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Effect of International Trade and Economic Growth of Nepal

Ms. Nirma Kandel*
MBS-F Scholar at the Lumbini Banijya Campus, Nepal

Mr. Gaurav Kumar Yadav
Assistant Professor of Management, Haridwar University, India
*Corresponding author

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Abstract
This study investigated the influence of International Trade on the growing economy of Nepal. Data was collected from 1990/91 to 2020/21 AD. This study uses import, export, remittance, balance of trade as an independent variable and GDP as an economic growth of Nepal. This study finds that export(X), remittance(R) is not significant to explain GDP while import (M), and balance of trade (T) are significant to explain GDP of Nepal. The results suggest that the presence of International Trade has a substantial influence on the growing economy of Nepal. Therefore, the economic growth of Nepal somehow depends on the international trade. Keywords: International trade, Import, Export, Remittance, Balance of trade, GDP and Economic growth.