ABM - Nepal Commerce and Economic Podcast

The Quiet Revolution of Jugaad and Social Innovation in Nepal: How Ingenuity and Grassroots Initiatives Are Solving Everyday Problems More Effectively Than Government Programs

Imagine a farmer named Gopal Malhari Bhise. One day, while watching another man struggling to carry sacks of flour on his bicycle, he wondered: what if the bicycle could be used for more than just transportation? Soon, he dismantled the rear wheel of his bicycle and, using scrap materials, built a unique weeding device that allowed him to cultivate the land without a tractor or bullocks. This simple yet brilliant story is the perfect embodiment of the concept known as "jugaad". Term"jugaad", which comes from Hindi, describes not just an improvised solution created from meager resources, but an entire philosophy. It is the art of doing more with less, finding opportunities in difficulties and turning limitations into advantages. It was originally a survival tactic on the streets of India, where washing machines were turned into yogurt makers. Today the principles Jugaad— flexibility, cost-effectiveness and inclusiveness — are being studied and implemented by global corporations such as Philips, Google and GE, seeing them as the key to innovation in the face of global economic instability. Nowhere is this spirit more evident than in Nepal. A quiet revolution is unfolding in a country struggling with deep socioeconomic and geographic challenges. Faced with systemic inefficiencies and gaps in public services, ordinary citizens and grassroots innovators are applying the principles ofJugaad to create solutions that are often more effective, sustainable, and locally tailored than large-scale government programs. This report explores how this bottom-up ingenuity is not only solving everyday problems in energy, agriculture, waste management, and education, but also creating unique and viable business models from scratch.

The Future of Work in Nepal: Which professions will disappear under the onslaught of AI / ABM special project

Imagine two scenes unfolding simultaneously. The first is on the slopes of Annapurna, where an experienced Sherpa guide, drawing on knowledge passed down through generations, leads a group of trekkers along a tried-and-true route, reading the weather from the wind and clouds. The second is in a bustling office in Kathmandu, where a young data scientist, a local university graduate, uses predictive analytics and machine learning models to optimize that same trekking route, calculating avalanche risks and offering clients personalized plans based on their fitness. This contrast is not a fantasy, but a vivid illustration of the reality Nepal is on the cusp of. Artificial intelligence (AI) is no longer a distant concept from Silicon Valley, but a powerful force capable of fundamentally reshaping both traditional and cutting-edge sectors of the Nepalese economy. Nepal is at a unique point in its development, having recently graduated from the category of least developed countries (LDCs) to the category of lower middle income countries, the state faces a double challenge. On the one hand, it needs to address the classic development problems of fighting poverty, developing infrastructure, and strengthening institutions. On the other hand, the country finds itself at the epicenter of a global technological revolution that is not waiting for old problems to be solved. With a GDP of about $40.91 billion in 2023, Nepal's economy is small by global standards, making it both more vulnerable to external shocks and potentially more flexible for rapid transformation.

Nepal's Next 'Economic Engine': Deep Dive into Undervalued Sectors and Breakthrough Ideas for Sustainable Growth

In a small village in the Himalayan foothills, a family gathers around a smartphone. On the screen are the faces of their son and brother, who works on a construction site in Malaysia. Moments later, another remittance hits their bank account – a lifeline that puts food on the table, pays for school, and maintains a decent standard of living. The scene, repeated in thousands of Nepalese homes, captures the essence of the country’s central economic paradox. Nepal has achieved remarkable success in virtually eradicating extreme poverty – an achievement made possible in large part by money sent home from abroad. But behind these impressive statistics lies a disturbing reality. This success has been achieved without transformative domestic growth, significant investment, or the creation of quality jobs. For nearly three decades, the country's economy has grown at an average rate of just 4.2% a year, lagging behind most of its South Asian neighbors. Dependence on remittances, which account for about 25% of GDP3, has created a "Dutch disease"-like effect: it has undermined the competitiveness of domestic exports and perpetuated a cycle of migration in which the country exports its most valuable asset - its youth. Now, with remittance growth expected to slow and the limitations of the current model becoming increasingly apparent, the big question arises: Where will Nepal's next, more sustainable economic engine come from? The answer lies not in one silver bullet, but in a strategic and synergistic pivot to a portfolio of undervalued but high-potential industries. Nepal’s future prosperity depends on its ability to leverage its unique strengths—rich culture, young and dynamic workforce, and unique geography—to develop four key sectors: creative ("orange") economy, high-tech agriculture, a rapidly developing sector digital services and highly profitable health tourism It is these areas that are capable of building a sustainable, inclusive and modern economy.

Nepal's Generation Z: Lost for the Country or Architects of Its Future? An in-depth exploration of the values, career ambitions, and social influence of young Nepalis

In the bustling alleyways of Kathmandu, where ancient temples cast shadows over buzzing IT hubs and trendy youth-run cafes, a quiet but fateful drama is unfolding. Here lives a generation caught between a past marred by political upheaval and economic stagnation and a future filled with digital opportunity. They are Nepal’s Generation Z, born between the mid-1990s and early 2010s. Their importance cannot be overestimated. Nepal has what is called a “youth bulge”: 52% of the country’s population are young people aged 7 to 24. Their collective choices will determine the nation’s trajectory for decades to come, making them perhaps the most important variable in Nepal’s future. The central question facing the country is simple, but its implications are enormous: Will these young people be forced to migrate abroad, becoming a “lost” generation of talent? Or will they leverage global connectivity to become the “architects” of a new, digital Nepal without leaving their homeland? The government has ambitious goals, such as “Good Governance, Social Justice, and Prosperity,” laid out in the 16th National Plan. However, these aspirations collide with the harsh reality of chronic political instability and deep structural economic problems that shape this generation's worldviews and life paths.

Nepal's "shadow" economy: a hidden engine or a brake on growth? An investigation by Alpha Business Media

Nepal’s economy presents a profound paradox. On the one hand, the country has made impressive strides in reducing poverty, virtually eliminating extreme poverty in recent decades – an achievement aided by a huge influx of remittances from millions of citizens working abroad.1On the other hand, Nepal remains one of Asia's slowest growing economies, stuck in a low-growth trap, unable to create enough quality jobs for its young and growing population. At the heart of this paradox lies the vast, multifaceted and largely unaccounted for “shadow” or informal economy. This investigation by Alpha Business Media delves into this hidden sector to quantify its scale and analyse its contradictory impact on Nepal’s gross domestic product (GDP), employment and social stability. Our findings show that the informal economy is not just a side effect, but a dominant feature of Nepal’s economic landscape, serving as both a lifeline and an anchor.