Nepal Interest Payments to Revenue
Interest payments as % of revenue GC.XPN.INTP.RV.ZS
Nepal's interest payments to revenue was 9.63% in 2025, ranked 40th globally. This represents a 20.1% increase from 2024. Data from World Bank, covering 1995–2025.
Overview
Nepal's interest payments to revenue stood at 9.63% in 2025, a rise of +1.61pp from 2023. Based on recent trends, this figure is projected to reach 9.63% by 2025. Nepal ranked 40th globally.
Since 1995 Nepal’s interest payments to revenue have fallen dramatically from an all‑time peak of 12.68% to a trough of 1.53% in 2017, before edging up to 9.63% in 2025, placing the country 40th globally. The steep decline over the first two decades reflects fiscal consolidation and lower borrowing costs, while the recent rise suggests renewed reliance on debt financing amid expanding public investment. Compared with peer economies, Nepal’s 2025 ratio is slightly below Italy’s 10.06% and Mauritius’s 10.28%, but above Rwanda’s 8.90%, indicating a moderate debt service burden relative to similar emerging markets. The 29‑year coverage series shows that the post‑trough increase is the first notable reversal since the early 2000s, hinting that future fiscal discipline or higher growth could either curb the upward pressure or sustain the current level. Continued monitoring of borrowing terms will be decisive for the trajectory.
Data & projection
| Year | Interest Payments to Revenue | YoY change | Rank |
|---|---|---|---|
| 2026* trend | 10.83% | - | - |
| 2025* trend | 9.63% | - | - |
| 2025 | 9.63% | +1.61pp | #40 |
| 2023 | 8.02% | +4.17pp | #60 |
| 2021 | 3.86% | +0.53pp | #49 |
| 2020 | 3.33% | +1.01pp | #44 |
| 2019 | 2.32% | +0.29pp | #34 |
| 2018 | 2.02% | +0.49pp | #24 |
| 2017 | 1.53% | −0.12pp | #19 |
| 2016 | 1.66% | −0.40pp | #19 |
| 2015 | 2.06% | −0.92pp | #25 |
| 2014 | 2.98% | −1.18pp | #42 |
| 2013 | 4.15% | −1.17pp | #49 |
| 2012 | 5.32% | +0.37pp | #66 |
| 2011 | 4.95% | +0.33pp | #59 |
| 2010 | 4.62% | −0.30pp | #57 |
| 2009 | 4.91% | −0.37pp | #55 |
Detected Pattern
Analysis
Nepal matched the Stagflation Risk pattern in 2016. Historically, 38% of countries showing this pattern (117 out of 307) saw interest payments to revenue improve within 24 months. View full analysis →
Frequently Asked Questions
Nepal's interest payments to revenue was 9.63% in 2025. Ranked 40th globally. This represents a 20.1% increase from the previous year.
Nepal's interest payments to revenue peaked at 12.68% in 1995.
The lowest interest payments to revenue in Nepal was 1.53% in 2017.
Nepal ranks 40th globally in interest payments to revenue as of 2025.
The World Bank indicator code is GC.XPN.INTP.RV.ZS. Data sourced from World Bank.
Nepal's interest payments to revenue is projected to reach 9.63% by 2025 based on trend extrapolation.
The interest payments to revenue of Nepal in 2025 was 9.63%. This ranks 40th in the world.
Cite this page
@misc{historysaid_nepal_interest-to-revenue,
title = {Nepal Interest Payments to Revenue},
url = {https://historysaid.com/nepal/interest-to-revenue/},
publisher = {HistorySaid},
year = {2026}
}