Nepal Development Update : Investing in People to Close the Human Capital Gap
Gross domestic product (GDP) growth in Nepal is estimated at 7.1 percent in FY2019, driven mainly by the service and agriculture sectors. The service sector is likely to grow by 7.5 percent due to a boost in the retail, hotel, and restaurant subsec...
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| Format: | Report |
| Language: | English |
| Published: |
World Bank, Washington, DC
2019
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| Online Access: | http://documents.worldbank.org/curated/en/231411559761365601/Nepal-Development-Update-Investing-in-People-to-Close-the-Human-Capital-Gap http://hdl.handle.net/10986/31802 |
| Summary: | Gross domestic product (GDP) growth in
Nepal is estimated at 7.1 percent in FY2019, driven mainly
by the service and agriculture sectors. The service sector
is likely to grow by 7.5 percent due to a boost in the
retail, hotel, and restaurant subsectors, driven by an
uptick in tourist arrivals and remittance-fueled private
consumption. Agriculture is estimated to grow by 5 percent
in FY2019, well above its 30-year average of 3.1 percent,
due to good monsoons, increased commercialization,
availability of fertilizers and seeds, and improved
irrigation facilities. Industrial growth is also likely to
be strong at 8.1 percent, well above its 30-year average of
5 percent, mainly due to improved power availability from
increased electricity generation. Private investment and
consumption are likely to be the main contributors to growth
on the demand side. However, public investment is projected
to contract due to a slowdown in post-earthquake
reconstruction and delays in national pride projects like
Melamchi water supply and Upper Tamakoshi hydroelectric. |
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