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Atul GuravPGDM2-1510
Universal Business School
✣,
TABLE OF CONTETNT
Timeline 3
Geography 4
Economy 5
Political 6
Charts 7
Comparison (India-Nepal) 8-14
Earthquake in Nepal 15
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There is a lot more to Nepal than Mount
Everest & Himalayas. From endangered
wildlife to sacred cows, from mustard seeds
to Yetis this landlocked country is full of
fascinating facets
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The overwhelming majority of the Nepali population
follows Hinduism. Shiva is regarded as the guardian deity of the
country. Nepal is home to the famous Lord Shiva temple, the
Pashupatinath Temple, where Hindus from all over the world come for
pilgrimage
Lumbini
A location in
Nepal that is said
to be birthplace of
Buddha
Nepal's diverse linguistic heritage stems from four major language groups: Indo-Aryan, Tibeto-
Burman, Mongolian and various indigenous language isolates. The major languages of Nepal (percent
spoken as native language) according to the 2011 census are Nepali
Area: 147,181 sq km
Capital: Kathmandu
4
Nepal is among the poorest and least developed countries in the world,
with about one-quarter of its population living below the poverty line.
Nepal is heavily dependent on remittances, which amount to as much as
29% of GDP. Agriculture is the mainstay of the economy, providing a
livelihood for almost 70% of the population and accounting for about
one-third of GDP. Industrial activity mainly involves the processing of
agricultural products, including pulses, jute, sugarcane, tobacco, and grain.
Formal banking in Nepal started with the establishment of Nepal Bank
Limited In 1937 AD. The central bank, Nepal Rastra Bank was established
after 29 years in the year 1956
As of March 05, 2016, 1 US
dollar buys 107.31 s. Against the
dollar, the is 8.2 times
weaker than the average currency
for all countries.
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Currency: Nepalese Rupee
Central Bank: Nepal Rashtra
Bank
5
Nepal has seen rapid political changes during the last two decades.
Up until 1990, Nepal was a monarchy under executive control of
the King. Faced with a communist movement against absolute
monarchy, King Birendra, in 1990, agreed to a large-scale political
reform by creating a parliamentary monarchy with the king as
the head of state and a prime minister as the head of the
government.
International Organization Participation
Group of 77 IBRD, ICAO, ICFTU, ICRM,
IDA, IFC, IFRCS, ILO, IMF, Interpol, IOS,
SAARC, United Nations, UNCTAD, UNDP,
UNESCO, WFTU, WTO
Bhidhya Devi BhandariKhadga Prasad Oli
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President: Bhidhya Devi Bhandari
PM: Khadga Prasad Oli
The Politics of Nepal function within a framework of a republic with a multi-party system. Until May 28,
2008, Nepal was a constitutional monarchy. On that date, the constitution was altered by the Constituent
Assembly to make the country a republic.
Prime-Minister President
6
Unemployment Rate 2.7% Types of Banks in Nepal GDP
Inflation RateForeign Exchange ReserveLiteracy Rate
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ECONOMY
. .
Currency Indian Rupee Nepalese Rupee
Governement Fedral Republic Democratic Republic
GDP $ 2.07 Trillion $ 19.6 Billion
GDP Growth Rate 7.29% 5.38%
Unemployment Rate 3.6% 2.7%
Import of Goods & Services $ 523 Billion $ 8.15 Billion
Export of Goods & Services $ 486 Billion $ 2.19 Billion
Industry, Value added 24% (of GDP) 15% (of GDP)
Manufacturing, Value added 12% (of GDP) 6% (of GDP)
Agriculture, Value added 18% (of GDP) 35% (of GDP)
Foreign Exchange Reserve $ 298 Billion $ 3.63 Billion
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ENVIRONMENT
.
Forest Area 23.11 % 25.36%
EDUCATION
Literacy Rate 69.3 % 59.63 %
8
POPULATION
Total Population 1.3 Billion 28.2 Million
Population Density 435.7
people/sq.km
196.5 people/sq.km
Median Age 27.3 Years 23.4 Years
Average Sex Ratio 1.08 males/female 0.96 males/female
Rural Population 876 million 23 Million
Urban Population 419 million 5 million
Population Below Poverty
Line
21.9% 25.2%
HEALTH
Life Expectancy at Birth 68 years 69 years
Infant Mortality Rate 37.9/1000 live
births
29.4/live
births
MILITARY
Military Expenditure 2.43 % of GDP 1.53 % GDP
Military Spending $ 50.2 Billion $ 300 Million
Military Size 4,768,407 157,750
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India Nepal
Asian and Pacific Centre for Transfer of Technology Y N
Food and Agriculture Organization of the United Nations Y Y
International Fund for Agricultural Development Y Y
International Labour Organization Y Y
International Organization for Migration Y Y
Joint United Nations Programme on HIV/AIDS Y Y
United Nations Development Programme Y Y
United Nations Department of Safety and Security Y Y
United Nations Economic and Social Commission for Asia and the Pacific Y Y
United Nations Educational, Scientific and Cultural Organization Y Y
Mahatma Gandhi Institute of Education for Peace and Sustainable Development Y N
United Nations Population Fund Y N
United Nations Industrial Development Organization Y N
United Nations Human Settlements Programme Y Y
United Nations High Commissioner for Refugees Y Y
United Nations Information Centre Y Y
United Nations Children’s Fund Y Y
United Nations Office on Drugs and Crime Y Y
United Nations Entity for Gender Equality and Empowerment of Women Y Y
World Food Programme Y Y
United Nations Volunteers Y Y
World Health Organization Y Y
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UN
10
1962–1970
• In 1962 Sino-Indian border war, the relationship between Kathmandu and New Delhi thawed significantly. India suspended its support to India-based Nepalese opposition forces.
• In 1969 relations again became stressful as Nepal challenged the existing mutual security arrangement and asked that the Indian security check posts and liaison group be withdrawn
1970–1990
• The relationship with India was further strained in 1989 when Nepal decoupled its rupee from the Indian rupee which previously had circulated freely in Nepal
• In June 1990, a joint Kathmandu-New Delhi communique was issued pending the finalisation of a comprehensive arrangement covering all aspects of bilateral relations
21st Century
• In 2005, after King Gyanendra took over, Nepalese relations with India soured.
• In 2010 India extended a Line of credit worth US$50 million & 80,000 tonnes of food grains.
• Nepal and India signed an important deal on 25 November 2014 as per which India will build a 900 MW hydropower plant at a cost of another USD 1 billion.
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Government of India provides substantial financial and technical development assistance to Nepal,
which is a broad-based programme focusing on creation of infrastructure at the grass-root level, under
which various projects have been implemented in the areas of infrastructure, health, water resources,
education and rural & community development. The total economic assistance extended under ‘Aid to
Nepal’ budget in FY 2014-15 was Rs. 300 crore. India has gifted 502 ambulances and 98 school buses
to various institutions and health posts across Nepal’s 75 districts. GOI provides around 3000
scholarships/seats annually to Nepali nationals for various courses at the Ph.D/Masters, Bachelors and
plus–two levels in India and in Nepal.
As close neighbours, India and Nepal share a unique relationship of friendship and cooperation
characterized by open borders and deep-rooted people-to-people contacts of kinship and culture.
There has been a long tradition of free movement of people across the borders. It shares a border of
over 1850 kms in the east, south and west with five Indian States – Sikkim, West Bengal, Bihar, Uttar
Pradesh and Uttarakhand. Modern-day India and Nepal initiated their relationship with the 1950 Indo-
Nepal Treaty of Peace and Friendship and accompanying secret letters that defined security relations
between the two countries, and an agreement governing both bilateral trade and trade transiting
Indian territory.
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OVERVIEW
POLITICAL
12
Since 1996, Nepal’s exports to India have grown more than eleven times and bilateral trade more
than seven times; the bilateral trade that was 29.8% of Nepal’s total external trade in 1995-96
reached 66% in 2013-14. Exports from Nepal to India increased from INR 230 crore in 1995-96 to
INR 3713.5 crore (US$ 605 million) in 2013-14 and India’s exports to Nepal increased from INR
1525 crore in 1995-96 to INR 29545.6 crore (US$ 4.81 billion) in 2013-14. The main items of
exports from India to Nepal are petroleum products, motor vehicles and spare parts, machinery and
spares, medicines, hot rolled sheets, wires, coal, cement, threads and chemicals. The main items of
exports from Nepal to India are polyester yarn, textiles, jute goods, threads, zinc sheet, packaged
juice, cardamom, G.I. pipe, copper wire, shoes and sandals, stones and sand.
Some large Indian investors include ITC, Dabur India, Hindustan Unilever, VSNL, TCIL, MTNL, State Bank
of India, Punjab National Bank, Life Insurance Corporation of India, Asian Paints, CONCOR, GMR
India, IL&FS, Manipal Group, MIT Group Holdings, Nupur International, Transworld Group, Patel
Engineering, Bhilwara Energy, Bhushan Group, Feedback Ventures, RJ Corp, KSK Energy, Berger Paints,
Essel Infra Project Ltd. and Tata Power etc
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ECONOMIC
13
CULTURE
An MoU between the Sahitya Kala Akademi (India) and the Nepal Academy is already in operation.
More MoUs have been signed:
• Doordarshan and Nepal TV,
• Lalit Kala Akademi, India and Nepal Academy of Fine Arts,
• Youth Exchange between the Governments of India and Nepal,
• Sangeet Natak Akademi, India and the Nepal Academy of Music & Drama,
are under consideration to promote cultural and information exchanges between the two countries.
The Archaeological Survey of India (ASI) is involved in the renovation
of the Pashupatinath Temple Complex in Kathmandu. Two ASI teams
have already visited Kathmandu to assess the work to be done for
conservation/restoration of the Pashupatinath shrine, for which an
MoU is under consideration.
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Government of India initiatives to promote people-to-people
contacts in the area of art & culture, academics and media include
cultural programmes, symposia and events organized in partnership
with different local bodies of Nepal, as well as conferences and
seminars in Hindi.
14
When a devastating 7.8 magnitude earthquake struck Nepal on 25
April 2015, the Government of India swiftly dispatched National
Disaster Response Force (NDRF) teams and special aircrafts with
rescue and relief materials to Nepal. India’s assistance, which
reached Nepal within six hours of the earthquake. Medical teams
from India were deployed in various parts of Nepal. India helped in
restoring 3 power sub–stations in Kathmandu valley.
India’s role during Nepal Earthquake (2015)
15