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Development Efforts in Nepal
A book published out of an International Forum at Ehime University
June 2007
Ehime University
Japan
Publisher
Ehime University
3 Bunkyo, Matsuyama 790-8577
Japan
Editors
Ryuichi Yatabe, Ehime University
Netra Prakash Bhandary, Ehime University
Contributors
Deepak Bhattarai
Yubaraj Sangroula
Jaya Krishna Pathak
Rajendra Prasad Adhikari
Bishal Nath Upreti
Nepal Engineering College
Kathmandu School of Law
Tribhuvan University
Nepal College of Information Technology
Special Thanks
Masaru Yoshida
Kenji Tozawa
Rumiko Mukai
Ruth Virgin
Tara Nidhi Lohani
Saraswati Bharati
Ranjan Dahal
Junko Nakajima
Ramesh Rajbhandari
Gondwana Research Institute
Ehime University
International Center, Ehime University
International Center, Ehime University
Geoenvironmental Research Institute
Ehime University
Kagawa University
Ehime University
Nepal Engineering College
Cover Design
Netra Prakash Bhandary
Printed at
Samip Printing Press
Dhobighat, Lalitpur, Nepal
© Ehime University 2007
No part of this book or any text in the chapter content can be copied or reproduced in any form
without the permission of the editors.
Editors’ Note
Ehime University has been involved in nation-building efforts of Nepal particularly through
research and academic activities, scientific meets, exchange programs, and human networking. In
the last 6-7 years, it has organized more than six international scientific meets jointly with Nepalese
counterparts such as Nepal Engineering College, National Society for Earthquake Technology
Nepal, Ministry of Home Affairs, Department of Water Induced Disaster Prevention, and various
national and international agencies including United Nations Development Program Nepal, Japan
International Cooperation Agency, United Nations Educational, Scientific, and Cultural
Organization, and United Mission to Nepal. Nepal Television has also supported some of its
publicity programs by making various documentary programs on landslide disasters and
management including highlighting the Ehime University activities in Nepal through its
interview-based special programs and national news. All these activities have largely contributed to
an increased interest of Ehime University in Nepal.
To further strengthen the network with Nepalese counterparts and academic institutions, Ehime
University has signed memoranda of understanding (MOU) for academic exchange with five major
Nepalese academic institutions in May 2006 with an aim to jointly address major development
issues in Nepal and work towards a developed Nepal. To mark the completion of one full year of
signing of the MOU, Ehime University planned and organized an International Forum to discuss
five major issues of national development including Education, Politics, Infrastructure
Development and Maintenance, Economics and Tourism Development, and Natural Disasters and
Environment on 2 June 2007. Established academicians from the partner institutions in Nepal were
invited to Ehime University especially for the forum. This book consists of the content the invited
Nepalese delegates presented in the forum. The main objective of publishing the presented content
in the book form is to let all well-wishers and supporters of Ehime University and its partner
institutions in Nepal know about the recent activities and the interest Ehime University has in
Nepal.
The information and concept in the text of the book are contributors’ their own, while the editors
have gone through the whole text and have only edited the expressions.
R. Yatabe & N. P. Bhandary
Ehime University
September 2007
Table of Contents
PROGRAM .............................................................................................................................1
WELCOME ADDRESS..............................................................................................................2
CLOSING ADDRESS .................................................................................................................3
PROGRAM BRIEF ....................................................................................................................4
1. BACKGROUND..............................................................................................................4
2. PROGRAM OBJECTIVES..............................................................................................4
3. PRESENTATION CONTENT..........................................................................................4
4. RECEPTION PARTY......................................................................................................5
5. PUBLICITY AND MEDIA...............................................................................................5
6. CONCLUDING REMARKS ............................................................................................6
PROGRAM PROCEEDING IN PICTURES ...............................................................................8
ASSOCIATED PROGRAMS IN PICTURES ............................................................................18
NAME LIST OF THE PARTICIPANTS....................................................................................26
Chapter 1 ..................................................................................................................................28
Development of Education Sector in Nepal: Prospects and Challenges
1. NEPAL: AN INTRODUCTION......................................................................................28
1.1
The Country ...........................................................................................................28
1.2
Economy ................................................................................................................28
1.3
Political System ......................................................................................................28
1.4
Infrastructures Available ........................................................................................29
1.5
Energy....................................................................................................................29
2. EDUCATION IN NEPAL...............................................................................................29
2.1
History of Education...............................................................................................29
2.2
Efforts to Institutionalize Education........................................................................30
2.3
Present Status .........................................................................................................31
3. NATIONAL EDUCATION SYSTEM .............................................................................32
3.1
Present System .......................................................................................................32
3.2
Challenges Ahead ...................................................................................................33
3.3
The Bright Future...................................................................................................34
4. FUTURE PLANS...........................................................................................................34
4.1
School Sector Reform Program ...............................................................................34
4.2
The Interim Plan ....................................................................................................35
4.3
Plan for University Education .................................................................................36
5. CONCLUSIONS............................................................................................................36
REFERENCES .....................................................................................................................36
Chapter 2 ..................................................................................................................................38
Transformation of Nepal into a Stable Nation State through
Constituent Assembly
1. PREFACE .....................................................................................................................38
2. DYNAMICS OF CONFLICT.........................................................................................38
2.1
Causative Factors for Emergence of Insurgency in Nepal ........................................39
3. FUNDAMENTAL APPROACH TO TRANSFORM NEPAL FROM CONFLICT-TORN
STATE TO A STABLE NATION STATE ...............................................................................41
3.1
Devolution of Powers ..............................................................................................41
3.2
Pluralism and Secularism .......................................................................................42
3.3
Recognition and Protection of Socio-Economic Rights .............................................43
4. CONCLUSIONS............................................................................................................43
Chapter 3 ..................................................................................................................................45
Economic Development of Nepal
(With special reference to industry and tourism)
1. INTRODUCTION .........................................................................................................45
2. GROWTH OF THE ECONOMY ...................................................................................45
3. THE STRUCTURE OF THE ECONOMY .....................................................................46
3.1
Agriculture............................................................................................................. 47
3.2
Industrial Sector..................................................................................................... 47
3.3
Tourism.................................................................................................................. 48
4. RESOURCE MOBILIZATION ..................................................................................... 50
4.1
Foreign Aid Dependency ......................................................................................... 51
4.2
Saving and Investment............................................................................................ 51
5. SOME OBSERVATIONS............................................................................................... 52
6. CHALLENGES............................................................................................................. 53
7. PROSPECTS................................................................................................................. 54
SELECTED REFERENCES................................................................................................. 54
Chapter 4.................................................................................................................................. 57
Infrastructure Development and Maintenance in Nepal
1. BACKGROUND ........................................................................................................... 57
2. ROAD TRANSPORT .................................................................................................... 57
3. IRRIGATION................................................................................................................ 61
4. ELECTRICITY............................................................................................................. 62
5. WATER SUPPLY AND SANITATION ........................................................................... 64
6. COMMUNICATION ..................................................................................................... 65
7. CONCLUSIONS ........................................................................................................... 66
REFERENCES..................................................................................................................... 67
Chapter 5.................................................................................................................................. 69
Natural Disasters and Their Impact on Infrastructural
Development and Environment in Nepal
1. INTRODUCTION ......................................................................................................... 69
2. NATURAL DISASTERS IN NEPAL .............................................................................. 70
3. NATURAL DISASTERS AND THEIR IMPACT ON INFRASTRUCTURE ................... 72
4. ROAD DAMAGE BY WATER INDUCED DISASTERS ................................................ 75
5. EARTHQUAKE DISASTERS ....................................................................................... 76
6. ECONOMIC IMPACT OF DISASTERS IN NEPAL ...................................................... 76
7. FISCAL IMPACT VIS-À-VIS HAZARD LOSS TO GDP AND DEVELOPMENT
EXPENDITURE................................................................................................................... 77
8. WATER INDUCED DISASTERS: REHABILITATION BUDGET ................................. 78
9. ADDRESSING THE DISASTER MANAGEMENT ISSUES .......................................... 80
10.
CONCLUSIONS ........................................................................................................ 82
REFERENCES..................................................................................................................... 82
Chapter 6.................................................................................................................................. 85
PANEL DISCUSSION: Role of Academic Institutions in Nation Building
1. Outline and Activities of Ehime University International Center................................. 85
2. Nepal-based Activities of Ehime University and Future Plans ..................................... 90
3. Role of Japanese University Students in Nation Building............................................. 97
4. Role of Higher Education Institutes for the National Development in Nepal ................ 98
INTERNATIONAL FORUM
-Development Efforts in NepalEhime University has signed memoranda of understanding with five major academic institutions
of Nepal and has also placed a Satellite Office in Kathmandu on 28 May 2006 with an objective
to involving in research in various development-related fields and assisting Nepal in its
development efforts. To mark the completion of one year of formal involvement in Nepal, Ehime
University organized an international forum to discuss major fields of Nepal’s development at
Ehime University premises on 2 June 2007.
Organizers:
Ehime University International Center & Ehime University Center for Disaster
Management Informatics Research
Supported by: Ehime University Alumni Association
Date/Time:
2 June 2007, 13:00~17:00 (followed by a Reception Party at 18:30)
Venue:
Media Hall, Ehime University Media Center
Participants: 84
PROGRAM (MoCs: R. Yatabe and N. P. Bhandary)
13:00~13:10 Opening Address: Prof. M. Komatsu, President, Ehime University
13:10~15:55 Presentations from Nepal (30 minutes each)
• Development of Education Sector in Nepal: Prospects and Challenges,
Prof. Deepak Bhattarai, Nepal Engineering College
• Transformation of Nepal into a Stable Nation State through Constituent
Assembly
Prof. Yubaraj Sangroula, Kathmandu School of Law
(Purvanchal University)
• Economic Development of Nepal: with special reference to industry and
tourism
Prof. Jaya Krishna Pathak, Tribhuvan University
• Break (15 minutes)
• Infrastructure development and maintenance in Nepal
Prof. Rajendra P. Adhikari, Nepal College of Information Technology
(Pokhara University)
• Natural Disasters and Their Impact on Infrastructural Development and
Environment in Nepal
Prof. Bishal Nath Upreti, Tribhuvan University
15:55~16:55 Discussion Session: Role of Academic Institutions in Nation Building
Coordinator:
Ruth Virgin, Associate Professor, International Center,
Ehime University
Coordinator’s instructions (5 minutes)
Panelists’ Presentations (35 minutes)
• Outline and Activities of Ehime University International Center
R. Mukai, Ehime University International Center
• Nepal-based Activities of Ehime University and Future Plans
N.P. Bhandary, Ehime University
• Student-level Exchange Program with Nepalese Academic Institutions
Prof. K. Tozawa, Ehime University
• Role of Japanese University Students in Nation Building
T. N. Lohani, Geoenvironmental Research Institute, Osaka (JU Alumni,
President, NEA-JC)
Saraswati Bharati, Graduate Student, Ehime University
• Role of Higher Education in National Development: Views of a Senior
JICA Volunteer in Nepal
Masaru Yoshida, Former Professor, Osaka City University
(President, Gondwana Research Institute, Japan)
Floor Discussion (20 minutes)
16:55~17:00 Closing Address:
Prof. M. Kashiwadani, Director, Ehime University Center
for Disaster Management Informatics Research
18:00~20:00 Reception Party (Venue: Main Hall, University Guest House)
-1-
WELCOME ADDRESS
Dear Principals, Deans and Professors from Nepalese Academic Institutions:
Dear Participants:
First of all, let me thank you all for your participation in today’s International Forum. It has been
a great pleasure for us particularly to have here today with us the Principal of Nepal Engineering
College, the Executive Director and Principal of Kathmandu Law School, the Former Chief of
Minbhavan Campus of Tribhuvan University, the Principal of Nepal College of Information
Technology, and the Dean of Institute of Science and Technology of Tribhuvan University who
have traveled all the way from Nepal for this particular program.
Last year May in Kathmandu, we signed memoranda of understanding for academic
exchange programs with five major Nepalese academic institutions. On the very same day, we
placed a Satellite Office of our university in Kathmandu and had a formal opening ceremony.
Commemorating the completion of one full year from the day of these events, we are extremely
pleased to have organized this International Forum at Ehime University situated in this tiny city
of Matsuyama with also the representation from some more academic institutions of Nepal.
In Nepal, during the last one year, there have been indications of great transformations. With
an end to the long political stalemate and armed struggle followed by a political agreement to
have an all-party government and rescheduling of the constituent assembly elections for autumn
this year, there have been developments that there will be a fully democratic governance system
in Nepal soon. We have heartily welcomed these developments and expect the great days of
Nepal ahead. At this moment of pleasure, we greatly look forward to a prosperous Nepal with
economic development under the administration of a fully democratic government, with efforts
for safe and peaceful nation building, and with one-step advancement of education system.
We at Ehime University, as a part of our international contributory activities, have made a
mission to support nation building efforts, particularly through academic and student exchange
programs with Asian nations. A major part of our interest at this university towards the mission
has now concentrated in Nepal.
The world today, with the development of transportation system and information technology,
has become smaller and smaller. Moreover, due to globalization of economic sector, there is great
influence and dependency among all countries of the world, and the inter-nation relationships
have become even closer. On the other hand, due to these developments the cases of inter-nation
conflicts and ethic conflicts have also aggravated. At this very moment, restoration of the Asian
spirit, such as the resonant Asian spirit of Okagura Tenshin and Tagore, is necessary for ethnic
harmony and tolerance. I believe this is a job for whole mankind, and we have the responsibility
to hoist this spirit higher and broaden it in the whole world.
In that sense, I believe that the success of Nepal as a country of ethnic and religious
diversities in turning into a peaceful democratic nation and building a safe, secure, and
prosperous nation will have a great significance in context of world peace and harmony. I also
believe this path is no long should the spirit of harmony and tolerance as rooted in the East be
regained.
For us here at Ehime University, I believe that there will be no more happiness than a tiny
support we could extend to you all through various academic exchange programs including
student exchange towards that objective.
This forum having been able to strengthen further the relation between major academic
institutions of Nepal and Ehime University has been one major step in our part towards the nation
building efforts, and I hope it will act as a base for practical plans of collaboration among our
institutions.
At the end, I heartily wish for the great success of this forum.
Thank you.
Masayuki Komatsu (Prof. Dr.)
President, Ehime University
Matsuyama, Japan
(2 June 2007)
-2-
CLOSING ADDRESS
Dear Guests and participants:
First of all, I wish to express my appreciations to all participants of this forum and especially
to the distinguished guests from the Nepalese universities and colleges.
Ehime University has signed academic exchange agreements with five leading universities
and colleges of Nepal, namely Purvanchal University, Pokhara University, Kathmandu University,
Institute of Engineering, Tribhuvan University, and Nepal Engineering College in May 2006.
Since then, we are promoting mutual understandings and have tried to develop some research and
education projects. Ehime University has also opened a satellite office in Katmandu. I hope many
Nepalese researchers and students visit the satellite office and learn about Japanese culture,
education, science and technology. We had an International Symposium on Geo-disasters and
Infrastructure Management in Katmandu last year. From the symposium, we Japanese learned
that how severe are the natural disasters, how the people overcome natural disasters, and how rich
cultural tradition has been preserved in Nepal.
Today, we are very lucky to have this time with the distinguished professors from Nepal.
Their presentations have greatly helped me understand the present scenario and the future
prospects of Nepal in various fields of development, while I have never been in Nepal. I hope
young Nepalese students and Japanese students visit each other’s country more often and learn
more about the culture and science. Ehime University is going to start a program to support such
students, and it has been named the special graduate course for Asian students on disaster
prevention study to be offered at the graduate school of science and engineering. It may be a tiny
trial, but I hope various exchange programs will derive from it. I believe young people of both
countries produce rich fruits of mutual exchange and contribute much to the development of both
countries and the world.
Thank you very much.
Masuo Kashiwadani (Prof. Dr.)
Director
Center for Disaster Management Informatics Research
Ehime University
2 June 2007
-3-
PROGRAM BRIEF
1. BACKGROUND
Ehime University has historically signed Memoranda of Understanding for academic exchange
programs with five major academic institutions of Nepal, namely Purvanchal University, Pokhara
University, Kathmandu University, Tribhuvan University Institute of Engineering, and Nepal
Engineering College at a single occasion, and has also placed a Satellite Office in Kathmandu for
enhancing the university’s Nepal-based activities on 28 May 2006 with a major aim to involving
in research in various development-related fields and assisting Nepal in its development efforts.
One of the main objectives of establishing academic exchange relation with the Nepalese
universities and colleges is exploring opportunities for joint research programs with the Nepalese
counterparts in various fields, and at the same time, producing highly trained human resource that
could significantly contribute to nation building efforts. So, to commemorate the completion of
one year of very official involvement of Ehime University in Nepal, this International Forum was
organized in the university premises by Ehime University International Center and Ehime
University Center for Disaster Management Informatics Research together with the support of
Ehime University Alumni Association to mainly discuss major fields of Nepal’s development and
efforts towards building a new Nepal, especially after the recent political transformation.
2. PROGRAM OBJECTIVES
For the last five-six years, a group of researchers from Ehime University (led by Prof. R. Yatabe)
has been involved in Nepal activities through Disaster Management efforts, particularly focusing
on landslide disaster mitigation. International scientific meets, landslide field investigations, joint
programs with Japanese University Alumni, meetings with Nepalese government authorities and
Japanese missions in Nepal, interactive meetings with disaster experts of Nepal, etc. had been the
major activities up until the end of 2005. With the signing of memoranda of understanding with
the Nepalese academic institutions and placing of the satellite office in Kathmandu on 28 May
2006, however, the fields of activities and area of involvement have largely increased, mainly due
to setting of goal to cooperate with Nepal in its development efforts through academic activities.
This international forum was organized as a part of the Ehime University efforts to cooperate with
Nepal and to mark the completion of one full year from the date of establishing formal relation
with the Nepalese academic institutions and placing the satellite office in Kathmandu. The
following were the main objectives:
•
•
•
•
Strengthening of Ehime University-Nepal ties through specific discussions and identification
of fields of interest
Understanding the level of major development sectors through current development statistics
Introducing the major research fields of Ehime University to the Nepalese counterparts
Appealing the Nepal interest of Ehime University to the people of Nepal as well as the
people of Ehime and Japan
3. PRESENTATION CONTENT
In the opening address, the President of Ehime University Prof. M. Komatsu particularly
expressed his pleasure to welcome the invitees from Nepal in the forum. He then gave a brief
background of the recently established relationship of Ehime University with Nepalese academic
institutions and placement of Ehime University Satellite Office in Kathmandu. He also mentioned
about the recent political developments in Nepal and wished for the success of Nepal’s efforts to
turn into a stable and peaceful democratic nation. He said Ehime University has focused its
activities in Nepal as a part of university’s mission to support Asian nations in their development
efforts. He also expressed his strong belief in the Asian spirit for ethnic harmony and tolerance,
which are essential for a stable and peaceful nation. In the end, the President said the forum
having been able to strengthen further the relation between major academic institutions of Nepal
and Ehime University has been one major step towards cooperating with Nepal in its nation
building efforts, and hoped that it will act as a base for practical plans of collaboration among
Nepalese academic institutions and Ehime University.
-4-
The program then moved into presentations by the invitees from Nepal on major issues of
Nepal’s development. The following is the list of presentations and the details of the presenters.
Sector:
Sector:
Sector:
Sector:
Sector:
Education
•
Prof. Dr. Deepak Bhattarai, Principal, Nepal Engineering College
Politics
•
Transformation of Nepal into a Stable Nation State through Constituent Assembly
Prof. Dr. Yubaraj Sangroula, Principal, Kathmandu School of Law (affiliated with
Purvanchal University)
Economy
•
Economic Development of Nepal (with Special Reference to Industry and Tourism)
Prof. Dr. Jaya Krishna Pathak, Central Department of Management, Tribhuvan
University
Infrastructure
•
Prof. Dr. Rajendra Adhikari, Principal, Nepal College of Information Technology
(affiliated with Pokhara University)
Natural Disasters and Environment
•
Natural Disasters and Their Impact on Infrastructural Development and
Prof. Dr. Bishal Nath Upreti, Dean, Institute of Science and Technology, Tribhuvan
University
Each presentation was followed by question-answer time, and the most questions were asked by
the Nepalese students at Ehime University and Kagawa University. The presenters of politics,
economy, and natural disasters and environment attracted greater number of questions, but as the
question-answer time was very limited, many interested participants were unable to raise
questions.
Then, the program moved into Panel Discussion coordinated by Ms. Ruth Virgin, Associate
Professor of Ehime University International Center. The panelists were: Ms. R. Mukai of Ehime
University International Center, Dr. N. P. Bhandary of Ehime University Graduate School of
Science and Engineering, Prof. K. Tozawa of Ehime University Faculty of Law and Letters, Dr. T.
N. Lohani of GRI, Japan, Ms. S. Bharati of Ehime University Graduate School of Agricultural
Sciences, and Prof. M. Yoshida of Gondwana Research Institute Japan. Although 20 minutes of
the Panel Discussion program were separated for discussion over the presented issues, due to
elongated presentations and lack of time in the end, no discussion could take place.
Finally, the program was closed by Prof. M. Kashiwadani, Director of Ehime University
Center for Disaster Management Informatics Research with his closing address.
4. RECEPTION PARTY
About 45 forum participants joined the Japanese style reception party held at the main meeting
hall of the university guest house. The party began with a formal welcome speech of the President
of Ehime University Prof. M. Komatsu followed by proposing of toast by the Permanent Board
Member of Ehime University Alumni Association Prof. Tsugunori Nogura (Faculty of Science,
Ehime University). The President in his welcome speech expressed his sincere appreciations to all
invitees from Nepal, and said he believed that the international forum has been able to further
strengthen the ties between Ehime University and Nepal and has also been an important step
towards cooperating with Nepal in the field of academic activities.
5. PUBLICITY AND MEDIA
The forum program was well publicized through information boards not only within the
university premises but also at various organizations in Matsuyama, which include Ehime
Prefecture International Center (EPIC), Matsuyama International Center (MIC), other private
universities and colleges, post offices, etc. Moreover, the program information was put in the web
-5-
through Ehime University International Center URL and Ehime University Laboratory of Soil
Mechanics and Geoenvironmental Engineering URL.
On the evening of 2 June 2007, a short news piece about the program proceedings was aired
by NHK Matsuyama station. Moreover, the program highlights and objectives were covered by a
Japanese news article in Ehime Shimbun (Ehime Newspaper), the local daily newspaper.
Strengthening Nepal Ties
A Forum to commemorate first anniversary
of MOU at Ehime University
Commemorating the completion of one year
after signing MOU for academic exchange with
five major Nepalese academic institutions,
Ehime University organized an International
Forum to discuss Development Efforts for New
Nepal at the university premises in Bunkyo
area of Matsuyama City. On the same occasion,
Ehime-Nepal Friendship Council involving
Ehime University itself and nine other
organizations and associations was also
established to begin exchange programs in
public and private organization level too.
The forum was participated by about 85
people. Prof. M. Komatsu, the President of
Ehime University, in his opening address, said
that in a situation of various world conflicts
due to globalization of economy, the success of
Nepal, a country of great ethnic and religious
diversities, in turning into a peaceful
democratic nation bears a great significance.
He added that Ehime University wishes to
move a step forward in strengthening the ties
with Nepal through academic and student
exchange programs. The five Nepalese invitees
from the five academic institutions including
Nepal Engineering College and Tribhuvan
University presented their papers on Nepal’s
educational development, political situation,
Economic aspects, and natural disasters.
Prof. Bishal Nath Upreti, the Dean of the
Institute of Science and Technology of
Tribhuvan University presented a paper on
Current State and Challenges of Natural
Disasters and Environmental Problems in
Nepal. He talked about the poor state of
road-like public infrastructures due to frequent
disasters, and stressed the importance of
special attention to geological conditions in
developing the national infrastructures and said
the donor nations like Japan should also
consider this fact.
Ehime University has established close
relation with Nepalese academic institutions
through disaster management as a common
interest, and also placed a satellite office in the
capital city of Kathmandu. Prof. R. Yatabe and
his team at EU Center for Disaster
Management Informatics Research have
recently completed a joint research project on
landslide Prevention along major highways in
Nepal. Moreover, there are currently 12
Nepalese students studying at Ehime
University.
On the same occasion, Ehime-Nepal
Friendship Council consisting 10 Nepal-related
organizations in Ehime including Dr. Iwamura
Support Foundation and Ehime Professional
Engineers Association was formally
established. Dr. Koichi Suga, the Vice
President of Ehime Professional Engineers
Association has been unanimously elected the
President of the newly established
Ehime-Nepal Friendship Council.
6. CONCLUDING REMARKS
Although this international forum was totally focused at discussing Nepal development issues,
participation of people from different walks of life having interests in international exchange
-6-
activities was one of the main significance of this program in the part of Ehime University
International Center, one of the organizers of the program. This program has not only put forward
the interests of Ehime University in Nepal but also made clear the vision of Ehime University
towards assisting nation building efforts of Asian developing countries through academic and
related activities. The current state of major development sectors of Nepal and the challenges
ahead were well presented by the Nepalese invitees, and the participants of the program must
have had a close look a the problems of Nepal. The interactive question-answer time after each
presentation had been able to add more liveliness to the program. The participation of Nepalese
students in question-answer interaction time, especially during the presentations about political
situation and natural disasters, indicates that they are all very concerned about Nepal’s
development. Such programs therefore bear a great significance for the international students.
An international forum to discuss issues of one particular country and strengthen the ties of
cooperation for national development is probably the first of its kind inside the university
premises. From the beginning of year 2006, the President of Ehime University has time and again
brought forward the issues of Nepal as part of university’s international contributory activities in
priority. The President has cooperated fully with the efforts Ehime University has made so far and
is going to make in the days to come, mainly involving disaster management, protection of people
and world cultural heritage sites from earthquake disasters, and human resource development.
This forum has been a great step forward to deepen Ehime University relations with Nepal, and
high expectations can be made towards enhanced activities for the days ahead.
(Reported by N. P. Bhandary, Ehime University)

-7-
PROGRAM PROCEEDING IN PICTURES
Opening Address by Prof. M. Komatsu, President, Ehime University
The participants and media people
-8-
Prof. Deepak Bhattarai, Principal, Nepal Engineering College presenting his paper on
Prof. Yubaraj Sangroula, Principal, Kathmandu School of Law presenting his paper on
Transformation of Nepal into a Stable Nation State through Constituent Assembly
-9-
Prof. Jaya Krishna Pathak, Central Department of Management, Tribhuvan University presenting
his paper on Economic Development of Nepal with Special Reference to Industry and Tourism
Prof. Rajendra Adhikari, Principal, Nepal College of Information Technology presenting his paper
on Infrastructure Development and Maintenance in Nepal
- 10 -
Prof. Bishal Nath Upreti, Dean, Institute of Science and Engineering, Tribhuvan University
presenting his paper on Natural Disasters and Their Impact on Infrastructural Development and
Nepalese students at Ehime University interacting with the paper presenters during
question-answer time
- 11 -
Ruth Virgin, Associate Professor, Ehime University International Center coordinating the Panel
Discussion
R. Mukai, Associate Professor, Ehime University International Center presenting the outline and
activities of Ehime University International Center during the Panel Discussion
- 12 -
Prof. K. Tozawa, Faculty of Law and Letters, Ehime University presenting his panel discussion
issue of Student-level exchange between Ehime University and Nepalese Academic Institutions
Dr. Tara N. Lohani, Senior Researcher, GRI, Japan, President, NEA-JC presenting his paper on
Role of Academic Institutions in Nation Building during the Panel Discussion
- 13 -
Ms. Saraswati Bharati, PhD Candidate, Graduate School of Agricultural Sciences presenting her
perception of the Role of Japanese University Students in Nation Building during the Panel
Discussion
Prof. M. Kashiwadani, Director, Ehime University Center for Disaster Management Informatics
Research reading out the Closing Address
- 14 -
President Komatsu welcoming the participants in the reception party
Listening to the President’s welcome speech during the party
- 15 -
In the middle of the party time
Prof. Deepak Bhattarai expressing his words of appreciation on behalf of all Nepalese delegates
- 16 -
Prof. K. Tozawa closing the party according to the Japanese customs
A group photo at the end of the reception party
- 17 -
ASSOCIATED PROGRAMS IN PICTURES
The delegates from Nepal visited various offices and places in Ehime for the purpose of
strengthening Ehime-Nepal relation.
President Komatsu, Prof. Endo, and Prof. Yatabe (left to right) of Ehime University meeting with
the Nepalese delegates and briefing the activities of the university (2007.5.30)
A group photograph in the President’s office after the meeting (2007.5.30)
- 18 -
The delegates being briefed of the research activities at Geodynamics Research Center, one of the
prides of Ehime University (2007.5.30)
Prof. Tanabe (left) of Marine Environment Research Center, another pride of the university,
meeting with the delegates and briefing the research activities of the center (2007.5.30)
- 19 -
Dr. ………, Associate Professor of Cell-free Science and Technology Research Center, another
pride of Ehime University, briefing the research activities of the center (2007.5.30)
A view of Matsuyama City on the back from famous Matsuyama Castle (built in 17th Century)
hill and the delegates (2007.5.30)
- 20 -
The delegates visited Asahi Beer Factory of Shikoku Region in Saijo City of Ehime and observed
the zero emission technology of the factory (2007.5.31)
The delegates visited the world’s longest three-span suspension bridge (Kurushima Bridge) in
Shimanami Expressway connecting Ehime and Hiroshima Prefectures (2007.5.31)
- 21 -
The delegates visited one of the famous Shrines in Ehime, the Oyamazumi Shrine situated in
Omishima Island and observed a part of the Japanese religious culture (2007.5.31)
Get-to-know gathering with the Nepalese students and their family members in Matsuyama
(2007.5.31)
- 22 -
A group photo at Matsuyama River and National Highway Office (under Ministry of Land,
Infrastructure, and Transport) with the Office Manager (second from left, second row), the
delegates observed the road and river related disaster management technology at this office
(2007.6.1)
The delegates also visited recently established Matsuyama Bousai Station (Disaster Prevention
Station) on the bank of Shigenobu River in Matsuyama and observed various post-disaster
equipment and supplies at the station (2007.6.1)
- 23 -
The delegates visited NHK Regional Station in Matsuyama and were briefed how NHK cautions
the public of possible disaster and reports disaster incidents (2007.6.1)
The delegates with the Deputy Mayor of Matsuyama City Mr. S. Okamoto (sitting at the center),
The Deputy Mayor extended his good wishes towards Nepal’s efforts for development (2007.6.1)
- 24 -
The delegates visited Ehime Newspaper Publishing Company (Matsuyama) and met with the
Company President (sitting on the left) to understand how publication media play their role in
disaster management and development issues in Japan (2007.6.1)
- 25 -
NAME LIST OF THE PARTICIPANTS
S. N.
1
2
3
Name
Deepak Bhattarai
Rajendra Adhikari
Bishal Nath Upreti
4
5
6
7
8
9
10
11
Yubaraj Sangroula
Jaya Krishna Pathak
Illya Bhattarai
Indira Upreti
Masayuki Komatsu
Mrs. Komatsu
Norio Yagi
Masuo Kashiwadani
12
Tsugunori Nogura
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
Kenji Tozawa
Tetsuro Miki
Ryuichi Yatabe
Ruth Virgin
Keiko Hamada
Kazue Yoshida
Rumiko Mukai
Shino Takahashi
Akio Matsumoto
Kenji Shinozaki
Nanae Tamura
Netra Prakash Bhandary
Junko Nakajima
Shuichi Hasegawa
Tadanori Ishizuka
28
29
Suzuki Kenichi
Junji Uchida
30
31
32
33
34
35
36
37
38
39
40
41
42
43
Koji Mitani
Kiminori Minakuchi
Kazuo Hamada
Katsutoshi Tanaka
Hiroko Sakai
Yasushi Tateishi
Seiichi Hiramatsu
Tomokazu Takayanagi
Hideki Inagaki
Yasuaki Manabe
Noboru Ido
Koji Yamamoto
Koichi Suga
Toyohiko Matsushita
Affiliation
Principal, Nepal Engineering College
Principal, Nepal College of Information Technology
Dean, Institute of Science and Technology, Tribhuvan
University
Principal, Kathmandu School of Law
Professor, Tribhuvan University
Mrs. Bhattarai
Mrs. Upreti
President, Ehime University
Professor Emeritus, Ehime University
Director, Ehime University Center for Disaster
Management Informatics Research
Professor, Science, Ehime University and Permanent
Board Member of Ehime University Alumni Association
Professor, Law and Letters, Ehime University
Professor, Medicine, Ehime University
Professor, Engineering, Ehime University
Ehime University International Center
Assistant Professor, Engineering, Ehime University
Ehime University Faculty of Engineering
Professor, Engineering, Kagawa University
Shikoku Sabo Office, Ministry of Land, Infrastructure, and
Transport
Shikoku Branch of Japan Student Services Organization
Tokushima Management Office, West Nippon Expressway
Company
Shikoku Branch of West Nippon Expressway Company
Ehime Prefecture Public Research Unit
Ehime Prefecture Public Research Unit
Dr. Iwamura Support Foundation
Oyo Corporation
Kankyo Chishitsu Company
Kiso-Jiban Consultants
Gosei
Geo-Research Institute, Japan
Fuyo Cunsultants
Heiwa Concrete Company
- 26 -
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
Mikio Kuroda
Hashimoto
Takeya Shinoura
Hirofumi Masutani
Yukio Shimizu
Junichi Kanda
Kenichi Inoue
Tokio Ninomiya
Hideki Kadoma
Chinese foreign student
Ranjan Kumar Dahal
Miliam Seil
Guneshwor Ojha
Ava Khatri
Sabitiri K.C
Deepak Baniya
Santosh Shrestha
Saroj Kumar Pandit
Bhojraj Pantha
Kiran Bhatta
Subas Chhatkuli
Achyut Nainavasti
Nirmala Bhatta
Pashupati Paudel
Saraswati Bharati
Arjun Kumar Shrestha
Tara Nidhi Lohani
Atsuko Tamanoi
Masaru Yoshida
Mrs. Yoshida
Mr. Ochi
Hiroshi Nishihara
Chikako Nishihara
K. Higaki
Ozaki
T. Nakamura
Ishwori Sapkota
Ankit Kumar
Kiyoharu Hirota
Miki Matsumoto
Nose
Hashimoto Kougyou
Hashimoto Kougyou
Misozoen Kaihatsu Company
Masutani Company
Heiwa Concrete Company
Vice President, Ozu Rotary Club
Net Learning, Matsuyama
T-Net Japan
Law and Letters, Ehime University
Law and Letters, Ehime University
PhD Candidate, Engineering, Kagawa University
Graduate Student, Law and Letters, Ehime University
Graduate Student, Law and Letters, Ehime University
Graduate Student, Engineering, Ehime University
Family member (Ava Khatri)
Family member (Ava Khatri)
PhD Candidate, Engineering, Ehime University
Graduate Student, Agriculture, Ehime University
PhD Candidate, Agriculture, Ehime University
Researcher, Agriculture, Ehime University
President, Nepal Engineers' Association Japan Chapter
Sophia Club, Matsuyama
President, Gondwana Research Institute
Hashimoto City, Wakayama, Japan
Nihon Kankyo Plant
Niihama City, Ehime
Niihama City, Ehime
Matsuyama City, Ehime
Family member (Nirmala Bhatta)
Intern Student, Ehime University (from IIT Kanpur)
Researcher, Ehime University
Ehime University
(Names in order of registration date)
- 27 -
Chapter 1
Deepak Bhattarai (Prof. Dr.)
Principal, Nepal Engineering College
ABSTRACT
Nepal is fairly a large country with rich natural resources and cultural heritage. Very rich in water
resources and bio-diversity, Nepal is one of the least developed countries and hence under
developed. Literacy rate is about 60% only. Country of knowledge and wisdom, Nepal has lagged
behind in industrialization and modern development. Modern education started very late – only in
the year 1853. Political instability over last few decades has affected development of education
sectors. This paper looks into the history of development & tries to review present status of
education. The paper also highlights the country's plan to provide education for all and to develop
higher education sector under cost recovery principal.
1. NEPAL: AN INTRODUCTION
1.1 The Country
Nepal lies between 26°22'-30°27' North latitude and 80°4'-88°12' East longitude. Its area is
147,181 sq.km. situated between Republic of India and Tibetan autonomous region of the
Peoples' Republic of China. Altitude of the country varies between 70m (Kechana, Jhapa) in the
South to 8,848m (Mt. Everest) in the North. Deep gorges, snow fed rivers and river valleys,
mountains and plains forms the general topography of the country. Country is divided as High
Himalayan Region (37%), mid mountains (49%), and Terai (14%) of the total area
Total population of Nepal is about 26,000,000. About 8% live in High Himalayan Region,
47% live in Mountains and about 45% live in Terai – Southern plains. Population can be divided
into two distinct groups: the Sino-Mongolians and Indo – Aryans although there are about 40
ethnic groups and over 70 spoken languages (ANP – 2007).
Climate of the country ranges from tropical in the low lands to the arctic at the higher
altitudes. Climate dictates the type of vegetation in the nature.
1.2 Economy
Nepal's economy is based on agriculture. About 80% of the population lives in villages whose
main source of income is agriculture. Its contribution to GDP is about 40% and its contribution to
employment is about 90%. Average per capita income is US$ 290 per year (NEF, 2006). About
38% people live below the poverty line. GDP rate is declining since 1991. Population growth has
more or less stabilized at 2.25%. Overall consumer price index is rising very fast over the last
decade suggesting high rate of inflation. Country witnessed very hard time over last decade
because of armed conflict in the country. National income is just enough to run administrative
expenses. Therefore all the development expenditures are met through bi-lateral/multilateral
grants and loans. Major bi-lateral donors are India, China, Japan, USA and UK.
1.3 Political System
Nepal for 104 years before 1951 was under the autocratic Rana regime. Democracy was practiced
during 1951-1960 when the then king Mahendra took over power from the elected government
and the kings ruled until 1990. After the democracy of 1990 also general progress was not
significant. There was no political stability. The country was witnessing armed conflict for almost
a decade before the political uprising of 2006 changed the country to present "Loktantra".
Probably the country is heading towards a republican state of federal type of governance meaning
more autonomy to provinces constituted on the basis of language and or ethnicity. There are about
- 28 -
20 right democratic parties and equal number of left democratic parties in the country. Country is
expected to be stable and peaceful although small splinter groups have started arms fighting in
different parts of the country. Political issues are expected to be resolved after a new constitution
of the country is written by an elected constituent assembly.
1.4 Infrastructures Available
Country is progressing rapidly in providing modern infrastructure facility to all citizens. However
because of the rugged terrain and the scattered pattern of settlement in the mountains it has been a
Herculean task.
In the transport sector there is an International Airport at Kathmandu. Six regional and 35
other airports provide dependable air service within the country. Extension of air services to the
remote areas of the country is also continuing and 6 additional airfields are under construction in
the mountainous region (Giri, 2002). Two more international airports are also planned (Bhattarai,
2002). Kathmandu is connected with direct flight from China, India, Japan, Malaysia, Thailand,
Bangladesh, Hong Kong, Qatar, Holland and Germany.
There are about 17,280 km of roads. Out of this 5,273 km is blacktopped, 4,613 km graveled
and 7,394 km are dirt seasonal road. Rail road is not a common means in Nepal although it does
exist in short distances from Janakpur to Jayanagar and Birgunj to Raxaul to connect with Indian
railway.
Nepal has fairly reasonable Telecommunication network within the country and outside.
Currently about 531,000 land line telephones and 250,000 mobile and CDMA lines are available.
However, telephone line available per 100 people is 1.78: urban area 12.63 and rural area 0.125
(NDP, 2006). The government is therefore encouraging private sector in taking elements of the
telecommunication networks (NCP 1996). Also there is a slow but dependable postal network
throughout the country. There are 1,879 newspapers or magazines published in the country (NDP,
2006).
1.5 Energy
Nepal is said to be one of the richest country with hydropower potential of about 83,000 MW.
About half (44,000) is said to be highly feasible. Many experts claim this figures to be much
lower than actual potential of the country. Actual potential of the country remains to be studied in
depth. So far, about 600 MW of electric power has been generated. Other major sources could be
solar energy and wind energy. Practically, they have not been tapped for meaningful purpose.
Most of the energy demand is met by bio-mass and organic fossil fuel.
2. EDUCATION IN NEPAL
2.1 History of Education
Ancient Nepal is believed to be the centre of learning the oriental culture and religion. Formal
education system did not exist although culture of education existed through the sages (Gurus)
transferring their knowledge to pupils (Chelas). Written documents as old as 500 BC suggest that
there was a strong education tradition in the country. This tradition was backed by the Vedic
philosophy that a country must live able (Sabalang) and healthy life. Pali and Sanskrit were the
languages of the elite. Brahmi and Devnagari were the scripts used at different times.
Modern education started with the start of Durbar High School at Thapathali, Dakh Chowk
in October 1853 (Ashwin 27, 1910 B.S.). Department of Education was started by the then Prime
Minister Junga Bahadur Rana (ANP, 2007:200) in the year 1858 to institutionalize educational
development in the country. Similarly, first Sanskrit school was started in the year 1874. It was
only in the year 1885 (1942 B.S.) that common people were allowed to be enrolled in Durbar
School. This school was institutionalized in the year 1891 by transferring in its own building
where it is located today.
It is very interesting to note that Prime Minister Bir Samsher (1885-1900) sent 6 persons to
Japan to be trained in technology education. Gehendra Samsher, one of these 6, is considered as
the first Nepali Scientist to make canon – a firearm. Then after growth of education sector was
rapid. In the year 1900, Dev Samsher started 50 schools in Kathmandu valley and 180 outside the
valley. Text book was prescribed for the first time and scholarships were given to students getting
- 29 -
admission in Durbar School. Book Publishing Company "Gorkha Bhasa Prakasini Samiti" was
started in the year 1912. Tri-chandra College was started in 1919. One year after that Science
education was initiated at Tri-chandra College.
The schools and colleges were affiliated with Calcutta University of India until 1923. After
1923, affiliation was changed to Patna University of India. In the year 1923 a girls' school was
started at Dhokatol of Kathmandu.
First schools of technology, the agriculture school and a school of health sciences were
started in the year 1928. From 1929, matriculation examination was conducted at Tri-chandra
College instead of at Patna. 1930 marked the year when a technical school was started at Kumari
Chowk of Kathmandu. This school was later converted to engineering school in the year 1959.
The first university planning senate was formed in the year 1948. This senate did all the
homework, arranged resources and it was in the year 1959 that Tribhuwan University – the first
university of Nepal was established. This university allowed private colleges to run from the year
1980.
Gradually other universities and deemed universities were opened as shown in table 2.1.
University grant commission was formed in the year 1994.
Table 2.1 Universities in Nepal
S. No.
1
2
3
4
5
6
Name of the Institution
Nepal Sanskrit University
Kathmandu University
Eastern Regional University
Pokhara University
BP Koirala Institute of Health Sciences
Year Established
1959
1986
1992
1995
1997
1998
7
National Academy of Medical Sciences
2002
8
Lumbini Boudha University
2005
Remark
Deemed to be
University
Deemed to be
University
2.2 Efforts to Institutionalize Education
Institutionalization of education started with the establishment of Department of Education in the
year 1858. In the year 1936, first Education Board was established for the growth of education in
the country.
Law was promulgated on February 1939 that regulated establishment of schools in the
country. Office of the Inspector of Schools was established in the year 1941. It was in the year
1947 that the country was divided in 3 educational regions.
National Education Board was formed in the year 1952. Same year District Education
Committees were formed and Nepal got membership of UNESCO. A 46 member National
Education Council was formed in the year 1953. After the general election of 1959, education
administration was divided into 28 districts. National education council was formed in the year
1959 with an aim of working out National Policy in education. Country was divided in 14 zones
and 75 districts. Zonal and district level education offices were established in the year 1967,
National education Advisory Council was formed and Education Rule – 2027 was published in
the year 1970.
After the democratic movement of 1990, a 15 member National Education Council was
formed under the leadership for education minister. A master plan of "Education for All" was
ready by 1992. Same year higher secondary school system (10+2) was implemented. In
December 1992 new educational rules were implemented and "Educational Manpower
Development Centre was established". A high level commission for education was formed in the
year 1998. National Teachers Services Regulation was promulgated in the year 2000.
Curriculum Development Centre was established in the year 1971 with the aim of
modernizing and upgrading curriculum continuously. A National Curriculum Council was formed
to address the policy level issues related to curriculum of the schools. (ANP, 2007: 200-210).
- 30 -
2.3 Present Status
2.3.1 General School Education
Education awareness is increasing all over the country. Government has given special attention in
remote area like Karnali Zone. Also private initiative has helped the government effort to provide
quality education for all.
University education has gone more to the community and private initiative than in the
public sector. Table 2.2 shows present status of education in the country.
Table 2.2: Present Education Status
S. No
1
2
3
4
5
Level of
Education
Primary
Lower
Secondary
Secondary
Higher
Secondary
University
Education
Number of
Schools
27,525
Public
%
77.3
Students
Enrolment
4,502,697
Girls
%
47.4
Number of
Teachers
101,483
Female
Teacher %
30
8,471
67.8
1374,796
45.7
25,962
16.3
5,039
62.2
587,177
45.7
20,232
8.6
1,018
52.6
364,404
43.3
-
-
520
16.2
141,636
32.7
-
-
Source: Ministry of Education and Sports
Community and private initiatives do not get any grant from the government.
Literacy rate has been increasing steadily although much is needed to be done to achieve
100% literacy. In average 9.4%, households have access to primary schools within half an hour
walking distance.
2.3.2 Technical School Education
Council for Technical Education and Vocational Training (CTEVT) is trying to provide skill
development training and vocational education through various institutions in the country.
Because of the absence of clear policy and commitment at the government level, technical and
vocational education at school level is not progressing as was expected. Most of the institutions
affiliated with CTEVT impart secondary level technical education (Technical SLC) and graduates
opt for general higher education thereafter. Therefore there is a great gap in the trained manpower
availability in various industries. Table 2.3 shows the present status of technical and vocational
education.
Table 2.3: Present Status of Technical & Vocational Education
S. No Area of Studies
1
2
3
4
Agriculture
Health Sciences
Engineering
Others
Total
S. No Area of Studies
1
2
3
4
Total
Agriculture
Health Sciences
Engineering
Agriculture
Nos. of Institutions
Public
Private
2
2
2
52
4
16
0
1
8
71
Diploma Level (10+2)
Students Enrolled
Total
Public
Private
4
60
80
54
172
2680
20
102
1040
1
0
40
79
334
3840
Total
140
2852
1142
40
4174
Technical SLC (Secondary)
Nos. of Institutions
Students Enrolled
Public
Private
Total
Public
Private
Total
10
10
20
439
400
839
5
84
89
1255
5210
5465
20
12
32
913
680
1593
2
9
11
60
360
420
37
115
152
1667
6650
8317
Source: Ministry of Education and Sports
- 31 -
2.3.3 University Education
There are 6 universities affiliating higher education institutions and 2 others who award degree in
higher education. Tribhuvan University, the oldest and the largest university of Nepal enrolled a
total of 153,126 students in the year 2006 under 5 institutes and 4 faculties (UGC, 2006:5). Table
2.4 shows students studying in each university in the year 2005 (UGC, 2006:6).
Table 2.4: Number of Students in Universities
S. No.
Name of the University
Number
Enrolled
of
Students Remark
1
2
3
4
5
6
Nepal Sanskrit University
Kathmandu University
Eastern Regional University
Pokhara University
Lumbini Boudha University
7
National Academy of Medical
125
Sciences
B. P. Koirala Institute of Health
721
Sciences
Total
141,636
Note: Students number is the total of constituent and affiliated colleges
Source: UGC 2006:1
8
118,367
2,834
5,162
8,812
5,615
-
Recently
established
Lumbini Boudha University is established in the year 2006 with the aim to focus on Buddhism
Studies at the birthplace of Lord Buddha.
3. NATIONAL EDUCATION SYSTEM
3.1 Present System
National education system is broadly divided into school education and university education.
There are 4 levels in school education. They are:
• Primary (0-5 years)
• Lower Secondary (6-8 years)
• Secondary (9 - 10 years)
• Higher Secondary (11 - 12 years)
After completing higher secondary education students go to universities to join bachelor level
education which is generally of 4 years duration. There is a large dropout at every level. These
dropped outs go to job market directly. Very little students are technically trained to go to the job
market. Therefore they are not fit in any job and hence get employed at very low wage. On the
other hand, there is a great demand for highly skilled technicians in all the fields. Figure 3.1
shows the number of students at each level of education.
There is a preprimary education system but in non formal basis. It is estimated that there are
about 7000 pre-primary schools in the country catering to about 40% students of 3-4 years age
group. Number of primary schools is 27,914 and students enrolled in these schools are 4,502,697.
This is about 84% of the children of school going age. About 16% children never go to any
school.
Technical education at the school level has not got priority so far although a special council,
the Council for Technical Education and Vocational Training (CTEVT) was established in the
year 1989 to look after this sector. Policy related to trade schools is missing some how. Probably
it is related with the political instability in the country.
Lower secondary schools are 7,436 in numbers catering to 1,444,997 students. This is about
36% of the students enrolled in primary level. Therefore there is a drastic dropout of 64% while
completing primary level.
- 32 -
141636
Bachelor Level
364404
Higher Secondary
Secondary
587177
1374796
Lower Secondary
Primary
Job Market
Technical Training
About
Higher 30000
4502697
Pre-primary
0
1000000 2000000 3000000 4000000 5000000
Fig 3.1: Number of Students at Each Level of Education
27914
28000
Numbers of Schools
21000
(B= 84%)
14000
7000
7436
1000
4547
7000
(A= 40%)
0
Pre
Primary
(C= 36% of B)
(D= 41% of C)
Low er
Secondary
473
(E= 51% of D) (F= 49% of E)
Higher
Secondary
School Level
Fig. 3.2: Number of Schools and Enrolment
Note: Number of Primary Students = 4,502,697
Figures inside parenthesis is the percentage of students enrolled.
There are 4547 number of secondary schools with total student enrolment of 587,566. This is
about 41% of the number in lower secondary schools suggesting for dropout of 59%. Higher
secondary schools are 1000 in number with student population of 300,000. This is about 51% of
the students in secondary education. Again there is 49% dropout.
In university education, there are about 142,000 students in 473 colleges under 6 universities.
Enrolment rate is about 49% of the number of higher secondary students.
Most of these schools and colleges offer general education. Technical education although
have very long history has not picked up significantly. Students dropped out at various levels go
directly to job market without any technical skill. A system which could tap the dropouts and
impart some skill is being worked out.
3.2 Challenges Ahead
Almost 16% children never go to any school. It is challenging to see all the children of school
going age attend the school. Dropout rate is very high. This must be checked to get the benefit of
public expenditure in school education. Non formal education and community participation is
- 33 -
very minimal. Poor people will not be encouraged to send their children to school unless some
revenue generation program is launched targeting the deprived population.
Another important challenge is to impart technical knowledge and skills to the students
leaving formal school education. So far only 1% of the budget set aside for education sector is
being spent on technical and vocational education (Basnet, 2006).
Implementation of cost recovery system in education essentially means privatization of
education. For this a great political will is needed. Under long transition phase the country is
witnessing, it is very difficult for any government to make policy shift.
In brief the following can be listed as the challenges ahead.
1. State of conflict and political instability
2. Decentralization of education according to the spirit of Education Act and Local Governance
Act.
3. Capacity building of stake holders at the community level and their involvement.
4. Increasing literacy rate in the marginalized population.
5. Providing basic physical infrastructures required for quality education at the schools.
6. Implementation of cost recovery system at all level.
7. Providing "Free and Compulsory" primary education in the country.
8. Providing vocational training to all the dropout students.
9. Making education all inclusive by providing access to women, indigenous people, and dalits.
3.3 The Bright Future
The country has a vision to provide basic and quality education for all to produce conscious,
capable and productive graduates who could play active role in economic activities (SD, 2007).
Government is committed that education is both a basic human right and a development tool
(SSA, 2007). The government has understood clear advantages to planning operating and
financing an integrated 1-12 year school system. It will magnify the roles of local community in
governance, re-sourcing and quality assurance in school education.
The concept of an integrated grades 1 to 12 system has been under consideration for at least
a decade. The need for structural adjustment to the integrated school system was further
emphasized by the Basic and Primary Education Master Plan (1997).
The new system being planned envisages basic education 1-8 years and secondary education
9-12 years. This plan also aims at meting the demand of contemporary society – definitely
meaning the employment market. It is therefore hoped that technical education shall be
introduced at all levels especially targeted to the dropouts and also workout a system that ensures
minimizing dropouts at every level.
4. FUTURE PLANS
4.1 School Sector Reform Program
The country is preparing a School Sector Reform Program with School Sector Approach (SSA).
The Education for All National Plan of Action (EFA/NPA, 2001-2015) emphasizes the need for
harmonizing school education by integrating grade 1-12 school system. The Tenth Plan
(2002-2007) recognizes the centrality of schools in developing human potential and reducing
poverty. (SSA, 2007)
The government also realizes that people through the popular movement of 2006, voiced
their aspiration for change in the education system: from dependency to autonomy, from
exclusion to inclusion and from didactic to participatory. The people demonstrated their concern
about educational delivery with reference to equity and quality of education. The major objectives
of the SSA are as follows:
a)
b)
c)
To provide policy framework to facilitate the reform process for an integrated school sector.
To enhance all aspects of quality education to meet the needs and aspirations of the people.
To hold the government, local bodies, schools and stakeholders accountable for students
learning (SSA, 2007).
- 34 -
This is a long term plan of the government and needs long term commitment. To address the
current transition phase and also address the vision of the type of coalition government, a short
term plan – 3 years interim education plan (2007-2010) has been prepared.
4.2 The Interim Plan
Government of Nepal has prepared an interim education plan (2007-2010) with an aim of
improving overall education standard. This plan has taken some strategic approach to improve the
education standard in a short period. Some of the strategies are:
a) Educational decentralization: to make local body more accountable and manage educational
institutions.
b) Social inclusion: towards increasing participation of women, ethnic minorities, disabled,
marginalized groups and women.
c) Integrated implementation approach: targeted to marginalized groups.
d) Capacity building: of all the stake holders by taking both institutional and personal
development approach.
e) Use of IT: both for formal and non formal education.
f) Improvement in investment and grant system: especially on current grant system. Cost
sharing mechanism shall be tried in secondary education.
g) Improved students evaluation and certification procedure: for implementing continues
evaluation and liberal upgrading up to grade 7 and integrating current High School
Examination Board (grade 10) with Higher Secondary Examination Board (grade 12).
After implementation of this interim plan, it is hoped that there will be a visible
improvement in the school education sector. Table 4.1 and 4.2 shows the target of the interim
plan.
Table 4.1: Target of 3 years Interim Education Plan
S. No.
1
2
3
4
5
6
Indicators
10th 5 year Plan
Target
3 year Interim Plan
Target
70%
63%
76%
66%
90%
47%
96%
50
65%
45%
75%
50%
45%
45%
60%
48%
Literacy
Literacy Rate (6+years)
Literacy rate (15+yrs)
Primary Level
Enrolment Rate
Girls Students
Lower Secondary Level
Admission rate
Girl Student enrolment
Secondary Level
Admission rate
Girl Student enrolment
Higher Secondary
a) Admission rate
Higher Education enrolment
23%
30%
6%
8%
Source: Department of Education, MoES, Nepal
The plan has clearly envisaged to impart skill training targeted to the dropout students. Table 4.2
shows the plan as compared to the 10th five-year plan.
Table 4.2: Training Target of the Interim Education Plan
S. No.
1
2
3
4
5
Technical Education and Vocational
Trainings
Regular Training
Short Trainings
Training for Employment
Training for Foreign Employment
Skill Testing
- 35 -
Target of the 10th 5
yr. Plan
7100
23555
4000
Target of 3 years
Interim Plan
24000
15000
42640
6000
4500
4.3 Plan for University Education
University education has not received any priority in planning process. The six universities and
two deemed to be universities are left free to plan their programs and implement them in the free
market. The university education is left up to the market force to be driven.
It seems that the government has understood that university education is important for the
development of the country. Therefore, even before having any plan on university education,
Nepal has moved ahead with multi university system. Currently there are 8 universities. The
number increased significantly in the past few years. There are about a dozen and half universities
in the pipeline.
The GoN is planning to bring out "University Umbrella Act", which will open the door for
more universities in the nation.
5. CONCLUSIONS
A country with about 26m population and rich cultural and natural resources Nepal has remained
under developed. It has affected the investment in education. So development of education was
slow and it was felt necessary to plan education so as to achieve drastic change in it.
School education is very important. The country has so far witnessed several educational
plans to reach to the present status. Quality of school education is compatible with any other
country but there are still rooms for improvement. Government has long term education plan and
a short term (3 years) interim plan to address people’s aspiration for quality education. The long
term plan may take longer time to be finalized at least until a general election is held or a stable
government is formed. For 3 years, a short term plan is being finalized to be implementing in the
country.
Finally, the university education is more market driven as it is left to the market, and in
overall, the future of education sector is bright in Nepal.
REFERENCES
1. ANP (2007), Introduction and History of Nepal's Education, All Nepal School Information
and Relevant Telephone Numbers, All Nepal Publication, Kathmandu, Nepal in Nepali : 191.
2. Basnet, Chuman Singh (2006), Present Condition of Education in Nepal: Challenges and
Future Direction, Our Heritage (Nepali) year 5, Vol. 6:8.
3. Bhattarai, Deepak (2002), National Plan on Infrastructure Development in Nepal and Scope
of Construction Business Opportunities, Proceedings of the International Conference on
Construction and Infrastructures Development, March 21-24, 2003,, National Academy of
Construction Hyderabad, India.
4. Flash Report 1, (2004), School Level Educational Statistics of Nepal, Department of
Education, Nepal.
5. Gautam, Indra Kumari, (2007), Japanese Education System, Collection of Education
Statistics, Ministry of Education and Sports, Department of Education, GoN in Nepali 13:16.
6. Giri, Binod (2002), Airport Maintenance Plan, A Thesis submitted towards Partial fulfillment
of Master Degree in Construction Management under Pokhara University, Kathmandu,
Nepal.
7. NCP (1996) Nepal Country Paper, Economic and Social Commission for the Asia and the
Pacific, Kathmandu, Nepal.
8. NDP (2006), Nepal District Profile, Kathmandu.
9. NEF (2006), Nepal Educational Figures, Government of Nepal, Ministry of Education and
Sports, Kathmandu.
10. SD (2007), Second Draft, Chaitra 2063, A Draft Document of the 3 years Interim Education
Master Plan (2007-2010), Ministry of Education, Nepal.
11. Sharma, Indra, Dr., (2006) Education in Nepal: A Review from Gender Perspective, Hamro
Sampada Monthly, year 5, Vol. 6:129, in Nepali.
12. SSA (2007), School Sector Approach, A Concept paper on School Sector Reform Program,
Ministry of Education and Sports, Nepal.
13. UGC (2006), Annual Report (2005/2006) of the University Grants Commission, Bhaktapur,
Nepal.
- 36 -
14. SSRN (2004), Statistics of Strategic Road Networks, Department of Roads, Nepal.
15. SPB (2006), Statistical Pocket Book Nepal, Central Bureau of Statistics, Government of
Nepal, Kathmandu
Author’s Profile
Full name:
Deepak Prasad Bhattarai
Born:
8 March 1951 (Nepal)
Current affiliation: Principal, Nepal Engineering College
Academic Carrier:
2005
PhD, Tribhuvan University, Nepal
1990
Master Degree (Construction Management), Loughborough
University of Technology, UK
1975
Bachelor Degree (Civil Eng.), REC Rourkela, Orissa, India
Professional Carrier:
Current Principal, Nepal Engineering College (since 1994)
1990
Associate Professor, Tribhuvan University, Nepal (until 1994)
1987
Campus Chief, Western Region Engineering Campus,
Tribhuvan University, Nepal (until 1989)
1990
Consulting Project Manager in various construction projects involving road construction,
bridge construction, etc. (on going)
1981
Assistant Professor, Tribhuvan University, Nepal (until 1990)
1975
Construction Engineer, National Construction Company of Nepal (until 1980)
Research & Publications:
Prof. Bhattarai has published a large number of papers in national and international publications in the
field of construction management, roadside hazards, road and bridge constructions. He has also written
two books, mainly on construction management practice in Nepal.

- 37 -
Chapter 2
Transformation of Nepal into a Stable Nation State through
Constituent Assembly
Yubaraj Sangroula1, Dr.
Kathmandu School of Law, Nepal
1. PREFACE
A decade long violent conflict has shattered the fabric of the Nepalese society. The economy has
shrunken virtually to a state of 'collapse'. Traditional human sensitivity has lost its gravity of
power to 'morally regulate the society'. Social breakdown has become phenomenal, which makes
'brain drain' a serious problem to the future 'rehabilitation and reconstruction' of nation. Politically,
inter-ethnic relation of people has been sharply deteriorated, and if the crisis is not pragmatically
dealt with, the 'integration of the nation might face a serious challenge' in the days to come. In
entirety, Nepal as a nation is struggling to survive at the crossroads of 'perpetual violence and
finding a way out for smooth transformation to a prosperous nation state'. This article dwells into
dynamics of the conflict in Nepal and makes an attempt to look into the constituent assembly as
an instrument for transformation of Nepal into a stable nation state.
2. DYNAMICS OF CONFLICT
Occurrence of conflict in society is not an unusual phenomenon.2 While sources of conflict differ
in different societies, the over all impacts is generally the same, i.e. chronic instability in political
system, increased poverty and social anarchy and phenomenal violation of human rights. Conflict
in society generally occurs as a 'result of wrong or ill-management of societal relations' ensuing a
condition of accumulation of powers and wealth with a smaller groups of people. This condition
in turn gives emergence to a system of exploitation of majority. This thesis provides a ground for
belief that all kinds of conflict have ‘breeding space’ in structure of the society itself. The
discriminatory policies concerning 'access to opportunity, development and social justice', give
birth to a ‘condition of structural violence’ which in course of time breaks out into a form of
violent conflict'. In this perspective, the conflict connotes to a condition of denial of ' equality in
the socio-economic and political social framework’.
The conflict may have more than one dimension. Politically, it is associated with the issue of
‘power sharing’. In political context, therefore, it is an outcome the absence of transparency,
accountability, participation and predictability in the system of governance.3 Economically, it is
an expression of dissatisfaction of the entire or section of population to the ill distribution of
livelihood and development resources. Socially, it is a manifestation of anger against the
1
2
3
Associate Professor, Director of Kathmandu School of Law, Purbanchal University, Nepal.
. Conflict is often taken as a synonym of violence. Some writers have objected to this approach.
Society’s transformation is marked by conflicts. Dissimilar outlooks exist in society as normal affairs,
but it is not necessary that such difference is accompanied by violence. Nevertheless, all types of
conflict in society demand acknowledgement and proper and timely treatment in order to avoid a
circumstance where the conflict gets
transformed into violence. MS-Nepal Newsletter (April 2001)
rightly points out: “The Failure to acknowledge the normal course of conflict and act accordingly has
left horrifying results in the world. Only the 1990s have witnessed violent confrontation in Bosnia,
Chechnya and elsewhere. Over one half million people were killed in Rwanda in three months in
1994”.
. “The falling reputation of high-ranking peoples in Nepal due to abuse of the rule of law forms a crisis
in the legitimacy of the democratic institutions in the eyes of observers. The need to root out corruption
is seen as a prerequisite for all other positive changes within Nepal”. Categorically speaking, the
rampant corruption is one of the causes of outbreak of the violent conflict in Nepal. See on Shrestha,
Dr. Chuda Bahadur, 2004. Nepal Coping With Maoist Insurgency, Kathmandu, Nepal. P. 147.
- 38 -
‘seclusion or exclusion’ of some people by other within ‘the given societal structure’.
Psychologically, it is an outcome of defense maneuvers designed by one, who perceives threat of
its existence, against the other, who is dominant in power structure of the given society.
Conflicts might exist in latent and overt forms. Where the dominant class or group, or
element has enormous strength over the weaker, the conflict is hidden in the heart and mind of the
people. This type of conflict is often defined as ‘latent conflict’. The form or type of violence in
this type of conflict is ‘essentially structural’. The division of the society, for instance, ignited by
the failure to recognize the ‘socio-cultural diversity’ was perceivably a ‘structural violence’ in the
context of Nepalese society. Overt or violent conflict is a condition where the silence is broken or
the culture of toleration is challenged, and as such it is an expression of quest for change in the
status quo.4 This quest for change is a demand for ‘equity in power sharing, resource utilization
and recognition of socio-cultural diversity’. The ‘materialization’ of demand for ‘change to
equity’ is thus an instrument of transformation of the conflict’. It leads us to ‘opine’ that conflict
itself is not an ‘evil thing’. Its wrong handling makes it destructive, and thus evil.5
Conflict can be transformed in order to reduce its painful and unwanted consequences. This
is why transformation of conflict is defined as a ‘struggle for sustainable peace’. Of course,
therefore, neither the conflict nor the process for transformation of it is futile. The struggle for
peace is usually a struggle for better civilization which comprises better wisdom to address
problem and better security of the human lives and his/her surrounding. The struggle for peace or
transformation of conflict also means a struggle for ending the concept of state which is founded
on the hierarchy, patriarchy and in the arrogance and secrecy.
2.1 Causative Factors for Emergence of Insurgency in Nepal
Discussion on causative factors is important for two reasons: firstly, it helps to understand the
dynamics (ground realities) of the conflict; and secondly, it provides objective insights to develop
a framework for its transformation. Close enquiries on insurgency in Nepal presents the following
‘dynamics’ of the violent conflict:
• It was an outcome of ‘long standing disparities in power sharing, condition of inequity in
economic and social position of different groups of people and unequal distribution resources.
6
•
•
•
4
5
6
7
The transformation of the conflict is thus dependent on mutual agreement of the contesting
parties; the suppression of one will necessarily transform one type of conflict to other type.
No party in the socio-political conflict or crisis is fully wrong; the issue of injustice and
wrong is relative.
No socio-political problem is addressed in root by ignoring the valid interests of each party;
attempt to resolve problem by means of coercion will suppress the problem in its current form
but to let it emerge more violently in other form subsequently.7
. However, there might be exceptions to this statement. A conflict may not necessarily be directed to
change for achieving equality or justice. Some conflicts may have objective to ‘prevent change’. The
violence launched by Islamic fundamentalists is a good example. See for detail on Sangroula, Yubaraj
2005. Concepts and Evolution of Human Rights: Nepalese Perspective, Kathmandu School of Law,
Nepal. pp. 90-152.
. Change might be a threshold of progress. To make the progress rational and equitable, the concept of
equality operates as an inspiration. Equality in this sense exists as a ‘value’ as well as an ‘instrument’.
‘Equality’ also operates as an instrument because it provides a rational foundation of justice. Concept
of equality as such is a justification to ‘break the foundation of status quo’. See on Ibid.
. Structural or latent violence is generally related with political, economic, social, cultural discrimination
among peoples based on gender, caste, ethnicity, geography, class, etc. The issue of good governance
is closely linked up with these issues. They have an interface. Prevalence of socio-economic, political
and cultural disparity affects the prospect of good governance and the lack of good governance results
in added intensity of the discrimination and consequent marginalization. Supranote 2 at p. 85
. The Communist movement in Nepal has frequently raised its heads violently in connection with the
means of livelihood and long standing exploitation under socio-economic and cultural feudalism. In
Rautahat, as early as 1950s, peasants’ movement rose against the landlord, which was brutally
suppressed for the interest and benefit of the landlords. It was later raised its heads in Jhapa. It was
- 39 -
•
A harmonious transformation of the conflict is sustainable because it also develops
confidence of disputing parties to each other.
Insightful understanding of these dynamics immensely helps to transform the conflict peacefully.
The 2nd Janaandalon (people’s movement) has been able to instill this idea in the mind of
Nepalese people. The Nepalese people have developed a belief that the scheme of ‘transforming
the current discriminatory social structure’ is precondition for ‘sustainability of peace and
democracy’ in Nepal. This mission is to be addressed by the Constitution made by the popularly
elected Constituent Assembly. The transformation process, on the other hand, demands for
identification of the ‘mediate and immediate’ natures of the ‘causative factors’. In this context, the
Constituent Assembly is an instrument to ‘deeply analyze and distinguish mediate and immediate
causes of conflict and address them accordingly’.
2.1.1
Mediate Causative Factors
Mediate causative factors are deeply associated with undemocratic, conventional and
anti-cohesion societal characters of a society, such as caste-based hierarchical structure, feudal
governance system, enslaved and corrupt bureaucracy, conspiracy and violence-backed power
relation between ruling segments, uncritical or hypocritical political loyalty and anti pro-active or
reactive social psychology. In entirety, these are characters of a ‘feudal and stratified society’. The
past of the Nepalese society is largely marked by these characters, which have been consistently
and constantly hindering its progressive transformation. The Constituent Assembly has been
taken as an instrument to address these characters by addressing the following problems:
a.
b.
c.
d.
e.
Use of state power by hereditary feudal institutions and subordination of people8,
Adoption of Hindu religion as the ‘State’s religion’ that excludes faiths and cultures of
indigenous groups and minority nationalities,
Imbalance of Power sharing between feudal dominant class and marginalized and
economically, socially and culturally subordinated groups,
Imbalance in distribution of national resources,9
Lack of preparedness and motivation towards devolution of power at local level:
2.1.2
Immediate Causative Factors
Immediate factors are those, which aggravate or intensify the growth of conflict. Such factors
aggravating the conflict in the past are outlined as follows, which the Constituent Assembly is
expected address:
a.
Political interference in bureaucracy,
b.
Impunity for corrupt and inefficient bureaucrats,
c.
Politicization of education, health and other service sectors,
8
9
too brutally crushed. The Maoist people’s war was nothing but repetition of demands that had been
crushed earlier. The ruling class of Nepal has every time failed to investigate the ‘causes and dynamics
of the conflict’. See for detail on Supranote 2.
. The Nepalese society, over a period of 2000 years’ long history, is being ruled not for the
progress, development and welfare of the people but for the private benefits of rulers, i.e.
the kings, ministers and their courtiers. To reinforce their privileges and powers, the
society has consistently been subjected to the cruelty of stratification of peoples based on
caste, gender, race, social origin, social and economic status. For detail see on Supranote
3
. Development opportunities and resources are concentrated in the capital city and few
other major towns either by design, or by default. The distribution system of the national
income is fully discriminatory and anti-poor. The top 10% of the households in terms of
income receive around 47 percent of the total income, while the bottom 20 percent receives
less than 5 percent. See on Martinussen, John, 1995. Democracy, Competition and Choice:
Emerging Local self-Government in Nepal. Delhi: Sager Publication Pvt. Ltd. India, P.36
- 40 -
d.
Political horse-trading and corruption by political leaders (accountability of political
parties)
3.
FUNDAMENTAL APPROACH TO TRANSFORM NEPAL FROM
CONFLICT-TORN STATE TO A STABLE NATION STATE
As discussion above reveals, Nepal as a State is marked by multiple dimension of disparity,
ranging from monopoly by a group of State’s powers to exclusion of people based on ‘caste’ or
‘profession’. Restructuring of the State’s policies and institutions is therefore a prerequisite to
initiate ‘process of rescuing the State from conflict’. The scheme for restructuring of the state’s
policies and institutions is therefore an attempt to ‘redefine’ Nepal’s common value of nationhood
or nationalism for integrity. As such it is an attempt to ‘transform Nepal from a feudal state to a
‘democratic nation state’. The proposed Constituent Assembly is supposed to accomplish this
attempt by recognizing the indispensability of the following ‘four cardinal principles’ of the
inclusive democracy:
a.
b.
c.
d.
Devolution of Powers
Pluralism
Secularism
Adoption of Economic and Social Rights as Fundamental Rights of Citizens
Each of these principles is described in the following subsections.
3.1 Devolution of Powers
The devolution of power in the form of federalism in this sense has three basic characters, i.e. (1)
it localizes the bureaucracy; (2) introduces the scheme of vertical power sharing between central
governing authority federal units; and (3) grants freedoms to people maintain control in decision
making for resources mobilization and development priorities. State's power is shared by different
institutions horizontally and vertically. There are two major politico-legal theories developed in
this regard. They are the 'doctrine of separation of powers', and the 'doctrine of devolution' of
powers. The separation and devolution of powers are believed to forestall the 'prospect of
corruption of power'. The horizontal distribution of power alone is not adequate to forestall the
prospect of abuse of powers. The distribution of powers vertically among different levels of State
is equally important. In Nepal, the diversity composed of geography, population structure or
characters as well administrative and service supply needs require vertical distribution of powers
is important as well. The concept of 'federalism' is a concept of vertical distribution of powers. In
nutshell, the concept of federal scheme provides the following advantages:
•
•
•
•
Increased access to ‘decision making processes of the State as it decentralizes the
system of representation.
Reduction of dependency on development efforts on central authority, which is
generally exercised by a limited number of representatives.
Direct representation of people in the government, as people can take part in forming of
a local government.
People’s welfare scheme and supply and delivery system is decentralized.
These attributes are expected to develop a sense of belongingness of people to the nation. It
makes them united through a position of ‘equal stake’ in the decision making process. Most
importantly, federalism will recognize the ‘diversity of population, geography, cultures and
languages’, and hence it will establish a ‘strong ground for national’ unity. Two important
elements with positive impacts of federalism are that:
•
The devolution of powers on resource mobilization and determination of development
priorities of local people enhances the ‘prospect’ of socio-economic progress of the
people.
- 41 -
•
Enhanced socio-economic progress is a boon for ‘nationalism’.
The restructuring of the government system in Nepal with federal structure is therefore important
both for the ‘socio-economic progress and nationalism’. Nonetheless, the following issues need
serious consideration while carrying out the scheme of restructuring the government system with
federal structure:
•
•
•
•
The federalism should not promote communal sentiments among people. The
secularism in all aspects of Nation's life should be promoted. The integrity of the nation
should not be overlooked.
No creation of federal constituents should be guided with a sense or scheme of
bifurcation of State's sovereignty, but the need of strengthening the unity through
recognition of diversity.
The creation of federal should not connote a system of rule 'by any group' over others,
but a device to promote inclusion.
The creation of federal state should not be viewed as a platform to create an isolation of
one part of the country from other.
Form this point of view, the federalism in Nepal must seek to address the following objectives:
•
•
•
Establishing a medium institution to devolve powers to local level, so that every smaller
group of people with separate ethnic, linguistic or geographical identity would be able
to participate in the political process and system of governance.
Strengthening secularism as a basis of politics, governance and administration, and
Ensuring economic and social development of people, the marginalized or
disenfranchised groups in particular.
Federalism, in this sense is essential component of inclusive democracy. The concept of
federalism can be considered by applying the principle of “Symmetric and Asymmetric
power-based models’. Asymmetrical model is a constitutional structure under which the
constituent units (such as states or provinces) within a federal system have more extensive powers
than the central authority. 10 In this model, the powers of the federal constituents are not
entrenched in the constitution. This type of asymmetry is known as de facto asymmetry. In Nepal,
the people's concern seems to go for the asymmetrical model. However, an in-depth analysis of
the ‘feasibility’ of the option needs to be done. The model, in contrary, entrenches the ‘powers of
federal constituent units, and thus, the powers of the central authority are stronger to that of the
former. India; for instance, except for Kashmir and Mizarom.
3.2 Pluralism and Secularism
Pluralism is an essence of democracy. In every nation, the citizens pay loyalty to nation based on
a common ground, while their identities might be different culturally, religiously, ethnically, and
linguistically. India, a close neighboring country of Nepal, for instance, despite having several
civilizations, has been transformed into a 'nation state' on the basis of pluralistic democracy. India
as an integrated State was forged on, as Arundhati Roy has said, the anvil of the British Empire
for the entirely unsentimental reasons of commerce and administration. But India, with such a
birth began her struggle against her creator- the British Empire.11 The diversity in India is as
unique as in Nepal. As Arundhati Roy, has said, the majority' of India's citizens will not (to this
day) be able to identify its boundaries on a map, or say which language is spoken where or
which god is worshipped in what region'.12 The creation of India by British and Indian's struggle
10
11
12
. Brown, Douglas. 2005. “Who’s Afraid of Asymmetrical Federalism? A Summary Discussion.” 2005
Special Series on Asymmetric Federalism. Institute of Intergovernmental Relations, Queens
University.
. Arundhati Roy, 1997. the algebra of infinite justice. Penguin Books India (P) Ltd. New Delhi.
. Ibid
- 42 -
to independence are two major factors for emergence of a 'status of Indian nation state'. Gandhi's
political imagination had been able to transform the independence struggle to a 'national
movement’ that created a 'milestone for Indian nation state'. The democracy established as a
consequence of the national movement for independence and the perceived importance of unity
provided a basis for the 'nationalism' in India.13 In Nepal, several elements might be raised to
'emotionally justifies’ its nationhood, but none of them may be beyond ‘controversy'. Earlier,
some people tried to use 'Hinduism' as a bond for loyalty to Nepal, at least for majority.14 These
people also tried to make the 'Nepali Language' as the basis of 'Nepali Nationalism'. However,
these efforts proved counter-productive. One can thus categorically argue that 'Nepal's failure to
evolve a common ground for its emergence of a nation state, lies on its consistent ignorance to
recognize that 'it is a nation of minorities', and as such 'the common ground of nationalism lies on
recognition of diversity'. It is thus believed by all people that the forthcoming Constituent
Assembly must be endorse the 'concept that the inclusive democracy with greater local
governance system can be the only realistic ground for integrating people' into a nation state'.
3.3 Recognition and Protection of Socio-Economic Rights
The foundation of the emerging concept of ‘inclusiveness’ in the democracy following the
cessation of the ‘cold war’ is rested on the need for ‘equal attention towards ‘rights to economic
and social development’ of the population as the core thrust. In this sense, the issue of economic
and social rights is an indispensable agenda of the scheme of restructuring of the state’s policies
and institutions, without which the mission of inclusive democracy cannot be meaningful. The
conventional liberal democracy that excludes ‘rights to economic and special development’ as a
core value of the democracy is nothing but a system or theory of ‘political elitism’.15 It ignores
the economic and social development as an essential constituent of a democratic system. Hence,
the ‘question of inclusion’ of entire population in the political process for its economic and social
development is the primary concern of the ‘issue of inclusiveness.’ The ‘concept of inclusion’ in
democracy therefore intends to ‘transform the political democracy’ into a ‘social structure or
organization that allows integration of economic and social development agenda with political
rights, and thus provides a ‘foundation for good governance’. In good governance, the people are
the only source of ‘state’s power’ and ‘owner of the nation’s resources’. The integration of the
‘rights to economic and social development’ with political rights constitutes the character of
‘inclusiveness in democracy’ and as such it calls for ‘elimination of political elitism’ through
devolution of power.
Based on opinion of Wolf DeVoon, the liberal democracy without economic and social
empowerment of population at large has resulted in:
a. Disparity in opportunity to, and consumption of, resources, thus giving rise to
implausible gap of wealth between a smaller rich elite group and larger marginalized
poor population,
b. Betrayal in legacy of liberty of the majority by imposition of economic subordination of
population by a smaller elite group,
c. Nationalization of local resources,
4. CONCLUSIONS
Nepal is as mentioned earlier is traveling through a ‘crossroads’. The transformation of conflict
into a sustainable peace is dependent on forthcoming ‘Constituent Assembly’s success to
‘meaningfully restructure the State’s policies and institutions’. The restructuring the ‘system of
13
14
15
. Id
. Some defected Congress and Communists under leadership of King Mahendra made an attempt to
develop a 'Nepali nationalism founded on Hinduism and Nepali language'.
. The debate on ability of ‘western liberal (political) democracy to properly represent both the ‘will of
the people’ and to do what is ‘right’ is going on for long time, at least from the famous quote of
Winston Churchill, the Second World War time Prime Minister of UK. He said: “Democracy is the
worst from of government except for all those others that have been tried”. See on Wikipedia, the Free
Online Encyclopedia.
- 43 -
governance is a prerequisite’ for transformation of the conflict, which is in turn provides a
milestone for future mission of Nepal to grow as a prosperous democratic nation state. The
‘proposed restructuring scheme requires inclusivity in democracy as a goal’.
Politically, the campaign for inclusive democracy intends to address two ‘anti-demos
characters which dangerously threaten the ‘supremacy of the sovereignty of people over the
system of governance’. These characters are ‘politics for concentration of powers at hands of
rulers’ and ‘elitism in politics’. Inclusiveness in democracy is thus a ‘strategically designed
political mission (restructuring plan) to integrate rights of people to economic and social
development against ‘power centric-politics based on hierarchical scheme’ and ‘elitist control
over means of production or resources’.
Philosophically, the plan for restructuring of State is an attempt to create a’ blend of two
historical traditions, the classical democratic values- freedoms of conscience and thoughts- and
socialist paradigm of justice-equal distribution of resources. Some scholars have even attempted
to ‘define it as a synthesis of these two traditions’.
Author’s Profile
Full name:
Yubaraj Sangroula
Born:
11 January 1959 (Nepal)
Current affiliation: Principal and Executive Director, Kathmandu School
of Law (a Purvanchal University affiliate)
Academic Carrier:
2007
PhD, Delhi University, India
1986
Master Degree (LL. M.), Patna University, India
1983
Bachelor Degree (Law), Tribhuvan University, Nepal
Current Principal (Founder Director), Kathmandu School of Law (since
2001)
Senior Advisor, Center for Legal Research and Resource
Development, Nepal
Founder Secretary, South Asian Law School’s Forum for Human Rights
Member, Faculty Board, Purvanchal University
2003
National Consultant for Development of Five Year Strategic Plan of Action, Nepal Judiciary
Planning
2001
Researcher, Danish Institute for Human Rights
1997
Executive Member, Central Executive Committee, Nepal Bar Association
1996
Founder Coordinator, Center for Legal Research and Resource Development (until 2005)
1991
Managing Editor, Nayadoot, a monthly journal of Nepal Bar Association (English and Nepali)
until 1993
1986
Lecturer, Tribhuvan University (Nepal Law Campus) until 2001
Dr. Sangroula has published a large number of articles in Nepalese national dailies focusing mainly on
‘Law and Justice’ including more than eight research articles and six books.

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Chapter 3
Economic Development of Nepal
(With special reference to industry and tourism)
Jay Krishna Pathak, Prof. Dr.
Professor, Central Department of Management
Tribhuvan University, Kathmandu, Nepal
1. INTRODUCTION
Nepal is a landlocked, largely mountainous country. It was ruled by the Rana oligarchy for 104
years. In 1951 the feudalistic Rana regime was overthrown by the peoples' movement. Then
Nepal witnessed a multiparty system for about ten years; experiencing parliamentary system for
a brief period of two years in the late 1950s. However, in December 1960, there was a significant
change in the political system of the country. The parliamentary form of government was
abolished by the King. The King justified his action on the ground that the law and order situation
was hardly maintained; the economic condition of the country was deteriorating, and the welfare
of the people was being neglected in the presence of parochial interests and a rapidly rising level
of corruption. He then proclaimed a party-less Panchayat Democracy under his guidance and
leadership, and pledged a rapid development of the country, free from exploitation. The King's
rule under the Panchayat System continued with some reforms in-between till 1990 when
democratic rule was restored through the peoples' movement. Since then the country remained
under the multiparty democratic system until the fourth October 2002 Royal Action. The
emergence of the Maoist insurgency took place in 1996 for a decade. Then there was an
agreement between the seven political parties opposing King's rule and the Maoists which led to
the re-restoration of the Parliamentary Democratic System in April 2006. Presently the country is
being ruled by an alliance of Eight-parties. There is an interim parliament, consisting of members
appointed by the eight political parties, together with members of other political parties elected in
parliament in 1999. The political instability remained as a common phenomenon in the country
since the advent of democracy in 1950. In fact, the present status of economic development of
Nepal can be attributed to the legacy of quasi-feudal political structure, political instability and
deteriorated law and order condition.
Nepal is a least developed country, basically agrarian with 80 percent of the people
dependent on it and contributing 38 percent to GDP. About 14 percent of the population lives in
urban areas and the rest in the rural one. The modern manufacturing sector is still in an infancy
stage, cottage and small industries contributing 90 percent to the manufacturing sector. It is
characterized by a high population growth (2.1%), and a low per capita income of U.S.$270.The
gross domestic savings is 11 percent of GDP. And 31 percent of the population lives below the
absolute poverty. The present paper deals with economic development with a focus on industry
and tourism. Deliberations will be made on resource mobilization and external financing/foreign
aid.
2. GROWTH OF THE ECONOMY
Nepal's overall long-term growth rate is presented in table 1.
Table 1: Average Annual Growth Rates (%) of Gross Domestic Product (GDP), Population and
Per Capita GDP.
Periods
1965-80
1980-90
1990-2000
2000-2005
GDP
1.9
4.6
4.8
2.6
Population
2.4
2.6
2.4
2.1
Per-capita GDP
-0.5
2.0
2.4
0.5
Source: World Development Report of 1992, 2002 and 2007.
- 45 -
Nepal has so far launched ten development plans (all five-year plans with the exception of one
three-year plan of 1962-65). There were plan holidays in 1961 and 1991. Table 1 clearly indicates
that even after 50 years of planned economic development there has not been a significant change
in economic well-being of the people. The growth rate has remained extremely low while the
growth of per capita GDP, after considering the population growth rate, is nominal. Highest
average growth rate of almost 5 percent has been recorded between1980-2000. It was in the year
1980 when the economic restructuring was initiated, and in 1990 when the democratic rule was
restored. However, the trend in recent years is quite discouraging. The growth rate for 2006-2007
is estimated to be 2.8 percent against a target of 5 percent. It is 7.7 percent for South Asia. The
projected growth rate for the year 2008 is 2 percent as opposed to 8 percent for South Asia. Even
the developing countries in Asia are to grow at 7.6 percent in 2007 and 7.7 percent in 2008. The
expansion is attributed to the rapid growth in China and India. In 2004, HDI rank Nepal is in the
138th position. When Nepal's growth status in terms of per capita GDP is compared with other
nations in SAARC region, it is found to lag much behind the average.
Table 2: Annual Average Growth Rate of Per Capita GDP in the SAARC Region
(Percent per year in 1995$)
Nepal
South Asia
1960-70
1970-80
1980-90
1990-2000
2000-03
1990-03
1960-03
0.6
1.9
0.0
0.6
2.4
3.3
2.6
3.0
0.3
4.5
2.5
3.4
1.3
2.4
Source:The World Bank
The average per capita GDP of South Asia is higher Table 3: Share of Expenditure, 2003-04
Poorest 10%
2.6%
than that of Nepal. It is because India led the way in
this growth acceleration. The prevalence of
Poorest 20%
6.0%
inequality in terms of household expenditures is
Richest 20%
54.6%
high. It is presented in table3.
Richest 10%
40.6%
From the above information much of the
Source: World Bank Report, 2005
income is concentrated in the hands of limited
percentage of people, and inequality of income is high. The GINI index stands at 47.2.
Information presented above raises some pertinent issues like: 1) why the growth rate has
been low and erratic, 2) majority of the population could not enjoy whatever development has
taken place, 3) what could be the plausible reasons that led to such a state, and 4) is it possible to
raise the growth rate in the future? Answers to these issues are explored in the subsequent
deliberations. In the ensuing sections the structure of the economy with a special focus on
industry and tourism will be analyzed. For the purpose, the long-term growth of Nepal during the
last 15 years, between 1990 and 2005 (post-democracy period), has been taken into account.
3. THE STRUCTURE OF THE ECONOMY
Table 4: Annual Growth Rates of GDP Components
Period
GDP
at .Producers
Prices
(per cent)
GDP at Factor Cost
Industrial GDP
Service GDP
Agricultu
Total Manufact Total
Tourism
ral GDP
uring
4.26
4.18
2.78
5.38
6.25
5.19
2.75
5.23
5.41
2.02
8.79
13.45
7.05
9.94
3.78
3.71
3.17
3.72
2.83
4.28
-0.67
4.95
4.90
2.55
7.28
9.49
6.35
4.90
2.90
2.77
3.26
1.69
0.06
2.92
-1.43
Source: Calculated from Annex1and Economic Survey, Govt. of Nepal.
Total
GDP
1990-2005
i
1990-1995
ii
1995-2005
iii
1990-200
iv
2000-2005
The long-term (1990-2005) growth in Nepal has been quite moderate, whereas developing
- 46 -
countries witnessed high growth during the same period. (see: WDR, various issues). When the
population growth rate is considered, the gross domestic product growth rate is not encouraging.
This is clearly an indication of the fact that the economic well-being of the people has not
improved over the period. In the following sections, an attempt is being made to disaggregate the
total periods into different sub-periods to highlight periodic growth performances. The period of
1990-95 is considered a normal period, and the subsequent period of 1995-2005 is non-normal
because of the prevalence of insurgency.
3.1 Agriculture
Agriculture can be regarded as the backbone of Nepalese economy as 80 percent of the people
depend on it; and it contributes 38 percent to the GDP. But the agricultural performance over the
planned period has not been satisfactory despite the top priority accorded to it in various
development plans. The growth rate in agriculture stands between 2 to 3 percent per annum; the
growth in agriculture per capita output being 0.5 percent or so. In 1997 the Government of Nepal
launched the Agricultural Perspective Plan (APP) with emphasis on productivity increase and
regional specialization in production. The APP was quite specific in strategies and targets and
even in the organizational structure necessary for its effective implementation. However, the APP
was not taken seriously for implementation. The condition of the poor households remained as
precarious and deprived as they had been. The difficult geographical condition, lack of
irrigational facilities and excessive reliance on monsoon and traditional cultivation practices are
impediments in the agricultural development. The low agricultural productivity has been a
challenge in the development of Nepalese agriculture, however.
3.2 Industrial Sector
The pre-1990 economic and industrial policies were basically directed towards
import-substitution, or inward-looking industrialization, with some emphasis on the private sector
participation. It was basically a mixed economy with a dominant role of the government. Despite
the policies towards the private sector promotion with requisite facilities and concessions, the
private capital could not come forward because of inconsistencies in government's policies and
actions, and also due to the lack of capability of the private sector in terms of both capital
mobilization and skills development. Furthermore, the private sector was not given the role in
producing basic and strategic goods and services. During this period the government activity took
the lead in creating economic and social overheads, and also establishing a number of public
enterprises. The impetus for change came in the 1980s as a result of economic stabilization
program initiated by the IMF, but the economic growth and progress with reforms accelerated
only in the 1990s. A distinct shift from the pre-1990s controlled regime to liberalization took
place in the post 1990 period.
The pre-1990 economic and social policies were drastically reformed in line with the
declared policy of liberalization and market oriented economy with the emphasis on the
privatization of public enterprises and also attracting FDI. All economic sectors were open to the
private sector. Nepal, being a member of the WTO since 2004, has to open even its financial
sector to the foreign investors by the year 2010. The real challenge Nepal faces today is how to
involve the private sector in basic services, and to monitor and regulate their activities.
The overall industrial GDP growth rate during 1990-2005 has been 5 percent per annum. The
private sector participation, accelerated by economic reforms, liberalization, privatization and
deregulation, was the main cause for the growth of the industrial sector. The highest growth was
registered in the industry sector (8.79%) during 1990-95. Even in the industry sector,
manufacturing (13.45%) led the group. The adoption of liberal and market-oriented economic
policies also improved the confidence of the foreign investors. The period of 1990-95 created
some sort of hope and confidence in the country for sustainable development, leading to more
investment of the private sector - domestic as well as foreign.
The optimism created during 1990-95 soon started fading away, replacing it by despair and
pessimism after the 1996 insurgency in the country. The decade (1995-2005) recorded a lower
growth in the industrial sector. This period suffered from domestic insurgency as well as political
disturbances, and global terrorism. It is to be noted here that during a period of 15 years from
- 47 -
1991 to 2006, there have been sixteen governments in Nepal. There were politically motivated
frequent lockouts and strikes, which also affected industrial production and public services
provisions. The combined effect can be seen on the industrial GDP growth rate, especially of the
manufacturing. The manufacturing GDP growth rate during 1995-2005 was 2.83 percent and,
2000-2005 it was 0.06 percent. The production and exports of major items fell sharply. For
example, the garment and carpet productions which together account for about 80 percent of
foreign exchange earnings have sharply fallen in recent years due to domestic disturbances and
declined in demand from abroad. To note here, between 2000-01 to 2005-06 ready made garments
exports to overseas declined by 42.4 percent, from Rs. 16.70 billion to Rs. 7.08 billion. During
the last decade, the physical infrastructures worth billions of rupees were destroyed by insurgency,
followed by the closure of industries. It is estimated that over 5 billion Nepalese Rupees worth of
infrastructure were damaged during the period of insurgency. The internal conflict and resulting
problems in law and order maintenance, and labor unrest squeezed the non-agricultural sector.
Even to achieve its earlier growth rate, the industrial sector in Nepal has now facing a serious
challenge in the present environment of uncertainty, and volatile political climate.
3.3 Tourism
Modern tourism in Nepal began only after the advent of democracy in 1951. Prior to it the then
rulers kept the country closed to the outside world. The successful ascension of Mt. Everest in
May 29, 1953 was another milestone in introducing Nepal to the outside world, and creating new
opportunities in tourism. The initiation of the first plan in the year 1956 can be regarded as a
planned effort towards developing the tourism sector in the country. In this plan the tourism sector
was recognized as a means of popularizing Nepal, and a source of earning foreign exchange as
well. For its development a number of activities including the organization of a separate
Department of Tourism, which later became the Ministry of Tourism and Civil Aviation, was also
set up. The formation of National Tourism Development Board (now reorganized into Tourism
Development Council, and Nepal Tourism Board), and Hotel and Tourism Management Training
Center were also created. The subsequent development plans of Nepal proposed various
programmes to boost tourism which included the provision of loans, diversification of tourism,
publicity campaigns, construction and improvements of airports, and other necessary facilities. In
1972 the Tourism Master Plan was developed focusing on the development of specific touristic
products like sightseeing, trekking, recreation, international pilgrimage, etc. Till 1990, the tourism
sector in Nepal flourished under the active state participation. The number of tourist arrivals
increased from a mere figure of 6,179 in 1962 to 239,975 in 1989. However, after the political
change in 1990, liberalization was introduced and consequently it opened opportunities to
promote tourism. A new Tourism Policy and National Civil Aviation Policy was introduced in
1995. The former laid a strong emphasis on the role of the private sector in tourism, development
of village tourism, introduction of quality control, maintenance of regional balance while
developing new tourist areas, integration of tourism with other compatible sectors such as
agriculture and cottage industries and lengthening the tourist stay. The enactment of National
Civil Aviation Policy marked the beginning of the open sky policy regime.
Today the tourism sector largely remains in the hands of the private sector. The government
is acting as a facilitator in tourism development. Almost all of Nepal, except a few remote
northern areas, are now open to tourists.
Of Nepal's service industries, the tourism is the major foreign exchange earner, and
providing a range of employment opportunities. After 1990, the tourism industry increased due to
the inflow of international tourists. During the fifteen years (1990-2005) the tourism sector grew
by 2.75 percent per annum in terms of its contribution to the GDP. During the normal period
(1990-95) the tourist inflows increased by almost 10 Table 5 : Tourist Arrivals, 1990-2005
percent per year. In later years it grew negatively by
Year
Number
0.64 percent and 1.43 percent during 1995-2000 and
1990
254,885
2000-2005 respectively (Annex 2). This clearly
1995
363,395
indicates that given the peace and security in the
2000
463,646
country, it has a tremendous growth potential.
2005
375,398
In the 1990's, the inflow of international tourists
Source: Annex2
- 48 -
almost doubled. This can be seen in the following table:
Except for the year 1993, the international tourist inflows had a positive trend till 1999
(Annex 2). In fact, it almost doubled between 1989 and 1999. Thereafter, it declined.
During 1990's the tourism industry enjoyed unprecedented period of growth. However,
following a highly published act of terrorism and political uncertainty, tourist inflow fell by over
20 percent in 2001 and 2002. While the growth prospect seemed promising in 1999, the year
2000 saw the first decline in the tourist inflow. After 1993 with the international arrivals down by
6 percent (Annex 2). This was a result of the hijacking of an India airliner en route from
Kathmandu to Delhi in December 1999, and the adverse publicity thereafter. The year 2001 again
brought a 22 percent downturn in the tourist inflow as the Indian Airlines suspended its flights to
Nepal, and further adverse publicity heightened potential visitors' fears over insecurity and risks.
The year 2002 again saw international tourist arrivals plummet by a further 24 percent in the
wake of a growing series of internal political problems, combined with the legacy of September
11, 2001.
Regarding the purpose of visit majority of the tourists (above 75%) between 1990 and 2001
visited for pleasure, and trekking and mountaineering. After 2001 it has somewhat changed.
During 2005 almost 43 percent of tourists arrived in Nepal for pleasure followed by trekking and
mountaineering (16.4%), pilgrimage (12.7%), business (5.9%) official (4.5%) and others (17.9%).
Nepal possesses immense potential for pilgrimage tourism by luring Hindus and Buddhists to
visit Nepal, nevertheless.
The importance of tourism to Nepal as a foreign exchange earner and a contributor to GDP is
presented in table 6.
Table 6: Foreign Exchange Earnings from Tourism
Year
1989-90
1994-95
1999-2000
2004-2005
Total Foreign Exchange
Earnings from tourism
(Rs. In million)
3,121.5
8,973.2
12,073.9
10,464.0
As % of total Foreign
As % of GDP
Earnings
23.3
17.3
8.8
6.1
3.2
4.1
3.2
2.0
Source: Annex3
Till the year 1998-99, the contribution of tourism to the total foreign exchange earnings remained
above 15 percent each year (See: Annex 3). However, it was less than 10 percent or so afterwards.
Its contribution to GDP increased from 3.2 percent in 1989-90 to 4.1 in 1994-95. Since 1995-96 it
is hovering around 3 percent.
In spite of the importance of tourism to the national economy and various efforts being made
to capitalize its potentiality, the political environment in Nepal is not conducive to its
development. The optimism generated by the political change in 1990, together with the open and
liberal policies adopted by the government soon started disappearing after 1995 as the
government could not promote rapid economic growth with socio-political and economic justice,
which subsequently led to insurgency, which lasted for about ten years. Such a violent move had
direct adverse effect on tourism as it threatened tourist security. Moreover, the insurgency
resorted to extortion from the tourists in trekking routes of the areas under their control. The
insecurity caused by the armed violence in the country and the direct threat to tourists soon
reduced the arrivals by around twenty-five percent between 1999 and 2005. A number of adverse
events like the Indian Airlines plane hijacking, the 11 September twin-towers attacks, attack on
the Indian Parliament, war against Iraq, and royal massacre in Nepal created unfavorable
perceptions of insecurity in Nepal.
To achieve the tourist peak arrival of 1999 needs political stability and consistent efforts in
terms of infrastructure development, marketing strategy and promotion. Nepal possesses immense
potential for tourism development. It has a lot to offer to tourists ranging from sightseeing,
mountaineering and trekking to pilgrimage. In addition to marketing strategy and promotion and
deregulation, political stability and peace must prevail in Nepal.
- 49 -
4. RESOURCE MOBILIZATION
In this section an attempt has been made to analyze the government expenditure and receipts with
a view to finding out the resource gap and sources meeting it. The entire analysis is done in
relation to expenditure, revenue, domestic loans, foreign aid and GDP. Table7 shows the
government expenditure, both regular as well as development in relation to GDP.
Table 7: Government Expenditure as percentage of GDP (Averages of three-years)
Mid-year of three fiscal year
Total expenditure
Regular
Development
1990
20.30
6.60
13.69
1995
18.60
8.31
10.29
2000
18.86
9.94
8.93
2005
19.08
12.29
6.79
Note: The years above refer to the end-year of fiscal years.
Source: Budget Speeches and Economic Surveys of various years.
Table 7 clearly shows that the total expenditure to GDP ratio has almost remained the same at
around 19 percent throughout the period, except 1990. The ratio of regular expenditure to GDP
has increased over time, and has doubled between 1990 and 2005. The reason is that a substantial
portion of regular expenditure had to be incurred towards maintaining the security in the country.
Development expenditure, on the other hand, has halved, from 13.69 percent in 1990 to 6.79 in
2005. This is not a good sign. This is due to the fact that the development expenditure could not
be incurred owing to internal conflict after 1995. This is a lesson to the country that peace must
prevail to accelerate the pace of economic development. Now it would be appropriate to analyze
the government expenditure and receipts-total government revenue and foreign grants-in order to
find out the resource gap, and how it is being met. Table 8 identifies the resource gap.
Table 8: Resource Gap as percentage of GDP
Expenditure Revenue
Mid-year of three
Fiscal years
1990
20.30
9.20
1995
18.60
11.24
2000
18.86
11.83
2005
19.08
12.90
Foreign Grants
Receipts
1.93
1.74
1.54
2.49
11.13
12.98
13.37
15.39
Resource Gap
(-)
9.17
5.62
5.49
3.70
Note: The years above refer to the end-year of fiscal year
Source: Budget Speeches and Economic Surveys of various years.
The resource gap has declined over the years. The reasons are obvious. First the percentage of
expenditure to GDP has almost remained the same indicating no change in the overall economic
activity of the government. Second, revenue as percentage of GDP has been steadily increasing
over time implying more financial resource generation. Thirdly, grants as percentage of GDP,
through declined earlier, has now increased in 2005. Consequently, the resource gap has been
declining. The declining resource gap occurred because of the rapid fall in the development
expenditure (Table 7). How the resource gap has been met through borrowings, from both
domestic and foreign sources, is shown in Table 9.
Table 9: Sources of meeting Resource Gap
Mid year of three Fiscal Resource
Foreign
years
Gap
Loan
Domestic
Loan
Total
Loans
1990
1995
2000
2005
2.66
0.92
1.58
1.66
6.72
4.97
4.86
3.24
9.17
5.62
5.49
3.70
4.06
4.05
3.28
1.58
Cash Balance
(-)
Surplus
2.45
0.65
0.63
0.46
Note: The years above refer to the end-year of fiscal years.
Source: Budget speeches and Economic survey (various years).
- 50 -
In the total loans the share of domestic loans has been increasing after 1995, while the share of
foreign loan has been declining. The reason is that during the period of insurgency an alternative
source could not be mobilized, and domestic loans are the convenient and unconditional sources,
whereas foreign loans are tied-up. Moreover, the development expenditure could not increase,
indicating that any viable projects could not be prepared and implemented during the non-normal
period. The percentage of domestic loans increased after 1995 due to an increase in spending for
security as well as debt servicing. Table 10 provides debt servicing.
Table 10: Debt servicing
Mid-year of three Fiscal years
1990
1995
2000
2005
Debt servicing as % of Revenue Debt servicing as % of GDP
23.05
2.12
24.50
2.75
22.59
2.67
28.09
3.62
Note: The years above refer to the end-year of fiscal years. Source: Economic survey of various years.
The debt servicing as a percentage of revenue has fluctuated, and has an upward tendency
recently. This is clearly an indication that is has claimed a substantial part of the nation’s revenue.
It is presently estimated that about one-third of the country’s regular expenditure is used for
debt-servicing. It means that a crunch on the capital expenditure has been slowly rising. It is to be
noted that in the fiscal year 2005-06 even the fresh internal debt raised was not enough to meet
the internal debt servicing. On the other hand, almost 90 percent of the fresh external debt was
used to service past loan in the fiscal year 2005-06. Such a position will lead to an alarming
situation in the future when more and more past loan start maturing. The question here is whether
Nepal gradually entering into the debt trap. The debt servicing as a percentage of GDP has also
increased in 2005. This will compel to rethink whether the country to more and more depending
on foreign aid even to repay foreign debts.
4.1 Foreign Aid Dependency
Foreign aid as percentage of GDP is presented in Table 11.
Table 11: The Ratio of Foreign Aid-grants and loans to GDP (percent)
Mid-year of three fiscal years
Grants
Loans
Total Aid
1990
1.93
4.06
5.99
1995
1.74
4.05
5.79
2000
1.54
3.28
4.82
2005
2.49
1.58
4.07
Note: The years above refer to the end-year of fiscal year. Source: Economic survey of various years.
Dependency on foreign aid has been gradually decreasing over the years. The decline in the total
foreign assistance is attributed to the fall in development expenditure and the low absorption
capacity owing to the internal security problem. The development expenditure has, in fact, halved
between 1990 and 2005. The country is, thus, faced with the twin problems of increasing debt
service burden on the one hand, and declining development expenditure, on the other.
4.2 Saving and Investment
The status of saving and investment is presented in Table 12.
Table 12: The Status of Saving and Investment as percentage of GDP
Mid-Year of three Fiscal years
Gross Domestic Savings
Investment
Resource Gap
1990
10.00
21.10
11.10
1995
15.00
26.20
11.20
2000
14.63
23.90
9.27
2005
10.43
25.67
15.24
Note: The years above refer to the end-year of fiscal years. Source: Economic surveys (various Years).
- 51 -
The gross domestic saving (GDS), which amounted to 15 percent of GDP in 1995, started
declining after the onset of insurgency in the country (Table 12). The GDS ration is relatively low
throughout the period and has declined in the recent years. Investment seems to be fluctuating
between 21 and 26 percent of GDP during the period under analysis. A comparatively higher
percentage of investment, followed by a declining GDS, has led to a wider resource gap of 15.24
percent in 2005. Such a gap has been financed by increased borrowing from external sources.
Nepal’s external debt at the moment has been hovering at around 40 percent of GDP.
5. SOME OBSERVATIONS
Nepal’s economic growth has been quite low: GDP registering a growth rate of 3.4 percent for the
25 years (from 1964-65 to 1989-90) made 4.18 percent during 1990-91 to 2004-005. The per
capita GDP grew by 1.3 percent during 1960-2003 to 1995 U.S. Dollar. During the same period
South Asia witnessed a much higher per capita GDP growth rate of2.4percent and India led the
way in this growth acceleration. After2000, the per capita GDP growth rate accelerated in South
Asia (4.5% during 2000-2003), but Nepal simply recorded a nominal figure of 0.3 percent during
the same period. Thus, Nepal’s per capita income has risen at a very slow rate as compared to
other South Asian countries. Nepal is being considered as one of the laggards in pursuing
economic growth.
The annual growth rate of the agricultural GDP during 1990-2005 increased by 2.78 percent
and the non-agricultural sector has contributed to a higher growth rate after 1990 for some years.
Although the share of non-agriculture GDP increased, the country still remains primarily an
agricultural country with 80 percent of livelihood depending upon it. The dependence of
population on agriculture indicated lack of alternative employment opportunities, and an
indication of growing unemployment in rural areas. The share of manufacturing is still 2 percent
of the workforce. This has contributed to a greater extent to poverty as agriculture is at the
subsistence level in the absence of required use of modern inputs and subsequently resulting in
low productivity.
Even though the industrial GDP increased, its main component, manufacturing, is based on
traditional agricultural items. Export of carpets has been declining over the years due to the use of
low quality wool, child labor, and an increasing competition in the international market as well. In
case of garments, the multi-fiber arrangements ended in December 31, 2004 and since then no
alternative arrangements have been done. As a result, the industries have had to face competition
on the basis of demand and supply in the market. Moreover, these two industries have had to face
increasing labor unrests. The development potential of the industrial sector could not be exploited
because of inadequate provision of infrastructure (in particular). A large part of hill areas of
Nepal’s till lacks transport, communication and power and social services facilities. Nepal, a
country rich in water resources, is currently facing the problem of load shedding, which has
adversely affected the industrial production. A large part of the infrastructure was destroyed
during insurgency, too.
The service sector in recent years has grown rapidly but is concentrated in and around
Kathmandu. The fruits of so-called development have been enjoyed by the Kathmanduites.
Of the total 31 percent living below absolute poverty, only 10 percent belonged to urban
areas and 35 percent to the rural ones in 2000 (world Bank 2005). Inequality in income is high as
most incomes concentrated in few hands.
Impetus for change came in the 1980’s but economic growth and progress with reforms
accelerated in 1990’s. However, there has been slow growth after 1995 and especially after 2000.
A number of reasons were responsible for such a state. Insurgency, political instability, weak law
and order, governmental ineffectiveness and corruption have been mainly responsible for the poor
state of the economy.
The availability of infrastructure (power and transport) is a major constraint to promote
private investment. The reconstruction of insurgency – damaged infrastructure needs huge
investment. Recent strikes by different pressure groups have adversely affected the public service
provisions and the industrial production.
Thus, manufacturing, tourism and other services have a very low or even negative growth
- 52 -
after 2000 compared to the 1990s. Raising economic growth is a serious challenge for Nepal,
especially due to unstable political set up, poor infrastructure and lack of institutional support.
After the peace agreement with the Maoists by the Seven Party Alliance (SPA) and their joining
the government the prospect of donor funding is there, provided peace prevails. In that context the
external finance to Nepal could increase.
The expenditure to GDP has almost remained the some while the ratios of foreign aid as well
as development expenditure to GDP have simultaneously decreased. A decrease in the
development expenditure to GDP at a faster rate, on the one hand, and an increased percentage of
regular expenditure to GDP on the other, is not a welcome sign. Also, much of the resources have
to be devoted to debt servicing. Nepal needs to raise both the GDS as well as investment. To pick
up the investment in the future both the domestic as well a external resources have to be
mobilized which means Nepal’s increased dependency on foreign aid. It is quite natural that
Nepal’s dependence on foreign aid, after the peace and stability is fully restored, would
substantially increase.
The external resource has been mainly in the form of loans except for 2005 when
government could not borrow due to internal political movement. The total foreign assistance
(both grants and loans included) has always been above 4 percent of GDP, with 6 percent in 1990.
In fact, it remained around 6 percent or above since the FY 1979-80. Once the development
expenditure picks up the external assistance would definitely reach the 1990 mark or above. The
increase in foreign loans as a source of financing government expenditure became more
prominent since the year 1983-84, especially with the initiation of the structural adjustment
programme.
However, this analysis does not show the actual level of dependence on foreign aid. In fact, a
large number of development activities, previously undertaken within the government
development budget, are implemented through the non-governmental organizations. But the
reliable information on such financing does not exist. Unofficially it is estimated that up to NRs
10 billion flows through NGOs (Quoted in D.R. Pandey). The civil society has been increasingly
utilizing foreign aid. Some government agencies are also getting external assistance outside the
government budgetary framework. In general, it is held that the financial transparency is vital in
very nation of the world.
6. CHALLENGES
Nepal's overall economic activities gradually shrunk due to political instability, leading to the
problems of maintaining law and order and weak security situation. However, its immediate
neighbors, China and India, have showed impressive high growth rates. Despite such a favorable
neighborhood situation, Nepal could not take benefit due to political instability, leading to
ineffective policies and weak implementation. Hence there is a challenge to solve these intricate
problems. At the moment the challenge emerges from restoring the law and order situation,
bringing insurgents to the main political stream and formation of a stable government. There
exists constitutional vacuum, and the present government is a transitional one.
Another challenge facing the country now is to manage the building of infrastructure needed
for development and the institutional set up for effective public services delivery. The agricultural
sector lacks irrigation and other basic inputs, including credit necessary to it. No effective
institutional mechanism has been active in the rural areas, especially in the hills. The commercial
banks in the country are required to invest 12 percent of their deposits in the priority sector and 3
percent to the deprived sector but they are unwilling to do so, and instead, they willingly pay
penalties imposed on them by the central bank, Nepal Rastra bank. A sizable number of rural
people have been displaced by the insurgency, and some have gone abroad in search of gainful
alternative employment. Bringing them back to the normal life and restoring confidence in them
is a serious challenge for the country.
The continued conflict could not add much to the development of infrastructure and the existing
ones were badly damaged. The present atmosphere is not congenial for development. The
challenge of reconstruction of destroyed infrastructure, and at the same time, to undertake
development of new physical infrastructure is a Herculean task in the present atmosphere of
political uncertainty where no investor, public or private, would like to invest. In the current fiscal
- 53 -
year 2006-2007, the government's capital expenditure has been significantly low as against the
planned one. Moreover, industrial peace and security needed to be restored. Even the existing
capacity could not be utilized at present. It is, for instance, hardly 50 to 60 percent of the installed
capacity. At the same time productivity could not be raised both in agriculture as well as in
industry. Thus, improving the business and promoting investment climate, the delivery of
effective public services, and creating of preconditions for productivity improvements are
lacking and consequently needed.
There is a challenge of developing and promoting tourism industry in Nepal by increasing
the number of tourist inflows, extending their duration of stay, and encouraging quality tourism.
This is possible only when peace is fully restored and they are provided proper and adequate
information about Nepal. And thereby taking several measures such as tourism infrastructure
development, diversification of tourist industries, and promotion of tourism are required.
In essence, Nepal faces the challenge of establishing a sustainable democratic government
with vision.
7. PROSPECTS
Containing of insurgency and then instilling political stability are, in fact, prime requisites for the
future development of Nepal. The creation of infrastructure and development oriented
institutional setup are imperative. Then Nepal could have a sustainable economic development
and a bright economic future. In order to do so, the present level of resource mobilization would
be quite inadequate. However, the restoration of peace and the formation of a legitimate stable,
democratic government could enthuse greater effort for additional financial resource mobilization
from both internal and external sources. Moreover, it can benefit from the impressive high growth
performances of neighboring China and India.
Alternatively, if the legitimate government could not be established, and above challenges
could not be addressed, Nepal's economic future is quite bleak.
SELECTED REFERENCES
Baral A, Baral S, and Morgan N. "Marketing Nepal in an Uncertain Climate: Confronting
Perceptions of Risk and Insecurity" in Journal of vacation Marketing, 2004.
Ministry of Finance, Economic Survey, FY 2005-2006, Kathmandu: Government of Nepal, July
2006.
National Planning commission, Tenth Plan (2002-2007) Kathmandu: Government of Nepal,
2002.
Pandey, Devendra Raj, Nepal's Failed Development, Kathmandu: Nepal South Asia Center, 1999.
World Bank, World Development Report (Various issues), Oxford University Press.
National Newspapers
Kantipur, Kathmandu
Himalayan Times, Kathmandu
The Kathmandu Post,Kathmandu
The Rising Nepal,Kathmandu
- 54 -
Annex 1: Gross Domestic Product by source (1994-95) (Three Year Averages ) Rs. in Million
Mid-FYS of
FYS
(End year)
GDP
at
Producers'
Prices
GDP at
Factor Cost
Agriculture
Industry
Services
1990
171,041.30
1995
220,739.00
2000
277,257.67
2005
319,913.00
165,093.33
(100)
212,100.67
(100)
266,330.67
(100)
305,255.67
(100)
78,656.33
(47.64)
86,918.33
(40.98)
101,139.67
(37.98)
118,737.67
(38.90)
37,043.33
(18.80)
47,311.67
(22.31)
62,675.00
(23.53)
68,148.00
(22.33)
55,393.67
(33.56)
77,870.67
(36.71)
102,516.00
(38.49)
118,370.00
(38.78)
Source: Economic Surveys of various Fiscal years, Government of Nepal
Notes:
1. Figures in parentheses indicate percentages.
2. Agriculture Sector includes fisheries and forestry
3. Industry sector includes mining and quarrying, manufacturing, electricity, gas water and
construction.
4. Services include trade, restaurants & hotels, transport, communication & storages,
finance & real estate and community & social services.
5. Sector-wise GDP data is available only at factor cost.
Annex 2: Tourist Arrivals, 1989-2005
Year
Number
Growth Rate, %
1989
239,975
...
1990
254,885
6.2
1991
292,995
15.0
1992
334,353
14.1
1993
293,567
-12.2
1994
326,531
11.2
1995
363,395
11.3
1996
393,613
8.3
1997
421,857
7.2
1998
463,684
9.9
1999
491,504
6.0
2000
463,646
-5.7
2001
361,237
-22.1
2002
275,468
-23.7
2003
338,132
22.7
2004
385,297
13.9
2005
375,398
-2.6
Source: Economic Survey, FY 2005-2006, Government of Nepal.
- 55 -
Annex 3: Foreign Exchange Earnings from Tourism
Total Foreign Earnings from As % of total
Tourism
Foreign
Exchange
(Rs. in million)
Earnings
1989-90
3121.2
23.3
1990-91
3587.6
21.8
1991-92
5016.9
20.0
1992-93
5966.0
17.6
1993-94
8251.7
18.9
1994-95
8973.2
17.3
1995-96
9521.2
21.4
1996-97
8523.0
17.6
1997-98
9881.6
15.2
1998-99
12167.8
15.9
1999-2000
12073.9
8.8
2000-01
11717.0
7.4
2001-02
8654.3
6.1
2002-03
11747.7
8.2
2003-04
18147.4
11.4
2004-05
10464.0
6.1
Source: Economic Survey (FY 2005-2006), Government of Nepal
Year
As % of
GDP
3.2
3.2
3.6
3.7
4.1
4.1
3.8
3.0
3.3
3.6
3.2
2.9
2.1
2.6
3.7
2.0
Author’s Profile
Full name:
Jaya Krishna Pathak
Born:
21 August 1948 (Nepal)
Current affiliation: Professor, Central Department of Management,
Tribhuvan University, Nepal
Academic Carrier:
1984
PhD, Gokhale Institute of Politics and Economics, University
of Pune, India
1980
Master in Philosophy (M. Phil.), Gokhale Institute of Politics
and Economics, University of Pune, India
1969
Master Degree (Commerce), Tribhuvan University
1967
Bachelor Degree (Commerce), Tribhuvan University, Nepal
Current Professor, Central Department of Management, Tribhuvan
University, Nepal (since 1990)
1994
Head, Central Department of Management, Tribhuvan University (until 1998)
1986
Associate Professor, Central Department of Management, Tribhuvan University, Nepal (until
1990)
1984
Assistant Campus Chief, Kritipur Multiple Campus, Tribhuvan University (until 1986)
1979
Lecturer, Shanker Dev Campus and Central Department of Management, Tribhuvan University,
Nepal (until 1986)
1972
Assistant Professor, Trichandra College, Tribhuvan University (until 1979)
Prof. Pathak has published over 15 research papers in various national journals and publications and a
few international publications. He has a long experience in research with over 15 projects focusing
mainly on economics and financial management.

- 56 -
Chapter 4
Rajendra P. Adhikari, Prof. Dr.
Principal, Nepal College of Information Technology
Coordinator, Center for Advanced Studies of Nepal Engineering College.
1. BACKGROUND
Nepal is a landlocked mountainous country situated between two giant nations– India (at East,
West and South) and China (at North). Total area of the country is 147,181 sq.km. with a
population of about 25 million. It is topographically divided into three different regions as
Mountains (15 %), Hills (68 %) and Terai (17 %). The country has wide diversity in its
topography, and the altitude varies from the highest peak in the world – the Mt. Everest (8848m
high) to the low land – 70m above sea level.
Administratively, the country is divided into five development regions, namely Eastern
Development Region (EDR), Central Development Region (CDR), Western Development Region
(WDR), Mid-Western Development Region (MWDR) and Far Western Development Region
(FWDR). The country is further divided into 14 zones and 75 districts. Each district has Village
Development Committees (VDC) and municipalities. There are 3913 VDCs and 58 municipalities
(including one metropolitan and four sub-metropolitan cities). Nepal is one of the least developed
countries of the world having a per capita income of USD 322, and the population below poverty
level stands at 30.85 %.
Development of adequate and reliable physical infrastructure is a fundamental requirement
for overall development of any country. Nepal being a mountainous and the least developed
country is facing a challenge of developing and maintaining physical infrastructures. Realizing
the need for planned development, effort was initiated in the country from the year 1956 with the
First Five Year Plan (1956/57-1960/61). In this background, this paper focuses on the status of
physical infrastructure and the policies adopted so far for its development and maintenance.
Oxford dictionary defines infrastructure as the basic systems and services that are necessary
for a country or an organization to run smoothly, for example buildings, transport and water and
power supplies. This paper discusses the efforts made by Nepal on developing and maintaining
basic physical infrastructure, such as roads and highways, irrigation, hydropower, water supply,
and communication system.
2. ROAD TRANSPORT
Road transport plays very important role in socio-economic transformation of any society or
country. Before 1956, total road in the country was 624 km and among this only 259 km was all
weather roads and the remaining 365 km was fair weather roads. Road networks in the country
are broadly classified as:
A. Strategic roads, which cover
i. National highways
ii. Feeder roads
These roads connect capital with district head quarters and other important places in the country.
B. Local roads, which cover
i. District roads
ii. Urban roads
iii. Village roads
- 57 -
iv. Agriculture roads
v. Other roads
Among total road network of the country, about 23 % of total roads are strategic roads, 10 % are
urban roads and the remaining 67 % roads are rural roads. The National Transport Policy 2058
has made Department of Roads (DOR) responsible for construction, maintenance and operation
of strategic roads only, the DOR focuses its activities on the roads of national importance – the
national highways and feeder roads. The newly established department, following the National
Strategy for Rural Infrastructure Development of 1997, Department of Local Infrastructure
Development and Agriculture Roads (DOLIDAR) is given the responsibility of developing and
maintaining rural roads and therefore, DOLIDAR is providing technical support to the local
authorities i.e. District Development Committees (DDC), Village Development Committees
(VDC) and the municipalities.
Figure 1 shows the road development since 1950. In the year 2000, the length of the road
was above 15000 km and the density of road for 1000 population was 6.68 and for 100 sq. km
was 10.4, which were considered as lower than the other South Asian Association for Regional
Cooperation (SAARC) countries (20-Year Road Plan, 2002).
Length (Km)
20000
15905
15000
10000
5000
0
1950
1960
1970
1980
1990
2000
Year
Figure 1 Development of road length in Nepal
Total road networks in the country are shown as Table 1.
Table 1 Status of roads (in km) in Nepal
Year
Black
Gravel
topped
1990/91
3083
2181
1994/95
3533
2662
1999/00
4522
3646
2004/05
4911
4707
[Economic Survey, July 2006]
Fair weather
3064
4529
7140
7661
Total
8328
10724
15308
17279
The target of road development and the expenditure estimated for different plan period is
presented in table 2.
Table 2 Target of road development and estimated expenditure in Nepal
Plan Periods
10th
11th
12th
Road (km)
988
1133
1040
Budget
13560
7735
7860
(Million Rs.)*
[Source: Twenty-Year Road Plan (2002 – 2022)]
13th
879
6998
Total
4040
36153
*1 US $ = Rs. 65
A significant portion of the national budget is spent for development of road network in the
country. Table 3 shows the percentage of the development expenditure made in different plan
period for development of roads and bridges.
- 58 -
Table 3 percentage of the development expenditure made in roads and bridges
S. No.
1
2
3
4
5
6
7
8
9
10
Plan period
Percentage of the
development budget
24.50
10.62
22.02
25.1
26.51
13.69
10.73
19.10
19.04
11.51
First (1956- 1960)
Second (1962 – 1964)
Third (1965 – 1969)
Fourth (1970 – 1974)
Fifth (1975 – 1979)
Sixth (1980 – 1984)
Seventh (1985 – 1989)
Eighth (1992 – 1996)
Ninth (1997 – 2001)
Tenth (2002 – 2007)
[Rijal, 2004; RYA, 2003]
Remarks
Estimated
In order to develop and maintain road transport facility in the country a 20 – Year Road plan has
been prepared and 20 – Year Agriculture Perspective Plan (1997) has specially mentioned to
develop the then existing road network of 6 km per 100 km2 to 11 km per 100 km2 and
maintaining them to the operational standard. The 20-Year Road Plan has following main
objectives for the development of the Strategic Road Network (SRN):
i.
ii.
iii.
iv.
v.
Strengthening political and administrative linkages
Poverty alleviation
Development and utilization of social, economic and cultural potentials
Minimization of total transportation cost, and
Minimization of adverse effects on the environment.
Since the road plays very important role in the socio-economic development of the society as well
as the country as a whole, continuous effort has been made to develop road network in the
country both in the government sector and at the local level. As a consequence, local bodies have
achieved a considerable progress in road construction. It is to be noted here “considerable
technical support and supervision are necessary to ensure appropriate planning and road quality in
order to avoid environmental problems.” (NPC, 2003) Despite all the efforts, among 75 districts
of the country only 61 district head quarters are connected to road networks despite of the target
of connecting 70 district head quarters by the end of the 10th plan period (2002 – 2007). It shows
that there is a lot to do in developing road network in the country.
Box-1: Physical target of the tenth plan (2002 – 2007)
1. New road construction (All types)
2. Road upgrading (All types)
3. Road maintenance, rehabilitation and reconstruction
4. Road structure construction
5. Periodic maintenance
6. Bridge construction (Including 132 bridges under construction)
7. Connecting additional district head quarters by roads
8. Establishment of Road Maintenance Fund
9. Organization strengthening
10. Hand over the local and urban roads to DDCs and the municipalities
11. Lowering the road transport expenditure
870 km
1500 km
500 km
195 km
1033 km
187 nos.
8 nos.
within the first fiscal year
Will be continued
Within 2 years
Gradually
Proper road maintenance helps reducing the rate of deterioration of the road and prolonging its
life, reducing vehicle operating cost and providing reliable and safer transportation of
passengers/goods. However, it is seen that only after 1990, the country has realized importance of
road maintenance for smooth operation of the constructed roads. Maintenance and Rehabilitation
- 59 -
Coordination Unit (MRCU) was established in July 1991 under DOR. MRCU was established
with the tripartite agreement between the government (DOR), Swiss Development Cooperation
(SDC) and Overseas Development Assistance (ODA). In 1993, DOR established Strengthened
Maintenance Division (SMD) to address the maintenance problems. During the Ninth Plan period
(1997 – 2001), most of the Strategic Road Network (SRN) was rehabilitated/reconstructed. The
Department of Roads has categorized the maintenance works as given below:
i. Routine maintenance, which is required continually on every road.
ii. Recurrent maintenance, which is required at varying intervals during the year with
a frequency that depends mostly on the volume of traffic on the road.
iii. Periodic maintenance, which is required at interval of several years.
iv. Emergency maintenance, which is needed in emergencies requiring immediate
action.
v. Preventive maintenance, which is needed to maintain roads to the changing nature
of the slopes and streams.
The DOR has also introduced the Performance Based Management Contract (PBMC) for
maintenance of roads. In this approach, a contractor carries out all types of maintenance works.
PBMC was first introduced at the Narayangarh–Butwal (114 km) sector of the East-West
Highway. The summary of costs of maintenance and rehabilitation for various plan periods are
presented in table 4, which shows the focus given to maintenance activity.
Table 4 Summaries of Costs of Maintenance and Rehabilitation (Million Rs.)
10th
11th
12th
13th
Total
Plan period
Activity
Routine Maintenance
621.35
766.52
914.39
1063.64
3365.20
Recurrent Maintenance
769.56
879.20
1000.25
1121.99
3789.00
Major Works
1420.35
1677.90
1935.45
2193.00
7226.70
Bio-engineering
79.04
96.74
114.44
132.14
422.36
Urban Road Maintenance
250.00
250.00
Emergency Maintenance
58.17
65.99
73.82
81.64
279.62
Equipment & Spare Parts Purchase
600.00
600.00
150.00
150.00
1500.00
Periodic Maintenance
2027.40
2478.80
2916.80
3321.80
10744.80
6565.15
7105.15
8064.21
27560.38
Sub-total 5825.87
Road Rehabilitation
3109.24
3109.24
3109.24
3109.24
12436.96
9674.39
10214.39 11173.45 39997.34
Total 8935.11
[20-Year Road Plan, 2002 – 2022]
Initially the focus of road maintenance was given to the strategic roads only and the rural roads
started getting due care after establishment of the DOLIDAR under the Ministry for Local
Development in the year 1999. Rural roads are classified as given below:
A. Based on serviceability condition
i. All weather roads
ii. Fair weather roads
B. Based on pavement
i. Black topped roads
ii. Graveled roads
iii. Earthen roads
C. Based on the importance
i. Class A (District roads) – roads that connect one or more major growth centers
(market, industry etc.) or VDCs with the headquarters.
ii. Class B (Village roads) – roads that connect a VDC with another VDC or SRN or
District Roads etc.
- 60 -
Rural roads in Nepal fall under maintainable roads and non-maintainable roads. Roads
constructed following engineering standards fall under the maintainable roads and the roads
constructed by the locals without considering engineering standards are considered as
non-maintainable roads because such roads require almost similar effort and resources to bring
them into serviceable condition as require for constructing a new road.
Maintenance of rural roads are the responsibility of the concerned DDCs, and VDCs. The
Local Governance Act 2055 (1998) has provision for undertaking the construction and
maintenance work of the local level projects including levying taxes or service charge by the
Users' Committee (UC). For operation and maintenance of the local roads, therefore, UCs, DDCs
and VDCs are involved.
The funds required for maintenance are available through the government regular budget, the
donors' assistance (grant/loan), road taxes and the fund raised by the beneficiaries. However, the
funds available for maintenance of roads are not adequate to keep all the constructed roads on
normal conditions.
3. IRRIGATION
Agriculture is the major economic sector of the country and therefore, major portion of the
population is involved in agriculture. Its contribution to GDP is about 40 percent. To increase
agricultural production, irrigation facilities need to be developed. Irrigation has received due
attention in the country from the ancient time and the canals built in the past are still found in
operation. King Ram Shah (17th century) has said that operation and maintenance of irrigation
systems were the responsibility of the community. At an early period, farmers diverted water
from the streams/rivers and for this they used to construct earthen dams and simple canals. The
‘Raj Kulos’ (King’s canal) were constructed by the state and the operation and maintenance of
such canals was carried out by the users (farmers) or by the revenue collectors. The first modern
irrigation system in the country was built in 1922 – 1928 and is known as Chandra Canal, for
which British engineers have assisted. It has command area of 10000 hectares.
The Irrigation Policy 2060 (2003) has classified the projects/systems as:
i. Small project/system – the projects/systems having less than 25 hectare of irrigation
area in the hills and less than 200 hectares in terai and inner terai.
ii. Medium project/system – the projects/systems having 25 - 500 hectare of irrigation
area in the hills and 200 - 2000 hectares in terai and inner terai.
iii. Large project/system – the projects/systems having 500 - 1000 hectare of irrigation
area in the hills and 2000 - 5000 hectares in terai and inner terai.
iv. Major project/system – the projects/systems having more than 1000 hectare of
irrigation area in the hills and 5000 hectares in terai and inner terai.
The project has been defined as the irrigation project, sub project or pilot project either proposed
or under construction and the system has been defined as all infrastructures built for irrigation
purpose and all units including irrigated area and the term also includes the completed irrigation
system which is in operation. The canals are also classified as:
i. Field channel – the canal off taking from any of the main canal or branch or
secondary canal or distributary or sub-secondary canal or any watercourse that
supplies water to each field up to the area of 10 hectares.
ii. Watercourse – the canal off taking from any of the main canal or branch or
secondary canal or distributary or sub-secondary canal having more than 10 - 30
hectares of irrigated area.
iii. Minor or tertiary canal - the canal off taking from any of the main canal or branch
or secondary canal or distributary or sub-secondary canal having 30 - 100 hectares of
irrigated area.
iv. Distributary or sub - secondary canal - the canal off taking from any of the main
canal or branch or secondary canal having 100 - 500 hectares of irrigated area.
v. Branch or secondary canal - the canal off taking from the main canal.
vi. Main canal – the canal off taking directly from the intake or headwork.
- 61 -
For management purpose, the irrigation system has been classified as:
a. Users operated system - following systems falls under this category:
i. Traditional irrigation system
ii. System transferred by government and non- government agencies to the users
association
b. Government operated system
i. Operated in the joint management by the government and the users
association
ii. Operated in joint management by the local bodies and the users association
iii. Operated in private level
Before 1956, irrigation facility was available to only 25,101 hectares of land. The farmers in the
country, between the 19th and the first half of the 20th century, have built many irrigation
facilities with their own initiative and are popularly known as Farmers Managed Irrigation
System (FMIS). It is estimated that there are more than 20,000 small to medium FMISs in the
country.
At the end of the 9th plan (2001), total area having irrigation facility was 1,121,400 hectares
and the target of the 10th plan is to extend it to 1,417,000 hectares. Similarly, by the end of the
12th plan period, target has been fixed to extend the irrigation facility to 1,686,000 hectares of
irrigable land. In Nepal, about 67 % of total cultivable land (2,641,000 hectare) is considered as
irrigable. In general, it is observed that focus is directed towards new construction rather than full
utilization of the constructed facilities. Due to lack of proper maintenance of the structures, only
25 – 30 % water reaches at the land. Water Resource Regulation 2050 (1993) has provision for
collection of service tax, but study has revealed that only 1.5 % of the total maintenance budget
has been collected from the users, which is negligible to operate the system in good condition. As
provisioned in the Irrigation Policy, Maintenance and Repair Fund has been established in
Department of Irrigation (DOI).
4. ELECTRICITY
Nepal's hydropower potential is considered as very high with an estimation of 83000 MW.
Development of hydropower for electricity generation was started in the year 1911 with the
construction of Pharping Hydropower Project of 500 KW capacity. Only after two decades of this,
in the year 1936 another project of 640 KW was constructed at Sundarijal. Despite of high
potential, the pace of hydropower development was very slow and hence the third hydropower
project was only possible in 1965 with the construction of 2400 KW capacity Panauti
Hydropower Project. In this period of almost 100 years (at the end of FY 2004/05), only 556.800
MW hydropower has been generated, which is only 0.67 percent of the total generating capacity
of the country. Electricity is generated from other sources also – 56.756 MW is generated from
thermal power and 100 KW is generated from solar power. Including all, total electricity
production has reached at 713.556 MW. Table 5 shows some major hydropower projects and
their installed capacity.
Table 5 Major hydropower projects
S. No.
1
2
3
4
5
6
7
8
9
10
Project
Kaligandaki A
Marsyangdi
Kulekhani I
Kulekhani II
Trishuli
Gandaki
Modikhola
Devighat
Jhimruk (Pyuthan)
Sunkoshi
Capacity (KW)
144000
69000
60000
32000
24000
15000
14800
14100
12300
10050
- 62 -
Year of
commissioning
2001
1986
1982
1986
1967
1979
2000
1983
1995
1972
At the end of the FY 2004/05, total number of electricity consumers in the country was 1.16
million. Figure 2 shows the sector wise consumption of electricity in the country in FY 2004/05.
5.64
5.56
Industrial
11.31
38.89
Household
Commercial
Export
Miscellenous
38.6
Figure 2 Sector wise consumption of electricity (in percentage) [Economic Survey, 2006]
At the end of the 9th Plan (2001), electricity was reached to 40 % population. The 10th Plan
(2002 – 2007) has the target of covering 53 % population (at 4.3 % economic growth rate) and the
target for the 12th Plan (2013 - 2017) is to cover 80 % population. This target of covering more
population has to be harmonized with the quality service. There is an electricity shortage in Nepal
on the one hand and on the other, the demand for electricity is increasing at the rate of 50 MW per
year. To meet the demand, diesel plants are used to generate more power and load shedding
(cutting off power during peak hour) has also been introduced to avoid the demand of the
electricity.
So far as institutional arrangement is concerned, Nepal Electricity Authority (NEA) is the
public institution, established through the Nepal Electricity Authority Act 2041 (1982) and is only
the responsible institution for transmission, distribution and supply services of electricity in the
country. In 1990s the country adopted liberal economic policy and as a consequence, private
parties are also involved in power projects. About 20 % of the installed capacity is generated by
the private sector and NEA is responsible for remaining 80 % of the installed capacity. There are
about 50 Independent Power Producers (IPP). There are about 30 small hydro power plants in
the remote parts of the country, which are operated by the private parties under lease agreement.
Besides this, there are 1677 numbers of micro-hydro (3 – 100KW capacities) are installed, which
generate 9824 KW of electricity.
Ministry of Water Resources is the responsible ministry, which is involved in development
of policies related to use of water resources. Department of Electricity Development (DOED) is
the government organization that issues license; the NEA and IPPs involve in generating
electricity and the NEA involves in transmission, distribution and supply of the electricity and
Electricity Tariff Fixation Commission (ETFC) regulates the tariff.
There are acts governing hydropower development in Nepal such as Water Resources Act 2049
(1992), Electricity Act 2049, Foreign Investment and Technology Transfer Act 2049, Industrial
Enterprises Act 2049 and Environment Protection Act 2053 (1997). Similarly, there are
regulations and policies along with the Hydropower Development Policy 2001 and Water
Resource Strategy.
The government implemented hydropower projects in the past with the donor
agencies/countries assistance (grants or loans). After 1990s, private sector started investing in
hydropower development. Over 130 licenses have been issued to the private parties for
hydropower development. Although, this sector has the high potential for investment, the
investment made so far by the private investors is not satisfactory. About 10 power projects have
so far been developed by the private sector. However, commercial banks, development banks and
other institutions are financing for power development. To help private sector in developing
hydropower projects, the government has recently established Power Development Fund (PDF)
- 63 -
with initial corpus of USD 35 million, which is provided by the International Development
Association (IDA).
It is to be mentioned here that Nepali team did one of the important projects, Chilime of 22
MW; in which they did project identification to construction including financing. This project
was also less expensive project as compared to other hydropower projects. Completion and
operation of this project has developed confidence on Nepali professionals/developers to
undertake challenging works.
5. WATER SUPPLY AND SANITATION
Water supply and sanitation are the basic needs of the people and are the major sectors of public
concern. Bir Shumsher JBR, the then Prime Minister, initiated the first public water supply
system in 1894 and the system was called 'Bir Dhara'. Before 1951, there was 'Pani Adda' in
different districts of the country to distribute drinking water to the public. Private taps were
limited to some VIPs only. After the advent of democracy (1951) in the country, 'Nahar Bibhag'
(Canal Department) looked after both operation and maintenance of the existing and new
construction of irrigation and drinking water systems. In 1967 (2023 BS), the 'Nahar Bibhag' was
divided as Irrigation Department and Water Supply Department. The Water Supply Department
was named as Department of Water Supply and Sewerage (DWSS) in 1972.
The declaration of the World Health Organization (WHO) to celebrate the 1980s as the
World International Water Decade was accepted by the government of Nepal. This acceptance
helped water supply and sanitation sector in receiving more attention. By the end of the 9th plan
(2001), 71.6 % population has access to drinking water supply and only 25 % population was
benefited by sanitation. It is estimated that 85 % population will be benefited by drinking water
supply and 50 % by sanitation, by the end of the 10th Plan (2007). The target has been fixed to
provide access to drinking water supply and sanitation to all population - 100 % by the end of the
12th Plan Period (2017).
DWSS, following its structural change in 2001, is providing its services through five
Regional Monitoring and Supervision Offices, 43 Division Offices and 27 Sub-Division Offices.
DWSS is responsible for management of water supply systems in the cities not covered by the
Nepal Water Supply Corporation (NWSC) and in rural areas.
NWSC is the public enterprise established in 1990 for supplying drinking water on a regular
basis and making appropriate arrangements for sewerage system. The NWSC has the power to
determine fees for the supply of drinking waters. At present, the NWSC is working in 28
municipalities of the country including Kathmandu. Table 6 shows the water demand in the
municipalities serving by the NWSC and production of water. The data shows that the demand
of water is increasing each year and there is a high water deficiency. It shows that there is a great
challenge before the NWSC to meet the water need of the urban centers by controlling leakage,
producing adequate water and improving the quality and management of the distribution and
supply of water.
To meet the ever-increasing water demand of the capital city – Kathmandu, Melamchi
project has been launched in the year 1997 but the project has become a myth than a reality,
which is still in incomplete stage. As a temporary arrangement Kathamandu Valley Drinking
Water Strengthening Project was launched, which was completed in 2005. This project generated
water from Manahara and Sainbu rivers. Besides this, additional water is generated from the
nearby sources and ground water.
Table 6 Demand and production of water in municipalities (in MLD)
Fiscal Year
Demand
1999/00
2000/01
2001/02
2002/03
2003/04
250
281
290
294
344
Production
203
243
247
269
244
- 64 -
Total Water
Supply
(After leakage)
120
142
145
170
159
Deficit
(Demand – Supply)
130
139
145
124
185
Besides this, District Technical Office (DTO) provides technical support to the water supply and
sanitation projects undertaken at local level. The users committee takes responsibility of
constructing such small projects. Non-governmental organizations, community organizations,
private sector and local institutions shall play the role of facilitator.
According to 20-year long term water service plan (1997 – 2017) the water service shall be
categorized as high, medium and basic level based on the quantity, quality, access, supply time,
reliability etc. of the water and among the people of the country 25 % shall have high level, 60 %
people shall have medium level and 15 % people shall have basic level drinking water. Similarly,
in cities, solid waste management and sewerage along with treatment plant shall be provided and
in rural areas, using appropriate technology, toilet facilities shall be provided.
Realizing the need to correct the past mistakes and to achieve the goal, the government has
prepared Rural Water Supply and Sanitation Sectoral Strategic Action Plan 2004. It is believed
that this action plan will help in unifying the implementation process of the projects under various
institutions. In order to enhance rural water supply and sanitation program, the government has
established Rural Water Supply and Sanitation Fund in 1996 with the assistance of the World
Bank.
At central level, DWSC is implementing, with the loan assistance of Asian Development
Bank (ADB), Small Town Water Supply and Sanitation Project from the year 1999/2000. The
estimated project cost of this project is USD 53,869,000. Similarly, Community Water Supply
and Sanitation Project has also been implemented with the loan assistance of ADB (USD
35,700,000) in 2003/04 and is expected to complete by 2009/10. On the support of Japan
International Cooperation Agency (JICA) Kathmandu Valley Water Supply Improvement Project
(USD 16.32 million) was completed in which JICA's contribution was USD 15.04 million.
6. COMMUNICATION
Information and communication play very important role in people’s day-to-day life and the
importance of this sector has become even more in these days with the advancement in
information and communication technology (ICT). The history of telecommunication service
goes back to 1913 with a telephone service between Kathmandu and Raxaul. Wireless service in
Nepal was introduced in 1950. Table 7 shows the status of the country on communication sector
before 1956. Gradually Nepal is progressing in this sector and has made an early effort, compared
to other countries of that time, in introducing computer. It was in 1972, IBM 1401 was used for
census. Realizing the need for development of information and communication sector and to
apply it in the country’s overall development, National Computer Center (NCC) was established
in 1974 but NCC was not able to produce the intended result and was dissolved in 1998.
Table 7 Status of communication sector before 1956
S. No.
1
2
3
4
Descriptions
Local telephone
Trunk call centers
Automatic telephone system
Wireless service
Status
350 lines
28 nos.
25 lines
26 districts
The period of 1980 – 1990 was not encouraging for ICT development. Use of personal computers
were started in 1985 but only after 1990 use of personal computers increased. The National
Communication Policy 1992 was liberal to involve private sector in telecommunication services.
In 1996, Ministry of Science and Technology was established and in 1998 Nepal
Telecommunication Authority (NTA) as an autonomous regulatory body was established. There
are Telecommunication Act 1997 and Telecommunication Regulation 1998 to govern the
functions of the NTA. In the same way, for development and regulation of the ICT activities,
Electronic Transaction Act was first promulgated in 2004. The new cyber law has recently been
promulgated.
Since 1995 e-mail and internet services were available. In the year 2000, first IT Policy was
introduced. The new IT Policy 2004 is expected to come into force. National Information
- 65 -
Technology Center (NITC) was established in 2001 and High Level Commission for Information
technology (HLCIT) was established in 2003. The government has also replaced the Telecom
Policy of 1999 by Telecom Policy 2004, which aims to maximize benefits to Nepali users in
terms of reduction in tariff and quality service. Up to the first eight months of the FY 2005/06, 58
urban areas have been covered by telephone service; 588,061 telephone lines (from 218
exchanges), which is 25.40 telephone lines per 1000 population, are distributed. With the
assistance of India, 891 km optical fiber connection (from Bhadrapur to Lamahi) has also been
completed. At present, the modern ICT related services are available in the country. However, the
distribution, quality and management of the services need to be enhanced.
7. CONCLUSIONS
Nepal has started its planned development process from the year 1956 with the initiation of First
Five Year plan and is near to complete its 10th plan period. From the very beginning of its
planned development efforts, emphasis has been given to develop its physical infrastructure.
Alleviation of poverty has been the key issue and to achieve this objective, development of
infrastructure facilities and services is the most for which construction sector need to play leading
role.
In most of the cases, it is seen that more focus has been given towards new projects rather
than maintaining and putting the existing systems into operation. However, the awareness has
been increasing towards efficient operation and maintenance of the existing systems. Therefore, a
model for project identification and selection is recommended to develop, which shall also cover
moral guidelines for project selection. It helps in ethically right and needed project selection.
Academic institution can help the government in developing this model.
There are acts and policies and revisions are also taking place but the implementation of such
acts and policies are not effective to produce the intended results. The government should
investigate and analyze the causes of non- implementation of such rules and regulations and
proper measure shall be taken for effective implementation of the same. For this experience of
developed and regulated societies can be transferred to Nepal.
In general, it is said that Nepal’s developmental activities are donor driven rather than based
on the receiver’s requirements. It is to be noted here that the contribution made by the donor
countries/agencies for development of Nepal is very significant. Figure 3 shows the status of
foreign aids.
30000.00
23657.30
20000.00
Loan
0.00
Grant
Total
19
91
/2
00
0
20
00
/2
00
1
20
01
/0
2
20
02
/0
3
20
03
/0
4
20
04
/0
5
10000.00
(Source: Economic survey 2005/06)
Figure 3 Status of foreign aids (In million Rs.)
Other challenge remained before the construction sector is to utilize responsibly and optimally the
fund received for development activities because major portion of the development budget is
received as foreign loans and grants.
- 66 -
For development, operation and maintenance of the infrastructure facilities, private sector
participation (local as well as foreign) will be beneficial. This helps mobilizing internal and
external finance for benefit of the country and the people. For this various forms of Public Private
Partnership (PPP) can be introduced. This may demand revisions on the existing rules and
regulations.
Past experiences are the valuable assets but learning from experiences is almost negligible. A
learning mechanism needs to be developed for each functional department as well as for National
Planning Commission. For this, National Planning Commission (NPC) of the Government of
Nepal shall take immediate action and with the help of donor agencies/countries a study team
shall be formed to study and to recommend the learning mechanism for NPC itself and to other
functional departments so that they all can operate as learning organizations.
Data plays very important role in planning and design of any project or a program. For
proper development as well as for better distribution of the benefits reliable and adequate data
will be essential. Therefore, a strong database is recommended to maintain at central level and at
functional department levels. Such database will be a valuable asset to learn from the past
experience. In developing such a database, institutions like High Level Commission for
Information Technology (HLCIT) and National Information Technology Center (NITC) shall
take initiation.
REFERENCES
Alternative Energy Promotion Center (AEPC) and Community Awareness Development Center
(CADC), Micro-hydro Yearbook of Nepal 2006, Kathmandu, 2006
Bhattarai, Leelanath, "Nepalma Jalbidhyutko Vikas: Mathillo Tamakoshiko Sandarva"
(Hydropower Development in Nepal: On Upper Tamakoshi), Hamro Sampada, Kathmandu,
Vol. 10 Year 6, (Falgun 2063), 2007
Chapagain, Mohan Raj, An Exploratory Study: Rural Roads Maintenance in Nepal, Unpublished
thesis submitted to Pokhara University for the degree of M. Sc. Construction Management,
2006
Department of Roads, Twenty-Year Road Plan (2002 – 2022)
Department of Water Supply and Sewerage, Introduction, 2005
Ghimire, Maheswor, Roles and Responsibilities of User's Committee on Rural Roads Operation
and Maintenance, Unpublished thesis submitted to Pokhara University for the degree of M.
Sc. Construction Management, 2007
Ghorasaine, Ram Krishna, The Role of Water User’s Association and Sustainability of the
Irrigation System (A case study of Narayani Irrigation System), Unpublished thesis
submitted to Pokhara University for the degree of M. Sc. Natural Resource Management,
2007
Khana, Shyam Bikram, Status of Equipment Used on Recurrent Maintenance of Blacktopped
Road, Unpublished thesis submitted to Pokhara University for the degree of M. Sc.
Construction Management, 2006
Korea IT Industry Promotion Agency (KIPA), E-Government Master Plan Consulting Report, A
report prepared for the Government of Nepal, 2006
Ministry of Finance, Economic Survey, July 2006
Mishra, Balram, Impact of Planned Road Maintenance Management System in Strategic Road
Network, Unpublished thesis submitted to Pokhara University for the degree of M. Sc.
National Planning Commission (NPC), The Tenth Plan Summary (2002 – 2007), July 2003
Nepal Telecommunications Authority, An Introduction, 2004
Nepal Water Supply Corporation, Annual Report 2004/05
Pokhrel, Murali Dhar,Overview of Energy Sector, with Special Reference to Power Sector in
Nepal,
http://www.worldenergy.org/wec-geis/global/downloads/member_news/EnergySectorNepal.
pdf
- 67 -
Pradhan, Rabin, Challenges and Opportunities in Financing Private Hydropower Development in
Nepal, Unpublished thesis submitted to Pokhara University for the degree of M. Sc.
Rastriya Yojana Ayog (RYA), Dasau Yojana (2059 – 2064), 2003 (Falgun 2059)
Rijal, Binit, Infrastructure Development in Nepal, Unpublished thesis submitted to Pokhara
University for the degree of M. Sc. Construction Management, 2004
Shah, Raj Kishor Prasad, Rural Road Maintenance in Nepal (A study of Lalitpur District),
Unpublished thesis submitted to Pokhara University for the degree of M. Sc. Construction
Management, 2007
Sharma, Hari Prasad, Nepalko Halko Khanepaniko Sthiti Ra Esko Bikasma Abalamban
Garnuparne Neeti" (Status of Water Supply in Nepal and the Policies to be Adopted for its
Development), Hamro Sampada, Kathmandu, Vol. 10 Year 6, (Falgun 2063), 2007
Sharma, Khem Raj, "Sichain Ra Yesko Byabasthapan" (Irrigation and its Management), Hamro
Sampada, Kathmandu, Vol. 10 Year 6, (Falgun 2063), 2007
Shrestha, Anil, "Lodsheding, Jalasrot ra Nepalko Katha" (Load Shading, Water Resource and
Story of Nepal), Hamro Sampada, Kathmandu, Vol. 10 Year 6, (Falgun 2063), 2007
Author’s Profile
Full name:
Rajendra Prasad Adhikari
Born:
23 November 1959 (Nepal)
Current affiliation: Principal, Professor, Nepal College of Information
Technology (a Pokhara University affiliate)
Academic Carrier:
2000
PhD, Tribhuvan University, Nepal
1994
P. G. Diploma (Construction Management), Delhi Productivity
Council, New Delhi, India
1990
1988
Master Degree (Political Science), Tribhuvan University, Nepal
1987
Master Degree (Public Administration/Management),
1985
Bachelor Degree (Management), Tribhuvan University, Nepal
1983
Diploma (Public Administration), Tribhuvan University, Nepal
1979
Pre-college Degree (Civil Engineering), IOE, Tribhuvan University, Nepal
Current Principal/Professor, Nepal College of Information Technology (since 2001)
Coordinator, Center for Advanced Studies, Nepal Engineering College (since 1999)
Advisor (Construction Management/Administration), Federation of Contractors’ Association of
Nepal (since 1990)
1995
Assistant Education Officer, Engineering Education Project (WB/CIDA/SDC), Institute of
Engineering, Tribhuvan University, Nepal (until 1996)
1984
Instructor, Institute of Engineering, Tribhuvan University (until 1999)
1979
Engineering Technician, Local Development Department, Government of Nepal (until 1984)
Prof. Adhikari has published three books and a few dozen of papers and articles in national and
international publications including Nepalese literary materials.

- 68 -
Chapter 5
Natural Disasters and Their Impact on Infrastructural
Development and Environment in Nepal
Bishal Nath Upreti, Prof., Dr.
Dean, Institute of Science and Technology, Tribhuvan University
Kathmandu, Nepal (Email: [email protected])
ABSTRACT
Nepal is one of the most vulnerable countries in South Asia for natural disasters. From the top, it
stands at 11th country with respect to relative vulnerability to earthquake and 30th with respect to
flood. Almost 90% of Nepalese people are constantly exposed to more than two disasters at any
time. Nepal is affected by a wide variety of natural disasters such as landslides, debris flows,
floods, earthquakes, snow avalanches, Glacial Lake Outburst Floods (GLOF), hailstorms,
thunderbolts, cold waves, hot waves and epidemics etc. Rugged topography, extreme weather
events, and fragile geological conditions are the major causes of various types of disaster in Nepal.
Nepal’s vulnerability to disaster is compounded by rapid population growth, unplanned housing
and settlement patterns, construction of mostly non-engineered buildings and without following
building codes for house construction, absence of laws on land use planning and development of
infrastructure projects without due consideration to its impact on disaster and vice-versa. The
extent and nature of impact from disaster have great variability due to diverse geological and
climatic settings of the country. The disaster under the weak socio-economic conditions of the
country often drives spatial development patterns and environmental degradation, both
contributing to overall increase in disaster vulnerability that ultimately slows the pace of
development. During the years between 1986 and 2005, Nepal lost an average of 943 lives per
year and nearly property worth 20 million US Dollar annually to natural disasters. During the
period between 1983 and 1995, the average annual loss from the disaster was as high as 12.9% of
the development expenditure and 5.39% of the read GDP. These amount of loses to disaster on
GDP is at an unacceptable level. Human vulnerability to disaster and poverty is largely
co-dependent and reducing disaster risk is often contingent upon alleviating poverty and vice
versa. Poverty reduces individual capacity to cope with disaster stress and shock. Therefore,
reducing disaster risk would improve the sustainability and effectiveness of development and
poverty alleviation strategies in Nepal. Formulation and implementation of comprehensive policy
and legal frame towards disaster mitigation and infrastructure development, improved
hydro-meteorological database, hazard and vulnerability mapping, mainstreaming of disaster risk
reduction into development planning, land use planning, awareness and capacity building are
some of the main activities that should be carried out with urgency to ensure sustainable
development in Nepal.
Keywords: Natural Disaster, Infrastructure, Environment, Sustainable development
1. INTRODUCTION
Situated in the mid of the young Himalayan terrain, Nepal is a highly disaster prone country in
Asia exposed to various types of natural disasters. A wide range of physiographical, geological,
ecological, meteorological, and demographic factors contribute to the disaster vulnerability in
Nepal. The earthquakes of 1934, 1980, 1988; the flood of July 1993, and the recent landslides of
August 2002 and fire of 2002 were the most devastating natural disaster which not only caused
heavy losses of human lives and physical assets but also adversely affected the development
process of the country as a whole. In addition, Nepal’s vulnerability to disasters is compounded
by rapid population increase, growth of haphazard and unplanned settlements, and infrastructure
- 69 -
development carried out without proper consideration to natural disasters. Also, study shows that
90% of Nepalese people are constantly exposed to more than two disasters at any time. It is found
that there are 1.06 reporting of natural disaster events per day on the average in Nepal.
In the last 23 years, in an average annually about 943 persons lost their lives in Nepal. It
stands at 11th country with respect to relative vulnerability to earthquake and 30th with respect to
flood. The records also reveal that in south Asia Nepal stands third in having highest number of
average annual human deaths per million living population with 39 deaths per year per million,
only behind Sri Lanka and Bangladesh. Even, these numbers may be on the lower side as there
are many cases when disasters are unreported from remote areas. It is also found that Nepal has
the highest ratio of number of affected persons to number of Killed (1:144), i.e. for every 144
persons affected by disaster one is killed. Nepal suffers a loss of hundreds of million rupees every
year due to disasters. The data compiled by the Ministry of Home Affairs (MoHA), illustrates that
in the last twenty three years (1983 – 2005), over 28 billion rupees (approx. 45 million US $)
were lost due to disasters, an average of nearly 1208 million rupees (approx. 2 million US $) per
year. These MoHA data include mostly loss of private property and do not include losses to
infrastructure.
With a Human Development Index (HDI) ranking of 136 (2005), Nepal is among the least
developed countries in the world. Disaster, among others, is one attribution of poverty. Disasters
create instant poverty through the loss of productive assets and lives; poverty accentuates natural
hazards through encroachments in the high risk marginal areas. Hence poverty is both cause and
consequence of disasters in countries with high vulnerability. Nepal has embarked on meeting the
Millennium Development Goals (MDGs) and has demonstrated substantial progress in the first
five years of the millennium. However, disaster risk reduction is essential for sustaining the
achievements of all the MDGs since it provides a safety net for the hard earned development
gains of the country. The primary challenge is how to reduce the massive vulnerability of the
country to different types of hazards.
Considering the annual direct losses to lives, buildings, infrastructure, industry, and
agriculture and the additional indirect losses in production, income-earning activities,
employment and displacement, plus the cost of relief and recovery, disasters place a heavy burden
on the already fragile economy of one of the world’s poorest nations. Disaster’s impact on
environment in general is also very high. Each large disaster can potentially set the country back
several years in terms of development efforts. When scarce resources of time, energy, expertise,
and funding are directed towards relief, recovery and rehabilitation, they are diverted away from
the overall development process. In recent years the planners of Nepal seems to have recognized
the intimate links between poverty and development strategies. As a result, the need to
mainstream disaster management and incorporate elements of risk reduction into development
plans and poverty alleviation programmes are emphasized in the policy framework of Millennium
Development Goals (MDGs) of the country.
2. NATURAL DISASTERS IN NEPAL
The most common natural disasters in Nepal are, landslides, debris flows, floods, earthquakes,
snow avalanches, Glacial Lake Outburst Floods (GLOF), hailstorms, thunderbolts, cold waves,
hot waves and epidemics. A significant proportion of GDP is lost every year due to natural
disasters. The poor, marginalized and disadvantaged groups of people are the hardest hit by any
natural calamity that occurs in the country. The reason for the high number of loss of life and
property in Nepal may be attributed to inadequate public awareness, lack or inadequacy in
preparedness, weak governance practices, lacking coordination among inter-government agencies,
inadequate financial resources, and lower level of technical knowledge and skill in mitigation of
natural disasters.
The characteristics of disaster vary with different geomorphic terrains of the country. In the
high mountains, large landslides and debrisflows are frequent. Quite often landslides sweep away
the whole village. The debrisflows cover terraced land with boulders and debris damaging the
standing crop and degrading the agriculture land. In the foothill and the floodplain, the rivers
cause deposition of sediment damaging crops and land. River bank erosion is also a serious
problem in Nepal. Floods in the southern plains of Nepal that occur almost every year have
- 70 -
become a serious problem causing human sufferings and great loss of property.
Every year in Nepal, flood, landslide, fire, epidemics, avalanche and various other natural
and manmade disasters cause casualty of hundreds of human lives and destruction of physical
assets worth of millions of dollars. Although, the yearly trend shows ups and downs, the last
decade shows a rising trend of loss of lives and damages to property due to disasters compared to
the earlier ones (Upreti 2005). The loss of life due to various types of disaster in Nepal between
the years 1983-2005 is shown in Fig. 1 and the percentage of loss of life due to various types of
disasters in Nepal in the last 23 years (1983-2005) (MoHA 2004, DWIDP 2006) is shown in Fig.
2. The map showing district–wise data on persons killed by natural disasters during the years
1993-2005 (2050-2062 BS) is presented in Fig. 3.
Earthquake
Flood & Landslides
Fire
Epidemics
Windstorm, Hailstorm & Thunderbolts
Number of death
1600
1200
800
400
0
82 9 84 9 86 9 88 9 90 9 92 9 94 9 96 9 98 0 00 0 02 0 04 0 06
2
2
2
2
1
1
1
1
1
1
1
1
19
Year
Fig. 1: The trend of loss of lives by different types of natural disasters between 1983 and 2005
(Data Source: MoHA 2004, DWIDP 2006)
Earthquakes
Others
3%
4%
Landslide & floods
32%
Epidemics
55%
Fire
6%
Fig. 2: Percentage of loss of life due to various types of disasters in Nepal in the last 23 years
(1983-2005) (MoHA 2004, DWIDP 2006)
- 71 -
Fig. 3: Map showing district–wise data on persons killed by natural disasters during the years
1993-2005 (2050-2062 BS). Data Source: MoHA and UNDP 1999, MoHA 2004, DWIDP 2006
3. NATURAL DISASTERS AND THEIR IMPACT ON INFRASTRUCTURE
Over the past decades thousands of lives have been lost and economic impacts due to destruction
and damage of infrastructures and other development projects are enormous. This has caused
direct impact on planned development budget of the country. It is a great challenge to protect
lives, infrastructure and property and environment from frequent natural disasters in Nepal. The
ultimate economic impact of a disaster depends upon the disposition of the damaged assets. Some
of these assets are not replaced and so their loss causes a reduction in consumption (and, thus, a
decrease in the quality of life) or a reduction in investment (and, a decrease in economic
productivity).
Loss of human lives and rehabilitation/ reconstruction cost of damaged and destroyed
infrastructures are the direct measure of disaster impact in a country. As mentioned above over
the last 23 years in an average every year 943 people lost their lives in Nepal. From the
available data, a total of 319,194 houses in Nepal were destroyed by floods and landslides during
a period from 1986 to 2005 (Fig. 4). This amounts to an average of 15,959 house destruction per
year. The numbers of houses that become critical and collapsed after some time of the disasters
are not covered in this figure. Therefore, the actual number of houses destroyed can be higher
than that presented. Khanal (1996) has estimated that the average annual infrastructure damage in
Nepal due to landslides and floods is as high as US$ 20 million.
In recent history, The July 1993 flood/landslide disaster was the second big natural disaster
that Nepal faced after only five years of the occurrence of 1988 eastern Nepal earthquake. During
this 1993 disaster, a total of 500,000 people were affected, about 1,500 people died, nearly 60,000
hectares of land was damaged, and numerous irrigation facilities, transportation systems, and
other infrastructures were destroyed. Due to this event 367 km of road, 213 bridges, 620 farmer’s
managed irrigation facilities and 452 public buildings were destroyed (Khanal, 1996). Estimates
place the loss from this single event at about 68 millions US$ (Chhetri and Bhattarai 2001). The
disaster of 1993 is a periodic extreme event, and it is not so unlikely or uncommon that it may
repeat at any time in future.
- 72 -
120
Number (thousands)
100
80
60
40
2005
2004
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
1990
1989
1988
1987
0
1986
20
Year
Fig. 4. Number of houses destroyed during the years between 1986 and 2005 (data source MoHA
2004; DWIDP 2006)
According to the data available from the Department of Roads, the damage to Prithvi Highway
due to landslides and debris flows of 1993 disaster amounted to a total of NRs. 572 million
(Dhital et. al. 1993). It has been estimated that the cost of reconstruction and rehabilitation of
roads damaged by landslides and floods in Nepal between the periods 1979 to 1993 was NRs
2,250 millions (i.e., equivalent to approx. US$ 50 million). An estimated 10%-25% of the hill
roads in Nepal passing through hills and river valleys is completely washed out every four to five
years by a combination of landslides and floods (Deoja 2000).
Nepal also suffers from a different type of infrastructure damage often caused by landslides
and debris flows in filling up of reservoirs from excessive sedimentation, thus rendering the
reservoirs less effective or reducing the reservoir's life. The rivers of Nepal are notorious for very
high sediment discharge particularly during the monsoon season. In fact, sediment production in
Nepalese watersheds has been acknowledged to be the highest in the world (Carson 1985; Laban
1978). For example, the storage of Kulekhani Reservoir was reduced from 12 million m3 to 7.6
million m3 as a result of sedimentation and siltation during landslide and flood disasters of 1993
alone (Galay et. al. 1995). This is equivalent to an economic loss of hundreds of millions of
Nepalese rupees.
The effects of disruption of surface transportation services due to landslides, debris flows
and floods, ranging from days to many weeks, is another type of indirect economic loss due to
disasters and badly affects the economy and causes inconveniences and hardship to people.
Almost every year the Prithvi Highway, Tribhuvan Highway, Arniko Highway and others get
disrupted due to landslides and floods. In 1993, Kathmandu, the capital city, was cut off from rest
of the country for 28 days due to the disruption of Prithvi Highway and Narayanghat-Mugling
road section. The frequency and length of transportation disruptions are increasing in the recent
years. Such incidences of disruption in their service severely cripple the transportation service
infrastructure causing a great economic loss. This type of infrastructure damage consequences,
however, is not accounted for in the yearly disaster reports under landslide-flood related damage.
Disasters lead to enormous economic losses that bring both immediate as well as long term
effects. Analyzing the economic impact assessment in Nepal, the Ministry of Home Affairs
(MoHA) compiles data only on the number of houses destroyed and loss of agriculture land by
various types of disaster. However, it is found that the respective departments such as Roads,
Irrigation, Housing and Physical Planning, Forestry, soil Conservation, Ministry of Environment
and Nepal Electricity Authority, who have the responsibilities of infrastructure construction,
maintenance, reconstruction and rehabilitation and environmental monitoring, do not keep proper
- 73 -
record of damages and rehabilitation costs after damages by disasters. Therefore, it is very
difficult to evaluate the actual annual loss due to infrastructures damage or destruction and loss
due to environmental degradation by disasters. Fig. 5 shows the district-wise available data on
economic losses due to different kind of disasters during the years 1993-1994 and 2000-2005.
The map shows that the central and eastern Nepal are more vulnerable to natural disasters than
other parts of the country.
Fig. 5. Map showing district-wise data on economic loss (in Million Rupees) due to damage to
infrastructure by different kinds of disaster during the years 1993-1994 and 2000-2005. Data
source: MoHA and UNDP 1999. MoHA 2004, DWIDP 2006.
The infrastructure damages due to landslide/debris flow and flood related disasters in Nepal are
mostly, 1) washout of sections of roads, 2) reservoir siltation due to excessive inflow of sediments
during flood, 3) irrigation canal breaches and damage to diversion dams, 4) damage to headrace
canals of hydropower generation, (5) powerhouse damages, 6) utility transmission tower collapse
and 7) damages to public and private building etc. However, systematic and detailed data base on
infrastructure damage/ destruction and their rehabilitation/ reconstruction costs are not easily
available in Nepal. The Ministry of Home Affairs (MoHA) compiles data only on the number of
houses destroyed and loss of agriculture land by various types of disasters. Even these data do not
specify the type of houses-whether they are public, private or school buildings
The data of the last two decades show that the average annual loss of human life in Nepal
due to landslides and floods alone is more than 300 indicating that water induced disasters very
prevalent in Nepal. However, this may be less than actual figure as due to lack of proper
information network, human deaths caused by landslides in remote parts of Nepal often go
unreported unless they are of large scale. The loss of lives due to flood and landslide from 1983 to
2005 is presented in Fig (Fig. 6). This is also one of the reasons behind the variation in data on
disasters from different agencies. Compared to its population size, the scale of disaster from
landslide in Nepal in terms of human deaths is staggering if compared to the statistics from its
neighboring countries.
To provide some insight on the nature of natural disasters in Nepal and their impacts on life
and infrastructure, a few major landslide/flood and earthquake disasters are described below. A
summary of the extreme weather events and infrastructure failures in different years is provided
in table 1.
- 74 -
Infrastructure failure is another cause of flooding in Nepal. While well-planned infrastructure can
be a critical asset in disaster mitigation, the haphazard, poorly engineered, or unplanned
infrastructure actually may increase vulnerability, particularly in case of flooding. This issue is of
increasing importance everywhere, but nowhere is it more pronounced in Nepal than in the Terai.
As the population continues to increase, infrastructures such as barrages across the rivers in front
of the Churia foot hills can be very dangerous if proper design and safety measure are not taken in
advance. The Bagmati Barrage can be taken as the worst case scenario during the 1993 flood
disaster. Settlement expansion, infrastructure build-up, and environmental degradation will result
in more landslides and debris flows in the mountains. This may result in more frequent, higher
magnitude, and more devastating flood and debris flow disasters affecting both the hills and the
Terai.
Number of people
1400
Death
1200
Injured
1000
800
600
400
200
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
0
Year
Fig. 6: Death and injured peoples by landslides and floods from 1983 to 2005 (Data Source:
MoHA 2004, DWIDP 2006)
Table 1: Large events of flash floods in Nepal (Thapa and Khanal 2001)
Type
Event location and year
Extreme weather events Lele l981, Kulekhani 1993, Larcha 1996, Syangja-Butwal 1998,
Budhigandaki 1967/68, Tinau 1970, Phalahgku 1971, Baglung 1976,
Landslide damming
Dalephi 1982, Trisuli 1985, Tadi 1986, Sunkosi 1987, Myagdi 1988,
Tarukhola 1989.
GLOF
Taraco 1953, Gelhaipoci 1964, Longda 1964, Zhangzangbo 1964,
Ayico 1968, Nare Drangka 1977, Phucan 1980, Zhangzangbo 1981,
Jinco 1985, Dig Tsho 1985, Kaligandaki 1987, Chubung 1991,
Tamapokhari 1998.
Infrastructure failure
Kosi Barrage-nearly every year, River embankment/dam construction
near Dhanusa, Rautahat, Nepalgunj, Bardiya, and Kailali every year,
irrigation dam Bagmati 1993, check dam in Rapti, Chitwan 1990/93,
check dam in Tinau 1970/81
4. ROAD DAMAGE BY WATER INDUCED DISASTERS
Road failures and washouts as a result of heavy monsoon rains during fifteen years (1979-1993)
resulted in the rehabilitation works amounting to nearly 2.5 billion NRs in Nepal. Thus, roads
- 75 -
have often become liabilities rather than becoming agent of change and prosperity. Many
mountain roads have been completely abandoned after full or partial completion. The implication
of the cost of roads in Nepal requires investment of 5 to 30 million rupees per km that is about
0.01 to 0.04 per cent of the annual budget of the nation for every km of road (Deoja 2000).
The Arniko Highway is one of the Nepal’s most important and 'a strategic national highway',
the only highway linking the capital city to the international border of its northern neighbor China.
The highway has experienced a number of major hydrological disasters owing as a result of both
glacial lake outbursts and incessant heavy (monsoon) rainfall leading to floods and debris flows.
Major GLOF events occurred along the Bhotekoshi River in 1964 and 1981. In 1964 the
magnitude of devastation was less as the valley was only in the initial stages of infrastructure
development. The GLOF incident of 1981 washed out many sections of the highway and two
major bridges. The highway experienced another catastrophic flood in July 1987 that resulted in
disastrous washouts and major erosion along the Sunkoshi, Charnawati, and Tungbhadra rivers.
More than hundred human casualties and heavy loss of cattle, houses, and cultivated land were
reported. A number of suspension bridges and a substantial length of the Arniko Highway and
Lamosangu-Jiri road were damaged or washed out (Adhikari 2001). The total cost of stabilisation
and mitigation of the nine medium-size and medium complex landslides excluding the cost for
the rehabilitation of the road itself was about NRs 37 million (approx. US$ 0.6 million).
5. EARTHQUAKE DISASTERS
Nepal has suffered repeatedly by large and medium earthquakes. Apart form the 1833 and 1934
large earthquakes, Nepal suffered medium sized earthquakes in 1980 (Bajhang earthquake in
western Nepal) and 1988 (Udaipur earthquake in eastern Nepal). The Udaipur earthquake affected
22 districts in eastern and central and caused 721 deaths. The estimated total direct economic loss
was 5 billion NRs (JICA 2002). It is highly expected that Nepal may be hit by a large earthquake
at any time in future.
6. ECONOMIC IMPACT OF DISASTERS IN NEPAL
Disasters are serious liability as they destroy lives and property on a regular basis in Nepal.
Considering the annual direct losses to lives, buildings, infrastructure, industry, and agriculture
and the additional indirect losses in production, income-earning activities, employment and
displacement, plus the cost of relief and recovery, disasters place a heavy burden on the already
fragile economy of one of the world’s poorest nations. Each large disaster can potentially set the
country back several years in terms of development efforts. When scarce resources of time,
energy, expertise, and funding are directed towards relief and recovery, they are diverted away
from the overall development process. Agricultural, environmental, and infrastructure
development are hit particularly hard as their resources are often the first to be diverted.
The economic loss due to natural disasters in Nepal is truly phenomenal. A
resource-constrained and economically poor country, Nepal suffers a loss of several million
rupees every year due to disasters. Based on the data compiled by the Ministry of Home Affairs,
table 2 illustrates the annual economic loss from different types of disasters in Nepal. As
mentioned above in the twenty three years between 1983 and 2005, over 28 billion rupees were
lost due to disasters; this is an average of nearly 1208 million rupees per year. JICA (1993)
estimated that the total disaster loss from floods and landslides in the year 1993 in Nepal is nearly
five billion Nepalese rupees. In 2000 alone, the economic losses were estimated at 1.2 billion
rupees; this in a normal year, when no exceptional disastrous events were reported (Chhetri 2002).
Additionally, the frequency of disasters causing estimated annual economic loss is increasing. If
this trend holds, which is likely due to higher economic activities at or close to the marginal lands,
the country can expect to face higher overall economic loss with the passage of each year.
The estimated loss of property by all types of disaster in the year 2005 is about Rs. 388.21
million. Among them the loss of property due to flood and landslides only is Rs. 131.56 million.
Average annual losses to disaster are quite high by any standard in a poor country like Nepal. The
total losses due to property and infrastructure damages/destruction reach billions of rupees on an
annual basis. Thousands of people feel the impacts of disasters in the loss of livelihoods, property,
infrastructure, or income-generating activities. Major disasters, such, as the 1934 and 1988
- 76 -
earthquakes and the floods of 1993, cause widespread devastation, costing thousands of lives and
billions of rupees.
Table 2: Estimated Loss for rehabilitation/relief works (NRs in Million) by Different Types of
Disasters in Nepal (1996-2005) (MoHA 2004, DWIDP 2006)
Year/Type
Avalanche
Flood &
Landslide
Fire
Epidemics
Windstorm
Hailstorm
Windstorm &
Hailstorm
Thunderbolt
Earthquake
Total
1996
11859.8
1
308.36
0.00
816.61
0.00
3.27
12253.1
0
1997
7.43
1998
0.00
1999
0.00
2000
0.00
2001
0.00
2002
-
2003
-
2004
-
2005
-
94.50 10933.03
230.75
33.56
0.00
0.00
15.31
225.35
58.03
0.00
364.95
135.78
0.00
919.38
239.25
0.00
1.56
124.78
251.09
246.26
0.00
0.81
37.90
416.92
94.74
0.00
4.85
7.00
234.78
734.96
0.00
18.85
0.67
219.29
121.04
131.56
247.76
0.54
0.00
0.62
1.60
1.99
0.00
0.63
3.19
0.06
0.00
0.67
0.00
0.23
0.00
0.43
6.25
508.54 1286.96
539.87
523.57
989.94
341.10
388.22
1.83
2.17
410.02
1.74
0.06
11193.73
5.52
1.66
0.63
Due to a combination of geomorphic and anthropogenic factors, Nepal will continue to sustain
great losses to natural disaster. As current trends of accelerated population growth, migration,
expansion of settlements, urbanization, infrastructure development, and environmental
degradation continue, vulnerability and, therefore, losses will increase steadily. There is already
evidence that the frequency of disasters and losses associated with them have been increasing in
recent years. In Nepal a small economic loss of infrastructure and assets can be critically
important when compared with its low GDP. The use of economic loss as an indicator of disaster
impact on development varies for different natural hazards. For example, earthquakes often
appear to trigger the most expensive disasters, but losses are concentrated. Individual floods may
not record large losses, but total human impact may be higher.
7.
FISCAL IMPACT VIS-À-VIS HAZARD LOSS TO GDP AND DEVELOPMENT
EXPENDITURE
On an annual average basis, Nepal already spends 12.9% of its development expenditure and
5.39% of its real GDP per year in disaster response and recovery (Tianchi and Berhans 2002).
Tables 3 and 4 show the compilation of Hazard loss with respect to GDP and development
expenditure of Nepal between1983-1995 and 1996-2005 respectively. The presented data may be
somewhat skewed, as the data set does not accurately represent the loss, and the actual loss may
be much higher. Nonetheless, it tells the current condition of disaster costs in Nepal.
Past economic impact indicators on loss of lives and infrastructure damages due to disasters
must be taken into account while making annual budget and five-year plans. The clear
realization to set for the natural disaster management budget is not yet started in many different
development sectors. However, money comes for reconstruction/rehabilitation works after the
damage due to disasters have occurred. Tables 3 and 4 show the hazard loss to GDP which comes
to a maximum of 23.69 per cent of GDP in the year 1988 (1988 eastern Nepal earthquake year).
The next largest loss due to disaster was 16.17% in 1993 (the 1993 landslide and flood disaster
year). The hazard loss to GDP in the 1996-2005 decade shows less values compared to the earlier
decade. This is due to the fact that this decade did not receive large disaster as in the previous
decade.
- 77 -
Table 3: Hazard loss with respect to GDP and development expenditure of Nepal, 1983-1995
Year
Nominal GDP
(million NRs.)
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
Avg.
32,219
37,671
42,880
49,856
57,068
68,321
80,423
93,425
108,422
135,036
153,756
177,915
198,605
95,046
Real GDP
(million
NRs.)
19,624
21,390
22,600
23,753
24,077
25,749
27,201
28,661
30,249
31,376
32,081
34,251
35,401
27,416
Development
Expenditure
4,982
5,163
5,488
6,213
7,378
9,428
12,328
12,997
15,979
16,512
19,413
21,482
19794.9
12,089
Total
Real GDP Development
Hazard Loss Nominal
GDP (%)
(%)
expenditure (%)
(million
NRs.)
240
0.74
1.22
4.82
48
0.13
0.23
0.94
71
0.17
0.32
1.31
23
0.05
0.1
0.37
2,004
3.51
8.33
27.17
6,099
8.93
23.69
64.69
4,171
5.19
15.34
33.84
139
0.15
0.49
1.07
42
0.04
0.14
0.27
52
0.04
0.17
0.32
5,188
3.37
16.17
26.73
185
0.1
0.54
0.86
930
0.47
2.63
4.70
1,476
1.55
5.39
12.9
CBS Statistical Yearbook 1995 and Economic Survey, the Ministry of Finance, 1995
Table 4: Hazard loss with respect to GDP and development expenditure of Nepal, 1996-2005
Year
Nominal
GDP
(million
NRs.)
Real GDP
(million
NRs.)
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
Avg.
239398
269570
289798
330018
366251
394052
406138
437546
474919
508651
371634.10
221930
233040
240816
251758
267096
280106
279169
287689
298023
305244
266487.10
Development
Expenditure
24980.5
26542.6
28943.9
28531.3
31749.2
37065.9
31482.2
29033.0
33890.5
40874.0
31309.3
Total
Development
Hazard
Nominal Real GDP
expenditure
Loss
GDP (%)
(%)
(million
(%)
NRs.)
1579
0.66
0.71
6.32
410
0.15
0.18
1.54
1230
0.42
0.51
4.25
509
0.15
0.20
1.78
1141.5
0.31
0.43
3.60
526.55
0.13
0.19
1.42
525.56
0.13
0.19
1.67
989.93
0.23
0.34
3.41
341.09
0.07
0.11
1.01
388.21
0.08
0.13
0.95
764.08
0.23
0.30
2.60
CBS Statistical Yearbook 2006 and Economic Survey, the Ministry of Finance, 2006
8. WATER INDUCED DISASTERS: REHABILITATION BUDGET
In order to mitigate disasters in Nepal, the Department of Water Induced Disaster Prevention
(DWIDP) formerly established as Water Induced Disaster Prevention Technical Centre (DPTC)
with the help of the Government of Japan is working for contributing to achieve the national goal
of poverty alleviation through minimizing human casualties and damages of infrastructures due to
water induced disasters by appropriate management and conservation of rivers and river basins of
Nepal. Every year, natural disasters have significant impact on Fiscal Year planned development
budget.
Mugling- Narayanghat Water Induced Disaster Prevention Project
This project was started in the Fiscal year 2005 to mitigate the water-induced disaster like
landslide and debris flow damages along Mugling-Narayanghat Road sector which was damaged
due to the intensive rainfall of July 2003. The total estimated cost of the project is Rs. 302 million
out of which the Government of Nepal bears Rs. 30 million and the rest by JICA. The project
duration is 3 years.
Bagmati River Training Project
The seventh meeting of the Standing Committee on Inundation Problems (SCIP), a joint
committee for mitigation of the disasters of Indo-Nepal border rivers formulated Bagmati River
training project for the construction of embankments along the banks of Bagmati River in the
Terai. With NRs. 314.13 million contribution from the Government of India and NRs. 78.43
- 78 -
million contribution of the Government of Nepal this project is going to spend NRs. 392.56
million.
Lal Bakaiya River Training Project
Lai Bakaiya River Training Project has been formulated for the training work of Lai Bakaiya
River in Rautahat district with the total project cost of NRs. 61.4 million among which NRs. 45.8
million is the contribution from the Government of India and NRs. 15.6 million from Government
of Nepal.
Sinduli-Bardibas Water Induced Disaster Prevention Project
This project was started in the Fiscal Year 2005 under WIDP for the protection of the
Sindhuli-Bardibas road from water-induced disasters like landslides and debris flows. The
estimated cost of the project is NRs. 160 million and will commence till the Fiscal year 2007.
Furthermore, Sabo and Landslides Section of DWIDP has set for fiscal year 2006 NRs 10 million
for river training and flood control works.
The rehabilitation cost of road between 2000 and 2005 is presented in table 5a and 5b and Fig. 7.
Table 5a. Rehabilitation cost of damaged roads due to natural disasters (2000-2005) Data source:
DoR (unpublished reports)
Division
2005
Expenditure
‘000)
Baitadi
Lalitpur
Surkhet
Tanahun
Lahan
Kathmandu
Palpa
Nepalgunj
Kapilbastu
Mahendranagar
Bharatpur
Charikot
Ilam
Biratnagar
Pyuthan
Dhankuta
Damak
Hetauda
Pokhara
Bhaktapur
Butwal
Doti
Total
(Rs.,
200
300
200
400
300
200
300
200
19575
14800
54500
300
442
200
200
500
100
0
500
200
300
300
94016
2004
2003
Expenditure (Rs.,
Expenditure
Division
Division
‘000)
(Rs., ‘000)
Lalitpur
300 Baitadi
200
Surkhet
0 Lalitpur
10649
Tanahun
400 Surkhet
0
Lahan
300 Tanahun
400
Kathmandu
3946 Nepalgunj
200
Kapilbastu
200 Mahendranagar
2187
Mahendranagar
200 Bharatpur
3200
Bharatpur
71500 Charikot
11449
Ilam
300 Damak
0
Biratnagar
200 Hetauda
3500
Dhankuta
100 Pokhara
2459
Damak
100 Bhaktapur
300
Pokhara
3184 Butwal
1800
Dipayal
600 Doti
700
Devisthan
200 Devisthan
200
Nuwakot
700 Nuwakot
400
Dang
300 Dang
300
Shivpur
200
Janakpur
0
Total
82530
Total
38145
Table 5b. Rehabilitation cost of damaged roads due to natural disasters (2000-2005) Data source:
DoR (unpublished reports)
Division
2002
Expenditure
‘000)
(Rs.,
Baitadi
Lalitpur
200
25
Tanahun
Lahan
Kathmandu
Palpa
Kapilbastu
436
100
100
250
200
Division
Lahan
Surkhet
Mahendrana
gar
Devisthan
Lalitpur
Nepalgunj
Baitadi
2001
Expenditure (Rs.,
‘000)
97
100
200
100
0
100
500
- 79 -
Division
Lalitpur
Ilam
Butwal
Bharatpur
Tanahun
Dipayal
Palpa
2000
Expenditure (Rs.,
‘000)
100
100
100
1500
200
300
300
Mahendranaga
r
Charikot
Ilam
Dhankuta
Pokhara
Bhaktapur
Butwal
Doti
Devisthan
Nuwakot
200
843
100
1000
700
971
400
600
100
419
Janakpur
Dipayal
Bharatpur
Biratnagar
Nuwakot
Dang
Damak
Charikot
Tanahun
Bhaktapur
100
200
1200
99
198
100
100
200
200
100
Janakpur
3244
Ilam
Dhankuta
Pokhara
Bara
Dhankuta
Total
97
100
200
200
100
4291
Total
9888
Pokhara
Kapilbastu
Dang
Banke
Nuwakot
Lalitpur
Bhaktapur
Charikot
Kathmandu
Janakpur
Mahendrana
gar
Biratnagar
200
300
200
100
263
100
100
200
300
100
100
100
Total
4663
N.B. I US$= Approx. 65 Rs (Nepalese Rupees)
94.02
100
82.53
Million NRs.
80
60
38.14
40
20
4.66
4.29
2000
2001
9.89
0
2002
2003
2004
2005
Year
Fig. 7: Trend of rehabilitation Expenditure in Road due to Natural Disasters
9. ADDRESSING THE DISASTER MANAGEMENT ISSUES
Towards achieving disaster mitigation and sustainable development of Nepal, it is important to
initiate the following activities with high priority.
Policy and legal framework: The extent of disaster impact on infrastructures can be reduced if
timely preventive measures are taken for which pragmatic government policies and legal
instruments are needed. Lack of proper policy and legal environment is the biggest impediment in
disaster risk reduction in Nepal. Absence of an apex body at the highest level that could provide
the leadership by virtue of its mandate and legal bindings is seriously lacking. Thus, improving on
the role of leadership and the creation of the National Disaster Risk Management Council, backed
by appropriate legislative instrument, must be the priority agenda for Nepal. Through these legal
and policy initiatives, a comprehensive national policy towards disaster mitigation and
infrastructure development should be developed.
Hazard Mapping: Nepal has very complex and widely varying types of geographical regions
ranging from the low lying plains in the south which is prone to floods, to the high mountains
having frequent disasters due to landslide, debris flow, flood etc. Earthquakes, on the other hand,
can affect any part of the country from south to north and east to west. In order to effectively
- 80 -
reduce disaster risk, hazard mapping is a prerequisite. The country has not yet started systematic
hazard mapping of the vulnerable areas. Unless a policy is formulated, such mappings will not go
ahead. There are at least three departments namely, Department of Mines and Geology, Water
Induced Disaster Prevention and Department of Soil Conservation and Watershed management
which have the manpower and expertise in hazard mapping. Government must prepare a policy to
systematically prepare hazard maps of the country particularly the flood hazard map, landslide
and debris flow hazard map and earthquake hazard zonation map reaching up to village and
municipality levels. Thus, hazard mapping of the country, vulnerability assessment, and risks
analysis, monitoring of changes in the physical environment, effective early warning system,
reliable data collection and dissemination are needed to reduce the impact of disasters.
Mainstreaming: Mainstreaming of disaster risk reduction into development planning should be
another strategy to reduce impact of disasters. The mainstreaming of disaster risk assessment into
the ongoing development planning process can build on the wealth of methodologies already
available and on administrative structures already in place at the local and national scales.
For mainstreaming the disaster risk reduction with development projects, a wide range of existing
Acts also need to be amended. Particularly the acts of development related departments such as
the departments of Roads, Irrigation, Water supply and sanitation, Water Induced Disaster
Prevention, Mines and Geology, Hydrology and Meteorology, Forest, Soil Conservation and
Watershed Management, Housing and Physical Planning etc as well as other agencies like Nepal
Electricity Authority etc. have to be appropriately amended so that the infrastructures that are
constructed are safe from disasters as well as the structures will not become the cause of disasters.
Preparation of Disaster Impact Assessment guidelines will ensure to safeguard the negative
impact of development on environment and people and vice-a versa.
Improved Hydro-meteorological database: Nepal suffers mainly from water induced disasters. In
order to mitigate these disasters, a good long-term database and adequate number of
hydro-meteorological stations are required. The presently installed hydro-meteorological stations
in the country are largely insufficient. Also, necessary equipment and number of technical staff
for weather forecasting is poor. Therefore, Department of Hydrology and Meteorology (DHM)
has to be strengthened and modernized.
Land use planning: Due to the lack of Land Use Policy and Act, there is no legal provision to
regulate the development and expansion of urban and rural settlements and other infrastructure
development. There is absolute freedom to carry out development activities putting risk to many
lives, environment and property. Similarly, without policy and the Act, disasters will be on the
increase due to environmental degradation. Therefore, the Policy and Act relating to the land use
practice must be available as soon as possible.
Sustainability: Due to the vulnerability to frequent disasters, sustainability of infrastructures is the
key issue of development in Nepal. Application of appropriate technology, hazard and
vulnerability mapping before the construction, adequate mitigative measures, and good quality
construction are the basic requirements for sustainable development of infrastructures. Legal and
administrative mechanism to ensure these features in a development project can only bring
sustainable development in Nepal. Drawing knowledge from the past failures and successes,
building consensus on appropriate methodologies and practices is also a vital factor towards
sustainability. Judiciously applying structural and non-structural preventive measures will greatly
reduce the losses duet to disasters.
Awareness and capacity building: These are the key factors to reduce disaster risks in any country.
In a country like Nepal having a low literacy rate and poor knowledge on scientific basis of
disaster occurrence, increased awareness and capacity building to a wider section of the society
will produce a highly positive result in preparedness (pre-disaster phase) and management of
emergencies during disaster phase.
- 81 -
Nexus between disaster and development: Within the last decades, the nexus between disaster,
development and poverty has been widely recognized. They are interwoven in such a way that
that one revolves round the other. For long, development was viewed in isolation neglecting the
natural disaster factor; as a result poverty alleviation through development remained largely
illusive. The new policies in Nepal therefore, must reflect the recognition of this nexus and
development programmes, poverty alleviation and disaster reduction issues should be dealt with
together.
10. CONCLUSIONS
As a large proportion of Nepalese people are living under poverty line, frequent natural disasters
could be devastating for the country. Due to lack of management of human settlement in Nepal,
many people are forced to settle in the disaster vulnerable areas. They are compelled to settle in
riversides, fragile geography, and unproductive land. Nepalese government has been facing big
challenges to fulfill basic needs of people. It is therefore highly important that disaster risk
reduction is mainstreamed into development activities. Pre-disaster mitigation and preparedness
work must be emphasized across all levels. Disaster risk reduction is critically important for the
achievement of sustainable development. Disasters frequently result from development failures
that increase vulnerability to hazards. Nepal must focus on mitigating loss of life and property
due to disasters to protect development gains and for poverty alleviation. Removing economic
poverty and improving the quality of life of people is a great challenge for Nepal. Nepal has to try
to build and sustain its capacities to promote natural disaster risk reduction culture and integrate it
into all development issues.
REFERENCES
Adhikari, T. L., 2001, Landslide Control and Stabilization Measures for Mountain Roads: A case
study of the Arniko Highway, Central Nepal. In L . Tianchi, S. R. Chalise and B. N. Upreti
(eds.), Landslide Hazard Mitigation in the Hindu Kush-Himalayas, ICIMOD Publication,
Kathmandu, Nepal pp. 263-289.
Carson, B., 1985. Erosion and sedimentation processes in the Nepalese Himalayas. Occasional
Paper No.1, ICIMOD, Kathmandu, Nepal.
CBS, (1995). A statistical year book of Nepal (1995). Central Bureau of Statistics (CBS),
National Planning Commission Secretariat, His Majesty’s Government of Nepal, Kathmandu,
Nepal.
CBS, (2006). Statistical year book (2005). Central Bureau of Statistics (CBS), National Planning
Commission, Government of Nepal, Kathmandu, 460 p.
Chhetri, M. P. and Bhattarai, D., (2001). Mitigation and Management of Flood in Nepal,
Kathmandu, Ministry of Home Affairs.
Chhetri, M. P., 2002, Disaster Management in Nepal: Issues and Solution. A paper presented at
the Seminar on Mountain Hazard and Risk Minimization, 9-13 April 2001, Kathmandu,
Nepal.
Deoja, B. B., 2000, Mountain roads development in Nepal: engineering geological concerns, Jour.
of Nepal Geol. Soc., The proceedings of International Symposium on Engineering Geology,
Hydrogeology, and Natural Disasters with Emphasis on Asia, v 22 Sp Issue, pp. 167-178.
Dhital, M. R., Khanal, N. R., Thapa, K. B., 1993, The role of Extreme Weather Events, Mass
Movements, and Land Use Change in Increasing Natural Hazards, ICIMOD publ., 41 p.
DWIDP, (2006). Disaster Review 2005. Annual Report, Government of Nepal, Ministry of Water
Resources, Department of Water Induced Disaster Prevention (DWIDP), Kathmandu, 28 p.
Galay, V. J., T. Okaji and K. Nishino, 1995, Erosion from the Kulekhani Watershed, Nepal during
the July 1993 Rainstorm, In Challenges in Mountain Resource Management in Nepal:
Processes, Trends, and Dynamics in Middle Mountain Watersheds, (ed) H. Schreier, P. B. Shah
and S. Brown, Proceedings of a Workshop held in Kathmandu, Nepal, ICIMOD, p. 13-24
JICA, 1993, Report of Japan Disaster Relief Team (Expert Team) on Heavy Rainfall and flood in
Nepal, Japan International Cooperation Agency (JICA), Kathmandu, Nepal
JICA, 2002, The Study on Earthquake Disaster Mitigation in the Kathmandu valley Kingdom of
Nepal. Final report, Vol - I, II, III &IV. Japan International Cooperation agency (JICA) and
- 82 -
Ministry of Home affairs, His Majesty’s Government of Nepal.
Khanal, N. R., (1996). Assessment of Natural Hazards in Nepal. ICIMOD’s case study report
(unpublished).
Laban, P., 1979. landslide occurrence in Nepal. HMG/FAO and UNDP, Ministry of Forest,
Department of Soil conservation, Integrated Watershed management, 27p.
MoHA and UNDP, (1999). Losses caused by natural disasters: Maps 2052 (1994/1995) to 2056
(1998/1999). Ministry of Home Affairs (MoHA) and United Nations Development
Programme (UNDP), Prepared by Department of Mines and Geology (DMG), Kathmandu,
Nepal.
MoHA, (2004). Disaster Scenario of Nepal (2000-2003). HMG/N Ministry of Home Affairs
(MoHA), Singha Darbar, Kathmandu, Nepal, 157 p.
Thapa, K. B. and Khanal, N. R. 2001. Flood Hazard in Nepal and Need for Flood Forecasting in
the HKH Region. A Paper presented at the regional Flood Forecasting Meeting, Kathmandu,
Nepal.
Tianchi, L. and Behrens J., 2002. An Overview of Poverty, Vulnerability, and Disaster
Management in Nepal. International Centre for Integrated Mountain Development (ICIMOD)
Publ., 30 p.
UNDP, (2004). Reducing disaster risk: A challenge for development, A Global Report, United
Nations Development Programme (UNDP), 146 p.
Upreti, B. N., (2005). Causes and characteristics of natural hazards in Nepal. In: Proceedings of
the JICA Regional Seminar on Natural Disaster Mitigation and Issues on the Technology
Transfer in South and Southeast Asia, Department of Geology, Tri-Chandra Campus,
Tribhuvan University, Sp. Publ. No. 2.
Author’s Profile
Full name:
Bishal Nath Upreti
Born:
22 April 1951 (Nepal)
Current affiliation: Dean/Professor, Institute of Science and Technology,
Academic Carrier:
1980
PhD (Geology), MS University of Baroda, India
1973
Master Degree (Geology), Karnatak University, India
1975
1971
Bachelor Degree (Geology), Tribhuvan University, Nepal
Current Dean, Institute of Science and Technology, Tribhuvan
University, Nepal (since 2006 April)
Professor, Department of Geology, Tribhuvan University (since
1998)
Member, Faculty Board, Institute of Science and Technology, Tribhuvan University (since
2004)
Member, Research Council, Institute of Science and Technology, Tribhuvan University (since
2004)
Chairman, Science Subject Committee (General Science, Environmental Science, Teaching
Science), Higher Secondary Education Board, Government of Nepal (since 2004)
Academician (Life Member), Nepal Academy of Science and Technology (NAST)
Member, Academy of Sciences for the Developing World (TWAS), Italy
2001
Visiting Professor, Jawaharlal Nehru Centre for Advanced Scientific Research, Bangalore,
India (one month).
1999
Visiting Professor, Hiroshima University (Japan), under the fellowship of the Japan Society for
Promotion of Science (JSPS) (2 months)
1995
Head, Department of Geology, Tri-Chandra Campus, Tribhuvan University, N
1992
Head, Central Department of Geology, Kirtipur Campus, Tribhuvan University, Nepal (until
1994)
1991
Reader, Department of Geology, Tribhuvan University, Nepal (until 1998)
1986
Head, Department of Geology, Tri-Chandra Campus, Tribhuvan University, Nepal (until 1992)
1980
Lecturer (Fulltime), Department of Geology, Tribhuvan University, Nepal (until 1991)
- 83 -
1979
1975
1973
Lecturer (Part-time), Department of Geology, Tribhuvan University, Nepal (until 1980)
Research Fellow, Wadia Institute of Himalayan Geology, Dehradoon, India (until 1979)
Geologist, Department of Geological Survey (presently the Department of Mines and Geology),
Government of Nepal (until 1975)
Prof. Upreti has a long association in geology and disaster research in Nepal. He has published over 60
research articles in national and international scientific journals including a large number of papers in
the field of Himalayan geology, environment, and natural disasters. He has also authored and edited five
books related to geology and disasters. In addition, he has supervised a great number of research
students in master degree course and PhD course.

- 84 -
Chapter 6
PANEL DISCUSSION: Role of Academic Institutions in Nation
Building
1.
Outline and Activities of Ehime University International Center
Mukai Rumiko
Associate Professor, International Center, Ehime University
PARTNER INSTITUTIONS
Ehime University has partner relationship at university and faculty levels with dozens of
universities and colleges around the world, as indicated in the table below. It has already
formalized memorandum of understanding for academic exchange programs with four
universities and colleges in Nepal and is in the process of signing the MOU with one more.
Country
China
Nepal
South Korea
U.S.A.
France
United Kingdom
Brazil
Thailand
Indonesia
Germany
Italy
Argentine
Turkey
Taiwan
Australia
Vietnam
Denmark
Poland
India
Total
University /Faculty
16
4
4
4
3
3
2
2
2
2
1
1
1
1
1
1
1
1
1
51
ACADEMIC EXCHANGE
The graph below shows variation in the number of students/researchers who have come from
abroad to study at Ehime University since 1999.
250
200
150
100
50
197
129
135
1999
2000
170
161
178
160
2002
2003
2004
2005
0
2001
- 85 -
Researchers from abroad
In 2005, out of a total of 160, there were two researchers from Nepal.
Country
Number of Researchers
63
20
17
12
9
6
5
4
3
2
1
China
U.S.A.
South Korea
Thailand
Vietnam
India
Germany, Taiwan
United Kingdom
France
Nepal, Indonesia, Canada, Georgia
Australia, South Africa, Cuba,
Portugal, Italy, Switzerland
Total
160
Cooperative research with institutions abroad
The figure below shows the number of cooperative research projects undertaken by various
faculties and schools of Ehime University in collaboration with institutions abroad in a period of
three years from 2003 to 2005. It is notable that the School of Medicine, the Faculty of
Agriculture and the Center for Marine Environmental Studies are very active.
45
40
35
30
25
41
20
35
15
27
10
5
0
19
13
4
6
Law &
Literature
Education
10
Science
Medecine
10
Engineering Agriculture
CMES
GRC
CSTRC
STUDENT EXCHANGE
Total International Students
There are about 200 international students at Ehime University at present. The following figure
shows the number of students from the year 2000 to 2007.
250
200
150
100
169
174
2000
2001
201
220
193
218
211
178
50
0
2002
2003
- 86 -
2004
2005
2006
2007
Country-wise Distribution
The following graph shows country-wise number of international students in the year 2007. It is
seen that there are currently 12 graduate level students.
80
70
60
50
40
76
30
20
10
7
6
6
So Chi
na
ut
h
Ko
re
a
Ne
pa
l
Vi
et
na
M m
ala
ys
i
Th a
ai
Ba land
ng
l ad
es
h
In
do
ne
Sr si a
iL
an
ka
0
7
2
2
2
17
5
3
Br
az
Ph il
il ip
ine
Ta
iw
an
Ot
he
r
12
In
dia
23
10
Course-wise Distribution
The number of students consists of graduate as well as undergraduate level students. The
following graph shows course-wise number of students. Undergraduate students are almost all
from China and Malaysia, whereas graduate students come mostly from Asia, Africa, and South
America. The numbers in parentheses indicate the number of students from Nepal.
70
60
50
40
30
20
59
40
47
(8)
32
(4)
10
0
Undergraduate
Master Course
Doctor Course
Other
Faculty-wise Distribution
The following graphs show the number of international students in all faculties of the university.
The number of undergraduate students in the Faculty of Law and Letters is the highest, which is
mainly due to exchange of students through MOU. On the other hand, the number of graduate
students is higher in science courses, such as engineering, agriculture, and medicine. The figures
in parentheses in the figure indicate the number of Nepalese graduate students at various faculties.
- 87 -
45
40
35
30
25
20
15
10
5
0
Undergraduate Level
40
18
Law &
Literature
Letters
3
4
1
Education
Science
Medicine
1
Engineering
Agriculture
35
30
Graduate Level
25
20
33
15
10
5
18
14
(2)
6
Law&and
Letters
Law
Literature
Education
(5)
19
21
(4)
(1)
Science &
Engeneering
Agriculture
0
Medicine
United Graduate
School of
Agricultural
Science
Financial Support
The following figure shows the number of international students with financial support
background. Of the total international students at Ehime University, 38% are financially
supported by the Government of Japan through Monbukagakusho scholarship. The remaining
62% are either privately-funded or receive scholarships from other agencies, such as from their
own country. The figures in parentheses indicate the number of Nepalese students.
8%
92%
Japanese
Government
Scholarship Students
Privately Funded
Students
38%
(8)
62%
(4)
Ehime University
International students in Japan
Study Abroad Program for Japanese Students
The students of Ehime University visit the following countries for study and research.
- 88 -
United Kingdom
China
U.S.A.
Vietnam
Australia
France
Philippines
Indonesia
South Korea
New Zealand
Germany
Nepal
Malaysia
Laos
Brazil
Turkey
Thailand
India
etc.
INTERNATIONAL CENTER
Role of the International Center
The International Center at Ehime University was established in April 2006 to promote
international exchange among the academic and student community to contribute internationally,
to expand our international network, and to serve as a consultant for international issues at the
university.
Academic Exchange
The following programs are in effect for academic exchange.
Japanese Language Education: This includes an intensive, 4-month program, and a two-week
Survival Course for all new international students.
Cross Cultural Exchange & Education: Various programs and events on international themes.
Study Abroad Programs: China, South Korea, Thailand, New Zealand, Vietnam
International Student Support: Services from advice on scholarships to housing information and
daily life problems.

- 89 -
2.
Nepal-based Activities of Ehime University and Future Plans
N. P. Bhandary & R. Yatabe
Graduate School of Science and Engineering, Ehime University
3 Bunkyo-cho, Matsuyama 790-8577, Japan
BACKGROUND
The natural disasters in various forms kill thousands of people, destroy a large number of
infrastructures, greatly affect the environment and ecological cycle, and invite various
post-disaster difficulties every year. A massive amount of money is spent in mitigating disasters,
but compared to the amount spent the achievements and results have remained merely
accountable. Recent natural disasters involving earthquakes and tsunamis, flooding and
inundations, cyclones and hurricanes, and typhoons and landslides, such as in India in 2002,
Indonesia in 2004, America in 2005, and Pakistan in 2006, have killed hundreds of thousand
people, destroyed billions of dollars worth infrastructures, and severely affected the environment.
At the threshold of 21st century, all this loss and damage due to the natural disasters all over the
world have not only been the greatest fatal threat to the people who suffer but have also
challenged the scientists, engineers, planners, and professionals who probably have been most
involved in predicting natural disasters, preventing their occurrence, minimizing their effect,
reducing the environmental degradation, and protecting human life and nature. Although various
efforts in the part of national, regional, and international level government as well as
non-government agencies, academic institutions, research organizations, professional societies,
and so on have been made towards the mitigation of disaster damages, the lack of coordination
among the various agencies and lack of proper methodology to deal with pre- and post-disaster
measures of damage minimization have often resulted in unexpected disaster consequences, such
as in the recent tsunami disaster in the Indian Ocean coasts and hurricane destruction of Louisiana,
USA.
Asia probably suffers the most in
the world from natural disaster every year.
From as developed as Japan to as
underdeveloped as Nepal, the number of
Nepal
people killed in landslide-related disasters
alone crosses hundreds every year. Nepal
(Figure 1) probably is one of the nations
that fatally suffer highly from frequent
water-induced natural disasters. The
current record indicates that the average
number of people killed in landslide and
flood disasters in Nepal every year still Figure 1: Nepal on Asia map.
stands at around 300, and the damage to
infrastructures and individual property amounts to millions of dollars annually (Figures 2 and 3,
MOHA 2003). There are several causes behind the loss of life and destruction of infrastructures in
Nepal, but apart from the natural difficulties, poor disaster awareness, inadequate or non-existent
preventive measures, little disaster reduction efforts in the part of government authority, lack of
state fund, etc. can be identified as some of the major causes of disaster consequences in
mountainous areas and river plains. Not only the landslide and flood disasters but the earthquakes
also are a great threat to the Nepalese people settled over the active thrust zones in the Himalayas.
Although comparatively less frequent, the expected damage due to an 8-Richter Scale class
earthquake in Nepal has been estimated at more than 40,000 in terms of loss of human life and
billions of dollars in terms of infrastructure and property loss (Table 1, NSET 2006). All this
disaster potential and loss in Nepal needs to be immediately dealt with disaster management
- 90 -
efforts in various forms, and it is all important to go for pre- as well as post-disaster efforts
including research and investigation to reconstruction work.
Annual Economic Loss (in million Rs.)
Annual Human Life Loss from Landslides and Floods
6000
1400
5000
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1983
Figure 2: Annual human life loss from landslides
and floods
1993
0
1992
0
1991
1000
1990
200
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
Average Loss:
788 million per year
2000
1989
400
3000
1988
Average Loss: 324 per
1987
600
4000
1986
General trend
800
1985
1000
1984
Loss in million NRs.
1200
Figure 3: Annual economic loss
Table 1: Damage potential of a high intensity earthquake (IX-MMI) in
Kathmandu Valley (Source: KVERMP/N-SET)
Impact
Extent
Human deaths
Injuries
Building destruction/collapse
Homeless people
Bridge collapse/damage
Road length damage
Water supply pipeline damage
Telephone exchange building
Telephone lines
Electric substations
Electric lines
>40,000
>95,000
>60 %
>700,000
>50 %
>10 %
>95 %
Most
>60 %
Most
40 %
INVOLVEMENT OF EHIME UNIVERSITY IN NEPAL
The beginning of the relation between Ehime and Nepal can be traced back in the year 1961 when
Dr. Iwamura, who was born in Uwajima City of Ehime, started to volunteer his medical service in
rural Nepal and worked for 18 years. There might be other individual or group relations as well,
but when talking of the exchange of people in education sector (particularly in higher education),
the role of Ehime University, especially in accepting Nepalese foreign students in its graduate
programs cannot be overlooked. It was 1991 when the first ever Nepalese student joined Ehime
University as a graduate student of Agricultural Science, and in a period of about 15 years from
then, there has been flow of numerous individuals including non-students. Figure 4 is a chart
showing flow of people between Ehime and Nepal ever since 1991.
From the year 2001, however, a group of professors at Ehime University made first ever
effort to hold a scientific meet in association with Nepal Engineering College in the field of
Geotechnical Engineering and Environment. Since then, Ehime University has been involved in
various Nepal-based activities focusing mainly in disaster mitigation with an aim to have a
regional network of academic institutions, research organizations, government authorities,
non-governmental organizations, and Japanese university alumni associations in Asian nations for
an integrated approach to disaster management. In this effort, the following major activities have
been carried out in Nepal so far.
2001.11
International Symposium on Geotechnical and Environmental Challenges in
Mountainous Terrain, GENSYM 2001, in Kathmandu, Nepal, jointly with Nepal
Engineering College
- 91 -
2001.11
2003.7
2003.11
2003.11
2003.11
2004.8
2004.11
2004.11
2004.11
2005.11
2005.11
2005.11
2006.5
2006.5
2006.5
2006.11
2006.11
2007.3
2007.4
International Symposium on Sediment-related Issues in Southwest Asian Region, in
Kathmandu, Nepal, jointly with Ministry of Construction, Sabo Technical Center and
Nepal Engineering College in preparation for the Third World Water Forum
Landslide and slope failure site investigation along Prithvi Highway and
Narayanghat-Mugling Highway, jointly with Nepal Engineering College staffs
One-day International Seminar on Disaster Mitigation in Nepal, in Kathmandu jointly
with Nepal Engineering College
Landslide and slope failure site investigation along Prithvi Highway and
Narayanghat-Mugling Highway, jointly with Nepal Engineering College staffs
Disaster Awareness Seminar with school teachers in Kathmandu and Lalitpur, jointly
Disaster Awareness Seminar with school teachers in Dang, jointly with Nepal
Engineering College
Disaster Awareness Seminar with school teachers in Kathmandu, jointly with Nepal
Engineering College
Landslide and slope failure site investigation along Prithvi Highway,
Narayanghat-Mugling Highway, and Tribhuvan Highway, jointly with Nepal
Engineering College staffs
Second International Seminar on Disaster Mitigation in Nepal, in Kathmandu jointly
International Conference on Disaster Management: Achievements and Challenges,
DiMAC 2005, in Kathmandu jointly with Nepal Engineering College and National
Society for Earthquake Technology, Nepal
Landslide and slope failure site investigation along Prithvi Highway,
Narayanghat-Mugling Highway, and Tribhuvan Highway
Launching of a book entitled ‘Landslide Mapping along Major Highways of Nepal’, a
reference material to road building and maintenance, jointly with the Department of
Roads
Signing of Memorandum of Understanding for academic exchange program with 5
major Nepalese academic institutions focusing on disaster management related
activities
Establishment of Ehime University Satellite Office Kathmandu for various disaster
mitigation related activities
Earthquake disaster awareness survey on Kathmandu residents
International Symposium on Geo Disasters, Infrastructure Management, and
Protection of World Heritage Sites, in Kathmandu jointly with Nepal Engineering
College, National Society for Earthquake Technology Nepal, Ministry of Home
Affairs, DWIDP, JICA, United Mission to Nepal, and UNESCO Kathmandu Office
Landslide and slope failure site investigation along Araniko Highway, jointly with
Nepal Engineering College; Earthquake disaster risk survey of world heritage sites in
Kathmandu, Disaster preparedness survey on school children in Kathmandu Valley
Establishment of Ehime University Alumni Association chapter organization in Nepal
International Conference on Emerging Issues on Research and Development, in
Kathmandu, jointly with Japanese University Students Association Nepal (JUSAN), an
alumni association of Japanese university graduates in Nepal
NETWORK AND EXTENSION PLAN
The network for the enhancement of disaster management efforts in Nepal includes Ehime
University and five major academic institutions in Nepal in the center. In addition to the academic
institutions, the involvement of various government and non-government organizations in the
network, even at cooperation level, is expected to help enhance various activities in Nepal. So, the
network also includes the government agencies concerned with natural disasters and
non-government organizations working in the field of disaster awareness and damage reduction.
The following list shows the organizations already in the network formally or informally.
- 92 -
Academic institutions
1. Purvanchal University (MoU already signed)
2. Pokhara University (MoU already signed)
3. Kathmandu University (MoU already signed)
4. Institute of Engineering, Tribhuvan University (MoU already signed)
5. Nepal Engineering College (MoU already signed)
6. Department of Geology, Trichandra Campus, Tribhuvan University
7. Center for Disaster Risk Study, Nepal Engineering College
Figure 4: Flow of people between Ehime and Nepal.
Government agencies
1. Disaster Management Section, Ministry of Home Affairs
2. Department of Roads, Ministry of Physical Planning and Works
3. Department of Water Induced Disaster Prevention, Ministry of Water Resources
4. Department of Mines and Geology, Ministry of Industry and Commerce
Professional societies
1. Nepal Engineers’ Association
2. Nepal Geological Society
3. Nepal Landslide Society
4. Nepal Geotechnical Society (proposed)
5. Nepal Structural Engineers’ Society (proposed)
NGOs, INGOs
1. NSET Nepal (signing of MoU under process)
2. JICA Nepal
3. United Mission to Nepal
4. UNDP Nepal
- 93 -
5. UNESCO Kathmandu Office
6. Rural Reconstruction Nepal (proposed)
Media
1. Nepal Television, a state owned television station
2. Publication media such as Kantipur Publication (proposed)
Others
1. Japanese University Students Association Nepal (JUSAN)
2. Ehime University Alumni Association Nepal
Apart from the academic institutions of Nepal, the network includes researchers from a few
universities and consulting research firms in Japan, major being Kagawa University, Hiroshima
University, Tokyo University, Kyoto University, and Kankyo Chishitsu Co. However, this
network is still under personal understanding without having official formalization. Figure 5
shows the concept for the disaster mitigation network in Asia and the model network in Nepal.
WHY ACADEMIC INSTITUTIONS
1. Academic institutions are a place of expertise network.
2. Academic institutions in most cases are non-profitable organizations, so the activities can be
conducted with fairly low cost.
3. Especially the pre-disaster activities such as research and investigation, awareness
enhancement, information dissemination, etc. can be more effectively conducted through
academic institutions.
4. Academic institutions often have a role to play in between the government and
non-government organizations, which makes things easier when it comes to dealing with
various organizations concerned.
5. Formation of institutional network can be much easier due to widely spread graduates in
various government and non-government organizations.
Disaster Mitigation
Network in Asia
Disaster Mitigation Network
Kyoto
University
Professors
Purvanchal
University
DMS
MOHA,
DoR,
DWIDP,
DUDBC
Pokhara
University
Ehime
University
Ehime
Univ.
Alumni
Ehime University
Satellite Office
IoE, Tribhuvan
University
Kagawa
University
Professors
Hiroshima
University
Professors
Kankyo
Chishitsu
Company
Kathmandu
University
NGOs,
INGOs,
Media,
Schools,
Societies
Etc.
Nepal Enginee
ring College
China
Disaster
Mitigation
Efforts in
Nepal
Scientific meets
Field investigation
Disaster education
Joint research
Master, PhD study
Student exchange
Faculty exchange
Joint projects
Alumni follow up
India
Indonesia
Extension
Tokyo
University
Professors
Pakistan
Malaysia
Bangladesh
Sri Lanka
S. Korea
<Abbreviations> DMS MOHA: Disaster Management Section Ministry of Home Affairs; DoR: Department of Roads; DWIDP: Department of
Water-induced Disaster Mitigation; DUDBC: Department of Urban Development and Building Construction; NGO: Non Government
Organization; INGO: International Non Government Organization; IoE: Institute of Engineering
Figure 5: Disaster Mitigation Network in Asia: Nepal as a model network
- 94 -
NETWORKING METHOD
The main concept behind the formation of the network lies at the involvement of former foreign
students of Japanese universities in the target Asian nations. Japan currently has over 120,000
international students enrolled at various academic institutions. Of this number, nearly 70%
international students have come from Asian nations. On the other hand, an estimated 50,000
international students must have already returned to their home countries after completing the
study to resume their previous jobs in government and non-government agencies. Networking of
this large number of former Japanese university students and the organizations they are affiliated
with will greatly help achieve the goals of this conceptual network for not only mitigating the
disaster losses but also developing a nation by means of more effectively transferred knowledge
gained in Japan.
ACHIEVEMENTS IN NEPAL
1. Recognition of the scientific meetings and disaster mitigation efforts by the Government of
Nepal
2. Informal institutional network already in function
3. Strong expertise network already in existence
4. Publications in the form of proceedings of various conferences, symposiums, and seminars
5. Reporting of the features of Nepal disasters in international publications
6. Publication of reference books
7. Television documentaries and awareness programs on landslide disasters in Nepal and media
coverage of the activities
8. Establishment of research center for disaster risk study at Nepal Engineering College (May
2006)
9. Establishment of first foreign-based satellite office of Ehime University in Kathmandu
10. Introduction of Special Graduate Course on Disaster Management in Asia at Ehime
University under the Graduate School of Science and Engineering (from October 2007)
FINANCIAL PART
The main source of fund for the above-mentioned activities so far has remained the Ministry of
Education, Culture, Science, and Technology. Under the broader theme of Disaster Mitigation in
Nepal, it has granted two Class-B overseas investigation funds beginning the year 2003; one for
landslide-related disaster and another for earthquake-related disasters. Apart from this direct
funding particularly for field investigations, joint researches, disaster education, etc., the activities
like scientific meets have been largely supported by the registration fee. As always, financial part
has remained the major obstruction to conducting these activities.
There is a strong need to identify regular sources of fund. Especially in a country like Nepal,
where the state fund is not sufficient to deal with various aspects of natural disasters, there also is
a strong need of human and institutional network to look after not only the post- but also the
pre-disaster aspects such as research and investigation, prediction and prevention, awareness
enhancement and disaster education, plans and policies, and so on. All this could be done with
only a fraction of the amount that goes into post-disaster reconstruction work.
CONCLUDING REMARKS
Various individuals and organizations are involved in mitigating natural disasters and an
unimaginable amount of money is spent every year in dealing with pre- and post disaster
difficulties. Especially in Asian nations prone to water-induced disasters and earthquakes, the
disaster mitigation efforts and the overall disaster management efforts are relatively high, but the
results out of these efforts are not as appreciable as they should be. Despite spending billions of
dollars in these efforts, the number of people suffering from the natural disasters and the amount
lost in infrastructure damage and post disaster reconstruction work have not reduced, especially in
underdeveloped nations like Nepal. For these nations, going for structural measures to mitigate
the disaster damage during landslides, slope failures, floods, earthquakes, etc. will be almost
impossible, but enhancement of the efforts towards non-structural measures, such as disaster
awareness, disaster preparedness, and disaster drills can be expected to reduce the losses
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significantly. All these activities however need an integrated approach through institutional
networks as mentioned in this paper. The involvement of academic institutions in such networks
can be expected to greatly enhance the disaster mitigation efforts.
REFERENCES
NSET (National Society for Earthquake Technology, Nepal) 2006
http://www.nset.org.np/index.htm
MOHA 2003, Ministry of Home Affairs Disaster Report, Nepal

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3.
Role of Japanese University Students in Nation Building
T. N. Lohani
Geoenvironmental Research Institute, Japan
Japanese University Alumni (Yokohama National University)
President, Nepal Engineers’ Association Japan Chapter
Educational Institutions are:
A big store of knowledge
A filter (where every citizen passes)
Mannered & efficient
manpower
Citizens
Educational
institutions
Citizens
Poor & inefficient
manpower
What does this mean?
Academic institutions have:
Responsibilities
Opportunities
(For both success and failures)
What is expected from the academia?
{ Work in the development effort of nation by providing suggestions
{ Prepare the type of manpower needed for the country
z Unskilled
z Skilled
z Highly-skilled
{ Conduct timely and needy research for the country to help prepare future plans
{ More?
Why failures? Any measures to correct? (in Nepal)
{ Questions of Implementation
{ Questions of team work
{ Academia influenced by politics than professionalism
{ Higher studies neither?? controlled by nation nor by market
{ Others
z Political reasons?
z Economical reasons??
¾ Academia should influence on this process besides political persons
¾ Donors are expected to look on scientific data while providing scholarships or trainings

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4.
Role of Higher Education Institutes for the National Development in Nepal
Masaru Yoshida
Gondwana Institute for Geology and Environment
(Ex-JICA Senior Volunteer to Nepal)
I.
What is national development and how it is hoped to be?
A. Definition of “National Development”: Intended development by the government and
society
B. Definition of “Development”:
(1) GNP (Production) or GNH (Happiness)?
(2) GNP for GNH?
II.
Contributions by higher education institutes for the national development
A. Creation of able manpower (Students who have better judgments and actions supported
by logic, moral, knowledge and technique)
B. Recommendations by teachers and the universities (To be supported by their high
quality)
III. Necessary conditions of the high quality of universities
A. Staff of high quality who can educate able students (defined above)
B. Paying continuous effort for the maintenance and development for the high quality of
staff
C. Continuous dispatch of recommendations by the universities and staff, for the national
development
IV. Present-day higher education and national development in Nepal
A. How is the quality of the universities and staff?
B. Role of universities for the national development (Are education of students and
recommendations to government and society well conducted?)
C. Towards the enrichment of universities and their better contribution to the national
development
(1) To establish the ability-dependent personal promotion (strictly independent from
government and politics)
(2) Positive effort for the higher qualities of staff, system and hardware of universities.
(3) Drastic increase of the university budget to secure able staff and advanced
hardware.
(4) Improvement of the role and status of universities in the nation
V.
What can Japan do for helping the enrichment of the higher education in Nepal?
A. Official policy: Lower education than the higher education
B. JICA assistances: Building of schools and dispatch of JOCV teachers
C. What is the ideal way of assistance?
(1) Higher education for the lower education
(2) Assistance for the effort of the enrichment of universities and the strengthening of
their role in the government and society

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