Thursday, March 14, 2024

Nepal improves ranking in human development index

Nepal's Human Development Index (HDI) value is 0.601 —placing the country in the medium human development category and  —positioning it at 146 out of 193 countries and territories. 

Nepal’s ranking was 149 in 2021, according to United Nations Development Programme (UNDP) report. "As compared to 2021, Nepal’s progress on HDI value is 0.010 which is higher than global average of 0.004."

Countries with HDI values between 0.550 and 0.699 fall under the medium human development category.

Between 1990 and 2022, Nepal's HDI value changed from 0.395 to 0.601, representing a change of 52.2 percent. During the same period, Nepal's life expectancy at birth increased by 15.7 years, expected years of schooling by 5.4 years, and mean years of schooling by 2.1 years.

Nepal's GNI per capita changed by about 165.7 per cent between 1990 and 2022, the report adds.

The 2022 female HDI value for Nepal is 0.562, contrasting with 0.635 for males, resulting in a GDI value of 0.885.

Between 1990 and 2022, Nepal's life expectancy at birth changed by 15.7 years, expected years of schooling changed by 5.4 years and mean years of schooling changed by 2.1 years.

The 2022 female HDI value for Nepal is 0.562 in contrast with 0.635 for males, resulting in a GDI value of 0.885.

“Nepal performed progressively in the last 5 decades, yet fall into gridlock at times, particularly following the pandemic– be it related to decent jobs for youths, spatial and social inequalities, economic growth, as well as trust on institutions," UNDP Nepal’s Resident Representative Ayshanie Medagangoda-Labé said, adding that it is fundamental to collaborate not only between three levels of governments, but also with the private sector, civil society, international community, and people at large. "The federal government could focus more on transparency, accountability, and integrity; provincial and local governments can enhance planning and service delivery; Civil Society Organisations (CSOs) could further promote people’s participation and voice to revive hope and trust, and using multilateralism, a proven path that benefit everyone in the society.”

The report argues that advancing international collective action is hindered by an emerging ‘democracy paradox’: while 9 in 10 people worldwide endorse democracy, over half of global survey respondents express support for leaders that may undermine it by bypassing fundamental rules of the democratic process, as per data analysed in the report. "Half of people surveyed worldwide report having no or limited control over their lives, and over two-thirds believe they have little influence on their government’s decisions."

Political polarisation is also a growing concern with global repercussions. Along with a sense of powerlessness, report authors say, it is fuelling inward-turning policy approaches – starkly at odds with the global cooperation needed to address urgent issues like the decarbonisation of our economies, misuse of digital technologies, and conflict. This is particularly alarming in light of 2023's record-breaking temperatures, which emphasise the immediate need for united action to tackle the climate crisis, or in the advent of artificial intelligence as a new and fast-evolving technological frontier with little or no regulatory guard rails.

The report highlights that deglobalisation is neither feasible nor realistic in today’s world and that economic interdependence remains high. It points out that no region is close to self-sufficiency, as all rely on imports from other regions of 25 per cent or more of at least one major type of goods and services.

The report emphasises how global interdependence is being reconfigured and calls for a new generation of global public goods. It proposes four areas for immediate action:

- planetary public goods, for climate stability, as we confront the unprecedented challenges of the Anthropocene;

- digital global public goods, for greater equity in harnessing new technologies for equitable human development;

- new and expanded financial mechanisms, including a novel track in international cooperation that complements humanitarian assistance and traditional development aid to low-income countries; and

- dialling down political polarization through new governance approaches focused on enhancing people's voices in deliberation and tackling misinformation.

In this context, multilateralism plays a fundamental role, the report argues, because bilateral engagements are not able to address the irreducibly planetary nature of the provision of global public goods.

More key data from the report

In 2023, all 38 countries that are members of the Organisation for Economic Co-operation and Development (OECD) achieved higher Human Development Index (HDI) scores compared to their levels in 2019.

Among the 35 least developed countries (LDCs) that experienced a decline in their HDI in 2020 and/or 2021, more than half (18 countries) have not yet recovered to their human development levels of 2019.

All developing regions have not met their anticipated HDI levels based on the trend before 2019. It appears they have shifted to a lower HDI trajectory, indicating potential permanent setbacks in future human development progress.

The impact of human development losses is in sharp focus in Afghanistan and Ukraine.

Afghanistan’s HDI has been knocked back by a staggering ten years, while Ukraine’s HDI dropped to its lowest level since 2004.

The report cites research indicating that countries with populist governments have lower GDP- growth rates. Fifteen years after a populist government assumes office, the GDP per capita is found to be 10 percent lower than it might under a non-populist government scenario.

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