[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-109720-en":3,"doc-seo-109720-105":31,"detail-sidebar-cat-0-en-105":92},{"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},109720,1099514067415,"Rowan","https://ap-avatar.wpscdn.com/avatar/100002539d78ffe74a7?x-image-process=image/resize,m_fixed,w_180,h_180&k=1779092875211072502",8,"Research & Report","Nepal - Joint World Bank-IMF Debt Sustainability Analysis - May 2020","Joint World Bank–IMF debt sustainability analysis for Nepal, updated in May 2020 to capture the COVID-19 shock and related containment policies. The update highlights sharp growth impacts in FY2019/20 and FY2020/21, major declines in remittances and tourism, and falling domestic activity. Despite elevated gross financing needs, the assessment finds Nepal’s debt remains at low risk of external and overall debt distress, with no indicator breaching thresholds. The analysis outlines financing measures and policy priorities to strengthen resilience.","Public Disclosure Authorized  \nINTERNATIONAL DEVELOPMENT ASSOCIATION  \nINTERNATIONAL MONETARY FUND  \nNEPAL  \nJOINT WORLD BANK-IMF DEBT SUSTAINABILITY ANALYSIS  \nMay 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)  \nPub lic Disc losure Authorized  \n\n| Nepal: Joint Bank-Fund Debt Sustainability Analysis1 |  |\n| --- | --- |\n| Risk of external debt distress | Low2 |\n| Overall risk of debt distress | Low |\n| Granularity in the risk rating | Not applicable |\n| Application of judgement | No |\n| Macroeconomic projections | This DSA update reflects the COVID-19 shock, with a significant impact on growth in FY2019/20 and FY2020/21.3 Remittances have fallen considerably, tourist arrivals collapsed, and domestic activities have dropped due to containment measures that include a nationwide lockdown. |\n| Financing strategy | Given limited domestic financing capacity, Nepal seeks external financing sources to fill its financing gap. In addition to the RCF (US$214 million), the World Bank has approved a $29 million COVID-19 Emergency Response and Health Systems Preparedness Project and the Asian Development Bank is processing a pandemic response loan under the Countercyclical Support Facility for up to US$250 million. The IMF also provided debt relief under the Catastrophe Containment and Relief Trust (US$ 3.9 million). The remaining financing gap will be financed by support from development partners or reserve drawdowns. The authorities also intend to request debt service reprofiling from official bilateral creditors (including export-import banks) over the period May 1 and December 31, 2020, which would free-up resources of up to US$31 million for the authorities’ COVID-19 response. |\n| Realism tools flagged | Yes, standard multiplier analysis (that does not consider COVID- 19 impact) suggests pessimistic growth in 2020 despite large fiscal stimulus. |\n| Mechanical risk rating under the external DSA | Low |\n| Mechanical risk rating under the public DSA | Low |\n\n1 Debt coverage has not changed from the February 2020 DSA.  \n2 Nepal’s composite indicator score is 3 .28, which signals a strong debt-carrying capacity.  \n3 The macroframework underlying this DSA update is the same as that included in the staff report of the 2020 RCF request, based on available information atthe time. However, the COVID-19 economic impact and policy response are rapidly evolving, and risks are heavily tilted to the downside. This DSA does not incorporate the potential debt service reprofiling of official bilateral debt.  \nThis DSA updates the joint World Bank-Fund analysis of February 2020 to reflect Nepal’s recent economic development, which have been considerably affected by the COVID-19 pandemic and related containment policies. Even under the COVID-19 pandemic, Nepal’s debt is assessed to remain at a low risk of external and overall debt distress, unchanged from the 2020 DSA 4. None of the debt and debt service indicators breach the indicative threshold values. However, given elevated gross financing needsin Nepal, a deeper global slowdown could negatively affect Nepal’s risk of debt distress. The Nepalese authorities should continue to: (i) improve domestic productivity; (ii) streamline bureaucratic processes; (iii) compile PPP projects and private sector external debt; (iv) implement a medium-term debt strategy and develop the government bond market; and (v) improve subnational governments’ public financial management and reporting, and implement a prudent framework for subnational borrowing.  \n4 IMF Country Report No 20/96, April 2020  \nTable 1. Nepal: External Debt Sustainability Framework, Baseline Scenario, 2019-2040  \n (In percent of GDP, unless otherwise indicated)     \nActual 9/ Projections  \n2019 2020 2021 2022 2023 2024 2025 2030 2040  \nAverage 8/  \nHistorical Projections  \nExternal ","cbCaisPvZGVmeq5k","https://ap.wps.com/l/cbCaisPvZGVmeq5k","pdf",418635,3,1,10,"English","en",105,"# Risk assessment\n## External debt distress\n## Overall debt distress\n# Macroeconomic projections and COVID-19 impact\n## Growth shock and containment measures\n## Remittances and tourism effects\n# Financing strategy\n## COVID-19 financing sources and relief\n## Debt service reprofiling request\n# Sustainability framework and indicators\n## External debt baseline scenario\n## Key debt and debt-service ratios","[{\"question\":\"What updated this debt sustainability analysis for Nepal in May 2020?\",\"answer\":\"The update reflects the COVID-19 shock and containment policies, which significantly affected growth in FY2019/20 and FY2020/21, alongside declines in remittances and tourism.\"},{\"question\":\"How is Nepal’s risk of debt distress rated in this analysis?\",\"answer\":\"Nepal is assessed to have low risk of external debt distress and low overall risk of debt distress, with no debt or debt-service indicators breaching the indicative thresholds.\"},{\"question\":\"What financing and policy actions are emphasized for the COVID-19 period and beyond?\",\"answer\":\"Nepal is directed toward securing external financing, using available support and relief, requesting reprofiling from official bilateral creditors, and continuing reforms such as improving productivity, streamlining processes, and strengthening debt management and subnational fiscal frameworks.\"}]","Nepal - Joint World Bank-IMF Debt Sustainability Analysis - May 2020 | PDF",1784482064,25,{"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":87,"head_meta":89,"extra_data":91,"updated_unix":29},"nepal-joint-world-bank-imf-debt-sustainability-analysis-may-2020","",{"@graph":37,"@context":86},[38,54,69],{"@type":39,"itemListElement":40},"BreadcrumbList",[41,45,49,51],{"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":20},"https://docshare.wps.com/document/research-report/",{"item":52,"name":13,"@type":44,"position":53},"https://docshare.wps.com/document/nepal-joint-world-bank-imf-debt-sustainability-analysis-may-2020/109720/",4,{"url":52,"name":13,"@type":55,"author":56,"headline":13,"publisher":58,"fileFormat":61,"inLanguage":24,"description":14,"dateModified":62,"datePublished":63,"encodingFormat":61,"isAccessibleForFree":64,"interactionStatistic":65},"DigitalDocument",{"name":9,"@type":57},"Person",{"url":42,"name":59,"@type":60},"DocShare","Organization","application/pdf","2026-07-29","2026-07-19",true,{"@type":66,"interactionType":67,"userInteractionCount":20},"InteractionCounter",{"@type":68},"ViewAction",{"@type":70,"mainEntity":71},"FAQPage",[72,78,82],{"name":73,"@type":74,"acceptedAnswer":75},"What updated this debt sustainability analysis for Nepal in May 2020?","Question",{"text":76,"@type":77},"The update reflects the COVID-19 shock and containment policies, which significantly affected growth in FY2019/20 and FY2020/21, alongside declines in remittances and tourism.","Answer",{"name":79,"@type":74,"acceptedAnswer":80},"How is Nepal’s risk of debt distress rated in this analysis?",{"text":81,"@type":77},"Nepal is assessed to have low risk of external debt distress and low overall risk of debt distress, with no debt or debt-service indicators breaching the indicative thresholds.",{"name":83,"@type":74,"acceptedAnswer":84},"What financing and policy actions are emphasized for the COVID-19 period and beyond?",{"text":85,"@type":77},"Nepal is directed toward securing external financing, using available support and relief, requesting reprofiling from official bilateral creditors, and continuing reforms such as improving productivity, streamlining processes, and strengthening debt management and subnational fiscal frameworks.","https://schema.org",{"og:url":52,"og:type":88,"og:title":13,"og:site_name":59,"og:description":14},"article",{"robots":90,"canonical":52},"index,follow",{"doc_id":7,"site_id":25},{"code":4,"msg":5,"data":93},[94,98,102,106,111,116,121,124,129,132,135],{"id":21,"doc_module":4,"doc_module_name":47,"category_name":95,"show_sort_weight":96,"slug":97},"Story & Novel",90,"story-novel",{"id":48,"doc_module":4,"doc_module_name":47,"category_name":99,"show_sort_weight":100,"slug":101},"Literature",80,"literature",{"id":53,"doc_module":4,"doc_module_name":47,"category_name":103,"show_sort_weight":104,"slug":105},"Exam",70,"exam",{"id":107,"doc_module":4,"doc_module_name":47,"category_name":108,"show_sort_weight":109,"slug":110},5,"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":22,"doc_module":4,"doc_module_name":47,"category_name":133,"show_sort_weight":22,"slug":134},"Lifestyle","lifestyle",{"id":136,"doc_module":4,"doc_module_name":47,"category_name":137,"show_sort_weight":107,"slug":138},19,"General","general"]