<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221109141136/636bada79c7e80680e077fa8jpeg.jpg" alt="" width="1500" height="1000"/><figcaption>A glimpse of enough Is Enough campaign in Kathmandu. Photo: MONIKA DEUPALA</figcaption></figure>Civil society around the world faces serious restrictions on its freedom to express and engage in activism to defend human rights following the COVID-19 pandemic, a report by Forus International and the Asia Development Alliance (ADA) has concluded.Titled ‘Realising the Potential of Goal 16 of the 2030 Agenda’ was published last week with 18 civic space cases studies from countries, including Nepal. It highlights how the pandemic has exacerbated and deepened existing problems faced by civil society organisations (CSOs) by constricting their work environment.“Civic space was already under pressure before the pandemic,” said Sarah Strack of Forus. “A vibrant and independent civil society is vital to fulfil its role in the implementation of SDGs. Progress will be correlated to the extent to which meaningful civic space will be secured at local, national, regional and international levels.”The report says the SDGs (the UN’s Sustainable Development Goals for 2030) will be severely affected by state responses to the coronavirus crisis, and the pressure on non-governmental actors.A key trend in almost all of the case studies included in the report is unwarranted state restriction on civic space -- on the freedom of expression, assembly and association of civil society in many countries around the world.Says Philip Alston, former UN Special Rapporteur on Extreme Poverty and Human Rights: “The responses to COVID-19 in many countries has only made the situation worse as governments have opportunistically used the pandemic as a justification to further clamp down on civil society.”<a style="font-size: 15px; letter-spacing: 0.01em;" href="https://www.nepalitimes.com/editorial/media-muzzle/" target="_blank" rel="noopener noreferrer">Targeting free speech can take various forms</a>. In Cambodia, several journalists have been arrested or threatened because of their reporting on the COVID-19 pandemic. A blogger on the Pacific island of Samoa was jailed for seven weeks for allegedly defaming the Prime Minister. CSOs and <a href="https://www.nepalitimes.com/editorial/lockdown-crackdown/" target="_blank" rel="noopener noreferrer">independent media groups have been ‘muted'</a> in many countries from Nepal to Colombia.The International Federation of Journalists (IFJ) in its 18th annual report released earlier this year on the World Press Freedom day also said that the <a href="https://www.nepalitimes.com/latest/south-asia-tightening-press-controls-amidst-covid-19/" target="_blank" rel="noopener noreferrer">pandemic has worsened the lack of safety for journalists in South Asia</a> as controls on media freedom were tightened across the region.The Internet and social media has been especially targeted by authorities to curtail dissent, but civil society organisations around the world have used virtual spaces to become more vocal and exchange information to efficiently defend offline space. One example of this is <a href="https://www.nepalitimes.com/latest/social-movement-through-social-media/" target="_blank" rel="noopener noreferrer">Nepal’s Enough Is Enough campaign that first started on social media</a>.Thousands of youth took to streets demanding better response to the pandemic with some of them participating in a hunger strike that lasted 12 days before <a href="https://www.nepalitimes.com/latest/12-point-deal-after-12-days-of-hunger-strike/" target="_blank" rel="noopener noreferrer">an agreement was reached earlier this month</a>  However, some activists resumed their hunger strike in Kathmandu on Sunday.A global campaign involving Forus International and concerned stakeholders will call for new civic space indicators to be developed that will measure the efforts of UN Member States to protect fundamental freedoms in accordance with international human rights standards and national human rights laws.Nepal’s treatment of civil society and their advocacy will be crucial as the country <a href="https://www.nepalitimes.com/latest/will-nepal-get-2nd-term-at-unhrc/" target="_blank" rel="noopener noreferrer">prepares for a second term</a> at the UN Human Rights Council (UNHRC) amidst poor record on transitional justice at home.For the social recovery from the COVID-19 crisis to be sustainable and resilient, a return to business as usual must be avoided, stated the report. It further explains that the building back better narrative and plans must be comprehensive, covering all policy areas and creating more space for civil society in the development, implementation and monitoring.Says Forus International: “We believe progressive governments, international and regional institutions, philanthropic organisations and civil society now need to take bold steps to counter the shrinking of civic space and to develop global partnerships to tackle the issue.”

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COVID-19 shrinks civic space

<figure><img width="1500" height="996" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/2022110815110/636a60fa9c7e80680e056ea9jpeg.jpg" alt=""/><figcaption>Photos: SEWA BHATTARAI</figcaption></figure>Children sit in a circle experimenting with different colours on palettes at a shelter in Godavari one morning this week. Some design flowers in bright colours, others draw homes nestled below mountains.Many of the children are survivors of rape or domestic violence, from rural parts of Nepal. The one thing they have in common is mental trauma.For Colombian painter Dairo Vargas (pictured with students of Kitini College) who is coaching these and other Nepali children, the situation is very familiar to that of his own country. Vargas himself suffered depression as a teenager, and believes art can be a great healer in a country wracked by war.“When I was depressed, I could not focus on anything. But when I start painting, I am able to concentrate on what I am creating. That gives me a sense of calm, and slowly helped me overcome depression,” says Vargas, who now helps others like him around the world.Read also: <a href="https://www.nepalitimes.com/review/365-is-not-just-a-number/" target="_blank" rel="noopener">365 is not just a number</a>, Sewa BhattaraiNepal and Colombia share the common <a href="https://www.nepalitimes.com/here-now/its-all-in-the-mind/" target="_blank" rel="noopener">burden of war trauma</a> — people in both countries today struggle with the violence of their past, and seek closure. Nepal signed a peace accord with the Maoists in 2006, and Colombia made peace with the FARC rebel group 10 years later, ending a conflict that killed over 220,000 people and displaced 7 million.While many victims and their families have received compensation for physical wounds or loss in Nepal, mental trauma has been largely ignored. Likewise, various studies indicate that up to 40% of the population in Colombia suffer from mental illness at some point, and lifetime prevalence may be up to 20%. There too, the Ministry of Health has recognised that the issue is under-reported and inadequately addressed.Vargas works with former FARC guerrillas and others in Colombia who suffer post-traumatic stress, but finds it hard.“Of course the guerrillas have many mental health issues, but they are not happy to do anything about it at the moment. Also, they have made so many enemies in society that reintegrating them is very difficult,” he says.Read also: <a href="https://archive.nepalitimes.com/article/nation/stigma-and-silence-mental-health-nepal,3486" target="_blank" rel="noopener">Stigma and Silence</a>, Ketan Dulal <img width="750" height="563" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/2022110815110/636a60fd9c7e80680e056eaajpeg.jpg" alt="">Vargas is attempting to bring his own experience in Colombia to fill this gap in Nepal. His mission is to spread awareness about mental illness, and make painting more accessible to traumatised people through his movement #TheArtListens. He is using the technique with children at a shelter for rescued children in Godavari, where they paint, sketch and draw.As in Colombia, mental health is <a href="https://archive.nepalitimes.com/article/nation/stigma-and-silence-mental-health-nepal,3486" target="_blank" rel="noopener">still a stigma in Nepal</a>, especially for families of the disappeared, children who witnessed violence and victims of war rape.These survivors rarely seek help, even though a 2012 study showed 80% of conflict-affected people suffer anxiety and depression, 50% have <a href="http://archive.nepalitimes.com/article/nation/psychological-scars-of-maoist-conflict-on-young-survivors-take-longer-to-heal,1519" target="_blank" rel="noopener">PTSD (post-traumatic stress disorder</a>), and former child soldiers are far more likely (45-50%) to suffer from these symptoms than children never conscripted (20-37%). Social reintegration continues to be a challenge, and many former combatants and relatives suffer stigma.Suraj Koirala of TPO (Transcultural Psychosocial Organisation) has surveyed and counselled many <a href="http://archive.nepalitimes.com/news.php?id=16930#.Xa_KL-Yza70" target="_blank" rel="noopener">conflict-affected Nepalis</a>, and says the most common problems are depression, anxiety and PTSD.“Children and women have suffered the most, and it is prolonged for victims of sexual abuse and family members of the disappeared,” says Koirala.Read also: <a href="https://archive.nepalitimes.com/article/nation/Neglect-of-the-neglected,3157" target="_blank" rel="noopener">Neglect of the neglected</a>, Bibhav Acharya And Soniya HirachanOne of them is Bhagiram Chaudhary of the Conflict Victims’ Common Platform, whose brother and sister-in-law were disappeared during the conflict but who has never sought counselling or therapy.“If I see anyone who looks like my brother, I still take a second look, wondering if it is him,” he says. “We are unable to perform his last rites, because we don’t know if he is still out there. Not having closure means that we are still undecided about how to take our life forward.”Gita Rasaili of the Conflict Victims’ National Network was 13 when she saw soldiers taking away her sister. Her family later found the decomposed remains of her body. After that, Rasaili’s mother used to faint often and was unable to perform household chores. After years of therapy, she did get better.“There are many war victims like me who suffer from mental health crises, but we do not recognise it and never seek help,” says Rasaili. “If you go to a mental hospital people think you are mad. A lot more needs to be done for the nation to heal.”Read also: <a href="http://archive.nepalitimes.com/article/nation/psychological-scars-of-maoist-conflict-on-young-survivors-take-longer-to-heal,1519" target="_blank" rel="noopener">Post-conflict stress syndrome</a>, Taylor CaldwellLike Rasaili, other war survivors suffer from symptoms like lack of sleep and concentration, inability to focus, disruptive memories and depression. The bigger concern is that these problems could transcend generations.“If parents are unable to deal with trauma and express their mental state in unhealthy ways, their children could be impacted as well,” says Koirala of TPO. “Social reintegration is already difficult for combatants, and this could create another generation of outcasts.”As in Colombia, some victims of the conflict and <a href="https://www.nepalitimes.com/here-now/its-all-in-the-mind/" target="_blank" rel="noopener">the 2015 earthquake in Nepal</a> have found ways to express themselves through art. Rasaili keeps a journal, saying it helps her find relief from stress, and she knows others who paint and sketch. But they all found these outlets through personal effort — there is no systematic approach to artistic therapy in Nepal. <img width="750" height="563" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/2022110815110/636a61009c7e80680e056eabjpeg.jpg" alt="">Says Vargas: “Traumatised people often cannot express their suffering to other people, and art is a space where they can free themselves. Completing a piece of art also helps the brain make connections, and gives a sense of achievement and confidence.” Read also: <a href="https://www.nepalitimes.com/banner/ashna-comes-out-of-the-black/" target="_blank" rel="noopener">Ashna comes out of the black</a>, Sewa Bhattarai

The mental scars of violence

It is only April, and Himalayan expeditions are already making rotations to acclimatise on Annapurna and Dhaulagiri, and will soon be making summit pushes.&nbsp; On Mt Everest, Icefall Doctors are fixing ropes and ladders into the Western Cwm as international climbers arrive at Base Camp. Spring 2026 is going to be the busiest and most crowded so far in the Nepal Himalaya. The main reason is that China has closed expeditions from the north side for eight-thousanders Everest and Cho Oyu, and also Xixapangma.&nbsp; The closure is informal, from what one can make out. The Chinese have not put out any official statement, but there are no permits either. The reason seemingly was the ‘Rising Dragon’ firework display last September by pyrotechnic artist Cai Guo-Qiang near Xigatse.&nbsp; Working with outdoor wear company Arc’teryx, Guo-Qiang set off an impressive sequence of orange and white fireworks that wound up a mountain. The spectacular display was criticised for damaging the fragile ecology of the Tibetan Plateau. But this cannot be the only reason the north side is closed. Experienced Everest blogger Alan Arnette anticipates that about 125 climbers will shift to the Nepal side of the mountains, and expects there to be up to 900 summits this spring — up from the highest spring number so far of 876 climbers on top in 2019.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260404050428_8c31812bf38f699c4faa74f25814a6ddaee397f71a629e549023f29250f05082.jpg" data-media-id="editor_0" data-image-id="20260404050428_8c31812bf38f699c4faa74f25814a6ddaee397f71a629e549023f29250f05082" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="mountaineering"> <figcaption>Photo: KARMA TENZING</figcaption> </figure>  The early Base Camp arrivals are having problems with their first rotations because of heavy snow this season. Unlike previous springs, this year has seen back-to-back blizzards at high altitudes since February. The increased snow load on the slopes have increased avalanche danger right across the mountains.&nbsp; There has been an increase in numbers on Everest despite the West Asia war, flight disruptions, LPG shortage and new regulations. The permit fee has gone up for the first time since 2015 from $11,000 to $15,000 this year.&nbsp; The Tourism Bill passed by Nepal’s Upper House last year would have required climbers to have first summitted a 7,000m peak in Nepal before attempting Everest. However, the Department of Tourism has confirmed that there are no new experience requirements this season. Some want this rule changed to include 7,000m peaks anywhere in the world. That could be one reason people are rushing to climb Everest before the Nepal government changes its mind and enforces the new regulations on prior experience on Everest. “It’s probably going to encourage a lot of people that simply are not ready to go,” reckons Alan Arnette. “Once again, we may see a lot of inexperienced people on the mountain trying to get in before the rule comes into place, if it does.”&nbsp; Arnette has always been sceptical of Everest regulations, and points out many instances where rules have been announced but not implemented over the ten years that he has been tracking them. For example, a helicopter ban to Everest Base Camp was announced last year, but rescinded. A rule requiring climbers to bring down waste was never seriously enforced. Since there is so much money involved for the government and for the operators, any any rule that would reduce revenue is never fully implemented. This year there is another ‘High-Altitude Trash Quota’ rule requiring climbers and guides operating above Camp 2 to collect and bring down at least 2kg of waste from the higher camps.&nbsp; The Nepal government has tried to diversify peaks on offer by reducing the royalty on climbs, but the draw of Everest, Annapurna and other eight-thousanders seems to be too great. Even when the permit fees for some remote peaks like Kangri Shar, Himlung and Api, were reduced to $400, there are few takers.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120436_a90cd44858e97086f773aa1fbd592b3434bb07d89cd4a1843b2ca32a84e7c72d.jpg" data-media-id="editor_1" data-image-id="20260402120436_a90cd44858e97086f773aa1fbd592b3434bb07d89cd4a1843b2ca32a84e7c72d" data-rendition-name="original" width="1500" height="1125" loading="lazy" alt="Photo Damien Francois"> <figcaption>Photo: DAMIEN FRANCOIS</figcaption> </figure>  TIME LAPSE Clients and expedition operators have been trying to shorten the time needed to complete an Everest expedition from the city of origin to the top and back. Since Nepal has no rules about spending a certain number of days in acclimatisation, this has allowed some expedition organisers to use new technology.&nbsp; Austrian operator Lukas Furtenbach last May led a group of four British ex-military clients to the summit within a week of leaving London. This climb was scrutinised because the group had practiced breathing xenon gas, a substance that increases the count of red blood cells and is banned in competitive sports. The climbers had also trained for months at home in hypoxic tents, and used supplemental oxygen during the actual climb.&nbsp; The success of that expedition prompted an investigation by Nepal’s Ministry of Culture, Tourism, and Civil Aviation, but there was nothing it could do because the team had taken the xenon in Germany two weeks before their trip. But even if they had administered the gas in Nepal, it would technically not be illegal. Furtenbach is firmly in favour of speed, and of using the gas. “The only reason why we are working with xenon is to make climbing safer, to protect climbers from high altitude sickness,” he says, arguing that the less time climbers spend on the mountains, the less their exposure is to disasters, sickness, and they also generate less trash.&nbsp; His firm, Furtenbach Adventure, offers a three-week Everest South Flash expedition, at a cost of €100,000, using custom oxygen systems. Other expeditions take up to two months.&nbsp; A young American duo of Ryan Mitchell and Justin Sockett got to Everest Base Camp five days ago. They are preparing for an oxygen-free summit attempt.&nbsp; ‘ Being around these mountains for one day has already brought me so much joy. Every time I come back to the Khumbu I feel more familiar and connected,’ posted Mitchell. He and Sockett have since summitted Lobuche East (6,119m) as they continue to acclimatise and wait for the Khumbu Icefall route to be fixed.&nbsp; There are other sans-O2 trips planned this climbing season in Nepal. Norwegian Kristin Harila, the fastest in the world to climb all 14 8,000ers (in 92 days), is attempting the Nuptse, Lhotse, and Everest three-peak climb without supplemental oxygen. American Tyler Andrews and Ecuadorian Karl Egloff are continuing their race to break records in Everest. While Andrews is attempting the Fastest Known Time from Base Camp to the top without oxygen, Egloff is taking it a step further and going for a round trip: from Base Camp to the summit and back in record time.&nbsp; Both Egloff and Andrews had attempted these climbs in 2025 spring, but abandoned around 7,000m due to bad weather.&nbsp; Kami Rita Sherpa wants to extend his all-time record of total Everest summits to 32, while Kenton Cool from England is chasing 20, a non-Nepali record.&nbsp; The first summits of the season will be in late April, or early May depending on weather. Besides Everest, there are a lot of interesting climbs on lesser known peaks.&nbsp; The Japanese trio of Masayuki Takenaka, Tatsuro Sugimoto, and Ryota Nomura, for example, are attempting the unclimbed Jarkya Himal (6,473m) near Manaslu. &nbsp;&nbsp; <h2>Fake rescues</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120436_600c0176e24327fd3dfcfd634e4b871f3e5314aa00eb4885ad137ac6f9c4a3b6.jpg" data-media-id="editor_2" data-image-id="20260402120436_600c0176e24327fd3dfcfd634e4b871f3e5314aa00eb4885ad137ac6f9c4a3b6" data-rendition-name="original" width="800" height="519" loading="lazy" alt="Fake rescues"> </figure>  This year’s spring climbing season has coincided with Nepal’s new government taking action against alleged perpetrators in fake rescues and insurance fraud. The Central Investigation Bureau (CIB) has already arrested more than a dozen trekking agency executives, hospital managers and helicopter company executives for medevac insurance fraud. Climbers are known to fabricate medical emergencies, get flown down from as high as Camp II on Everest, and then submit false insurance claims.&nbsp; Sometimes one flight is made to look like many using fake invoices. Trekking companies are also involved in fake rescues of hikers who just get tired of walking.&nbsp; Too many fake claims could lead to insurer’s losing confidence in the industry, and increased premiums, leading to delayed responses in real accidents.&nbsp; As a result of the scandal, there is now more scrutiny from the government about rescues. Already, helicopter operators have to wait for permission before carrying out rescues while their application is vetted.&nbsp; The worry is that this could cause unnecessary delays when time is of the essence in mountain rescue. Already, medevacs are delayed because of the bureaucracy needing permits to fly to sensitive regions bordering China. Last year, a climber died on Himlung because helicopter rescue took too long while operators ran from door to door in Kathmandu to obtain necessary permits. <h2>Mingma David Sherpa, MP</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_05c1600440327f4ae4bcae641b634714951f45702080a88d4e2628587190aa25.jpg" data-media-id="editor_3" data-image-id="20260402120432_05c1600440327f4ae4bcae641b634714951f45702080a88d4e2628587190aa25" data-rendition-name="original" width="960" height="958" loading="lazy" alt="Mingma David Sherpa"> </figure>  Meet Mingma David Sherpa, Nepal’s first mountaineer to be nominated to Parliament. Sherpa is a self-made professional climber from Rolwaling, who rose up from an expedition porter to a record-breaking mountaineer and expedition organiser. As an insider, he is now in a position to streamline laws related to Nepal’s trekking and mountaineering sector. He is co-owner of EliteExped with Nims Purja, and in 2021 the two were part of a team of Nepali climbers to be the first to make it to the top of K2 in winter, the second highest mountain in the world in Pakistan.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_c4ec586e7a27b09a72e61925a3897d843f864563d9e82a3fd3e25293e22cbe54.png" data-media-id="editor_4" data-image-id="20260402120432_c4ec586e7a27b09a72e61925a3897d843f864563d9e82a3fd3e25293e22cbe54" data-rendition-name="original" width="2082" height="1396" loading="lazy" alt="Mingama David Sherpa"> </figure>  Mingma David was also on Purja’s Project Possible to climb all the 14 eight-thousanders in six months, shattering the previous record of seven years. He was featured in Purja’s documentary 14 Peaks: Nothing is Impossible.&nbsp; At age 30 he became the youngest climber to reach the top of all 14 eight-thousanders for which he was awarded the Piolet d’Or. Mingma David has taken part in dozens of successful rescues of fellow climber, including the highest ever long-line rescue on Dhaulagiri and saving the life of fellow-climber from 8,600m on Everest. <h2>April Fool</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_775afff27d4a2889a60730aa25bbc5f8eb8ea343528c8c031a6febbfd74814c4.jpg" data-media-id="editor_5" data-image-id="20260402120432_775afff27d4a2889a60730aa25bbc5f8eb8ea343528c8c031a6febbfd74814c4" data-rendition-name="original" width="1365" height="1820" loading="lazy" alt="Furtenback Adventures"> </figure>  The Austrian expedition outfitting company Furtenbach Adventures spoofed the anticipated crowds on an April First post on social media this week, showing ‘a fully galvanized, weather-resistant steel staircase, complete with a sturdy handrail’ to make the Hillary Step bottleneck on Mt Everest less dangerous.

Nepal Himalaya Spring 2026

Samsung Nepal has opened pre-orders for the Galaxy A57 5G and A37 5G. Both phones run Samsung’s One UI 8.5, featuring AI capabilities like voice transcription, Circle to Search, and photo editing. They feature a 50MP triple-camera system, a Super AMOLED display, and six years of OS and security updates.

Galaxy A series

The war in West Asia has exposed the fragility of the economic architecture Nepal has built on over two generations. If the conflict continues, growth across developing Asia will slow and prices will rise. For Nepal, this will be felt through higher living costs, weaker economic activity, and growing uncertainty for the millions of families who depend on remittances.&nbsp; Nepal now needs to structurally transform from exporting labour to investing in domestic job creation. &nbsp; The country's current path toward a knowledge economy has a blind spot. A <a href="https://iids.org.np/wp-content/uploads/2025/02/unleashing.pdf" target="_blank">report</a> by the Institute for Integrated Development Studies (IIDS) in Kathmandu shows that IT export companies alone generated 7,228 jobs and income for 66,509 freelancers.&nbsp; We are building digital labour export, not an economy that accumulates institutional knowledge. The Nepali Upwork developer and a migrant construction worker in the Gulf are engaged in the same economic activity, but with different tools. Nepal’s reliance on a <a href="https://data.worldbank.org/indicator/BX.TRF.PWKR.DT.GD.ZS?locations=NP" target="_blank">remittance-driven economy,</a> means the country has failed to create enough <a href="https://www.worldbank.org/en/country/nepal/publication/unlocking-nepal-s-growth-potential" target="_blank">quality jobs</a> at home. For millions of young people, leaving the country is not a choice but a necessity to survive and support families back home. <a href="https://www.worldbank.org/en/country/nepal/publication/unlocking-nepal-s-growth-potential" target="_blank">Remittances</a> have no doubt helped reduce poverty. Thirty years ago, 55% of Nepal’s population lived on less than $2.15 a day, now it is 20% after the absolute poverty line was revised upwards. This progress has come at a cost — &nbsp;an economy that depends more on exporting workers than creating opportunities at home. This development reflects a deeper political failure to create meaningful jobs within the country. Since the democratic transition in 1991, Nepal’s leadership has largely recycled the same faces, with limited progress on job creation or industrial growth.&nbsp; Nepal cannot build a <a href="https://nipore.org/accelerating-nepals-startups/" target="_blank">knowledge economy</a> while its most ambitious people are outbound to Doha and Tokyo. We are also not just losing ‘labour’. We are losing the entrepreneurial risk tolerance of our youth.&nbsp; If the most ambitious 25-year-olds are abroad, who is left to support innovation and entrepreneurship? The same people who are working tirelessly abroad, are our biggest asset for development. Their work ethic and the know-how inurban renewal could well fit into the new RSP government’s mandate of 7% annual growth.&nbsp; The <a href="https://english.biznessnews.com/posts/-nepal%E2%80%99s-it-exports-cross-1-billion-" target="_blank">$1B milestone</a> of IT exports is a celebratory moment for Nepal. However, that cannot lead to a pathway to a $100 billion economy without innovation ecosystems that go beyond individual labour export. Companies like SecurityPal and industry associations such as NASIT have made significant efforts in building such an environment, recently championed by private sector leaders as a &nbsp;<a href="https://www.securitypalhq.com/blog/silicon-peaks" target="_blank">Silicon Peaks</a> model that emphasises a home growth tech cluster. The need to accelerate this transition is even more urgent with the escalating conflict in West Asia. &nbsp;The recent International Labour Organisation (ILO) <a href="https://www.ilo.org/sites/default/files/2026-03/Nepal%20LDC%20Graduation%20Employment%20Impacts%20Report.pdf" target="_blank">report</a> shows that LDC graduation is expected to adversely impact manufacturing with losses of $1 billion by 2030.&nbsp; If manufacturing takes such a large hit from losing trade preferences, then Nepal’s services and IT sectors need to structurally transform and shift from exporting individual talent to building firms. &nbsp; A generation’s frustration has finally forced a shift in Nepal’s political structure, handing the new government a clear mandate to fix failures. But the question still persists: what prevents Nepal from achieving sustained, productivity-driven growth? &nbsp;&nbsp; RSP is in the right place at the right time to put Nepal's economy on a firm footing. At the heart of Nepal’s economic underperformance lies a major development binding constraint: low returns to investment on projects.&nbsp; The government invests like a high-growth economy, with gross capital formation at around <a href="https://data.worldbank.org/indicator/NE.GDI.FTOT.ZS?locations=NP" target="_blank">25–30 percent of GDP</a>. Yet economic growth remains modest. The problem is not how much the country invests, but how little it gets in return. One way to see this is by looking at how much investment is required to generate growth.&nbsp; Nepal needs large amounts of capital to produce relatively small gains in output (graph, below). For instance, in 2024, the ICOR was 8.29, this suggests that Nepal had to invest more than 8 units of capital to produce a one unit of additional economic output.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260406040412_605dc527641d2ff2dc5723ed8bbec946898331d5538a55b9941e32a0725bf811.jpg" data-media-id="editor_9" data-image-id="20260406040412_605dc527641d2ff2dc5723ed8bbec946898331d5538a55b9941e32a0725bf811" data-rendition-name="original" width="1827" height="925" loading="lazy" alt="Economy graph"> <figcaption>Source: Author's calculation based on a Growth Diagnostic simulation</figcaption> </figure>  This reflects a deeper issue in how investment is allocated and executed. Capital is often locked in low-productivity sectors or diluted by delays, inefficiencies, and policy uncertainty.&nbsp; As a result, even high levels of investment fail to translate into sustained growth. Until investment shifts toward productive, firm-building activities, higher spending alone will not deliver results. &nbsp; To reverse this, the government must focus on raising the returns to investment by enabling firms to grow and compete. This requires a shift from managing scarcity to creating an environment where capital can generate consistent and predictable returns. A central priority should be given to attracting and retaining both domestic and foreign private investment. Investors do not just respond to direct incentives, but also to policy stability in the country. Nepal’s economy cannot sustain high growth if its human capital continues to leave the country.&nbsp; The goal should not simply be to create jobs, but to build companies that scale, innovate, and compete beyond Nepal. This requires supporting sectors with strong productivity potential and ensuring that firms can expand without being constrained by infrastructure gaps or regulatory friction. Finally, the state must improve the quality of its own investment. Public spending should focus on lowering the cost of doing business through reliable electricity, efficient logistics, and digital infrastructure.&nbsp; The GenZ movement took two days to bring change. The economic transformation of Nepal might take a generation. The RSP can accelerate this transition, but only if it focuses on building a better investment climate for business and not just feeding the global labour pool. Kailash Raj Pandey is an MPA/ID and MBA candidate at Harvard Kennedy School and MIT Sloan School of Management and a fellow at MIT Kuo Sharper Center for Innovation and Prosperity.&nbsp; Siddhartha Raymajhí is a policy researcher based in Kathmandu.

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