1. By : Bharat Poudel
bharat@globalcollege.edu.np

2.  Nepal is a landlocked country.
 Border
 China in the north
 India in the south, east and west
Size
 Area: 147,181 sq. km.
 Length: 885 km (east to west)
 Width:, average width 193 km. north to south.
 Administrative and Physical Division
 Nepal is divided administratively into 5 development region,
14 zones, and 75 districts.

3.  Nepal is a least developed country, according
to IMF, those country are least developed
whose Per Capita Income (PCI) is less than
$905.
 There are 48 least developed countries in the
world.
 According to World Economic Outlook, 2013,
Nepal’s per capita income is only $646 and
economic growth rate is 4.6 percent.

4.  The economic growth rate of the country, a
major indicator of economic development,
has not been encouraging.
 The economic growth rate of country that
averaged 3.51 percent over a decade has
registered growth of 3.6 percent in the
current fiscal year.

5. 2065/66 2066/67 2067/68 2068/69 2069/70*
Nepal 3.9 4.3 3.9 4.5 3.6
Agricultu
re
3 2 4.5 5.0 1.3
Industry -0.6 4.1 4.4 3.0 1.5
Service 6 5.8 3.4 4.5 6.0
Source: Economic Survey 2068/69

6. Country Economic Growth rate
Nepal 4.6
India 4
Pakistan 3.7
Bhutan 9.7
Afghanistan 10.2
Bangladesh 6.1
Sri-Lanka 6.4
Source: world Economic Outlook, 2013

7.  According to NLSS 2010/11, a person is
said to be poor if his/her per-capita total
annual consumption is below Rs. 19,261.
 Using this income based approach,
25.16 percent of the total population
lives below the poverty line in Nepal.
 The poverty rate is much lower in urban
areas (15.46%) than in rural areas
(27.43%).

8. NLSS I
( 2052/53)
NLSS II
(2060/61)
NLSS III (
2066/67)
Nepal 41.76 30.85 25.16
Rural Sector 21.55 9.55 15.46
Urban
Sector
43.27 34.62 27.43

9. 0
5
10
15
20
25
30
35
40
45
50
NLSS I NLSS II NLSS III
Nepal
Rural Sector
Urban Sector

10.  It is a backbone of Nepalese economy.
 73.9 percent active labor force engaged
( NLFS 2008).
 In the fiscal year 2068/ 69 the
contribution of agriculture sector in total
GDP is 35.36 percent.
 Low productivity
 Depends on neighbour countries for
agriculture product.

11.  The size of population of Nepal is 2, 64, 96,504, of
this the size of male and female is 1,28,49,041
(48.50%) and 1,36,45,463 (51.50%) respectively.
 Total number of household is found to be
54,27,302.
 Annual average population growth rate is 1.35
percent.
 Population growth have both impact (Negative and
Positive) in economic growth.

12.  Nepal bear the huge trade deficit.
 About 70 percent foreign trade belong with India ( Export and
Import)
 Composition of Export trade in percentage
Direction 2006/07 2007/08 2008/09 2009/10 2010/11
India 70.27 65.5 60.9 64.4 67.4
Other
countries
29.73 34.9 39.1 35.6 32.60
Source: Economic Survey 2011/12

13. Direction 2006/07 2007/08 2008/09 2009/10 2010/11
India 59.51 64.15 56.26 54.7 66.12
Other
Countries
40.49 35.85 43.74 45.3 33.88
Source: Economic Survey 2011/12

14.  Inflation means a substantial and rapid
increase in the general price level, which
causes a decline in the purchasing power of
money or value of money.
 It most important macro economic factor of
an economy.

15. Fiscal Year Inflation Rate
2063/64 5.9
2064/65 6.7
2065/66 12.6
2066/67 9.6
2067/68 9.6
2068/69 8.3
Source: Nepal Rastra bank

16. 5.9
6.7
12.6
9.6 9.6
8.3
2063/64 2064/65 2065/66 2066/67 2067/68 2068/69
Inflation Rate
Inflation Rate

17.  Hydro Electricity :There are more than 6000 rivers in the
country. Hence there are huge hydro-power
potentialities.
 Theoretically and technically, Nepal's hydro-power
potentiality is estimated to be 83,000 MW and 42,000
MW, respectively.
 Total , installed capacity had reached 705 MW by the
end of fiscal year 2068/69 , which is merely 0.84
percent of total potential and 1.68 percent of technical
potential ( Three Year Plan Document, 2070/71-
072/73).

18.  Tourism
Nepal has enormous potentials to make a
regional hub with global destination to attract
tourists from all over the world.
Biodiversity
The rich eco-system and a variety of species
have tremendous economic potential.

19.  Export Potential: In 2010 Nepal Trade Integration
Strategy (NTIS) indentified nineteen key
commodities and services that have export
potential.
 Human Resources: Increasing remittances
through foreign employment have been
instrumental in poverty reduction.
 Agriculture especially high value crops: There
exists enormous potential for agriculture
development especially high value crops through
promoting agribusiness and commercialization.