Nepal

Introduction

Nepal

Background:

In 1951, the Nepalese monarch ended the century-old system of rule by hereditary premiers and instituted a cabinet system of government. Reforms in 1990 established a multiparty democracy within the framework of a constitutional monarchy. A Maoist insurgency, launched in 1996, gained traction and threatened to bring down the regime, especially after a negotiated cease-fire between the Maoists and government forces broke down in August 2003. In 2001, the crown prince massacred ten members of the royal family, including the king and queen, and then took his own life. In October 2002, the new king dismissed the prime minister and his cabinet for "incompetence" after they dissolved the parliament and were subsequently unable to hold elections because of the ongoing insurgency. While stopping short of reestablishing parliament, the king in June 2004 reinstated the most recently elected prime minister who formed a four-party coalition government. Citing dissatisfaction with the government's lack of progress in addressing the Maoist insurgency and corruption, the king in February 2005 dissolved the government, declared a state of emergency, imprisoned party leaders, and assumed power. The king's government subsequently released party leaders and officially ended the state of emergency in May 2005, but the monarch retained absolute power until April 2006. After nearly three weeks of mass protests organized by the seven-party opposition and the Maoists, the king allowed parliament to reconvene on 28 April 2006. Following the November 2006 peace accord between the government and the Maoists, an interim constitution was promulgated and the Maoists were allowed to enter parliament in mid-January 2007. Parliamentary elections, orginally planned for June 2007, were postponed to November 2007.

Geography

Nepal

Location:

Southern Asia, between China and India

Geographic coordinates:

28 00 N, 84 00 E

Map references:

Asia

Area:

total: 147,181 sq km
land: 143,181 sq km
water: 4,000 sq km

Area - comparative:

slightly larger than Arkansas

Land boundaries:

total: 2,926 km
border countries: China 1,236 km, India 1,690 km

Coastline:

0 km (landlocked)

Maritime claims:

none (landlocked)

Climate:

varies from cool summers and severe winters in north to subtropical summers and mild winters in south

Terrain:

Tarai or flat river plain of the Ganges in south, central hill region, rugged Himalayas in north

Elevation extremes:

lowest point: Kanchan Kalan 70 m
highest point: Mount Everest 8,850 m

Natural resources:

quartz, water, timber, hydropower, scenic beauty, small deposits of lignite, copper, cobalt, iron ore

Land use:

arable land: 16.07%
permanent crops: 0.85%
other: 83.08% (2005)

Irrigated land:

11,700 sq km (2003)

Internal Renewable Water Resources:

210.2 cu km (1999)

Freshwater Withdrawal (Domestic/Industrial/Agricultural):

Total: 10.18 cu km/yr (3%/1%/96%)
Per capita: 375 cu m/yr (2000)

Natural hazards:

severe thunderstorms, flooding, landslides, drought, and famine depending on the timing, intensity, and duration of the summer monsoons

Environment - current issues:

deforestation (overuse of wood for fuel and lack of alternatives); contaminated water (with human and animal wastes, agricultural runoff, and industrial effluents); wildlife conservation; vehicular emissions

Environment - international agreements:

party to: Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Hazardous Wastes, Law of the Sea, Ozone Layer Protection, Tropical Timber 83, Tropical Timber 94, Wetlands
signed, but not ratified: Marine Life Conservation

Geography - note:

landlocked; strategic location between China and India; contains eight of world's 10 highest peaks, including Mount Everest and Kanchenjunga - the world's tallest and third tallest - on the borders with China and India respectively

People

Nepal

Population:

28,901,790 (July 2007 est.)

Age structure:

0-14 years: 38.3% (male 5,721,720/female 5,360,391)
15-64 years: 57.9% (male 8,597,037/female 8,134,115)
65 years and over: 3.8% (male 528,113/female 560,414) (2007 est.)

Median age:

total: 20.5 years
male: 20.3 years
female: 20.6 years (2007 est.)

Population growth rate:

2.132% (2007 est.)

Birth rate:

30.46 births/1,000 population (2007 est.)

Death rate:

9.14 deaths/1,000 population (2007 est.)

Net migration rate:

0 migrant(s)/1,000 population (2007 est.)

Sex ratio:

at birth: 1.05 male(s)/female
under 15 years: 1.067 male(s)/female
15-64 years: 1.057 male(s)/female
65 years and over: 0.942 male(s)/female
total population: 1.056 male(s)/female (2007 est.)

Infant mortality rate:

total: 63.66 deaths/1,000 live births
male: 61.87 deaths/1,000 live births
female: 65.54 deaths/1,000 live births (2007 est.)

Life expectancy at birth:

total population: 60.56 years
male: 60.78 years
female: 60.33 years (2007 est.)

Total fertility rate:

4.01 children born/woman (2007 est.)

HIV/AIDS - adult prevalence rate:

0.5% (2001 est.)

HIV/AIDS - people living with HIV/AIDS:

61,000 (2001 est.)

HIV/AIDS - deaths:

3,100 (2003 est.)

Nationality:

noun: Nepalese (singular and plural)
adjective: Nepalese

Ethnic groups:

Chhettri 15.5%, Brahman-Hill 12.5%, Magar 7%, Tharu 6.6%, Tamang 5.5%, Newar 5.4%, Muslim 4.2%, Kami 3.9%, Yadav 3.9%, other 32.7%, unspecified 2.8% (2001 census)

Religions:

Hindu 80.6%, Buddhist 10.7%, Muslim 4.2%, Kirant 3.6%, other 0.9% (2001 census)
note: only official Hindu state in the world

Languages:

Nepali 47.8%, Maithali 12.1%, Bhojpuri 7.4%, Tharu (Dagaura/Rana) 5.8%, Tamang 5.1%, Newar 3.6%, Magar 3.3%, Awadhi 2.4%, other 10%, unspecified 2.5% (2001 census)
note: many in government and business also speak English (2001 est.)

Literacy:

definition: age 15 and over can read and write
total population: 48.6%
male: 62.7%
female: 34.9% (2001 census)

Government

Nepal

Country name:

conventional long and short form: Nepal
local long and short form: Nepal

Government type:

parliamentary democracy

Capital:

name: Kathmandu
geographic coordinates: 27 43 N, 85 19 E
time difference: UTC+5.75 (10.75 hours ahead of Washington, DC during Standard Time)

Administrative divisions:

14 zones (anchal, singular and plural); Bagmati, Bheri, Dhawalagiri, Gandaki, Janakpur, Karnali, Kosi, Lumbini, Mahakali, Mechi, Narayani, Rapti, Sagarmatha, Seti

Independence:

1768 (unified by Prithvi Narayan SHAH)

National holiday:

in 2006, Parliament abolished the birthday of King GYANENDRA (7 July) and Constitution Day (9 November) as national holidays

Constitution:

9 November 1990; the government began working on an interim constitution in May 2006

Legal system:

based on Hindu legal concepts and English common law; has not accepted compulsory ICJ jurisdiction

Suffrage:

18 years of age; universal

Executive branch:

chief of state: Girija Prasad KOIRALA (since 30 April 2006)
head of government: Prime Minister Girija Prasad KOIRALA (since 30 April 2006); Deputy Prime Ministers Khadga Prasad OLI (since 2 May 2006) and Amik SHERCHAN since June 2006)
cabinet: Cabinet historically appointed by the monarch on the recommendation of the prime minister; note - the prime minister selected the Cabinet in May 2006 in consultation with the political parties
elections: following legislative elections, the leader of the majority party or leader of a majority coalition historically has been appointed prime minister by the monarch

Legislative branch:

a 330 seat Interim Parliament was formed on 15 January 2007 following the promulgation of an interim constitution
elections: Constituent Assembly elections orginally scheduled for June 2007 were postponed to November 2007
election results: Interim Parliament seats by party - NC 85, CPN/M 83, CPN/UML 83, NC/D 48, RPP 9, NSP/AD 5, NWPP 4, People's Front Nepal (Amik Sherchan Group) 4, People's Front Nepal (Chitra Bahadur K.C. Group) 3, UFL 3, People's Front Nepal (Chitra Bahadur Ale Group) 2, NSP 1

Judicial branch:

Supreme Court or Sarbochha Adalat (chief justice is appointed by the monarch on recommendation of the Constitutional Council; the other judges are appointed by the monarch on the recommendation of the Judicial Council)

Political parties and leaders:

Communist Party of Nepal/United Marxist-Leninist or CPN/UML [Madhav Kumar NEPAL]; National Democratic Party or NDP [Pashupati Shumsher RANA] (also called Rastriya Prajantra Party or RPP); Nepal Sadbhavana (Goodwill) Party or NSP - Mandal [Bhadri Prasad MANDAL]; Nepal Sadbhavana Party - Ananda Devi [Ananda DEVI]; Nepal Workers and Peasants Party or NWPP [Narayan Man BIJUKCHHE]; Nepali Congress or NC [Girija Prasad KOIRALA, president] (reunited with splinter Nepali Congress-Democratic in September 2007); People's Front Nepal (Amik Sherchan Group); People's Front Nepal (Chitra Bahadur Ale Group); People's Front Nepal (Chitra Bahadur K.C. Group); Rastriya Janashakti Party or RJP [Surya Bahadur THAPA] (split from RPP in March 2005); Samyukta Janmorcha Nepal (merged with People's Front Nepal or PFN in 2002); United Leftist Front or UFL [C.P. MAINALI]

Political pressure groups and leaders:

Maoist guerrilla-based insurgency [Pushpa Kamal DAHAL, also known as PRACHANDA, chairman; Dr. Baburam BHATTARAI]; numerous small, left-leaning student groups in the capital; several small, radical Nepalese antimonarchist groups

International organization participation:

AsDB, BIMSTEC, CP, FAO, G-77, IBRD, ICAO, ICC, ICRM, IDA, IFAD, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM, IPU, ISO (correspondent), ITSO, ITU, ITUC, MIGA, MINUSTAH, MONUC, NAM, ONUB, OPCW, SAARC, SACEP, UN, UNCTAD, UNDOF, UNESCO, UNIDO, UNMEE, UNMIL, UNMIS, UNOCI, UNTSO, UNWTO, UPU, WCL, WCO, WFTU, WHO, WIPO, WMO, WTO

Diplomatic representation in the US:

chief of mission: Ambassador (vacant); note - Charge d'Affaires Kali Prasad POKHREL
chancery: 2131 Leroy Place NW, Washington, DC 20008
telephone: [1] (202) 667-4550
FAX: [1] (202) 667-5534
consulate(s) general: New York

Diplomatic representation from the US:

chief of mission: Ambassador Nancy J. POWELL
embassy: Maharajgunj, Kathmandu
mailing address: use embassy street address
telephone: [977] (1) 400-7200
FAX: [977] (1) 400-7272

Flag description:

red with a blue border around the unique shape of two overlapping right triangles; the smaller, upper triangle bears a white stylized moon and the larger, lower triangle bears a white 12-pointed sun

Economy

Nepal

Economy - overview:

Nepal is among the poorest and least developed countries in the world with almost one-third of its population living below the poverty line. Agriculture is the mainstay of the economy, providing a livelihood for three-fourths of the population and accounting for 38% of GDP. Industrial activity mainly involves the processing of agricultural produce including jute, sugarcane, tobacco, and grain. Security concerns relating to the Maoist conflict have led to a decrease in tourism, a key source of foreign exchange. Nepal has considerable scope for exploiting its potential in hydropower and tourism, areas of recent foreign investment interest. Prospects for foreign trade or investment in other sectors will remain poor, however, because of the small size of the economy, its technological backwardness, its remoteness, its landlocked geographic location, its civil strife, and its susceptibility to natural disaster.

GDP (purchasing power parity):

$41.18 billion (2006 est.)

GDP (official exchange rate):

$6.948 billion (2006 est.)

GDP - real growth rate:

1.9% (2006 est.)

GDP - per capita (PPP):

$1,500 (2006 est.)

GDP - composition by sector:

agriculture: 38%
industry: 20%
services: 42% (FY05/06 est.)

Labor force:

11.11 million
note: severe lack of skilled labor (2006 est.)

Labor force - by occupation:

agriculture: 76%
industry: 6%
services: 18% (2004 est.)

Unemployment rate:

42% (2004 est.)

Population below poverty line:

30.9% (2004)

Household income or consumption by percentage share:

lowest 10%: 2.6%
highest 10%: 40.6% (2004)

Distribution of family income - Gini index:

47.2 (2004)

Inflation rate (consumer prices):

8.6% (November 2006 est.)

Budget:

revenues: $1.153 billion
expenditures: $1.927 billion (FY06/07)

Agriculture - products:

rice, corn, wheat, sugarcane, jute, root crops; milk, water buffalo meat

Industries:

tourism, carpet, textile; small rice, jute, sugar, and oilseed mills; cigarettes, cement and brick production

Industrial production growth rate:

2.2% (FY05/06)

Electricity - production:

2.511 billion kWh (2006)

Electricity - production by source:

fossil fuel: 8.5%
hydro: 91.5%
nuclear: 0%
other: 0% (2001)

Electricity - consumption:

1.96 billion kWh (2006)

Electricity - exports:

101 million kWh (2006)

Electricity - imports:

266 million kWh (2006)

Oil - production:

0 bbl/day (2005 est.)

Oil - consumption:

11,550 bbl/day (2006 est.)

Oil - exports:

NA bbl/day

Oil - imports:

11,530 bbl/day (2006 est.)

Oil - proved reserves:

0 bbl (1 January 2006)

Natural gas - production:

0 cu m (2005 est.)

Natural gas - consumption:

0 cu m (2005 est.)

Exports:

$822 million f.o.b.; note - does not include unrecorded border trade with India (2005 est.)

Exports - commodities:

carpets, clothing, leather goods, jute goods, grain

Exports - partners:

India 67.9%, US 11.7%, Germany 4.7% (2006)

Imports:

$2 billion f.o.b. (2005 est.)

Imports - commodities:

gold, machinery and equipment, petroleum products, fertilizer

Imports - partners:

India 61.8%, China 3.8%, Indonesia 3.3% (2006)

Economic aid - recipient:

$427.9 million (2005)

Debt - external:

$3.07 billion (March 2006)

Stock of direct foreign investment - at home:

$NA

Stock of direct foreign investment - abroad:

$NA

Market value of publicly traded shares:

$963.5 million (2005)

Currency (code):

Nepalese rupee (NPR)

Currency code:

NPR

Exchange rates:

Nepalese rupees per US dollar - 72.446 (2006), 72.16 (2005), 73.674 (2004), 76.141 (2003), 77.877 (2002)

Fiscal year:

16 July - 15 July

Communications

Nepal

Telephones - main lines in use:

595,800 (2006)

Telephones - mobile cellular:

1.042 million (2006)

Telephone system:

general assessment: poor telephone and telegraph service; fair radiotelephone communication service and mobile cellular telephone network
domestic: NA
international: country code - 977; radiotelephone communications; microwave landline to India; satellite earth station - 1 Intelsat (Indian Ocean)

Radio broadcast stations:

AM 6, FM 5, shortwave 1 (2000)

Radios:

840,000 (1997)

Television broadcast stations:

1 (plus 9 repeaters) (1998)

Televisions:

130,000 (1997)

Internet country code:

.np

Internet hosts:

18,733 (2007)

Internet Service Providers (ISPs):

6 (2000)

Internet users:

249,400 (2006)

Transportation

Nepal

Airports:

47 (2007)

Airports - with paved runways:

total: 10
over 3,047 m: 1
914 to 1,523 m: 8
under 914 m: 1 (2007)

Airports - with unpaved runways:

total: 37
1,524 to 2,437 m: 1
914 to 1,523 m: 6
under 914 m: 30 (2007)

Railways:

total: 59 km
narrow gauge: 59 km 0.762-m gauge (2006)

Roadways:

total: 17,380 km
paved: 9,886 km
unpaved: 7,494 km (2004)

Military

Nepal

Military branches:

Royal Nepalese Army (includes Royal Nepalese Army Air Service); Nepalese Police Force

Military service age and obligation:

18 years of age for voluntary military service (2001)

Manpower available for military service:

males age 18-49: 6,107,091
females age 18-49: 5,744,989 (2005 est.)

Manpower fit for military service:

males age 18-49: 4.193 million
females age 18-49: 3,853,102 (2005 est.)

Manpower reaching military service age annually:

males age 18-49: 308,031
females age 18-49: 286,604 (2005 est.)

Military expenditures - percent of GDP:

1.6% (2006)

Transnational Issues

Nepal

Disputes - international:

joint border commission continues to work on contested sections of boundary with India, including the 400 square kilometer dispute over the source of the Kalapani River; India has instituted a stricter border regime to restrict transit of Maoist insurgents and illegal cross-border activities; approximately 106,000 Bhutanese Lhotshampas (Hindus) have been confined in refugee camps in southeastern Nepal since 1990

Refugees and internally displaced persons:

refugees (country of origin): 106,248 (Bhutan), 20,153 (Tibet/China)
IDPs: 100,000-200,000 (ongoing conflict between government forces and Maoist rebels; displacement spread across the country) (2006)

Illicit drugs:

illicit producer of cannabis and hashish for the domestic and international drug markets; transit point for opiates from Southeast Asia to the West