Nepal Development Update, January 2016 : Development Amidst Disturbances
Devastating earthquakes in April and May of 2015 took a huge human toll, destroyed homes, businesses, irreplaceable cultural heritage sites, and slowed economic growth. The Government of Nepal (GoN), through a post disaster needs assessment (PDNA),...
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| Format: | Report |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2016
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| Online Access: | http://documents.worldbank.org/curated/en/2016/02/25962752/nepal-development-update-development-amidst-disturbances http://hdl.handle.net/10986/23776 |
| Summary: | Devastating earthquakes in April and May
of 2015 took a huge human toll, destroyed homes, businesses,
irreplaceable cultural heritage sites, and slowed economic
growth. The Government of Nepal (GoN), through a post
disaster needs assessment (PDNA), estimated the value of
losses at United States dollar (USD) 7.1 billion (physical
damage of USD 5.2 billion and economic losses, spanning
several years, of USD 1.9 billion). Nepal’s political
parties intensified their efforts to adopt a new
constitution, after eight years of deliberations, spurred on
by the shift in political priorities following the April and
May earthquakes. A normalization was envisaged whereby the
faster budget implementation and sustained reconstruction
activities can lead to a surge in imports, which will have
tipped the current account balance into deficit over the
forecast period, despite large remittances. Similarly,
increased government spending on capital expenditure, as
national reconstruction authority speeds up reconstruction
activities, will lead to a larger budget deficit. The aim of
this report is to report on key economic developments over
the preceding months, placing them in a longer term and
global perspective and to examine topics of particular
policy significance. |
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