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Nepal all set to emerge as a tech hub, entrepreneurs say

London – Nepali officials as well as tech entrepreneurs have said that Nepal is all set to emerge as a tech hub. 

Addressing an event organised by the Embassy of Nepal in London on Tuesday, Nepal’s ambassador to the United Kingdom, Gyan Chandra Acharya, said that as the world was passing through the fourth industrial revolution, time had come for Nepal to leapfrog through technological revolution. 

“We have a young, dynamic population and the country is moving towards socio-economic transformation. Nepal government’s policy is to support the promotion of Information Technology (IT),” said Ambassador Acharya adding, “We are looking for partnership with all – IT experts, private sector and international agencies. We can make Nepal a tech hub if we put our resources together,” he added. Saying that  broadband internet connectivity was over 60 percent in Nepal and there was a huge talent pool in the country, Ambassador Acharya urged the British investors to invest in Nepal including in the IT sector. He said Tuesday’s event was just a beginning and that the Embassy will be organising a big investment event in September 2023.

Joint Secretary at the Ministry of Communication and Information Technology, Anil Kumar Dutta, said that the government of Nepal was promoting the use of ICT (Information and Communication Technology) in almost all sectors of governance. Mr Dutta said that Nepal adopted the Digital Nepal Framework in 2019 and was implementing it now with a view to provide transparent and efficient services to the general public. “The government welcomes investment in the IT sector and we have so many prospects in this area,” he added. He also informed that the government was ready to reform existing laws and regulators so as to facilitate foreign direct investment in the IT sector. 

‘Promoting Nepal as an emerging tech hub’

Making a presentation on the theme ‘Promoting Nepalas an emerging tech hub,’ Anjani Phuyal, founder and Global CTO of Genese Solution– a multinational digital transformation company,’ said that besides hydropower and tourism, Nepal now is being seen as a country with vast IT potential. 

“Nepali IT professionals are now working in major IT companies in the US, Europe and other countries and Nepali IT companies based in Nepal are providing  their services to global businesses,” said Phuyal adding, “Nepal is now producing almost 70,000 graduates every year in STEM (Science, Technology, Engineering and Mathematics) subjects.”

In 2019, CDC Group, the UK’s development finance institution, invested approximately US$12 million in WorldLink, the largest private sector internet service provider in Nepal.  In addition to this, the ISP also secured a combined Series B investment of  $15 million – $8.2 million from British International Investment and $6.2 million from Dolma Impact Fund. In 2022, the World Bank provided a concessional loan of  US$140 million (equivalent to NRs. 17.79 billion) to the government of Nepal to implement the Digital Nepal Acceleration (DNA) Project. The project will mobilise private capital to increase access to broadband services in rural areas and will also support and secure the delivery of digital government services through improvements in Nepal’s public data infrastructure and cybersecurity capabilities, among others.

“These are but a few examples and illustrate the potential of the IT sector in Nepal,” said Phuyal adding, “Nepal has a distinct advantage in terms of global competitiveness due to the establishment of AWS, Microsoft, and Google academies. These academies have made it possible for individuals to attain internationally recognized certifications and develop expertise in these technology platforms. This, in turn, can help Nepal produce a pool of skilled resources that can compete at a global level. Nepal now has progressive legal and infrastructure framework, offers a skilled workforce and there is an advantage of time zones also.”

Mr Phuyal said that the government of Nepal should emulate policies of the UK, India, Israel and Singapore governments, for example, to develop the country as an IT tech hub. He also called upon the government of Nepal to adopt the Cloud First policy, reduce minimum FDI threshold, promote ICT education in collaboration with AWS & Microsoft Academy and introduce policies like e-residency. “Global investors can begin to create a connected Nepali workforce,” he said.

Taking part in the panel discussion, Chief Executive Officer of Dolma Impact Fund, Tim Gocher said that the companies they’ve invested in now combinedly employ around 10,000 people. “Infrastructure is already there and many talents are there. The cost of doing business is much lower in Nepal compared to other countries in the region.”

Mr Tim Gocher said that besides hydropower and health sector, his company was now investing in Nepali  IT companies including CloudFactory and Fusemachines Inc. 

“The process to get money into Nepal is quite tedious and it can take up to a year. The delay on part of the government can change the mind of the investors. Delays are destroying. Nepal should learn from India where the FDI regime has been turned automatic,” said Gocher adding, “Remote working potential is very good in Nepal as  there are a lot of highly skilled personnel in Artificial Intelligence (AI), BigData, and cloud computing. Tech can create employment in a big way.  Tech sector is highly beneficial for Nepal in terms of employment, income taxes and corporate taxes. Nepali companies should also be allowed to have a foreign subsidiary.”

Chairman and CEO of MBI MBO Ltd, Bryan Duffy, said that technology could transform either business or consumer products. “Nepal should provide great innovator service, great value, and less bureaucracy. Businesses need to be agile because we are living in a changing world,” said Duffy adding, “It’s all about people and culture. You should create a culture that can inspire generations. Innovation is about looking at problems and trying to resolve them through a different perspective.”

Mr Bryan Duffy said that Nepali tech has a great future. “Nepalese are intelligent, hard working and creative. The government should also focus on Research and Development.”

Richard Slater, a UK-based consultant, said that the level of cyber security is still weak in Nepal. “Nepal is highly susceptible to cyber attacks, especially the banking sector. It could be a huge opportunity forinvestors to try to address that,” he added.

During the panel discussion moderated by Anjani Phuyal, panellists Tim Gocher and Bryan Duffy responded to queries from participants. Deputy Chief of Mission at the Nepali embassy in London, Mrs Roshan Khanal, delivered the vote of thanks while Rambabu Nepal, Second Secretary at the embassy hosted the event. 

The event, organised in collaboration with Genese Solution Ltd, was followed by a networking reception.

Nepal-China bilateral security meeting stresses reopening Tatopani transit point

SINDHUPALCHOWK :  A bilateral meeting of security officers from Nepal and China was held on Monday. The meeting focused on various issues of mutual concerns such as the reopening of the Tatopani transit point along the Nepal-China border in the district, border management, control of cross-border crimes and other contemporary issues. 

According to the information officer of the District Police Office Sindhupalchowk, Deputy Superintendent of Police Ram Kumar Yadav, the meeting discussed the possibility of  regularizing the Tatopani transit point from coming May 1 and measures and strategies for strengthening border security and combating the risk of the COVID-19 infection due to cross-border movement. 

The meeting stressed the need for taking measures against COVID-19, and promoting a mutual communication system for the updates of the virus, further strengthening border security mechanisms and combating crime, making arrangements for increasing the number of checkpoints, ensuring a swift bilateral communications system for security purposes, and promoting bilateral collaboration and cooperation, it is said. 

The District Administration Office, the Office of Immigration, security bodies and customs chiefs were among those attending the meeting on behalf of the Nepali side.

RSS

Missing Indian climber on Mt. Annapurna found alive on Mt. Annapurna

Kathmandu — Baljeet Kaur, a 27-year-old Indian climber who successfully climbed Mt Annapurna, the world’s 10th-highest peak without supplemental oxygen, was found alive on Tuesday after being reported missing. She was descending from the summit when she went missing. Aerial search teams located her above Camp IV and preparations are being made for a long-line rescue to airlift her from above the high camp. Kaur was seen descending alone towards Camp IV and remained out of radio contact until the morning (18) when she was found. Kaur had become the first Indian climber to scale four 8,000-metre peaks in a single season last year in May.

However, Anurag Malu, a resident of Kishangarh in Rajasthan, fell into a crevasse and died while descending from Camp IV on Mt Annapurna on Monday (17). In addition, Noel Hanna, the first Irish person to reach the summit of K2 during the winter season, died at Camp IV on Monday night (17). Efforts are underway to bring their bodies back to base camp.

Mt. Annapurna is known for its difficulty and danger in ascent and is the tenth-highest mountain in the world, standing at 8,091 meters above sea level.

The Asian Development Bank and the GEAPP announced a capital fund to accelerate clean energy

The primary focus of the fund will be to support the adoption of clean energy technologies in low- and middle-income countries, with a particular focus on battery energy storage systems in Vietnam and the early retirement of coal-fired power plant initiatives in Indonesia. Technical assistance, grant components for investment projects, and blended concessional instruments will be used to encourage additional capital.

GEAPP’s chief executive officer, Simon Harford, stressed the importance of increasing clean energy access in low- and middle-income countries. In 2021, just 8% of financing for energy transition technologies went to LMICs, the lowest share in a decade. The partnership between GEAPP and ADB aims to mobilize new and additional capital at a ratio of at least 15x at portfolio level to encourage the use of clean energy in the region, underpinned by practical innovation, scalable solutions, and knowledge sharing.

The new fund is part of GEAPP’s 2023 priority to increase accessibility to clean energy technologies across LMICs. It is hoped that the partnership will contribute to international climate finance ambitions and build on ADB’s track record of supporting universal access to reliable and affordable energy while promoting the low-carbon transition in the region.

The Asian Development Bank (ADB) and the Global Energy Alliance for People and Planet (GEAPP) have announced a new capital fund that aims to accelerate clean energy access and transitions in South and Southeast Asia. The partnership will provide an initial US$35m of catalytic capital towards the fund, which will be established and administered by ADB. The fund will focus on countries including India, Indonesia, Vietnam, Pakistan, and Bangladesh.

The primary focus of the fund will be to support the adoption of clean energy technologies in low- and middle-income countries, with a particular focus on battery energy storage systems in Vietnam and the early retirement of coal-fired power plant initiatives in Indonesia. Technical assistance, grant components for investment projects, and blended concessional instruments will be used to encourage additional capital.

GEAPP’s chief executive officer, Simon Harford, stressed the importance of increasing clean energy access in low- and middle-income countries. In 2021, just 8% of financing for energy transition technologies went to LMICs, the lowest share in a decade. The partnership between GEAPP and ADB aims to mobilize new and additional capital at a ratio of at least 15x at portfolio level to encourage the use of clean energy in the region, underpinned by practical innovation, scalable solutions, and knowledge sharing.

The new fund is part of GEAPP’s 2023 priority to increase accessibility to clean energy technologies across LMICs. It is hoped that the partnership will contribute to international climate finance ambitions and build on ADB’s track record of supporting universal access to reliable and affordable energy while promoting the low-carbon transition in the region.

Apple opens first retail store in India

NEW DELHI — Apple Inc on Tuesday opened a store in India’s financial capital Mumbai, the first retail store in India.

Apple Chief Executive Officer Tim Cook came to India to mark the formal launch of the company’s first retail store in the South Asian country.

“The energy, creativity and passion in Mumbai is incredible! We are so excited to open Apple BKC, our first store in India,” Cook wrote on his social media platform, besides posting a photo of himself and excited staff at the new Apple store.

Videos captured on the occasion showed Cook interacting with some of customers while waving to others as employees cheered and clapped in excitement.

The store, called Apple BKC, is located in Mumbai’s bustling Bandra Kurla Complex.

A crowd, mostly fans of Apple, from across Mumbai and other parts had gathered outside the store a day in advance, hoping to be among the first to enter the store.

An Apple fan carrying a vintage Apple computer that he had bought in the 1980s was seen interacting with Cook.

“I brought this just to show Apple’s journey. I bought this in 1984, and since then, I have been using Apple products,” the fan told media.

“Apple BKC is a reflection of Mumbai’s vibrant culture and brings together the best of Apple in a beautiful, welcoming space for connection and community,” said Deirdre O’Brien, Apple’s senior vice president of retail.

So far Apple products were available online in India and through resellers.

A second Apple store in India is set to open in the capital New Delhi on Thursday. (Xinhua)

Qatari princess successfully climbed 8,091-meter high Mt Annapurna

Kathmandu —- Qatari princess Sheikha Asma Al Thani has successfully climbed the 8,091-meter high Annapurna Mountain located in Annapurna Rural Municipality-4 Narchang, Myagdi, according to Mingma David Sherpa, the Director of Elite Expedition. The princess climbed the mountain along with famous mountaineer Nirmal Purja, reaching the peak at 4 pm on Saturday. She completed all the necessary training for the climb after coming to Annapurna-3 Dana, the birthplace of Nirmal Purja, a month ago. Princess Al Thani holds a world record in the field of mountain climbing and has climbed seven out of 14 peaks above 8000 meters, including K-To’ Lhotse, Mount Everest, Kanchenjunga, and Manaslu. She aims to complete all 14,000-meter-high peaks and is participating in mountaineering with this goal in mind. Annapurna is the tenth highest mountain in the world, and Maurice Hergoz from France was the first to climb it in 1950.

Nepali tea received a “gold medal” in China

Kathmandu —- Nepali tea has recently received a “gold medal” in China, which has boosted demand for Nepali tea from foreign countries. The Nepali tea industry is seeing an increase in foreign traders as the demand for Nepali tea is rising again after a slowdown caused by the COVID-19 pandemic.
After a quality test of “Black Tea” by the Tea Marketing Association of China, the “Pearl Golden Tea” prepared by Tinjure Cooperative of Ilam secured first place. Sharad Subba, owner of Jasbire Tea Processing Industry in Ilam, said that demand for Nepali tea has increased and local production cannot meet the demand.
Uday Chapagain, owner of Gorkha Tea Estate, emphasized the need to focus on quality rather than quantity and highlighted the potential for Nepali tea to significantly contribute to the economy. The National Tea and Coffee Development Board is exploring trade agreements with China and other markets for Nepali tea.

Federalisation has positive effects on Nepal’s health system but improvements still needed – Study

London — A team of researchers from the UK and Nepal met with MPs to present their findings on how federalisation has impacted Nepal’s healthcare system. The study, funded by the Health System Research Initiative, identified both positive and negative developments in the country’s decentralised health system. Positive aspects included improvements in the availability of resources for health, the construction of new health posts and hospitals, and better availability of essential medicines in many places. Areas that need improvement include communication between different levels of government, several health workforce-related issues, oversight and coordination of buying of medicines, and financial issues. The researchers worked in three provinces, interviewed 243 stakeholders at all three levels of government, and conducted 31 Participatory Policy Analysis workshops at local and province levels. The interdisciplinary study began in April 2020 and will last till January 2024.

South Asia Faces Weakening Growth Amidst Tightening Financial Conditions- World Bank

Washington — South Asia’s growth prospects have weakened due to tightening financial conditions, according to the World Bank’s twice-a-year regional update released on April 4th, 2023. The report highlights that most countries in the region face significant downside risks given limited fiscal space and depleting reserves. The report stresses the need to roll back market distortions introduced during the pandemic and address debilitating socioeconomic divides that constrain South Asia’s potential.

The latest South Asia Economic Focus, Expanding Opportunities: Toward Inclusive Growth, projects regional growth to average 5.6 percent in 2023, a slight downward revision from the October 2022 forecast. Growth is expected to remain moderate at 5.9 percent in 2024, following an initial post-pandemic recovery of 8.2 percent in 2021.

While lower commodity prices, a strong recovery in the services sector, and reduced disruptions in value chains are aiding South Asia’s recovery, rising interest rates and uncertainty in financial markets are putting downward pressure on the region’s economies.

The report highlights that all countries in the region except Bhutan have downgraded their forecasts. India, South Asia’s largest economy, is expected to experience high borrowing costs and slower income growth, dampening consumption and lowering growth to 6.3 percent in FY2023/24. Growth in Pakistan is projected to drop to 0.4 percent this year, assuming agreement on an IMF program is reached. In Sri Lanka, GDP is expected to contract by 4.3 percent this year, reflecting the lasting impact of the macro-debt crisis.

The report recommends continuing to improve the quality of primary education and expanding access to secondary and higher education, evaluating and strengthening affirmative action policies targeted to “low opportunity” groups, and policies to improve the business climate for small and medium enterprises, who account for the bulk of job opportunities for the less well-off.

Mayor announces details of London’s spectacular Vaisakhi celebrations

The Mayor of London, Sadiq Khan, has announced that the capital’s Vaisakhi celebrations will take place in Trafalgar Square on Saturday 22nd April.

Vaisakhi is the biggest festival in the Sikh calendar and celebrates Sikh and Punjabi tradition, heritage, culture and the birth of the Khalsa (modern day Sikhism).

From noon – 6pm, visitors can enjoy a feast of Sikh and Punjabi tradition and culture, co-hosted by DJ and presenter Tommy Sandhu and comedian and playwright Sukh Ojla.

From music, art performances and turban tying demonstrations to traditional food, kids activities and educational talks, there will be something for everyone.

The fantastic programme of entertainment includes performances from Manika Kaur, the leading contemporary performer of Sikh Kirtan music, Amrit Kaur, named a BBC Asian Network Future Sounds 2020 Artist, and Dal Singh known as The ‘TablaJedi’. 

Baba Fateh Singh Gatka Akhara will perform a Sikh martial art named Gatka, an intense artform and a spectacle to watch. The performers will be accompanied by the Dhol Academy, one of the longest-running Dhol establishments in the UK, who will provide the soundtrack to the demonstrations, utilising different rhythms to enhance the atmosphere and build up the intensity.

Visitors can enjoy an array of free light bites and traditional Indian tea over the course of the afternoon. The giving of free food promotes the concept of Langar with free meals served to all, regardless of religion, ethnicity, or economic status. Gurdwaras from all around London are contributing Langar to the day with London’s Sikh homeless charity, SEVA, distributing the free food.

Renowned head chef Manpreet Singh will also be on hand for cooking demonstrations of Sikh dishes traditionally offered, along with nutritional talks from Juggy Sidhu.

The UK’s first ever Sikh Games will take place in August and visitors will have the opportunity to meet the team and participate in some fun sporting activities of Gatka, boxing, and powerlifting.

There will also be a Sikh art exhibition, turban tying by Chardikala Turban Academy, educational talks on ‘What is Vaiskahi’ by Basics of Sikhi, as well as a children’s marquee with free fun activities for families organised by Sikh Colouring. 

The Mayor of London, Sadiq Khan, said: “I am delighted to once again welcome back Londoners and visitors to Trafalgar Square for our Vaisakhi celebrations – a time for celebration and reflection of the founding of the Sikh faith. Diversity is London’s greatest strength and this festival is a wonderful opportunity to showcase the richness of Sikh and Punjabi culture in the centre of our capital, as we continue to build a better London for everyone.”

Staffordshire theatre invites local people with South Asian heritage to share family stories

Staffordshire Theatre Invites South Asian Community to Share Their Migration Stories for New Plays

The New Vic Theatre in Staffordshire, England, is calling on the local South Asian community to share their family stories of migration for a chance to have them transformed into new plays. The project titled “Punjab to the Potteries” aims to capture the experiences of those who migrated from the Punjab region in India and Pakistan to the Stoke-on-Trent area. The New Vic Theatre and local arts company, Appetite, have commissioned two scriptwriters, playwright Shahid Iqbal Khan and writer and director Sarah Bedi, to write the plays.

The inspiration for the project came from Val Bansal, a local man who shared his family’s migration story. Bansal’s father, Baldev, was one of the first Sikh families to arrive in Stoke-on-Trent as a teenager in 1964, and his grandfather, Rattan, had moved from India to Kenya before settling in England. Members of the public are invited to an open storytelling event in Newcastle-under-Lyme on 28 April, where they can share their experiences and stories, BBC reported.

Gemma Thomas, director at Appetite, said that the project aims to capture and celebrate people’s experiences of migrating to the Potteries, or being born and raised in a South Asian family. She added that the stories and memories of those who took similar journeys will be captured for future generations.

UK halts the deportation of Nepalese security guard who worked at British Embassy in Kabul

London — The UK government has postponed the deportation of Nepalese and Indian security guards who were employed by the British mission in Kabul and airlifted to the UK following the Taliban takeover of Afghanistan in 2021, BBC reports.

The Gurkhas, who have been living in the UK since their evacuation, were facing removal to Nepal and India after their immigration status was reviewed. However, after public attention and a possible threat of legal action, the Home Office announced that the transfer has been stopped pending further review.

The Gurkhas had been employed as security guards at the high-security compound in Kabul that contained the Canadian and British embassies. Following a search of their hotel in west London, where they had been living and working in the restaurant, serving food to Afghan refugees, ten of them were arrested and were due to be deported. However, their removal has been postponed, much to the delight of Jamie Bell of Duncan Lewis Solicitors, who represents some of the group.

Bell raised concerns over the timing of the decision and asked why the review and consideration could not have taken place before public attention and legal action were threatened. He also voiced new concerns over the plan put in place after the Taliban takeover of Afghanistan. The Home Office, meanwhile, stated that the removal of the group has been paused, pending further review.

Swansea Bay University Health Board plans to recruit nearly 900 nurses from overseas

London — Swansea Bay University Health Board plans to recruit nearly 900 nurses from overseas in the next four years to address workforce shortages and staff new operating theatres. The health board is set to employ 350 overseas nurses in 2022-23, after meeting a target of 130 the previous year and partially meeting a target of 60 the year before that.

Another 350 nurses are planned to be recruited this financial year, subject to approval by the chief executive. Many of the recruits are from Kerala, in south-west India. The recruitment has raised questions about whether enough is being done to train homegrown nurses and whether health services in places like Kerala could suffer due to the nursing exodus.

Efforts are being made to train and retain more homegrown staff in Wales, but health-related courses are said to be under-subscribed by 27%.

World Bank Reports Weakening Growth Prospects in South Asia

WASHINGTON, April 4, 2023—According to the World Bank’s latest twice-a-year regional update, South Asia’s growth prospects have been weakened due to tightening financial conditions, with most countries facing significant downside risks. Limited fiscal space and depleting reserves have been identified as contributing factors. The report emphasizes the need to address debilitating socioeconomic divides and roll back market distortions introduced during the pandemic to unleash South Asia’s potential.

The report, titled “Expanding Opportunities: Toward Inclusive Growth,” projects a slight downward revision in regional growth, which is expected to average 5.6 percent in 2023. Growth is expected to remain moderate at 5.9 percent in 2024, following an initial post-pandemic recovery of 8.2 percent in 2021. The good news is that lower commodity prices, a strong recovery in the services sector, and reduced disruptions in value chains are aiding South Asia’s recovery. However, rising interest rates and uncertainty in financial markets are putting downward pressure on the region’s economies.

According to Martin Raiser, World Bank Vice President for South Asia, “South Asia’s economies have been scarred by a combination of extreme shocks over the past three years, and the recovery remains incomplete.” The report suggests that countries use the opportunity of lower energy prices and improving trade balances to move away from ad hoc measures, such as fuel subsidies and import restrictions, and focus on reforms needed to build resilience and boost medium-term growth.

All countries in the region, except Bhutan, have downgraded their forecasts. In India, high borrowing costs and slower income growth are expected to dampen consumption and lower growth to 6.3 percent in FY2023/24. Growth in Pakistan is projected to drop to 0.4 percent this year, assuming agreement on an IMF program is reached. In Sri Lanka, GDP is expected to contract by 4.3 percent this year, with future growth prospects heavily dependent on debt restructuring and structural reforms. The resumption of tourism and migration has supported growth in Maldives and Nepal, but high external debt and tightened global financial conditions pose risks to Maldives’ fiscal and external accounts, and in Nepal, external shocks, domestic import restrictions, and monetary tightening are expected to hamper growth.

The report also highlights that South Asia has among the world’s highest inequality of opportunity, with between 40 and 60 percent of total inequality in the region driven by circumstances out of an individual’s control such as place of birth, family background, caste, ethnicity, and gender. To ensure economic development is inclusive, the report recommends continuing to improve the quality of primary education and expanding access to secondary and higher education, strengthening affirmative action policies targeted to “low opportunity” groups, and improving the business climate for small and medium enterprises. In addition, reducing barriers to labor mobility can have a powerful equalizing impact as urban areas tend to offer more opportunities for social mobility.

Hans Timmer, World Bank Chief Economist for South Asia, notes that “South Asia’s stark socioeconomic divides are both unfair and inefficient. They keep talented individuals from contributing to society, reduce incentives to invest in human capital, and derail long-term economic growth. Addressing these structural issues is vital to ensuring the region can achieve its full potential.”

Imperial launches call for next generation of women scientists from South Asia

Imperial College London has launched a new programme in partnership with the British Council to support the next generation of leading women scientists from South Asia. The programme offers fully funded Early Academic Fellowships to women from Bangladesh, India, Nepal, Pakistan, and Sri Lanka to spend up to a year in London at one of the world’s top universities.

The programme aims to address the under-representation of women in STEM and provide a springboard for scholars to launch research careers. The Fellowships will support candidates to contribute to science and innovation for sustainable development in their home countries, helping the successful applicants to become ambassadors to inspire future generations of women to pursue a career in STEM.

The visiting research placements are for six to 12 months and will start in the 2023/24 academic year. Successful candidates will receive a monthly stipend, and support from the College with other expenses such as travel and research costs.

World Bank projects 4.1 percent growth rate in 2023

Nepal’s economic growth rate is projected to remain at 4.1% in 2023, according to the latest Nepal Development Update released by the World Bank. The report, entitled ‘Fine-tuning Policy in a Turbulent Environment’, also suggests that the country’s economic growth rate is likely to reach 4.9% in 2024, thanks to a boost in tourism, remittance, and easing monetary policy.

Finance Secretary Toyam Raya and World Bank Country Director Farid Haddad Zarvos jointly released the report in Kathmandu. Raya announced that revenue collection, which had previously been dropping, was now on the rise, and expressed hope that the tourism, agriculture, remittance, and hydropower sectors would contribute significantly to the country’s economy in 2023.

Despite the positive projections, the report notes that inflation in South Asia is set to reach 8.9% in 2023 before dropping to 7% in 2024. The report also emphasizes the need for policy departure to tackle present problems of price hike, low capital spending, and governance irregularities.

Barsha Shrestha, Business Head at ICRA Nepal, called for radical changes in present policy for the sake of long-term economic interests, while Chief of Department of Economics at Tribhuvan University, Prof Dr Shivaraj Adhikari, emphasized the importance of policy departure to tackle the present economic challenges. The report also raises the question of whether Nepal will consider taking assistance from the IMF, as other South Asian countries have done, to help alleviate the impact of the economic downturn.