KATHMANDU, Nepal – Nepal banned the import of vehicles, tobacco, alcohol, and other luxury items on Wednesday and cut the workweek short to help conserve the country’s dwindling foreign exchange reserves.
According to a notice published in the government gazette, only emergency vehicles can be imported. Imports of alcohol or tobacco products and heavy-engine motorcycles and cellphones costing more than $600 will be prohibited.
Diamonds, playing cards, and toys are also prohibited under the ban, which will last until the end of the fiscal year in mid-July.
Officials say that the foreign currency reserves required to import almost everything will only last a few more months without such drastic measures.
Tourism, remittances from overseas workers, and foreign aid are Nepal’s primary sources of foreign currency.
Hundreds of thousands of foreign tourists visit the Himalayan country every year, but the number of visitors dropped dramatically during the pandemic.
Nepal’s foreign reserves pressure has increased as oil prices have risen. As a result, Information Minister Gyanendra Karki announced that the government would reduce the workweek to five days to save fuel.
However, he claims that the crisis is already subsiding as tourists return and more Nepalese go abroad to work, sending their earnings home.
