[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-109642-en":3,"doc-seo-109642-105":31,"detail-sidebar-cat-0-en-105":93},{"code":4,"msg":5,"data":6},0,"success",{"doc_id":7,"user_id":8,"nickname":9,"user_avatar":10,"doc_module":4,"category_id":11,"category_name":12,"doc_title":13,"doc_description":14,"doc_content":15,"file_id":16,"file_url":17,"file_type":18,"file_size":19,"view_count":20,"is_deleted":4,"is_public":21,"is_downloadable":21,"audit_status":21,"page_count":22,"language":23,"language_code":24,"site_id":25,"html_lang":24,"table_of_contents":26,"faqs":27,"seo_title":28,"seo_description":14,"update_tm":29,"read_time":30},109642,7971461740909,"Levi","https://ap-avatar.wpscdn.com/davatar_155a257f0dc6eb9ab79c44ca47cae57d",8,"Research & Report","Nepal - Joint World Bank-IMF Debt Sustainability Analysis - March 2020","Joint IMF/WB analysis using the LIC-DSF framework finds Nepal’s external and overall public debt remains at low risk of debt distress under both the baseline and stress tests. Debt and debt-service indicators stay below indicative thresholds, but public debt is projected to rise gradually in the medium term due to ongoing fiscal and current account deficits. Sustainability is sensitive to export and growth shocks, highlighting needs for reforms to strengthen resilience, improve productivity and competitiveness, and monitor risks from contingent liabilities.","Public Disclosure Authorized Public Disclosure Authorized  \nINTERNATIONAL DEVELOPMENT ASSOCIATION  \nINTERNATIONAL MONETARY FUND  \nNEPAL  \nJoint World Bank-IMF Debt Sustainability Analysis  \nMarch 2020  \nPrepared jointly by the staffs ofthe International Development Association (IDA)  \nand the International Monetary Fund (IMF)  \nApproved by Marcello Estevão (IDA), Anne-Marie Gulde Wolfe and Maria Gonzalez (IMF)  \n\n| Nepal-Joint Bank-Fund Debt Sustainability Analysis |  |\n| --- | --- |\n| Risk of external debt distress | Low |\n| Overall risk of debt distress | Low |\n| Granularity in the risk rating | Not Applicable |\n| Application of judgment | No |\n\nThe Debt Sustainability Analysis using the joint IMF/WB Debt Sustainability Framework for Low Income Countries (LIC-DSF) shows that Nepal remains at low risk of debt distress for both the external and overall public debt. All debt and debt service indicators are projected to be well below their indicative threshold values under the baseline scenario as well as the stress tests. However, the analysis indicates that Nepal’s public debt is projected to gradually increase over the mediumterm owing to continuing fiscal and current account deficits, and that debt sustainability is vulnerable to export and economic growth shocks. These findings stress the importance of implementing reforms to increase the economy’s resilience to external shocks and to encourage diversification. Further efforts to improve the domestic productivity and competitiveness and to enhance monitoring of risks related to contingent liabilities are necessary to ensure medium-to long-term debt sustainability.  \nPUBLIC DEBT COVERAGE  \n1. The coverage of public debt in this analysis includes central and local governments’ debts, government guarantees, and central bank borrowing. Nepal’s provincial and local governments had no debt. Their borrowing framework is under consideration and should be monitored carefully. The Nepal Rastra Bank (NRB, Nepal’s central bank) borrowed from the IMF through the Rapid Credit Facility and on-lent the funds (about US$50 million) to the government. Bond issuances by the central bank were only for the purpose of the monetary policy. Nepal’s state-owned enterprises (SOEs) borrow  \nabroad through the central government, therefore included in the coverage of central government debt. The government has recently started providing guarantees for debts of SOEs.  \n\n|  |  Subsectors of the public sector  Check box \u003Cbr>Central government\u003Cbr>State and local government\u003Cbr>Other elements in the general government\u003Cbr>o/w: Social security fund\u003Cbr>o/w: Extra budgetary funds (EBFs)\u003Cbr>Guarantees (to other entities in the public and private sector, including to SOEs) Central bank (borrowed on behalf of the government)\u003Cbr>Non-guaranteed SOE debt\u003Cbr> |\n| --- | --- |\n| 1\u003Cbr>2\u003Cbr>3\u003Cbr>4\u003Cbr>5\u003Cbr>6\u003Cbr>7\u003Cbr>8 |  |\n\nBACKGROUND ON DEBT  \n2. Nepal’s total public debt is estimated at 30.1 percent of GDP at mid-2019. Following a prolonged decline, to 25 percent of GDP in mid-2015, Nepal’s public debt rose to 30.2 percent of GDP at mid-2018. The public debt stock for July 2019 stayed at almost the same level as the previous fiscal year. Nepal’s public debt remains low compared to other low-income countries.  \n3. External public debt stood at 17 percent of GDP at mid-July 2019. The external debt-toGDP ratio declined slightly by 0.4 percentage point since mid-2018. The net present value (PV) of the external debt is estimated at about 12.2 percent of GDP duetothe high degree of concessionality. Nepal’s  \nexternal debt was owed mainly to multilateral creditors (89 percent of all external debt), such as the World Bank’s International Development Association (IDA) and the Asian Development Bank. Their loans had low interest rates (1 percent on average) and long maturities (26 years on average). For the bilateral loans, Japan was the largest bilateral creditor, followed by China, India, and Korea.  \n\n| Nepal: External Public De","cbCailoTxTq5nQ2c","https://ap.wps.com/l/cbCailoTxTq5nQ2c","pdf",440556,5,1,15,"English","en",105,"# Risk assessment\n## Overall risk of debt distress\n# Debt coverage\n## Public debt scope and components\n# Background on debt\n## Public debt trends\n## External public debt structure\n## Domestic public debt structure\n## Private external debt context","[{\"question\":\"What overall risk level does the analysis assign to Nepal’s debt distress?\",\"answer\":\"Both external and overall public debt face a low risk of debt distress under the baseline scenario and stress tests.\"},{\"question\":\"What drives the projected medium-term increase in Nepal’s public debt?\",\"answer\":\"Continuing fiscal deficits and current account deficits are projected to gradually increase public debt over the medium term.\"},{\"question\":\"Which shocks make Nepal’s debt sustainability vulnerable?\",\"answer\":\"Debt sustainability is vulnerable to export shocks and economic growth shocks.\"}]","Nepal - Joint World Bank-IMF Debt Sustainability Analysis - March 2020 | PDF",1784481696,38,{"code":4,"msg":32,"data":33},"ok",{"site_id":25,"language":24,"slug":34,"title":13,"keywords":35,"description":14,"schema_data":36,"social_meta":88,"head_meta":90,"extra_data":92,"updated_unix":29},"nepal-joint-world-bank-imf-debt-sustainability-analysis-march-2020","",{"@graph":37,"@context":87},[38,55,70],{"@type":39,"itemListElement":40},"BreadcrumbList",[41,45,49,52],{"item":42,"name":43,"@type":44,"position":21},"https://docshare.wps.com","Home","ListItem",{"item":46,"name":47,"@type":44,"position":48},"https://docshare.wps.com/document/","Document",2,{"item":50,"name":12,"@type":44,"position":51},"https://docshare.wps.com/document/research-report/",3,{"item":53,"name":13,"@type":44,"position":54},"https://docshare.wps.com/document/nepal-joint-world-bank-imf-debt-sustainability-analysis-march-2020/109642/",4,{"url":53,"name":13,"@type":56,"author":57,"headline":13,"publisher":59,"fileFormat":62,"inLanguage":24,"description":14,"dateModified":63,"datePublished":64,"encodingFormat":62,"isAccessibleForFree":65,"interactionStatistic":66},"DigitalDocument",{"name":9,"@type":58},"Person",{"url":42,"name":60,"@type":61},"DocShare","Organization","application/pdf","2026-07-30","2026-07-19",true,{"@type":67,"interactionType":68,"userInteractionCount":20},"InteractionCounter",{"@type":69},"ViewAction",{"@type":71,"mainEntity":72},"FAQPage",[73,79,83],{"name":74,"@type":75,"acceptedAnswer":76},"What overall risk level does the analysis assign to Nepal’s debt distress?","Question",{"text":77,"@type":78},"Both external and overall public debt face a low risk of debt distress under the baseline scenario and stress tests.","Answer",{"name":80,"@type":75,"acceptedAnswer":81},"What drives the projected medium-term increase in Nepal’s public debt?",{"text":82,"@type":78},"Continuing fiscal deficits and current account deficits are projected to gradually increase public debt over the medium term.",{"name":84,"@type":75,"acceptedAnswer":85},"Which shocks make Nepal’s debt sustainability vulnerable?",{"text":86,"@type":78},"Debt sustainability is vulnerable to export shocks and economic growth shocks.","https://schema.org",{"og:url":53,"og:type":89,"og:title":13,"og:site_name":60,"og:description":14},"article",{"robots":91,"canonical":53},"index,follow",{"doc_id":7,"site_id":25},{"code":4,"msg":5,"data":94},[95,99,103,107,111,116,121,124,129,132,136],{"id":21,"doc_module":4,"doc_module_name":47,"category_name":96,"show_sort_weight":97,"slug":98},"Story & Novel",90,"story-novel",{"id":48,"doc_module":4,"doc_module_name":47,"category_name":100,"show_sort_weight":101,"slug":102},"Literature",80,"literature",{"id":54,"doc_module":4,"doc_module_name":47,"category_name":104,"show_sort_weight":105,"slug":106},"Exam",70,"exam",{"id":20,"doc_module":4,"doc_module_name":47,"category_name":108,"show_sort_weight":109,"slug":110},"Comic",60,"comic",{"id":112,"doc_module":4,"doc_module_name":47,"category_name":113,"show_sort_weight":114,"slug":115},6,"Technology",50,"technology",{"id":117,"doc_module":4,"doc_module_name":47,"category_name":118,"show_sort_weight":119,"slug":120},7,"Healthcare",40,"healthcare",{"id":11,"doc_module":4,"doc_module_name":47,"category_name":12,"show_sort_weight":122,"slug":123},30,"research-report",{"id":125,"doc_module":4,"doc_module_name":47,"category_name":126,"show_sort_weight":127,"slug":128},9,"Religion & Spirituality",20,"religion-spirituality",{"id":127,"doc_module":4,"doc_module_name":47,"category_name":130,"show_sort_weight":127,"slug":131},"World Cup","world-cup",{"id":133,"doc_module":4,"doc_module_name":47,"category_name":134,"show_sort_weight":133,"slug":135},10,"Lifestyle","lifestyle",{"id":137,"doc_module":4,"doc_module_name":47,"category_name":138,"show_sort_weight":20,"slug":139},19,"General","general"]