In the last financial year, the capacity utilization of the industries operating in Lumbini province was 46.41 percent. Compared to the previous fiscal year, the capacity utilization of industries decreased by about 10 percent points. In the financial year 079/80, the average capacity utilization of the industries operating in this province was 56.36 percent.

Among the industries included in the regional economic activity study of Nepal Rastra Bank, the highest rosin producing industry is 92.43 percent and the lowest soap producing industry is 2.41 percent capacity utilization. Compared to the previous year, the production of electric wire has increased by 55.43 percent, while the production of soap has decreased the most by 85.64 percent. It is mentioned in the report that the soap industry, which was selected as a sample for producing

soap, was unable to obtain quality raw materials, and that there was a decrease in production. Similarly, out of 27 industries included in the study, 2 are closed. According to the data obtained from the remaining 25 industries, a total of 4,592 people received direct employment last year out of which 487 women and 4105 men.

In the same period of the previous year, 5 thousand 263 people were directly employed in the industries of this region. Likewise, the loans given by the banks and financial institutions of Lumbini province to the industrial sector have increased somewhat. At the end of June 2081, among the total industrial loans, there has been an increase in loans to the industries related to agriculture, forestry, beverage production and non-food products, while there has been a decrease in loans to all other sectors.