May 10, 2020 | Investopaper
The existing unregistered industries and businesses are found to earn more than two hundred thirty three billion rupees annually. According to the recently released report of Economic Census 2074 released by the Central Statistics Office, such businesses earn Rs. 233.15 billion. The report also states that the annual expenditure of these businesses is Rs. 161.14 billion and the profit will reach around Rs. 72 billion.
According to the department, 4 lakh 58 thousand 857 such businesses are operating in the country without registration. The average income of such businesses in operation is Rs. 508 million.
The number of wholesale and retail shops operating without registration is the highest. As per the report, 278,452 wholesale and retail shops across the country are operating without registration, with an annual income of Rs 88.96 billion.
Under this, the department has also covered large vehicle and motorcycle repair centers. After that, 82 thousand 501 businesses related to housing and food services were found operating without registration. Such businesses earn an annual income of Rs 68.95 billion. It has been found that 53,328 manufacturing and production businesses are operating in the country without registration, earning Rs 24.43 billion during the year.
Turnover of Rs 2.90 Trillion
The economic census has shown that the industries and businesses operating in the country have a turnover of Rs 2.916 trillion throughout the year. The report states that 9 lakh 924 industries and businesses covered by the census will earn the same amount. In all these industries, 31.15 million people are involved.
The manufacturing industry has the highest annual turnover. According to the report, the annual income of the manufacturing industry alone is Rs 674 billion. Its share in the overall business is 23.1 percent. Then there are the wholesale and retail businesses at Rs 601 billion, financial institutions at Rs 265 billion and the education sector at Rs 264 billion.
The electricity and gas sector is at the forefront in terms of per capita income. The per unit profit of such business is Rs. 113 million. Out of the total income of Rs 29 trillion, the industry has been found to earn Rs 853 billion.
The biggest gainers are wholesale and retail businesses, which have an annual profit of Rs 258 billion. After that, the education sector has Rs 122 billion. The education sector is also making a profit in proportion to the total income. The report states that the education sector has a profit of 46.1 percent of the total income. It is followed by wholesale and retail businesses, which account for 43 percent of profits.
Out of the total revenue, the share of registered business is 92 percent or Rs. 2682 billion. The registered share in the total profit is 91.5 percent or Rs. 781 billion.
Women managers account for 9.8 percent of the total income. Of this, 28.2 per cent, or Rs 80 billion, is the largest wholesale and retail business. Women managers account for 10.9 percent of total profits. Regionally, Kathmandu is the busiest district. The annual turnover here is estimated at Rs 832 billion, which is 28.5 percent of the total business. After that, it was found to be Rs 288 billion in Lalitpur, Rs 155 billion in Morang, Rs 132 billion in Rupandehi and Rs 117 billion in Kaski.
In terms of turnover, the lowest is seen in Manang district. The report states that only Rs. 536 million was traded in Manang during the year. Kathmandu is also in the forefront in terms of profit. The business in Kathmandu has made a profit of Rs. 222 billion in the last one year. The profit was Rs 71 billion in Lalitpur, Rs 39 billion in Rupandehi, Rs 32.60 billion in Morang, Rs 32 billion in Jhapa and Rs 30.80 billion in Kaski. The lowest profit is in Manang where the total business profit was Rs 122 million.
Out of the total business, 485,000 businesses have managers in the age group of 15 to 39 years. Its total annual income is nine trillion 94 billion rupees. Four lakh 45 thousand 982 businesses are owned by people in the age group of 15 to 39 years. Out of the total business, 4,11,850 businesses are operating in rented buildings or rooms while 394,000 businesses are operating in their own buildings.