Nepal Rastra Bank is maintaining a cautiously flexible monetary policy for FY 2026-27, aiming to support the government's 7% growth target and contain inflation at about 5.5%.The bank will ease lending for large electric public vehicles, raise microfinance loan ceilings, and introduce measures for stressed borrowers and sick industries. It expects strong remittances, tourism, and fiscal expansion to sustain liquidity and forex reserves. Risks to the economy include West Asia tensions, super El Niño, and fuel prices.