Bagmati Province biggest contributor to GDP

Kathmandu, May 6: Among seven provinces in the country, Bagmati Province is estimated to have the largest share and Karnali Province the lowest to the total national gross domestic product (GDP) in the current fiscal year.

According to the Provincial National Accounts Estimation published by the Central Bureau of Statistics on Thursday, the share of Bagmati Province will have 36.9 per cent contribution to the GDP while Karnali Province will have a meagre 4.1 per cent.

The GDP growth rate is estimated at 5.8 per cent of the national economy in the current fiscal year, while Bagmati is projected to have the highest growth rate of 6.7 per cent and Sudurpashchim Province the lowest at 4.9 per cent.

Looking at the economic activities according to the industrial classification, the contribution of the agriculture sector is the highest in all the provinces except Bagmati Province this year while the contribution of the wholesale and retail trade sector is highest in Bagmati Province.

With the exception of Bagmati and Madhes Province, the contribution of administrative support service activities to the GDP seems to be the lowest.

In the current fiscal year, the total GDP is estimated to be around Rs. 4,852 billion, with the highest share of Bagmati Province estimated at 36.9 per cent (around Rs. 1,791 billion).

Similarly, with the lowest contribution of 4.1 per cent, the share of Karnali to GDP is estimated to be around Rs. 198 billion. In the current fiscal year, after Bagmati, the provinces that contribute more to the GDP are Province 1, Lumbini Province, Madhes Province, Gandaki Province and Sudurpaschim Province in that order.

The GDP of Province 1 is estimated to be around Rs. 763 billion in this fiscal year as compared to revised estimates of Rs. 676 billion. The Province is estimated to contribute 15.7 per cent to the national GDP.

Similarly, the GDP growth rate was 4.3 per cent in the last fiscal year and it is estimated to improve to 5.4 per cent in the current fiscal year. 

In the current fiscal year, the gross domestic product of the Madhes Province has gone up to about Rs. 644 billion while the revised estimate of last fiscal year is about Rs. 572 billion. The province, which accounted for 13.4 per cent of GDP at the national level in the last fiscal year, is estimated to contribute 13.3 per cent in the current fiscal year. Similarly, the growth rate of GDP is expected to improve to 4.8 per cent this fiscal year, up from 3.8 per cent last year.

The GDP of Gandaki Province has increased to about Rs. 432 billion while the revised estimate of last fiscal year is about Rs. 380 billion.

As in the previous fiscal year, the province is expected to contribute 8.9 per cent to the national level in the current fiscal year.

Similarly, the GDP growth rate was 3.7 per cent in the last fiscal year and is expected to improve to 6.2 per cent this fiscal year.

Meanwhile, the GDP of Lumbini Province accounting for 14.1 per cent of GDP at the national level last fiscal year, is expected to contribute the same percentage this fiscal year as well. Similarly, the growth rate of GDP was 4.1 per cent in the last fiscal year and it is estimated to improve to 5.4 per cent in the current fiscal year.

In the current fiscal year, the GDP of Sudurpashchim Province is expected to reach Rs. 339 billion while the revised estimate of last fiscal year is about Rs. 312 billion. As in the previous year, the Province is estimated to contribute 7 per cent to the national GDP.

Similarly, the growth rate of GDP was 4.2 per cent in the last fiscal year and it is estimated to increase to 4.9 per cent this fiscal year.