Nepal and ADB
In the Spotlight
The catastrophic 7.8 magnitude earthquake that struck Nepal on 25 April added a new challenge to the country’s short-to-medium term economic and development prospects.
For the children of rural Nepal, the prospect of studying in an earthquake resilient school is the dream of a new beginning after the 25 April 2015 earthquake that devastated the country.
Nepal's fiscal year 2016 gross domestic product growth is expected to be 4.5-5.5%, according to the Nepal Macroeconomic Update. The April 25 earthquake and subsequent aftershocks slowed down economic activities, weakened public spending and increased remittance inflows, which contributed to large current account and balance of payment surpluses.
ADB supports Nepal's objectives of accelerating inclusive economic growth and development. Over the years, it has provided assistance in such sectors as agriculture, transport and ICT, energy, water and sanitation, urban development, education, finance, and governance.
Despite recent conflict and complex political transition, Nepal has made economic and social progress. Literacy rates are up, while poverty rates are sharply down. Gender equality and social inclusion are gaining momentum. Road access to isolated rural communities has improved, with trade and transport networks expanding.
While Nepal will likely meet a majority of the Millennium Development Goals by 2015, accelerating growth and reducing disparities remain challenging. Investment in infrastructure, particularly in the energy sector, is critical to improving quality of life and stimulating private investment.
ADB's country partnership strategy for 2013-2017 supports the government's development objective of accelerated and inclusive economic growth. It seeks to address the infrastructure bottlenecks in the areas of energy, air and road transport, water supply and sanitation, and irrigation, creating an enabling environment for increased business and employment opportunities.
View the ADB and Nepal fact sheet.
- Macroeconomic Update: Nepal
Produced by ADB's Nepal Resident Mission, Macroeconomic Update is published twice a year to review and analyze real, fiscal, monetary, and external sectors