Nepal’s enterprise ecosystem is influenced by its unique geographic features, socio-economic conditions, and cultural heritage. Nepal has good prospects in agriculture, remittances, hydro and tourism. Nepal’s manufacturing is less competitive compared to two giants India and China so it has to be selective while investing in manufacturing industries. The Terai plains play a major role in agricultural production, while the hilly and mountainous regions are more dependent in fruits, herbs, tourism, livestock and small-scale agriculture. The service sector in Nepal is performing better than others in the present context. 

A UNESCAP report estimates that Nepal’s MSMEs employ more than 2.7 million population. Out of an estimated 923,000 registered businesses, approximately 90 percent of those are MSMEs, accounting for 45 percent of all jobs. MSMEs play a crucial role in job creation, employing a significant portion of the population, particularly in rural areas. SMEs dominate the agriculture, handicrafts, and tourism sectors and are key drivers of local economies, fostering innovation, income generation, and community development. 

Civil society organizations in Nepal are the development partners of the government so our programmes should be contributing government’s plans and policies. This strategy aligns with 16th Five-Year Plan and other key policy frameworks.These goals focus on inclusive economic growth, boosting employment, and enhancing private sector competitiveness, which echoes strongly with the Sustainable Development Goals (SDGs) as well. This will contribute to the achievements of SDG 1, SDG 5, and SDG 9.  

Strategies 

1. Strengthen the national economy by promoting sustainable enterprises that increase income opportunities, enhance value chains of key commodities, and create local jobs
2. Work and learn with strategic private sector actors across selected value chains
3. Inclusive growth for indigenous skills and best practices 
4. Scalable, Replicable Enterprise Models