Nepal

Switzerland is supporting the development of the new federal state in Nepal. It is working to strengthen democratic institutions and improve public services and the business environment. It is also supporting gender equality, social inclusion and climate change adaptation and mitigation. Switzerland's activities are concentrated in Koshi province in the easternmost part of Nepal.

Nepal adopted a new constitution with a federal system in 2015. The building of this system is a historic opportunity to promote inclusive development. However, forging a political culture that addresses the needs of the population remains a challenge, as does the functioning of the new federal system.

Despite setbacks such as earthquakes and pandemics, Nepal has been able to develop economically. This has reduced poverty. Labour migration has played an essential role in Nepal's economic development, as has growing trade. Nepal has been able to implement important economic reforms and is likely to leave the category of least developed countries in 2026. Inclusive and sustainable economic growth is crucial for peace and stability.

Federal state-building

Strengthening federal institutions and public service delivery.

Nepal's federal system is similar to that of Switzerland. The Swiss Confederation is thus in a position to share experiences with Nepal on the development of federal structures. It advises provincial and local governments on drafting laws and policies, and on building knowledge and capacity. The aim of this approach is to support Nepal in providing communities with high quality, inclusive services.

Switzerland is also supporting the post-armed conflict (1996–2006) peace process and encouraging political parties to take part in the process for dealing with the past. Nepal should take the lead in this process, which must focus primarily on the victims of the conflict.

Good governance

Dealing with the past

Economy and employment

Creating favourable conditions – promoting employment and income opportunities

At all three levels of government (federal, provincial and municipal), the Swiss Agency for Development and Cooperation (SDC) supports the creation of favourable conditions for inclusive and sustainable economic growth. This allows Switzerland to share its knowledge and technologies in various fields such as SME promotion, vocational skills development, agriculture and infrastructure. It also creates innovative financing solutions to mobilise private capital.

In 2016, a ground breaking project was launched to introduce a dual vocational training system in Nepal. This project is being gradually scaled up in close cooperation with the government. The dual vocational system provides companies with a well-qualified workforce and gives workers better job prospects and incomes.

Private sector development and financial services

Migration

Supporting migrants and their families

Switzerland is advising the Nepalese authorities at the federal, provincial and municipal levels to support them in clarifying their respective roles and responsibilities in the area of migration. It is also supporting the development of professional services for migrant workers and victims of gender-based violence, including awareness and training, psychosocial counselling, access to financial and business services and access to justice.

Switzerland is committed to the sustainable economic and social reintegration of migrant workers in their home countries. Migrant workers often return with valuable knowledge and skills that open up employment and income opportunities and contribute to local economic growth. Reintegration helps prevent cycles of migration.

Migration

Approach and partners

Gender equality, social inclusion and climate change mitigation are the overarching objectives that feed into all of Switzerland's projects in Nepal. Switzerland works in cooperation with governmental organisations at all three levels of government. Its projects are aligned with the priorities of the Nepalese government.

To achieve the objectives of its cooperation programme and support the Nepalese system, Switzerland employs various cooperation modalities and works closely with other development partners and different sectoral working groups.