Artificial intelligence is described as a powerful and versatile technology that enhances efficiency across sectors such as healthcare, finance, and industry. Its rapid development also brings risks, including job loss, algorithmic bias, security threats, and ethical concerns tied to autonomous decision-making. Nepal is beginning to adopt AI through university research in natural language processing and early applications like chatbots and agricultural analytics. Growth is constrained by limited resources and evolving infrastructure, yet ongoing efforts signal potential for significant innovation. Ensuring responsible and ethical development is essential for AI to benefit Nepal’s future.

A rising number of Nepali students are pursuing higher education abroad due to perceived higher academic quality, broader availability of specialized courses, stronger research infrastructure, and greater global exposure. Favorable visa policies and better employment prospects in countries such as the United States, United Kingdom, Australia, and Canada further contribute to this trend. Domestic factors—including frequent disruptions in Nepal’s education system, limited job opportunities, and insufficient English proficiency training—also influence students’ decisions. Strengthening educational quality, expanding academic programs, and investing in research infrastructure could help Nepal retain talent and enhance national development.

Nepal faces severe economic challenges following the Covid-19 pandemic, driven by sharp declines in tourism, remittances, and employment. Tourism, accounting for seven percent of GDP, has collapsed due to travel restrictions, while remittances, representing a quarter of GDP, have fallen as Nepali workers abroad lost jobs and returned home. These declines have reduced household purchasing power, weakened demand, and deepened unemployment. Despite the downturn, Nepal retains opportunities for revitalization through targeted government strategies and support for small, medium-sized, and startup enterprises.