Challenge Statement

Agriculture remains the backbone of Nepal’s economy, yet productivity is among the lowest in South Asia—value added per agricultural worker is only about 17% of the regional average. Farmers face post-harvest losses of up to 30%, erratic rainfall, and poor access to inputs, finance, and reliable markets. Localized agri-data, AI-driven advisory systems, and traceability platforms can help farmers reduce risks, improve yields, and link to premium buyers and export markets.

Nepal has made impressive gains in access to schooling but faces a learning crisis—children gain only 6.9 learning-adjusted years out of nearly 12 years of schooling. With 70% of 10-year-olds unable to read a simple text in low- and middle-income contexts, and COVID-19 having widened learning gaps, the moment demands innovation. Solutions could include AI-enabled tutoring platforms, adaptive skilling systems, or digital career tools that bridge education with employability for a new generation.

Nepal has made major health gains, reducing under-five mortality by nearly 70%, but inequities persist. Rural and low-income communities face limited access to preventive care, diagnostics, and telemedicine. Health systems remain fragmented and data-poor, with weak interoperability. Opportunities exist for digital health solutions—from AI-assisted diagnostics and telehealth systems to platforms for mental health and gender-based violence response—that improve access, quality, and coordination.

Tourism contributes about 6–7% of Nepal’s GDP and over one million jobs, yet much of the sector remains offline and fragmented. Small operators lack digital tools for visibility, bookings, and payments, while data on visitor flows and sustainability are limited. As travel rebounds, there is huge potential for AI- and data-enabled platforms that improve destination marketing, enhance traveler safety, and showcase Nepal’s heritage and natural assets. Innovative solutions could connect visitors directly with local communities, artisans, and homestays—ensuring technology helps tourism become more inclusive, resilient, and sustainable.

Only 53% of adults have an account at a financial institution, and digital payment systems remain fragmented. MSMEs—the backbone of Nepal’s economy—struggle with low digital literacy, high transaction costs, and weak cybersecurity (Nepal ranks 94th globally). Tech innovators can help build secure, interoperable, and inclusive fintech and e-commerce tools that expand access to savings, credit, insurance, and markets—particularly for women and youth-led enterprises.