Kathmandu: The Government of Nepal has announced a two-day holiday to reduce fuel consumption. The move by the Nepalese government comes amid a major crisis in foreign exchange reserves. The proposal was made by the Nepal Oil Corporation. The Nepalese cabinet is reportedly taking the matter seriously.
Nepal has been hit hard by rising international oil prices following the Russo-Ukraine war. Tourism is one of the major industries in Nepal. Kovid has been followed by a major crisis in the tourism industry. This has also led to a decline in Nepal’s foreign exchange reserves.
The Oil Corporation supplies oil to Nepal at subsidized rates. The oil corporation is facing huge losses due to high prices. However, the Nepalese government said no decision had been taken and the proposal was being considered. Nepal has also imposed restrictions on the import of expensive cars, gold and luxury goods to protect its foreign exchange reserves.