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OVERALL PROGRESS
Context
With a diverse population of over 29 million, Nepal is experiencing one of the fastest urban growth rates of any South Asian country. However, more than 2.1 million Nepali nationals are living and working abroad. With this number increasing every year, the rural population of the country is in decline. The country struggles with great disparities in human development, being placed at 143 out of 189 countries, per the Human Development Index (HDI).
In 2023, Nepal faced significant climate and disaster challenges. The summer of 2023 was the hottest on record in Nepal. Damkauli in Nawalparasi observed temperatures of 43.8 degrees Celsius, not seen in the last 44 years. Over 5,500 forest fire incidents were reported, making Kathmandu one of the most polluted cities globally due to forest fires and air quality issues. The country was also adversely affected by unseasonal rains. Heavy rainfall in October triggered landslides and floods, killing 100 people and damaging infrastructure in various districts.
The country also remained vulnerable to natural disasters in 2023 with two major earthquakes occurring in western parts of the country, resulting in 155 deaths and affecting over 70,000 households. The monsoon rains further triggered disasters across the country, causing 68 fatalities and adversely impacting 6,000 households and displacing countless residents.
With regard to social inclusion and values, the caste system, although officially abolished in 1962, remains one of the most influential factors in politics, economics, and power. Despite the provision of constitutional and legal rights, factors such as power relations, ethnicity, physical access, and the digital divide are still a barrier to equitable economic development, for women and other socially vulnerable groups, in particular.