Government and UN in Nepal review joint progress under UNSDCF to advance LDC graduation and SDGs attainment

The Government and the United Nations Country Team (UNCT) convened the annual meeting of the Joint Steering Committee of the United Nations Sustainable Development Cooperation Framework (UNSDCF) 2023–2027 in Kathmandu today. The meeting was co-chaired by vice chair of the National Planning Commission (NPC) Prof Dr Shiva Raj Adhikari and UN Resident Coordinator for Nepal Hanaa Singer Hamdy.

As Nepal moves closer to its historic graduation from Least Developed Country (LDC) status, the discussions highlighted the role of the UNSDCF in supporting the government’s Smooth Transition Strategy and in accelerating progress toward the Sustainable Development Goals (SDGs).

The meeting reflected on the progress achieved in 2024. These results demonstrate the breadth of joint efforts across health, livelihoods, climate resilience and governance, showing how the Cooperation Framework is delivering concrete benefits for people across Nepal. During this period, a nationwide measles-rubella campaign immunised 6.3 million children, enabling Nepal to eliminate rubella, while expanding access to health care, education, safe water and protection services.

Together, the government and the UN also advanced inclusive growth, created more livelihood opportunities, strengthened social protection, and supported recovery and resilience in communities affected by disasters. Ambitious climate commitments, ecosystem restoration, and expanded civic participation further reinforced Nepal’s path toward irreversible LDC graduation and accelerated SDG progress.

Speaking at the occasion, the UN Resident Coordinator in Nepal Hanaa Singer Hamdy said, “Seventy years of partnership between Nepal and the United Nations this year is a testament to shared values, resilience, and progress. "Today, as Nepal prepares for its historic graduation from LDC status, our Cooperation Framework serves as the roadmap to make that graduation irreversible, resilient, and inclusive," she said, adding, "together with government leadership, development partners, and communities, we are advancing systemic change, creating jobs, strengthening social protection, tackling climate risks, and harnessing digital transformation."

The UN remains a steadfast partner to Nepal in accelerating the SDGs and ensuring a future that is inclusive, sustainable, and prosperous,  she added.

The Co-chair of the Joint Steering Committee and vice chair of the NPC Prof Dr Shiva Raj Adhikari, expressed appreciation to the UNCT for their partnership and emphasized the importance of national ownership in advancing global commitment, strengthening data and enhancing institutional capacity through technical assistance. He further highlighted that joint collaboration is required in harnessing synergies and strengthening collaboration for shared goals through holistic and interconnected approach, strong focus on inclusivity, building capacity, commitment to evidence and accountability and strong multi-agency collaboration.

Investment Board of Nepal approves investment worth Rs 8.84 billion

Investment Board of Nepal (IBN) has approved an investment of Rs 8.84 billion for the development of the 54 megawatt (MW) Lower Apsuwa Hydropower Project.

A Board meeting held today took the decision to approve the investment, IBN spokesperson Pradhumna Prasad Upadhyay confirmed.

Likewise, the IBN has decided to form a dialogue committee under the leadership of the CEO to table a proposal on project development agreement (PDA), financing modality and other issues regarding the West Seti Hydropower Project. 

The meeting chaired by the chairman of the IBN Prime Minister KP Sharma Oli has also entrusted the Board's CEO to submit the feasibility study report of Kathmandu-Hetauda-Birgunj podway project and development and operation of Panchkhal Special Economic Zone (SEZ) as well as provide the survey license for the projects.

The IBN meeting also provided approval to the developer company Karnali Transmission Company for the Environmental Impact Assessment (EIA) and feasibility study of the new route alignment for the development of transmission line for the Upper Karnali Hydropower Project of 900 MW.

Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel, Physical Infrastructure and Transport Minister Devendra Dahal, National Planning Commission (NPC) vice chairman Prof Dr Shivaraj Adhikari, chief secretary Eaknarayan Aryal, central bank governor Dr Bishwo Nath Paudel and other top ranking officials attended the meeting.

World Bank outlines four key reforms to boost growth, create jobs

Nepal has achieved remarkable success in poverty reduction, nearly eradicating extreme poverty, largely driven by remittances. To strengthen future growth, Nepal should prioritise policy actions that unlock domestic opportunities, according to the World Bank’s Nepal Country Economic Memorandum: Unlocking Nepal’s Growth Potential, released today.

Despite progress, Nepal’s economic growth lags regional peers, it reads, adding that Nepal's economy grew at an average annual real rate of just 4.2 per cent between 1996 and 2023, ranking sixth out of eight South Asian nations. Structural challenges such as low productivity, declining exports, and a stagnant industrial sector have held back the economy and led to slow job creation in non-agriculture sectors. Young workers are migrating abroad in search of better job opportunities as domestic prospects remain limited.

“Nepal's success in poverty reduction is impressive, but its economic potential remains largely untapped,” said World Bank Division Country Director for Maldives, Nepal, and Sri Lanka David Sislen. “Nepal has significant potential to drive stronger growth and create jobs by implementing key reforms to increase the returns from migration, boost exports, use hydropower efficiently, and boost digitalisation.”

“The 16th Plan for Nepal outlines a vision of good governance, social justice, and prosperity and prioritizes productivity and competitiveness, decent and productive jobs, social security, and ensuring a smooth transition from LDC status,"  vice chair of the National Planning Commission (NPC) Prof Dr Shiva Raj Adhikari said, adding that the government is committed to ensuring an enabling policy environment for Nepal’s sustainable growth.

The Nepal Country Economic Memorandum produced every five years, offers a roadmap for faster growth in key sectors. It recommends policy actions in four critical areas to unlock Nepal's economic potential.

Getting more out of migration: A systematic and institutionalised migration system can enhance the returns from migration. Integrating migration into national development, job creation, and poverty reduction strategies will provide a platform to work towards such a system. Policies should focus on reducing the cost and increasing the benefits and safety for current low-skilled migrants, while also eyeing longer-term skill and destination diversification. Expanding and better implementing bilateral labor agreements will be critical. Initiatives promoting entrepreneurship and retraining and reskilling programmes would allow returning migrants to reintegrate into the domestic labour market.

Improving export performance: Improving market competition in key sectors and addressing infrastructure deficits can boost exports. Better managing inflationary pressures would address the erosion of exporters’ price competitiveness. Encouraging people to use remittances for investments and business growth could help ease inflation. Simplifying the process for businesses to get tax refunds on imported materials and lowering import taxes would make it easier for them to export more products. With Nepal’s transition from Least Developed Countries (LDCs) status and the loss of trade preferences, authorities should seek additional preferential trade agreements. 

Harnessing the potential of hydropower: Developing a clear financing strategy to develop the hydropower sector will help mobilise much-needed investments. This strategy could include developing the domestic bond market and an effective framework for large-scale public-private partnerships. Strengthening the regulatory and legal frameworks, by reducing bureaucratic red tape and streamlining the current licensing process, would improve the structure of the electricity market and attract additional investment.

Boosting the digital sector: Updating the Telecommunications Act and the digital strategy and adopting key digital infrastructure faster would boost the development of the digital sector. Low digital skills, one of the key roadblocks in the sector, need to be addressed by integrating these skills in school curricula and through training programmes for different age groups and demographics.

नेपालको आर्थिक वृद्धि र रोजगारी सिर्जनाका लागि विश्व बैंकको चार सुझाव

नेपालले चरम गरिबी लगभग निवारण गरेर गरिबी न्यूनीकरणमा उल्लेखनीय सफलता हासिल गरेको छ, यसमा मूलतः विप्रेषण (रेमिट्यान्स) को ठूलो भूमिका रहेको विश्व बैंकले जनाएको छ। सोमबार सार्वजनिक गरिएको विश्व बैंकको नेपाल राष्ट्रगत आर्थिक परिदृश्यः नेपालमा आर्थिक वृद्धिको सम्भावना उजागर  प्रतिवेदनका अनुसार, भविष्यमा सुदृढ आर्थिक वृद्धि हासिल गर्न नेपालले आन्तरिक अवसरहरूलाई खुल्ला गर्ने नीतिगत कदमहरूलाई प्राथमिकता दिनुपर्छ ।

प्रगतिका बाबजुद नेपालको आर्थिक वृद्धि क्षेत्रीय समकक्षी राष्ट्रहरूको तुलनामा निकै पछाडि छ । सन् १९९६ देखि सन् २०२३ को अवधिमा नेपालको अर्थतन्त्र वार्षिक औसत ४।२ प्रतिशतले मात्र वृद्धि भयो, जुन दक्षिण एसियाका आठ राष्ट्रहरूमध्ये छैटौँ स्थानमा पर्दछ । निर्यातमा गिरावट, औद्योगिक क्षेत्रको गतिहीनता र न्यून उत्पादकत्व जस्ता संरचनागत चुनौतीहरूले नेपालको अर्थतन्त्रलाई पछाडि धकेल्नुका साथै गैर–कृषि क्षेत्रमा रोजगारी सिर्जना सुस्त भएको छ । आन्तरिक रोजगारी अवसर सीमित हुँदा युवा श्रमिकहरू वैदेशिक रोजगारीमा जान बाध्य छन् ।

“गरिबी न्यूनीकरणमा नेपालको सफलता उल्लेखनीय छ, तर मुलुकको आर्थिक सम्भावना अझै पूर्ण रूपमा उपयोग हुन सकेको छैन,” मल्दिभ्स, नेपाल र श्रीलंकाका लागि विश्व बैंकका विभागीय राष्ट्रिय निर्देशक डेभिड सिस्लेनले भने, “नेपालसँग आप्रवासनको प्रतिफल वृद्धि गर्ने, निर्यात बढाउने, जलविद्युतको कुशलतापूर्ण उपयोग गर्ने, र डिजिटलीकरणलाई प्रवर्द्धन गर्नेजस्ता सुधारमार्फत मजबुत आर्थिक वृद्धि हासिल गर्नसक्ने प्रशस्त सम्भावना छ ।”

“नेपाल सरकारको १६औं योजनाले सुशासन, सामाजिक न्याय र समृद्धिको दृष्टिकोण प्रस्तुत गरेको छ र यसले उत्पादकत्व र प्रतिस्पर्धी क्षमता विकास, मर्यादित तथा फलदायी रोजगारी, सामाजिक सुरक्षा, तथा अल्पविकसित राष्ट्रबाट सहज स्तरोन्नति सुनिश्चित गर्ने प्राथमिकता राखेको छ । नेपाल सरकार दिगो आर्थिक वृद्धिका लागि अनुकूल नीतिगत वातावरण सुनिश्चित गर्न प्रतिवद्ध छ,” राष्ट्रिय योजना आयोगका उपाध्यक्ष प्रा डा शिवराज अधिकारीले भने।

हरेक पाँच वर्षमा तयार गरिने नेपालः राष्ट्रगत आर्थिक परिदृश्यले प्रमुख क्षेत्रमा तीव्र आर्थिक वृद्धिको मार्गचित्र प्रदान गर्दछ । यसले नेपालको आर्थिक सम्भावनालाई उजागर गर्न चार प्रमुख क्षेत्रहरूमा नीतिगत सुधारको सिफारिस गरेको छ ।

आप्रवासनबाट थप लाभ उठाउनेः व्यवस्थित र समावेशी रूपमा संस्थागत प्रवासन प्रणालीले आप्रवासनबाट थप लाभ हासिल गर्न मद्दत गर्छ । राष्ट्रिय विकास, रोजगारी सिर्जना र गरिबी न्यूनीकरण रणनीतिहरूसँग आप्रवासनलाई एकीकृत गर्दा यस प्रकारको प्रणालीतर्फ काम गर्ने मञ्च ९प्लेटफर्म० प्रदान गर्दछ । नीतिहरू दीर्घकालीन सीप विकास र श्रम गन्तव्य विविधिकरणलाई ध्यानमा राख्दै सीपयुक्त श्रमिकहरूको प्रवासन लागत घटाउने र लाभ एवं सुरक्षा बढाउनेतर्फ केन्द्रित हुनुपर्छ । थप द्विपक्षीय सम्झौताहरू गर्ने र तिनीहरूको प्रभावकारी कार्यान्वयन महत्वपूर्ण हुनेछन् । विदेशबाट फर्कने श्रमिकहरूलाई आन्तरिक श्रम बजारमा पुनःसमायोजन गर्न उद्यमशीलता प्रवर्द्धन, पुर्नतालिम, तथा पुनःसीप विकास कार्यक्रमहरू लागू गर्नुपर्छ ।

निर्यात क्षमतामा सुधारः मुख्य क्षेत्रहरूमा बजार प्रतिस्पर्धा सुधार तथा पूर्वाधारको न्यूनतालाई सम्बोधन गरेर निर्यात बढाउन सकिन्छ । मुद्रास्फीतिको दबाबलाई राम्रोसँग व्यवस्थापन गर्दा निर्यातकर्ताको मूल्य प्रतिस्पर्धात्मकतालाई सम्बोधन गर्दछ । विप्रेषणलाई लगानी र व्यवसाय वृद्धिका लागि उपयोग गर्न मानिसहरूलाई प्रोत्साहीत गरेको खण्डमा मुद्रास्फिती बढ्ने क्रम सुस्त हुन्छ । व्यवसायले आयातीत वस्तुमा कर फिर्ता प्राप्तिको प्रणाली सरलीकरण र आयात कर कटौतीले निर्यातकर्तालाई थप निर्यातका लागि सहज बनाउँछ । साथै, नेपालले अल्पविकसित राष्ट्रको रूपमा प्राप्त गर्ने व्यापार सुविधा कटौती हुने अवस्थालाई मध्यनजर गर्दै अधिकारीहरूले थप सुविधायुक्त व्यापार सम्झौताहरू खोज्नुपर्छ ।

जलविद्युतको सम्भावना उपयोगः जलविद्युत् विकासका लागि स्पष्ट वित्तीय रणनीति निर्माण गरी आवश्यक लगानी आकर्षित गर्न सकिन्छ । यस रणनीति अन्तर्गत स्थानीय बचतपत्र (बण्ड) बजारको विकास तथा ठूला सार्वजनिक–निजी साझेदारी ९पीपीपी०का ठूला परियोजनाहरूका लागि प्रभावकारी ढाँचा निर्माण आवश्यक छ । साथै, प्रशासनिक झन्झट घटाएर र इजाजत ९लाइसेन्स० प्रक्रियालाई सरलीकरण गर्नुका साथै नियमन तथा कानुनी संरचनालाई सशक्तीकरण गर्नुपर्छ ।  यसले नेपालको विद्युत बजार संरचना सुधार गर्नेछ र थप लगानी आकर्षित गर्नेछ ।

डिजिटल क्षेत्रको प्रवर्द्धनः नेपालको डिजिटल क्षेत्रमा तीव्र सुधार ल्याउन दूरसञ्चार ऐन परिमार्जन गर्नुका साथै डिजिटल रणनीति अबलम्बन र डिजिटल पूर्वाधारको विकासले यस क्षेत्रको विकासलाई विस्तार गर्नेछ । नेपालमा कम डिजिटल सीप एउटा प्रमुख चुनौतीका रूपमा रहेकाले विद्यालय पाठ्यक्रममा डिजिटल सीप समावेश गर्नुका साथै विभिन्न उमेर समूहका लागि र जनसांख्यिक विशेषताका आधारमा तालिम कार्यक्रम सञ्चालन गर्नुपर्छ ।

Nepal to receive Rs 5.59 billion from IMF under ECF

Nepal is poised to receive approximately Rs 5.59 billion (around $40.6 million) from the International Monetary Fund (IMF), following a staff-level agreement reached on the fifth review of the country's economic reform programme under the Extended Credit Facility (ECF).

The IMF team, led by Sarwat Jahan, concluded its mission in Kathmandu on January 19 after holding discussions with Nepali authorities. In a statement released on Monday (today), the IMF confirmed that the agreement is subject to approval by the IMF Executive Board. Upon formal endorsement, the disbursement will bring Nepal’s total financial support under the ECF to about $283.9 million (SDR 219.7 million), out of the approved SDR 282.42 million.

“Nepal continues to make progress with the implementation of the ECF-supported programme,” said the IMF statement, noting that all quantitative performance criteria and indicative targets for end-July 2024 were met, with the exception of those related to revenue collection and child welfare grants.

Key reforms under this review include amendments to the anti-money laundering (AML) legislation, enhanced financial oversight of public enterprises, and the completion of an external audit of Nepal Rastra Bank’s fiscal year 2023-24 financial statements using international central bank auditing standards.

Despite the cancellation of an initial procurement process, the central bank has renewed efforts to complete a Loan Portfolio Review (LPR) of the country’s 10 largest banks by hiring an independent international consultant. The IMF emphasised that timely execution of the LPR, based on Basel Committee guidelines, is critical for safeguarding financial stability.

Nepal's economic recovery, which began in fiscal year 2023-24, was disrupted by severe floods in September 2024. The disaster caused extensive damage to infrastructure and agriculture, contributing to a surge in food prices and pushing inflation to 6.1 per cent by December.

While the country’s external position has improved thanks to strong remittance inflows and subdued imports, the IMF warned of growing vulnerabilities in the financial sector. Non-performing loans in the banking sector climbed to 4.4 percent in October 2024, and the financial condition of savings and credit cooperatives (SACCOs) has deteriorated further.

Looking ahead, the IMF projects Nepal’s economy to grow by over 4 per cent in the fiscal year 2024-25, supported by increased public capital expenditure and post-flood reconstruction. Imports are also expected to rebound in the second half of the fiscal year, while food inflation is likely to ease as transportation links are restored and agricultural production recovers.

However, the outlook remains fragile. “The growth trajectory faces risks from delays in capital spending, rising financial sector stress, and potential setbacks to policy continuity and reform momentum,” the IMF cautioned.

During the visit, the IMF delegation held consultations with deputy prime minister and finance minister Bishnu Prasad Paudel, National Planning Commission (NPC) vice-chair Dr Shiva Raj Adhikari, Nepal Rastra Bank (NRB) Governor Maha Prasad Adhikari, and other senior officials. The team also engaged with private sector representatives and development partners.

Experts to explore social protection's role in reducing poverty, building resilience and investing in human capital

The government is committed to building a more inclusive social protection system that serves the needs of all, especially our children and the future generations.

Inaugurating the conference 'Resilient and Inclusive Social Protection: Investing in Human Capital Development', here today, the deputy prime minister and finance minister Bishnu Paudel reiterated the government's commitment. 

"This conference comes at a crucial time as Nepal is investing in its human capital,” he said at the conference organised jointly by the government, National Planning Commission (NPC), in partnership with UNICEF and the World Bank (WB), 

This is the second international conference on social protection -- organised in Kathmandu today and tomorrow -- that aims to foster critical dialogue on how social protection can be leveraged to reduce poverty, build resilience, and invest in the human capital of future generations.

Nepal is undergoing rapid economic, social, and demographic changes, with approximately 20 per cent of the population still living below the poverty line and significant inequality remaining a concern. Nepal’s Constitution guarantees the right to social security for vulnerable groups, but much of its investment in social protection has focused on the elderly, with limited attention to children and other vulnerable groups.

The vice chair of NPC Prof Dr Shivaraj Adhikari on the occasion, said that the government, through the Sixteenth Periodic Plan, has given high priority to human capital development. "It is necessary to increase investment in children for this purpose," he said, highlighting the fact that human development is both a means and an end in the context of the country's development. He also emphasised that social protection plays a crucial role in building human capital.

Although the government has been increasing investment in social protection, the investment made in social protection has had only a limited impact on reducing poverty, building human capital, and promoting resilience against shocks and risks that may arise at various stages of the human life cycle.

“By investing in the early years, including through universal child grants, we can break intergenerational cycles of poverty that hold back future generations," said Regional Director of UNICEF South Asia Sanjay Wijesekera. 

"Through this conference, we are not only reaffirming our commitment to the children and young people of Nepal, but we are also challenging ourselves to create a world where every child and young person, no matter his or her circumstances, has the opportunity to thrive and contribute to a brighter, more resilient future," he added.

The conference builds on the momentum of the 2019 International Conference on Social Protection, which promoted policy debate on strengthening social protection for children and the expansion of the child grant, establishment of an integrated registry, increased use of the cash plus approach, investment in productive employment and social security for the formal and informal sectors.

This year’s conference provides a platform to reflect on key progress in Nepal since 2019 and for knowledge exchange, learning from best practices, and collaboration towards achieving SDG Target 1.3, which calls for implementing nationally appropriate social protection systems for all.

“In the face of economic challenges, global conflicts and climate change, adaptive social protection systems are more critical than ever,” said World Bank Operations Manager for Maldives, Nepal, and Sri Lanka Preeti Arora. 

“Effective social protection can buffer vulnerable populations, including women, youth, and children from crises while enabling them to invest in education, healthcare, and other essential services that enhance human capital and their productivity," she added.

The conference brings together senior representatives from the government, UNICEF, the World Bank, regional and global social protection experts, and key stakeholders from various sectors.

On the occasion, director at the Economic Policy Research Institute (EPRC) Dr Michael Samson delivered the keynote address on ‘Investment in social protection for human capital, inclusion and resilience – Global Perspective.”

गरिबी न्यूनीकरण, उत्थानशीलता निर्माण र मानव पुँजी निर्माणमा लगानी गर्न सामाजिक सुरक्षाको भूमिका

काठमाडौं । सामाजिक सुरक्षा र मानव पुँजी विकासमा सरकार प्रतिबद्ध रहेको उपप्रधानमन्त्री तथा अर्थमन्त्री विष्णु पौडेलले बताएका छन् । 

सरकार, राष्ट्रिय योजना आयोग, संयुक्त राष्ट्र संघीय बाल कोष  (युनिसेफ) र विश्व बैंकको संयुक्त साझेदारीमा विहीबार तथा शुक्रबार सामाजिक सुरक्षा र मानव पुँजी विकास सम्बन्धी दोस्रो अन्तर्राष्ट्रिय सम्मेलन काठमाडौंमा आयोजना भइरहेको ‘उत्थानशील तथा समावेशी सामाजिक संरक्षणः मानव पुँजी निर्माणमा लगानी’ सम्मेलन उद्घाटन गर्दै उनले मुलुकको आजको आवश्यकता र विशेष गरी हाम्रा बालबालिका र भावी पुस्ताको आवश्यकता पूरा गर्न थप समावेशी सामाजिक संरक्षण प्रणाली निर्माण गर्न प्रतिबद्ध रहेको बताएका हुन् ।। 

‘उत्थानशील तथा समावेशी सामाजिक संरक्षणः मानव पुँजी निर्माणमा लगानी’ दुईदिने सम्मेलनले गरिबी न्यूनीकरण गर्न, उत्थानशीलता निर्माण गर्न र भावी पुस्ताको मानव पुँजीमा लगानी गर्न सामाजिक संरक्षणलाई कसरी सदुपयोग गर्न सकिन्छ भन्ने विषयमा समालोचनात्मक संवादलाई प्रोत्साहन गर्ने लक्ष्य राखेको छ । 

नेपालले आफ्नो मानव पुँजी निर्माणमा लगानी बढाउदैँ गरेको महत्वपूर्ण समयमा यो सम्मेलनको आयोजना भएकोमा मन्त्री पौडेलले आयोजकलाई धन्यवाद पनि दिए । 

यतिबेला नेपाल तीव्र आर्थिक, सामाजिक र जनसांख्यिकीय परिवर्तनहरूबाट गुज्रिरहेको छ। लगभग २० प्रतिशत जनसंख्या अझै पनि निरपेक्ष गरिबीको रेखामुनि बाँचिरहेका छन् र उल्लेखनीय रूपमा रहेको आर्थिक-सामाजिक असमानता अझै पनि चिन्ताको विषय रहेको छ।

नेपालको संविधानले जोखिममा रहेका सबै समूहका लागि सामाजिक संरक्षणको हक सुनिश्चित गरेको छ। तर सामाजिक संरक्षण सम्बन्धी अधिकांश लगानी ज्येष्ठ नागरिकहरूमा केन्द्रित रहेको छ।बालबालिका र अन्य जोखिममा परेका समूहहरूलाई सीमित रुपमा मात्र ध्यान दिइएको अवस्था छ। 

उत्त, अवसरमा बोल्दै राष्ट्रिय योजना आयोगका उपाध्यक्ष प्रा डा शिवराज अधिकारीले सरकारले सोर्हौं योजनामार्फत मानव पुँजी निर्माणलाई उच्च प्राथमिकता प्रदान गरेको स्मरण गरे । “यसका लागि बालबालिकामा लगानी बढाउनु आवश्यक रहेको छ,” उनले भने, “देश विकासको सन्दर्भमा मानव विकास साधन र साध्य दुबै हुन्छन् ।” 

यस्तै, उनले सामाजिक संरक्षणले मानव पुँजी निर्माणमा महत्वपूर्ण भुमिका निर्वाह गर्ने विषयलाई पनि जोड दिए । 

सरकारले सामाजिक सुरक्षामा लगानी बढाउदैँ गएको भएतापनि सामाजिक सुरक्षा गरिने लगानीले गरिबी घटाउन, मानव पुँजी निर्माण गर्न र मानव जीवन(चक्रका विभिन्न चरणमा आईपर्न सक्ने झट्का तथा जोखिमहरूबाट उत्थानशीलता प्रवर्द्धन गर्न सीमित प्रभाव मात्र पारेको अवस्था छ।

"प्रारम्भिक वर्षहरूमा लगानी गरेर, जस्तै सर्वब्यापी बाल अनुदान कार्यक्रमहरू मार्फत, हामीले गरिबीको अन्तर पुस्ताको चक्रलाई तोड्न सक्छौं, जसले भविष्यका पुस्तालाई पछाडि धकेलिरहेको छ," दक्षिण एशियाका युनिसेफ क्षेत्रीय निर्देशक सञ्जय विजेसेकराले भने ।

"यस सम्मेलन मार्फत, हामीले नेपालका बालबालिका र युवाहरू प्रतिको हाम्रो प्रतिबद्धतालाई मात्र मात्र जोड दिइरहेका छैनौँ, हामी आफैंलाई चुनौती दिइरहेका छौं कि हरेक बालबालिका र युवाले, चाहे उनीहरूको अवस्था जे भए पनि, अघि बढ्ने र उज्यालो र अझ बढी उत्थानशील भविष्यमा योगदान पुर्याउने अवसर पाउने अवस्था सिर्जना गर्न हामी प्रतिबद्ध रहेको संन्देश दिन चाहन्छौं ।"

यस सम्मेलनले सन् २०१९ को सामाजिक संरक्षणसम्बन्धी पहिलो अन्तर्राष्ट्रिय सम्मेलनले उठाएका मुद्दाहरूलाई अझ अगाडि बढाउनेछ । पहिलो सम्मेलनले बालबालिकाको सामाजिक संरक्षणलाई सुदृढ गर्ने र बाल अनुदानको विस्तार, एकीकृत सामाजिक लगत स्थापना, नगद प्लस दृष्टिकोणको बढ्दो प्रयोग, उत्पादनमूलक क्षेत्रमा लगानी, औपचारिक र अनौपचारिक क्षेत्रका लागि रोजगारी र सामाजिक सुरक्षा जस्ता नीतिगत बहसलाई जोड दिएको थियो।

यो सम्मेलनले सन् २०१९ यता सामाजिक संरक्षणको क्षेत्रमा नेपालले हासिल गरेका प्रमुख उपलब्धिहरू प्रस्तुत गर्न र दिगो विकास लक्ष्यहरु मध्येको लक्ष्य १।३ जसले सबैका लागि राष्ट्रिय रूपमा उपयुक्त सामाजिक सुरक्षा प्रणालीहरू लागू गर्न आह्वान गर्दछ । उक्त लक्ष्य हासिल गर्न ज्ञान आदानप्रदान गर्न, उत्कृष्ट अभ्यासहरूबाट सिक्न र सहकार्य गर्ने प्रभावकारी मञ्च प्रदान पनि गर्ने आयोजकले जनाएका छन् । 

"आर्थिक चुनौतिहरू, विश्वव्यापी द्वन्द्व र जलवायु परिवर्तनको सामना गर्न, अनुकूलनशील सामाजिक संरक्षण प्रणालीहरू पहिलेभन्दा धेरै महत्त्वपूर्ण भएका छन्," माल्दिभ्स, नेपाल र श्रीलंकाका लागि विश्व बैंककी सञ्चालन प्रबन्धक प्रीति अरोराले उक्त अवसरमा भनिन् । 

"प्रभावकारी सामाजिक सुरक्षाले जोखिममा रहेका जनसङ्ख्या, जस्तै महिला, युवा र बालबालिकालाई शिक्षा, स्वास्थ्य सेवा र मानव पुँजी वृद्धि गर्ने र उत्पादनशीलता बढाउने अन्य आवश्यक सेवाहरूमा लगानी गर्न सक्षम बनाएर संकटबाट जोगाउन सक्छ," उनले भनिन् । 

यसैगरि, आर्थिक नीति अनुसन्धान संस्थानका निर्देशक डा माइकल स्यामसनले ‘मानव पुँजी, समावेशीकरण र उत्थानशीलताका लागि सामाजिक संरक्षणमा लगानी – विश्वव्यापी परिवेश’ विषयक सम्मेलनको मुख्य कार्यपत्र प्रस्तुत गरेका थिए । उनले आफनो कार्यपत्रमा सामाजिक सुरक्षाका पहिलो, दोस्रो तथा तेस्रो लहर र ती लहरमा नेपालको अवस्थाका बारेमा प्रकाश पारेका थिए ।

सम्मेलनमा नेपाल सरकार, युनिसेफ, विश्व बैंक, क्षेत्रीय र विश्वव्यापी सामाजिक संरक्षण क्षेत्रका विज्ञहरू र विभिन्न क्षेत्रका प्रमुख सरोकारवालाहरूका वरिष्ठ प्रतिनिधिहरूको  सहभागिता रहेको छ। 

Nepal marks 20 years in WTO: Experts highlight trade deficit and lack of competitive edge

Experts today said that Nepal has not been able to reap the expected benefits after becoming a member of the World Trade Organisation (WTO).

Registrar of Kathmandu University Prof Dr Achyut Wagle, on the occasion, highlighted the increasing trade deficit every year and Nepal's inability to compete in trade as the main problems. He emphasised that such issues should be discussed continuously and that every policy and rule should be based on research and data.

Likewise, former vice chair of the National Planning Commission (NPC) and economist Prof Dr Biswo Poudel, speaking at a discussion '20 Years of Nepal's Accession to WTO' organised jointly by Kathmandu University School of Management (KUSOM) and the WTO Chairs Programme (WCP) today, echoed the sentiments, stating that world trade has not yielded the desired benefits for Nepal.

"Despite adopting open market policies, these have not contributed positively to Nepal's trade," he said, adding that the agriculture and energy sectors have particularly suffered from huge trade deficits.

Poudel also noted the significant role of India and China in Nepal's international trade and suggested that bilateral trade should gradually evolve into regional trade. Stressing the need to prioritise the industrial sector, as the service sector's share is increasing while both agriculture and industry sectors' contributions are decreasing, he said, that currently, agriculture and petroleum products account for 40 per cent of Nepal's total trade deficit.

Member Secretary of the NPC Dr Toya Narayan Gyawali, on the occasion, acknowledged some benefits from WTO membership but pointed out Nepal's failure to produce competitive goods, resulting in a high trade deficit.

He recounted Nepal's 34-year journey to WTO membership, which was achieved in 2004 as the 147th country. Despite being a least developed country, Nepal has struggled to leverage some benefits of WTO membership.

Gyawali mentioned that while trade policies were previously unpredictable and non-transparent, there has been progress with technical support and expanded market access. He also referred to a report prepared by the commission on the impact of Nepal's upgradation from a least developed country (LDC) and strategies for smooth transition.

Purbanchal University vice-chancellor Prof Dr Biju Kumar Thapaliya emphasised the importance of the supply chain in foreign trade. Highlighting Nepal's significant role in reaching the international market through auction market management and identifying buyers, Thapaliya noted that auction market management is a common issue for landlocked countries. He also suggested that Nepal needs to address it through geo-political discussions.

Executive Director of South Asia Watch on Trade and Environment (SAWTEE) Dr Paras Kharel, discussed the work done for trade facilitation since Nepal became a WTO member. He noted that both imports and exports have been encouraged due to trade liberalisation.

However, Nepal could not impose import duties due to various agreements, including bilateral treaties that exempted 50 per cent customs duty on rice. Kharel stressed that Nepal's exports cannot be competitive unless the domestic market improves, attributing the problem to a lack of production capacity.

Agriculture expert Dr Yamuna Ghale, on the occasion, stated that government agencies have not sufficiently discussed the pros and cons of WTO membership in international forums. Pointing out that poor institutional memory capacity has hampered negotiations and that Nepal's food security is weakening due to lack of production capacity, Ghale warned of potential crises if Nepal's food production remains under external control and highlighted the need for competitive export industries.

Immediate Past President (IPP) of the Confederation of Nepalese Industries (CNI) Vishnu Kumar Agrawal also noted that Nepal now has easier access to a large global market. However, he criticised the government for not fulfilling promises on export promotion and facilitation. 

According to Agrawal, production and productivity have been adversely affected as export promotion programs are frequently included in the budget but fail to deliver results.

Under Secretary at the Ministry of Industry, Commerce and Supplies Liladhar Adhikari, stated that Nepal has failed to effectively promote Nepali products. He emphasised that being a WTO member implies consistent customs levels and suggested that priority should be given to domestic industry to expand trade by ensuring no higher tariffs are levied.

Adhikari concluded that Nepali products need to become competitive in the domestic market to succeed globally.

Kathmandu University School of Management (KUSOM) organises such discussions as part of its media and outreach programs under the WTO Chairs Programme (WCP). 

Prof Dr Bijay KC, Dean of KUSOM, extended his heartfelt thanks to the organising committee, panel members, and participants, pledging to continue these discussions in the future.

President calls for global cooperation in combating climate change impact on Himalayan region

President Ram Chandra Paudel emphasised that nations affected by climate change, including Nepal, should stand to benefit significantly from financial and technical assistance aimed at mitigating its impact.

Speaking at the 40th anniversary ceremony of International Centre for Integrated Mountain Development (ICIMOD) today at Lalitpur, he underscored that the repercussions of climate change, environmental degradation, and biodiversity loss extend beyond national borders, affecting the entire global community. "The current global crisis arising from human-induced climate change, biodiversity loss, and environmental pollution," he said, highlighting the heightened impact of climate change in mountainous regions like the Hindu Kush Himalayas, attributing it to the sensitive terrain and socio-economic vulnerabilities.

Despite Nepal's negligible contribution to greenhouse gas emissions, the President pointed out the disproportionate impact of climate change on the country. He also recalled urging global attention to this issue during the visit of the United Nations Secretary-General, stressing the urgency of addressing climate change impacts on nations with minimal carbon emissions.

"Minimizing the effects of climate change to improve the lives of people in this region is a significant challenge," he said, "Events such as the melting snow, glacier bursts, mountain landslides, and floods in the south due to climate change inflict severe damage on the economy, environmental systems, and humanity."

highlighting Nepal's commitment to collaborating with neighbouring countries and international partners on climate change, environmental protection, disaster risk reduction, biodiversity conservation, and livelihood issues he reiterated ongoing support for the institutional development of ICIMOD and sustainable development in the entire Hindu Kush mountain region.

The President also suggested that ICIMOD should actively engage with the nearly two billion people in its influence area and coastal countries, encouraging collaboration to enhance environmental services from the Hindu Kush Himalayan region.

The ICIMOD marks four decades of catalysing sustainable development in the complex terrain of the Hindu Kush Himalaya (HKH) region.

Under the theme 'Moving Mountains 2030', the 40th anniversary event highlighted ICIMOD’s journey and its commitment to shaping the future of the HKH region.

The 40th-anniversary agenda included a series of key moments, showcasing ICIMOD’s achievements and the enduring partnerships that have fuelled its success, a press note issued by the ICIMOD reads. "Importantly, this moment marks an opportunity to consolidate urgent actions for the future in a context of the triple planetary crisis of climate change, pollution and biodiversity loss."

The anniversary event featured a range of activities, including the release of a commemorative book highlighting four decades of ICIMOD’s contributions, launched by the Right Honourable Mr Ramchandra Paudel, and the inauguration of a new annex building. 

During the event, the winners of the Dr Andreas Schild Memorial Mountain Prize were also announced. The Mountain Prize sets out to amplify the voices of those on the front lines of the climate crisis in the HKH, recognising outstanding individuals and groups actively engaged in on-the-ground sustainable solutions, the press note reads. "This year’s winners were Sathi Eco Innovation India Pvt Limited and Rupani Foundation Pakistan (RFP)."

Reflecting on this milestone, Director General of ICIMOD Dr Pema Gyamtsho, said, “ICIMOD's 40-year legacy is a testament to our resilience and the collaborative efforts of our partners. We’ve addressed diverse challenges, enabling sustainable development in the HKH. As we move forward, our ambition remains high, guided by the lessons of the past.” 

Also attending the event was Bhutan’s advisor for Ministry of Agriculture and Livestock and Governor of the Royal Monetary Authority, Dasho Penjore, and high-level representatives from other member countries of ICIMOD – Bangladesh, China, India, , Nepal and Pakistan. Attendees also included ICIMOD’s board and support group members from the region and beyond, as well as the diplomatic corps based in Kathmandu.  

Speakers at the event included prominent personalities from ICIMOD’s past, including appointed Regent of ICIMOD in 1983 Peter Gueller, initial ICIMOD chair from Switzerland Dr Ruedi Hoeger and long-serving former chairperson of ICIMOD’s Programme Advisory Committee and former Prime Minister of the Royal Government of Bhutan Lyonpo Dr Kinzang Dorji, vice chair of National Planning Commission (NPC) and Board Member of Nepal and Chair of ICIMOD Support Group Dr Min Bahadur Shrestha, and ambassador of the Kingdom of Norway to Nepal Torun Dramdal.

ICIMOD, on the occasion, expressed gratitude to its partners and supporters, acknowledging the integral role they’ve played in working towards the organisation's mission.

Following the signing of the agreement at the UNESCO headquarters in Paris on 30 September 1981 by Nepal government and the United Nations Educational, Scientific and Cultural Organization (UNESCO), ICIMOD was established and inaugurated in December 1983 with its headquarters in Nepal’s capital. As per the ICIMOD Act 2040 (1983), ICIMOD was mandated to carry out study, research and other necessary functions in order to develop the mountain area of Hindu Kush Himalayan regions in an integrated manner. 

ICIMOD reaffirmed its dedication and commitment to further strengthen its role in supporting its regional member countries to address the current and emerging challenges that the HKH region is facing from climate change, pollution and biodiversity loss as a neutral convenor and facilitator for sharing information, knowledge and sustainable policies and practices. 

The 40th-anniversary event served as a moment to celebrate past successes, present achievements, and chart a course for a more robust pathway towards a greener, more resilient and inclusive development of the HKH region.

Licenceraj hurts economy, accepts NPC vice chair

Licenceraj is hurting the economy, accepts the National Planning Commission (NPC) vice chair.

Speaking at a programme organised to mark 24th Annual General Meeting of the Society of Economic Journalists Nepal (SEJON) today, NPC vice chair Dr Bishwo Nath Poudel said that the Licenceraj has promoted syndicate. “The practice of licence being sold has distorted the economy,” he said, adding that licenceraj has also promoted monopoly. “There should not be monopoly in any sector including banking.”

Every sector including banking and insurance is suffering from the syndicate, the vice chair said, adding that there is no possibility of opening or closing bank or insurance companies due licenceraj, which has promoted syndicate.

In last few years, the government, backtracking from the liberal market policy, has started distributing licence, he added. “The licence distribution is the mother of corruption.

Poudel represents the Nepal Congress that has in the 90s started the liberal economic policy propelling the economy but the incumbent government, led by the Nepali Congress president Sher Bahadur Deuba, is also backtracking the liberal economic policy and promoting the licenceraj.

He even asked the central bank governor Maha Prasad Adhikari, who was sharing the dias with him, to abolish the licence and liberal, again, the banking sector. However, central bank governor did not say anything on the issue. Lately, the Insurance Board is under scrutiny for distributing, licence for the reinsurance company and also micro-insurance company, though it has directed insurance companies to go for merger claiming that the number of insurers have increased compared to the market size. The inconsistent licence policy by the regulator has been promoted by the political parties and the government, as they have been blamed for taking bribes for licence.

The Nepal Rastra Bank (NRB) governor Maha Prasad Adhikari, on the occasion, said nothing about the licencing policy and claimed that the lonable fund crisis can be corrected only with an improvement in the country’s balance of payments (BoP) position. “The government’s increased expenses on a periodic basis will help BoP position to be positive,” he said, adding that the lonable fund crisis will continue to persist in the banking system. “The bank deposit has increased by Rs 167 billion during a month between mid-June and mid-July, due to increased government expenditure and inflow of remittance and tourist arrivals.”

Without blaming the central bank governor, as he used to do earlier, finance minister Janardan Sharma also claimed that the economy is gradually returning to normalcy due to the timely caution maintained by the government. “The increased remittance inflow due to nearing festival season, is also helping the economy to remain afloat.”

He also argued that the increase in remittance would help foreign currency reserves go up. “The finance ministry has already instructed all the concerned ministries to make this fiscal year's budget expenditure effective,” he claimed but failing to understand that the Finance Ministry only helps mobilise the revenue, its on the five ministries, related to the development works, to spend the budget. In the last fiscal year also, Sharma claimed to spend 10 per cent budget every month, but at the end of the fiscal year, the government failed to expedite the capital expenditure. His Finance Ministry, also failed to meet the revenue target for the fiscal year.

Government, World Bank concludes portfolio performance review

The joint portfolio review of the government and the World Bank concluded yesterday covering 27 ongoing World Bank-financed projects with a net commitment of $3.27 billion.

The concluding meeting was chaired by finance secretary Madhu Kumar Marasini and World Bank country director for Maldives, Nepal, and Sri Lanka Faris Hadad-Zervos in the presence of finance minister Janardan Sharma and vice chair of National Planning Commission (NPC) Dr Biswo Poudel.

Highlighting the perspective of general citizens on government projects, finance minister Sharma instructed the completion of projects within the stipulated time while maintaining quality. He also urged to utilize scientific tools and techniques for project implementation.

The concluding meeting was held at the Finance Ministry with a hybrid model consisting of in-person as well as virtual presence considering the health protocol. The meeting discussed on issues that remain unresolved at the line ministry level and of strategic importance which required high level attention.

The meeting also discussed the impacts of Covid-19 on project implementation that had led to delays. In addition, other generic implementation issues like weak capacity in project management especially at provincial and local levels, frequent turnover of civil servants, procurement delays, safeguard related issues, and slow disbursement were discussed.

Focusing on coordinated and joint efforts for delivering development impacts, finance secretary Marasini requested the participants to build a common understanding to improve the overall implementation environment of the projects.

The annual stocktaking exercise is organised to review the performance of ongoing projects, review implementation challenges, and identify measures to resolve such challenges collaboratively. Sectoral meetings that were organised with the relevant line ministries under the chair of respective secretaries discussed in depth key results achieved under each project, underlying issues and challenges, and agreed actions to resolve such issues.

The World Bank’s current project portfolio in Nepal covers energy, transport, earthquake housing reconstruction, education, health, social protection, environment, urban development, water and irrigation, agriculture and livestock, and public financial management sectors.

"While the Covid-19 pandemic has impacted the pace of development works in Nepal, we are encouraged by the government’s efforts to strengthen implementation and deliver results amid the pandemic’s challenges," World Bank country director for Maldives, Nepal, and Sri Lanka Faris Hadad-Zervos. "The pandemic has also provided an opportunity to recalibrate our approach to improve project implementation and capital spending, whereby our projects deliver timely results for the benefit of Nepalis."

The portfolio review was attended by secretaries, joint secretaries, and director generals from related ministries and departments, National Planning Commission (NPC), Financial Comptroller General Office (FCGO), and representatives from the World Bank and project teams.

No new project for next budget : Finance Ministry

 The budget for the next fiscal year 2021-22 is not going have any new project as the Finance Ministry is not going to entertain any projects that are not ready to start, and also to prioritise ongoing projects and programmes.

During a meeting with the secretaries of various ministries today, the Finance Ministry asked them not to include any new project and programmes for the next fiscal year due to lack of resources as the economy is tattered by the coronavirus pandemic, and also to prioritise the ongoing projects and programmes.

Due to resource constraint, the Finance Ministry also sought proposals for budget and programmes for the next fiscal year within the prescribed ceiling to the individual ministries. The National Planning Commission (NPC) has fixed Rs 1550 billion ceiling for the budget for the next fiscal year 2021-22. The secretaries, however, also complained of the tight ceiling, and asked to review the it.

Asking the secretaries of various ministries to present their proposal for the budget for next fiscal year 2021-22 by March 28, chief at the Budget and Programme Division under Finance Ministry Dhaniram Sharma said that the government is under pressure to manage resources. "Thus, present budget proposal not exceeding the ceiling given to the ministries by March 28."

The secretaries are also not very satisfied with procedure of the projects and programmes being incorporated in the fiscal policy. They complained of the adhoc system of including the projects and programmes in the budget, using the veto of ministers, but excluding the programmes and projects that have been prepared according to the format prescribed by the Finance Ministry and Planning Commission.

Due to resource crunch, the Finance Ministry has also asked the ministries to adopt austerity measures and control unnecessary expenditure.

The budget for the next fiscal year will be the last full-fledged budget for the incumbent government as it has already presented three budgets, and the another one will be election year budget. But it is still uncertain, whether the incumbent government will be able to bring the budget for the next fiscal year or new government will due to fast changing political scenario in the country in recent months.

Nepal to graduate in 2026 to developing country

The United Nations Committee for Development Policy (CDP) has recommended for Nepal’s graduation from the Least Developed Country (LDC) category with preparatory period of five years. "This means that the graduation of Nepal would be effective in 2026," according to a press note issued by the Permanent Mission of Nepal in New York. 

The CDP – in its triennial review held from February 22 to 26 – made the recommendation as Nepal had met the criteria for graduation for three consecutive reviews. Out of three indices which the CDP considers while deciding on the question of graduation – GNI per capita, Human Assets Index (HAI), and Economic and Environmental Vulnerability Index (EVI) – Nepal met the thresholds for the latter two, thus being eligible for graduation.

Though Nepal had met the graduation criteria for the first time in 2015, the CDP in its 2018 triennial review recommended to defer the graduation on the request of the government considering the setback on Nepal’s economy by the 2015 earthquake and other disasters in the following years.

Nepal  – seeking a sustainable growth and graduation  – had requested the UN to delay the graduation till 2021. The then vice chair of the National Planning Commission (NPC) Dr Swarnim Wagle recommended the government to delay the graduation as Nepal has long way to go to meet the GNI per capita requirement, which is considered the milestone for a sustainable graduation. The government – led by prime minister Sher Bahadur Deuba  – wrote letter to the UN seeking postponement.

This time too, due to the extraordinary challenges posed by the Covid-19 pandemic and based on the request of the government, the normal preparatory period of three years has been extended to five. In addition to Nepal, Bangladesh and Lao People’s Democratic Republic have also been recommended for graduation by the CDP.

The CDP’s recommendation is an important milestone in Nepal’s development trajectory towards the national ambition of ‘Prosperous Nepal, Happy Nepali’ and the nation’s development aspirations as reflected in the fifteenth Periodic Plan, claims the press note. 

The recommendation needs to be endorsed by the United Nations Economic and Social Council (ECOSOC) which shall then be ‘noted’ by the UN General Assembly later this year. Nepal will continue to have access to all LDC-specific support measures until 2026. The preparatory period of five years is given to provide adequate time for a smooth transition during which Nepal would be enabling itself to offset the loss of support measures exclusive to the LDCs. But a section of Nepal's business fraternity is still reluctant as they think that without improving the capacity and trade logistic cost, the loss of LDC-specific support measures will hit the country's economy. 

"Nepal scored 72.1 in the HAI but the threshold being above 66, and 25.5 in the EVI, the threshold being below 32, whereas Nepal has $1027 Gross National Income, while the threshold is $1230. "The government is planning to announce $1400 as the gross national income on the basis of revised indices," according to National Planning Commission. 

The private sector is however not comfortable with graduation. Though graduation will increase Nepal's reliability and credibility in the international arena for keeping its words, the country will lose the benefits it is getting due to least developed country (LDC).

Nepal currently enjoys duty free and quota free access to the Canada and US markets due to its LDC status. With graduation -- in five years -- Nepali will lose competitiveness in the international market as it has to compete with the goods produced by the great manufacturing giants.

Likewise, Nepal also has to face a gamut of challenges to make the recommendation irreversible during the review. With the current unstable politics and economy, Nepal must chart out a national level strategy to make Nepali produce more competitive. The planning commission, however, claimed that it is charting out the five-year strategy to bring the policy shift. But the government needs to be serious in dcreasing the cost of trade and private sector be serious on market competition. The resource crunch country will find it difficulty to even prepare the budget, as it is going to lose large chunck of aid from development partners apart from dutyfree quotafree market access.  

Nepal should start negotiations with the EU, India, China, Japan and other countries so that the trade will not be hampered. But with the right strategy and planning during these five years, Nepal could mitigate the challenges. According to the National Planning Commission, Nepal also needs to conduct a fresh review of the scheduled graduation plan considering the impact Covid-19 pandemic and must prepare a transition strategy in cooperation with trade and development partners to avoid adverse impacts from the country’s graduation as it risks losing preferential treatment and as the Covid pandemic has had a profound impact on global economy, with new risks of rising trade and export costs impacting external markets, and the need for more concessional aid, including debt relief, to overcome multiple crises.

Nepse posts three historic records, all-time high index, largest turnover and highest number of transaction

 It seems coronavirus crisis has not any negative impact on domestic market as the Nepse index went up by 0.98 per cent or 18.43 points to close at 1,893.24 points – the highest in the history – today. The previous highest close was 1,881.45 on July 27, 2016.

Though the Nepse index scaled as high as 1,926.91 points – during the intraday session today – it settled to close at 1,893.24 points also with the highest turnover of Rs 7.61 billion, which is also the record turn over in the market till date. Likewise, the secondary market witnessed some 17,188,099 shares of 201 listed firms are traded through 70,003 transactions, which is also the highest number of transactions in a single trading day, today the last trading day of the week.

Since the banks and financial institutions are flushed with lonable liquidity, and there is no other investment opportunity in the market due to coronavirus induced slowdown in economy, the investors have been putting their money on share, according to the analysts. “The change in guard in the Finance Ministry has also played the catalyst to push the share market up,” they claimed, as the incumbent finance minister Bishnu Prasad Poudel is considered market friendly, compared to his predecessor Dr Yuba Raj Khatiwada. 

The float index gained 1.45 points and closed at 128.54 while the sensitive index closed at 365.18 points after gaining 2.85 points, according to the Nepse, that is yet dominated by the banks and financial institutions. The banking index gained the most 2.7 per cent helping to push the Nepse up.

Nepal Reinsurance Company (NRIC) has the highest individual scrip turnover of Rs 581.3 million, whereas the shares of Prabhu Bank (PRVU) was the highest trading today. Likewise, four companies that hit the 10 per cent positive circuit today are NMB Laghubitta Bittiya Sanstha (NMBMF), Panchthar Power Company Ltd (PPCL), Himalaya Urja Bikas Company (HURJA), and Ankhukhola Hydropower Company Ltd (AKJCL).

The Salt Trading Corporation (STC) has however lost the most at 6.18 per cent. The trading index lost the most at 5.33 per cent.

The the Nepse index and gross domestic production (GDP) has had the positive correlation in the past years, it seems to have the negative correlation this fiscal year. In the past years, the Nepse has recorded highest when the GDP also posted high in the respective fiscal years. But this fiscal year, the GDP seems to be hovering between 0 to 2 per cent, according to the projections from multilateral development partners including Asian Development Bank (ADB), World Bank (WB) and International Monetary Fund (IMF), and also the Central Bureau of Statistics (CBS), and National Planning Commission (NPC).     

DATES TO REMEMBER
The lowest index level was on June 15, 2011 – 292.00
The highest index was on July 27 2016 – 1,881.45
The lowest Index level on March 3, 2019 – 1,100.58
The highest index is on today, Nov 26 2020 – 1893.25

UNFPA and UK Government handover IT equipment to Central Bureau of Statistics for census

 The United Nations Population Fund (UNFPA) handed over IT equipment today to the Central Bureau of Statistics (CBS), as the later ramps up its preparations for the 12th National Population and Housing Census (NPHC).

The first census to be conducted under the new Constitution and federal structure is going to take place in June 2021.

According to a press note issued by the UNFPA, the IT equipment, which is worth $609,873 (Rs 72 million), has been procured by UNFPA with UKaid funding and comprises of 2,250 tablets with power-banks and accessories, 35 laptops, 47 desktop computers, five mobile work-stations, one server, three high resolution printers and relevant software licenses. “It will enable CBS to produce census data that meets the highest technological standards.”

The need for high-quality and reliable population data has been underscored by the global Covid-19 pandemic, and is also essential to measure Nepal’s progress towards the Sustainable Development Goals (SDGs), with their strong commitment of leaving no one behind. The use of innovative technology in the 2021 NPHC – including tablets in selected census enumeration areas – will ensure that CBS captures detailed data on how many people are living in the country – disaggregated to the lowest administrative level¬– and how they are living – their health and well-being, problems and prospects and socio-economic circumstances, the press note reads, adding that the 2021 NPHC data will be invaluable for policymakers and planners to understand the situation across the country, development needs and where or how to invest in everything from schools to health care to roads.

The government is committed to conduct the 2021 NPHC in line with international standards, and to ensure that the data collected are used to improve the lives and realise the rights of those who are at risk of being left behind.

“We commit to undertake the census to address the data gaps at the lowest administrative level while ensuring that the health and safety precautions of our personnel and the respondents is in compliance with government guidance,” remarked director general of CBS Nebin Lal Shrestha. The CBS is leading census operations under the guidance of the National Census Steering Committee chaired by the National Planning Commission (NPC) vice chair.

The IT equipment will strengthen the CBS’s infrastructure and capacity and complements its efforts to modernise the census operation through amulti-method approach of data collection, the press note reads, adding that UNFPA is supporting Nepal to undertake the12thNPHC, recognising that reliable and timely data is the foundation of sustainable and inclusive development in Nepal. “The census is the cornerstone of the statistical infrastructure, it provides a numerical profile of the country hence is of great value to the public and government alike.”

UNFPA is proud to offer technical and financial support to Nepal to ensure that the census is of high-quality, upholds international standards, and produces data that are widely disseminated and utilised for development gains,” said UNFPA country representative in Nepal Lubna Baqi. “The UK’s support to Nepal always aims to be based on data that is reliable and which includes everyone,” she said, adding that the census is one of the most important chances to capture data so that any number of organisations – from government through to development partners and community organisations – can direct their assistance in the best way. “In turn this will help improve the services provided to women, men, children, poor, the vulnerable and other groups of people.”

“I am pleased that the UK has been able to contribute equipment and technology in this way through our partners at UNFPA and the CBS,” development director at the British Embassy Kathmandu Lisa Honan said.

Census 2021 to include economic and social indicators

 With the slogan ‘My Census, My Participation, National Population Census 2021’, the 12th series of National Population Census – scheduled to be conducted for 15 days, from June 8 to 22 in 2021 – is going to include more economic and social indicators, according to the Central Bureau of Statistics (CBS).

The census will collect more descriptive details as well as additional details than the previous census, it claimed, during a video conference jointly organised by CBS and Society of Economic Journalists Nepal (SEJON). The upcoming census will collect the detailed description of the households such as ownership, its uses and structure,” informed CBS director general Nebin Lal Shrestha. “The description related to land used for agricultural purpose and its area, number of animals and birds, number of households constructed with the grant provided by the government and number of people who have taken vocational training and skilled manpower, among others, will also be included,” he said, adding that access to financial facilities including account and loan in banks and financial institutions is an addition to the questionnaire this time. “Description of facilities used by households such as drinking water, toilet, cooking fuel, electricity, television, phone, and vehicles will also be collected during the census.”

Likewise, the census – conducted every 10 years – will collect the details of property in the name of women, small family businesses, absentees in family due to labour migration and details of their work, profession. “The census will also collect data about working status, institutional area, reasons for not working and job search.”

The data will also be collected at the ward level to verify the statistics collected from the household level, the CBS has planned as it has also prepared a questionnaire of 80 questions for 2021 census. It has projected that there are around seven million households and some 30 million population in the country at the moment.

CBS will be forming eight different coordination committees encompassing different tiers of government from the central to ward level and also technical and thematic committees to reach every populace and make 2021 census successful, Shrestha said, adding that the 2021 census will be the first to be conducted under federal Nepal. “Around 43,000 enumerators and 9,000 supervising staff will be mobilised to collect data.”

According to the CBS, earlier, teachers used to be taken as enumerators but this time people from local levels will be given opportunities to be enumerators. “They will be invited through open advertising,” Shrestha said, adding that the master trainers will be trained from mid-January and they will later train the enumerators. Though, it’s difficult to conduct the census during the coronavirus times, he said, the CBS has already conducted pilot census during the time of Covid19 crisis adopting health safety protocols. “The 2021 census also will be done in the same way.”

Joint Secretary at the National Planning Commission (NPC) Suman Aryal, on the occasion, highlighted the importance of transparency and stakeholder participation during census for the quality of the statistics that are collected.

South Asia’s handling of Covid-19 crisis portends a dire situation for the region’s response to climate change crisis

 South Asia’s handling of Covid-19 crisis reveals a dysfunctional regional cooperation mechanism to deal with the trans-boundary crisis implying a need for a revitalized regional cooperation to deal with the climate crisis, according to the experts in a virtual meeting organised by South Asia Watch on Trade, Economics and Environment (SAWTEE) in association with Biruni Institute, Afghanistan; Centre for Policy Dialogue (CPD), Bangladesh; Research and Information System for Developing Countries (RIS), India; Sustainable Development Policy Institute (SDPI), Pakistan; and Institute of Policy Studies of Sri Lanka (IPS).

They also emphasised that Covid-19 has diverted efforts away from climate action, which, if not corrected, will have devastating consequences for the region that remains highly vulnerable to the detrimental impacts of climate change.

On the occasion, former member of the National Planning Commission (NPC) Dr Prabhu Budhathoki highlighted that the current pandemic has made it crystal clear that the regional cooperation mechanism in South Asia does not function well at the time of crisis and hence our governance mechanism has to change, if we are to wage an effective fight against the climate change.

Likewise, deputy director general at the International Centre for Integrated Mountain Development (ICIMOD) in Kathmandu Dr Eklabya Sharma, delivering the keynote speech, emphasised that South Asia, primarily given the significant presence of mountain regions, is one of the most vulnerable regions when it comes to climate change. “Higher population density and the presence of large number of impoverished populations exacerbate the vulnerabilities in the region,” Dr Sharma said, adding that the dire effects of climate change are already visible in the region in the forms of increased occurrence of floods, glacial lake outbursts, landslides, heat waves, and a general degradation of the ecosystem. He also warned that a sole focus on Covid-19 at the expense of climate issues is the biggest challenge confronting the region.

Citing Pakistan’s experience in dealing with the Covid-19 crisis and lessons learnt through it, chair of SDPI in Islamabad and former deputy executive director at the United Nations Environment Programme (UNEP) Dr Shafqat Kakakhel highlighted four key elements – resilience to deal with disasters; institutional arrangement for domestic, regional, and international coordination; identification of the most vulnerable communities and rapid dispatch of support to them; and effective use of information technology and social media to inform people – that South Asia has to strengthen to deal with climate change. Referring to the past regional mechanisms like South Asia Co-operative Environment Programme (SACEP), Delhi Statement on Cooperation in Environment 2009, and Thimphu Statement on Climate Change, Dr Kakakhel mentioned that SAARC has had many initiatives to foster regional cooperation on climate change issues but poor implementation has rendered them inefficacious.

Research Fellow and head of Environment Economic Policy Research, Institute of Policy Studies of Sri Lanka Dr Athula Senaratne warned that Covid-19 impacts could crowd out the climate finance for several years and hence slow the developments that had gradually been building up in South Asia. He also pointed out that climate action is currently a peripheral issue in the region and until it becomes a mainstream issue we will not see effective collective responses to deal with the climate crisis.

“The current pandemic has highlighted the interconnected nature of global systemic risk and it has exposed significant vulnerabilities, including in food systems,” mentioned research fellow at the Centre for Agroecology, Water and Resilience of Coventry University in UK Dr Lopa Saxena. “To deal with the global crisis engendered by climate change, equitable, sustainable, healthy, and resilient food systems have to be developed, he said, adding that regional cooperation in local food production systems is vital for bringing about that change.

Discussing Bhutan’s successful response in containing the Covid-19 infections and managing socio-economic repercussions, dean of Academic Affairs, College of Natural Resource, Royal University of Bhutan Dr Tulsi Gurung emphasised the importance of leadership and governance in dealing with the crisis. “Addressing climate change would also require leadership that can unite citizens within the country and wage effective collaboration at the regional and global level,” he added.

SAWTEE – in association with other prominent think-tanks in the region – has been hosting a series of webinars from September 22 to October 16 to deliberate on various socio-economic aspects of the Covid-19 pandemic, how they relate to South Asia and what should be the future course of action for South Asian countries.

Private sector demands to allow businesses to operate

 The private sector today requested the government to allow businesses to operate by maintaining the safety measures prescribed by the government against Covid-19.

Representatives of three private sector organisations including Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Confederation of Nepalese Industries (CNI) and Nepal Chamber of Commerce (NCC) – in a meeting with Prime Minister KP Sharma Oli today at his official residence Baluwatar – put forth their serious concern over the prohibitory order, after the five-month long lockdown.

The economy is going to be derailed, if the current prohibitory order is continued, they complained, adding that people are likely to suffer more from fall in their incomes than the threat of Covid-19 as a large number of people have already been laid off due to the present crisis. “People will die from hunger than from the disease as they are going jobless, due to longer closure of industries.”

Urging the government to take 33 per cent of the liability of the employees’ salary, they also asked to provide loans at 50 per cent subsidised interest rate to the small and medium enterprises. The private sector also sought an effective coordination among the three tiers of government in addressing the current situation.  

Responding to the private sector, the premier signaled that the prohibitory order – that is imposed for the third week that ends on Wednesday – will be relaxed.

FNCCI president Bhawani Rana, president in waiting Shekhar Golchha, vice president Chandra Dhakal, CNI president Satish Kumar More, immediate past president Haribhakta Sharma, vice president Bishnu Agrawal, NCC president Rajesh Kazi Shrestha, vice presidents Rajendra Malla and Deepak Malhotra represented the private sector, whereas premire was accompanied by former finance minister Dr Yuba Raj Khatiwada, central bank governor Maha Prasad Adhikari, and National Planning Commission (NPC) vice chair Dr Puspa Raj Kandel. 

Tourism and aviation sector incurs Rs 34 billion loss

The tourism and aviation sector has incurred around Rs 34 billion during the period of lockdown, according to a report.
A committee including representatives from Nepal Tourism Board (NTB) and Civil Aviation Authority of Nepal (CAAN) reported that the industry might have incurred an average of Rs 10 billion loss per month. “The loss is projected to swell by an extra Rs 7 billion as of July 22,” the committee formed by the government to study the loss incurred by the sector due to lockdown following Covid-19 outbreak.
The tourism and aviation sector has been hit hard by the global travel restriction, which has brought the tourism and aviation business to a halt.
The report has been handed over to National Planning Commission (NPC) by the Ministry of Culture, Tourism and Civil Aviation (MoCTCA) today. The government has set up a Rs 50 billion fund – according to the budget for the next fiscal year – for the Covid-19 affected tourism industry and small and medium enterprises (SMEs). The fund will be set up for the sectors to provide loans at five per cent interest rate for both operation of industries and payment of salaries to the workers. The budget for the next fiscal year 2020-21 has allocated Rs 200 million to work on the rehabilitation programme and on the concept of sustainable tourism development.
Nepal Tourism Board (NTB) has also prepared and issued an ‘Operational Guideline with Health Protocol for Tourism Sector’ for the reopening of the tourism industry. They will need to implement workplace safety protocols, which could include providing masks, maintaining social distancing, physical workspace modifications, and screening and tracing protocols, according to the guideline.
Speaking at a press conference today, minister for Culture, Tourism and Civil Aviation Yogesh Bhattarai said that the tourism businesses have to open with enough safety precautions. “We have issued the protocol for the tourism industry to make the businesses safe and reliable,” he said, adding that the protocol for the aviation sector is also ready. “The airlines operators along with airport operators will follow them when the service resumes.”
The government has extended the time for filing the VAT for hotels to four months, he said, adding that the ministry has also recommended a 75 per cent discount on aircraft parking fee and 50 per cent discount on acquiring license and license renewal fee.

NC’s forms ‘economy-focused special committee’

The main opposition party Nepali Congress (NC) today formed an ‘economy-focused special committee’ to study and analyse the impacts of Covid-19 in various sectors, and prescribe the government immediate, medium and long term solutions.
Issuing a press note today, NC informed that party president Sher Bahadur Deuba formed the committee under the coordination of the former finance minister Dr Ram Sharan Mahat. The committee comprises former finance ministers and state ministers and vice chairs in the National Planning Commission (NPC), the press note reads, adding that the committee includes former finance ministers Mahesh Acharya, Gyanendra Bahadur Karki, Dr Narayan Khadka, Dr Minendra Rijal, Chinkaji Shrestha, Deep Kumar Upadhyay, Bharat Shah, and Uday Shumsher Rana. “Likewise, Dr Prithivi Raj Ligal, Dr Shankar Sharma, Dr Jagadish Chandra Pokhrel, Dr Govinda Pokhrel and Dr Swarnim Wagle are also in the special committee.”
“The party will set its immediate vision and position regarding relief packages, short-term vision on the priorities of the upcoming budget and long vision on national economy post-pandemic,” the press note reads.