Impact of GDP, Inflation

in India, and Money

supply on Inflation in
Nepal

- Srijan Shrestha
- Anuska Jayswal
 Background
• Inflation is the gradual increase in overall price level, which can
benefit or harm the economy.
• In Nepal, CPI, WPI, and SWRI are the main price indexes, with
CPI being the most important for measuring the cost of living and
inflation.
• Inflation is a significant concern in macroeconomics and affects
people's daily lives.
 Background
• Nepal, like other nations with land borders, experiences inflation
issues.
• Studies into the variables that influence inflation are becoming
increasingly important.
• The study will examine GDP, money supply (broad), and Indian
inflation as independent variables.
 Problem Statement
• Nepal's government is concerned about rising inflation rates,
which have ranged from 3.73% to 21.07% since 1973.
• Restrictions and actions are being taken to maintain a sustainable
inflation rate..
• Recent empirical evidence linking inflation to key macroeconomic
indicators in Nepal is lacking.
• This study aims to examine the relationship between inflation and
variables such as GDP, money supply, and Indian inflation to fill
this gap.
 Data Source
• Our study analyzes the relationship between GDP, inflation, and
money supply in Nepal from 1975 to 2020.
• The World Bank's development indicator was used for data analysis.
Presentati on
and Analysis
of Data
 Conclusion
• Nepal, like other nations with land borders, experiences inflation
issues.
• Studies into the variables that influence inflation are becoming
increasingly important.
• The study will examine GDP, money supply (broad), and Indian
inflation as independent variables.