. Nepal has not yet opened its capital account so far but is in the process of opening it in different phases.

Nepal Rastra Bank publishes the exchange rates of foreign currencies for its own use; it’s only indicative for banking sectors. Commercial banks are free to determine their own exchange rate for convertible currencies and other near money instruments. First, banks compute the exchange rate of the US dollar on the basis of the IC-Dollar exchange rate.

Then, they compute exchange rates for other convertible currencies on the basis of the cross rates of respective currencies with the US dollar in the international market. Though commercial banks are free to determine their own foreign exchange rates, almost banks use similar exchange rates and set a high spread on foreign exchange transactions.

Foreign Exchange Dealers Association (FEDAN) coordinates in setting similar exchange rates. Foreign exchange dealers of Nepal blame the pegged exchange rate system with Indian currency which compels to follow the trend of INR against the US Dollar as far as the determination of exchange rate is concerned. “Whenever there is rainfall in India, Nepalese banks have no option but to open their umbrellas”.

This is a commonly used statement among the so-called foreign exchange dealers of Nepal. This is not the whole story behind for maintaining a very primitive domestic foreign exchange market. There is a need to create basic infrastructures and educating both bankers and non-bankers about the benefit of the exchange rate system.

There is debated time and again on the topic of the pegged exchange rate of Nepalese currency with Indian currency. In light of external development such as phasing out of the Multi-Fiber Arrangement since January 1, 2005, with its likely risks and challenges for the export growth and volatility of Indian currencies.

The national anthem of Nepal

Nepal is changing rapidly, and the changes are reflected in the choice of the national anthem some year ago. Monarchy has lost its power and the people of Nepal have come to recognize the ethnic diversity and the diversity of their terrain.

Before the end of the monarchy, the national anthem was about the praising the ruler king of Nepal, so with the end of the monarchy, the was the end of the national anthem. It was written by Chakrapani Chalise. But after, the national anthem was selected through a competition, which received over 1200 entries. The selected entry was Pradeep Kumar Rai (with the pen name ByakulMaila). And the music was given to it by Ambar Gurung.


We are the hundreds of flowers, the one garland – Nepali
Sovereign, spread out from Mechi to Mahakali.
Amassing nature’s millions of heritage
By the blood of the braves, independent and immovable.
Land of knowledge, land of peace, Terai hills, mountains
Undivided this beloved, our motherland Nepal.
Diverse race, language, religion, culture are so large
Our progressive nation, long live, long live Nepal.

“Land of knowledge, land of peace” reminds us of Siddhartha Gautam, famous as Gautam Buddha, who initiated a revolution within the Indian subcontinent and whose teaching continues to move the hearts and minds of people around the world.

Much more explicit than the Indian national anthem, the anthem of Nepal stresses the diversity within Nepali society, even as this ancient land takes on the look of a progressive nation. The beauty of Nepal lies also in its bounteous natural settings, and the anthem clearly takes note of this fact

Dialing Code for Nepal

The dialing code for the country is +977 and the top level internet domain for Nepalese sites is .np.

Language of Nepal

Nepal is a multilingual nation. However, a single language has been given power, recognition, and prestige while, as a corollary, the remaining minority languages are impoverished an marginalized. Despite its small size, Nepal accommodates an amazing cultural diversity including linguistic plurality.

The 2001 census has identified 92 languages spoken as mother tongues. These mother tongues include Bram/Bramu, Bhujel, Chhantyal, Dura, Ghale, Kaike, Kisan, Kusunda, Munda, Raute, Angika, Yholmo, Khariya, Lhomi, Dungmali, and Sadhani. Besides,  as well the number of languages were reported as ‘unknown’ languages according to the central bureau of Statics, and they are to be precisely identified on the basis of the field observation and their analysis.

The multilingual preface of Nepal provides the best platform for linguistic research and such analysis is also important to examine the social structure of the country’s population and language is one of the important indicators.

Census in Nepal was first introduced in 1911 to carry out a survey of population and its related aspects including its growth, migration, language and social structure. It has, however, been only since the first modern census in 1952/54 that languages have been regularly reported.

There have been reported the varying number of languages in different censuses. Of them, the 2001 census has mentioned their largest number and the count is 92. Owing to its small area with multiple languages, it is but natural in Nepal that speakers of different languages are sometimes settled in the same locality, esp. in an urban area, and come into closer contact.

As a result, they need a link language to communicate and interact in carrying out interpersonal and socio-economic activities. Most of the non-Nepali speakers are found using Nepali as a lingua franca.

However, educated people from the Terai region often tend to use Hindi as a lingua franca for inter-community communication in the region. The ‘second language’ has been defined as any language other than the mother tongue learned for use while speaking with neighbors.

Thus, a person may have Maithili or Nepal Bhashaas his mother tongue and Nepali as his second language for inter-community communication. As mentioned above, there also exist multilingual communities with proficiency in more than two languages.

This considerable rise in the number of languages spoken in Nepal may be ascribed to a number of reasons. Since the restoration of democracy, there has been the continual increase in awareness among linguistic minorities (including indigenous peoples) about their mother tongues.

Their ethnic organizations had been creating awareness of preserving and promoting their cultural identity including their languages. Taking cognizance of this reality, the CBS also sought the cooperation and support of these organizations during the enumeration for the 2001 census. Following the enumeration, some linguists were also consulted for the precise identification of Nepal’s languages.

People and Population of Nepal

Religion is important in Nepal. Before Nepal became a secular republic in May 2008, Nepal was unique as the one and only official Hindu state in the world with just over 81 percent of its population is Hindu, 9 percent Buddhist and 4.4 percent Muslim. Buddhist and Hindu shrines and festivals are respected and celebrated by members of both of these faiths.

Nepali is the official language of Nepal but many government officials also speak English. The 2011 census reported 126 caste/ethnic groups living in Nepal. Nepal is a multilingual, multicultural and multiethnic country. There are 126 caste/ethnic groups reported in the census of 2011. Chhetri is the largest caste/ethnic groups having 16.6% (4,398,053) of the total population followed by Brahman-Hill (12.2% ; 3,226,903), Magar (7.1% ; 1,887,733), Tharu (6.6% ; 1,737,470), Tamang (5.8% ; 1,539,830), Newar (5% ; 1,321,933), Kami (4.8% ; 1,258,554), Musalman (4.4% ; 1,164,255), Yadav (4% ; 1,054,458) and Rai (2.3% ; 620,004).

There are  total123 languages spoken as mother tongue which was reported in census 2011. Nepali is  mostspoken as mother tongue by 44.6 percent (11,826,953) of the total population and followed by Maithili (11.7% equivalent to 3,092,530 people), similarly, Bhojpuri (5.98%; 1,584,958), Tharu (5.77%; 1,529,875), Tamang (5.11%; 1,353,311), Newar (3.2%; 846,557), Bajjika (2.99%; 793,418), Magar (2.98%; 788,530), Doteli (2.97%; 787,827), Urdu (2.61%; 691,546). There are ten types of religion categories reported in the census.

Hindu is followed by 81.3 percent (21,551,492) of the population followed by Buddhism (9%; 2,396,099), Islam (4.4%; 1,162,370), ,Kirat (3.1%; 807,169), Christianity (1.4%; 375,699), Prakriti (0.5%; 121,982), Bon (13,006), Jainism (3,214), Bahai (1,283) and Sikhism (609).

Nepal’s population has continuously increased over time. It is estimated to be 26.9 million in 2008. It was ranked 40th position in the world in 2008. There is the regular census in Nepal every ten years and the last census was conducted in 2011.

According to that census, a population of Nepal as of the census day (June 22, 2011) stands at 26,494,504 showing a population growth rate of 1.35 per annum. Similarly, the Total number of households in Nepal is 5,427,302 with 5,423,297 counts of individual households with 4,005 institutional households which were used as Hostels, Barracks, Monasteries, etc.

Not least but more, One in every four households that is 25.42% equivalent to 1.38 million households are reported that at least one member of their family is absent or is living abroad.

And the total number of absent population is found to be 1,921,494 against 0 .76 million in 2001 due to the death, migration to the abroad or been status unknown due to the internal conflict between Maoist and the government.

Among them, the highest proportion equivalent to 44.81 % of the absent population were from the age group 15 to 24 years which is due to their movement to the abroad. Arghakhanchi, Gulmi, and Pyuthan districts were reported as the highest proportion of the people in their population being absent as staying abroad.

The increment of population within the last decade was recorded as 3,343,081 with the annual average growth rate of 1.35 % which is less then that of the census of 2001 and this change is unlike the last decade which was in increasing index but due to the successful movement of the government about the population education and most of the population were absent and hence there decrease the population growth rate.

Looking the geographically southernmost part of Nepal, Teraihad 50.27 percent equivalent to 13,318,705 of the total population while Hill and Mountain had 43 percent which is equivalent to 11,394,007 and 6.73 percent equivalent to 1,781,792 of the total population respectively.

And looking on the basis of the development region, among the five development regions, Central development region was recorded to have the highest population of36.45 percent of the total population and that of the far western region belongs the lowest that is 9.63 percent of the total population.

Gender ratio which is the index that provides the number of males per 100 females to the national level has decreased  to 91.6 in 2011 from 99.8 in 2001 and the reason is sure that more of the household economic responsibility belongs to the male member and male has to move out or abroad from the house to earn for livelihood.

And hence in abstract number, there was 796,422 more female than males population in the country. Sex ratio was recorded highest (127) in Manang district and lowest record (76) in Gulmi district.

Similarly, the living standard of women has been improved from last time. Female-headed households in the country have increased by about 11 point percent from 14.87% in 2001 to 25.73% in 2011. Average household size at the national level has decreased from 5.44 in 2001 to 4.88 in the current census of 2011.

The household size is recorded highest (6.44) in Rautahat district and lowest (3.92) in Kaski. The fastest population growth rate over the decade was found in Kathmandu district of 61.23 percent which is also the capital city of Nepal, and least in Manang ( -31.80 percent ).

Altogether 27 districts including Manang, Khotang, Mustang, Terhathum, Bhojpur recorded a negative population growth rate during the last decade. This is due to the trend of people migrating toward the developed and administrative center.

In that census, it shows that the working age population (aged 15 to 59 years) has increased from 53 percent (12,310,968) in 2001 to about 57 Percent (15,091,848) in 2011 showing the population structure is shifting for enjoying demographic dividend in the country.

Talking about the literacy rate, overall literacy rate (for population aged 5 years and above) has increased from 54.1 percent in 2001 to 65.9 percent in 2011. The male literacy rate is 75.1% compared to a female literacy rate of 57.4%.

The highest literacy rate is reported in Kathmandu district (86.3 %) and lowest in Humla (47.8%). These are the census aspect of the people of Nepal. But talking about the living standard of the Nepalese, they are increasing rapidly in the urban area band at an average pace in remote area.


Population :29,890,686
Density : 208.5 / km2 ( 540.0 / mi2 )
Language: Nepali (macrolanguage)
Independence Year: 1768
Capital: Kathmandu (Central Region)
Currency: Nepalese Rupee
GDP : 19,636,186,469 (2014 data)
GDP per Capita:657 (2014 data)
Land Area : 143,351 km2 (55,348 mi2)
Water Area :3,830 km2 (1,479 mi2)
Neighboring Countries: India, China
Minimum Longitude:80.060
Maximum Longitude:88.200
Minimum Latitude: 26.360
Maximum Latitude: 30.430
A page on World Atlas: Nepal

Where is Nepal in terms of Geography

Nepal is now been officially the Federal Democratic Republic of Nepal. It is also been one of the world’s youngest republic country. Nepal is a landlocked mountainous country. It is situated between two powerhouse country, China in the north and India on the other three sides. The country of Nepal is almost rectangular. It is enclosed between 26°22′ to 30°27′ north latitude 80°04’ to 88°12’ east longitude.

The east-west length of Nepal is about 885 Km and north-south width is about 193 km. The total land area of South Asian country Nepal is approximately 147,181 sq. Km (56,827 sq mi). The altitude ranges from 60m in the south to 8848 m. in the north. Nepal has a population of approximately 30 million. It is the world’s 93rd largest country by land mass and the 41st most populous country.

More population is centralized in the places where infrastructures of development are well available. In the Terai of Nepal, more facilities are available and the land is also fertile.

So, a number of people are there in Terai. In the Himalaya Region, Human Population is less than Terai extreme cold, unfertile land and difficult to develop transportation, communication, market, electricity facilities, etc.

Geography of Nepal:-

Nepal has unique geography, climate, culture, people and diverse biodiversity. The total area of Nepal is 147,181 square kilometer, stretching over an average length of 885 kilometers from east to west and the average width of 193 kilometers from south to north. It stretches from 80º 4’ east to 88º 12’ East longitudes and 26º 22’ north to 30º 27’ North latitudes along the southern slope of the Himalayas in South Asia.

It has a different climate from tropical to alpine and different geographical altitude ranging from the low level of 70 meters and the highest peak of 8848 meters within a range of 150 kilometers. Geographically, Nepal is mainly divided into three broad geographical regions stretching from east to west and parallel to each other: the Mountain, the Hill, and Plain.

Nepal is full of thousands of flora and fauna. The highest peak, the Mount Everest, Pashupatinath, the epitome of 1 billion Hindus and Lumbini, the birthplace of Gautama Buddha, the proponent of Buddhism which has about 1 billion followers in the world lie in Nepal.

There is a beautiful range of the Himalayas in the north always covered with snow. Nepal has scope to expand it as the popular destination for adventure, sightseeing and religious touristic hub in the world. Tourism could be a sustainable source of foreign exchange earnings and generate employment opportunities.

Moreover, another main instrument of Nepal’s development could be the development of its abundant water resources. Nepal has altogether around 6000 rivers, rivulets and streams. The demand for electricity is increasing in Nepal as well as in India.

At the same time, India is suffering from low irrigation and flood problem every year. It can be used for hydroelectricity generation, irrigation and flood control. Those water resources are mainly snow-fed from the higher altitude and mountainous region and hence they  are usually perennial river and the flow of the water usually rise up in every monsoon season

The mountain region lies in the northernmost at an elevated level of more than 4000 meters and includes the highlands, treeless Alpine zones, semi-arid valleys, trans-Himalayan valleys, and the highest peak. Eight out of the top ten highest peaks in the world including Mt. Everest (8848 meter high) lie in this region.

According to census 2001, only 7.3 percent people live in this region even if it occupies 16 percent area and people here mainly engage in growing yaks, some cold-tolerant crops such as potato, barley, maize, and apple-like fruits. The hills region lies just below the mountain region mostly at the level between 1000 meter and 4000 meters.

It covers major ranges of hills like Mahabharata and Chure ranges, several intermountain valleys including Kathmandu Valley. It is the biggest region occupying 67 percent of Nepal’s total land area and 44.3 percent of population lives in this region according to census 2001.

The Plain contains the low tropical plains along with the southern part of the country. The plain region consists of the southern plain up to Indian border in the south, east, and west. This covers only 17 percent of its total area and hence densely populated region has more than 48 percent of the population living there.

Today, most of the cities, towns and industrial areas are located in this region. Before the use of DDT, this region was severely affected by deadly Malaria. This is also known as the food store of Nepal. As the ecology is varied, the climate in Nepal varies from tropical in the plain to Alpine in the mountains. The climate in different regions is different because of the diverse level of elevation.

The climate is Tropical and sub-tropical in the plains, temperate in the hills and Alpine in the Mountains There are four seasons in Nepal. March-May, June – August, September – November, and December – February for spring, summer, autumn, and winter respectively.

Spring and autumn are the most pleasant seasons in Nepal. The weather and climate are controlled by the altitude and the seasonal alternation of the monsoon winds. The main rainy season in Nepal is from late June to September.

This is a period of warm to hot temperatures, much cloud, and frequent heavy rain. The temperature in Plain reaches as high as 40ºC during summer. At this time sunshine averages only two to three hours a day. About 80 percent of the rain falls in this period.

Annual rainfall decreases from east to west due to the northwestward movement of the moisture-laden summer monsoon. The amount of average annual rainfall in the eastern part, Kathmandu and western part is about 2500, 1400 and 1000 millimeters respectively, though there may be some seasonal variations.

Pokhara, a touristic city located in the western part, receives heavy rain falls. During the rest of the year, the weather is much more settled and pleasant.

The days are mild or even warm, except on the higher mountains, and sunshine averages from six to nine hours a day. Much colder temperatures prevail at higher elevations.

The temperature in Kathmandu Valley ranges from 19-27ºC (67-81ºF) in summer and 2-20ºC in winter, hence pleasant. There are some dangers of floods and landslides during the heaviest rain falls, the climate of Nepal is rarely hazardous and on average is very pleasant. Some indication of variation and irregularities are being noticed in recent years due to global warming.