Kathmandu, Nov. 28 -- The September protests and worry about what is in store for Nepal in 2026 have added more uncertainty to a struggling economy. Real estate transactions are stagnant, industries are operating below capacity because of declining domestic demand, the construction sector is slack, and investors are in wait-and-watch mode.

In contrast, total bank deposits increased by Rs124 billion in the month before mid-October to Rs7.4 trillion. Official remittance inflows hit a record $13 billion in the past year. Nepal's banks are flush with cash, with nowhere to put it.

"The economy has flatlined. Non-performing assets are up, and real estate is at a standstill," said Ashoke SJB Rana, CEO of Himalayan Bank."There is excess liquid...