Real Estate in 2030
Global studies indicate rapid urbanization and mushrooming of urban canters along with migration from villages to cities. With increased road connectivity the tendency of inaccessible areas, to areas with better access to social services like health, education and economic opportunities. Nepal will have close to 33 million people with demographics skewed towards the young. 70% of the population will be under 30 years of age which means increased mobility towards urban centers. While technology will make remote working easier, people will still like to gravitate towards cities. Read more
Transformation of the ICT Sector by 2030
Nepal is at the nascent stage of an ICT revolution - with very high mobile penetration which is going to play a key role by 2030. ICT will touch each and every Nepali, city dwellers as well as poor farmer in the village by 2030. Internet of things (IOT) will play a key role in transformation as every Nepali will have access to Internet via mobile phone; internet will be fast, reliable and readily accessible, and IOT and few smart cities will be a reality. “Talent is distributed equally but not opportunity” but by 2030 ICT will enable every Nepali to grab the local/global opportunities. Read more
Nepal’s Infrastructure 2030 – What’s Achievable and How?
In envisioning Nepal’s infrastructure 2030, we may first think what is achievable. Assuming per capita GDP reaching $1,800 and public capital spending growing from 5% of GDP (now) to 10%, Nepal will have $55 billion invested in infrastructure by 2030. With this, Nepal can have 10,000 MW generation, and modern transmission and distribution systems (costing $25 billion but 50% plus can be privately funded) Read more
Nepal’s Power Sector in 2030
The Nepali power sector has been beset by challenges since the early 1990s; initially with the unfinished reform begun by the Electricity Act, 1992 which created an ineffective hydro-project licensing regime. Beginning 1996, the demand of electricity started to increase in an unprecedented trend as people migrated into Kathmandu. Political instability, slow decision-making and a breakdown of corporate governance slumped investment, resulting in up to 18 hours daily power outages. In response to power shortages, public and private sectors have responded by investing in generation and transmission projects. But instead of just responding to crises, Nepal has the potential to leapfrog into an electric economy by 2030 if a few basic sector reforms are initiated and programs already on paper are implemented. Read more
Nepal’s Agricultural Transformation by 2030 and Wishful Thinking
A very low growth rate in the agricultural GDP and a declining share of agricultural output depict slow transformation in the agriculture sector in Nepal. Saturation of arable and productive land, low growth in yield, low level of technology and input uses, poor investment and capital formation, increased labor outmigration, inadequate policy support and climate change have all attributed to this situation; turning Nepal into a net food importing country. Read more
Nepal Budget 2016-17: Politics Over Policy Prudence?
The annual budget tabled for FY 2016-17 does little to impress or inspire. Instead of embracing and paving the way for market oriented reforms, the proposed budget has instead opted for distributive economics significantly hiking up expenditure targets against a backdrop of historically low spending capacity and worse still, without prudent actionable agenda on improving capital spending. Read more