World Bank Approves $50 Million to Accelerate Nepal’s Digital Transformation
11th February 2026, Kathmandu
In a landmark move to modernize public infrastructure, the World Bank Board of Executive Directors has approved a $50 million financing package for the Nepal Digital Transformation Project.
World Bank Approves $50 Million
This initiative is set to redefine how citizens and businesses interact with the government by strengthening Digital Public Infrastructure (DPI) and digitizing high-impact public services.
The project comes at a critical time as Nepal transitions toward a more resilient, inclusive, and digitally empowered economy. By bridging the digital divide and building a “trust layer” for online transactions, the government aims to improve transparency, efficiency, and good governance across the nation.
Core Pillars of the Nepal Digital Transformation Project
The investment targets several foundational components designed to create a seamless digital ecosystem. Key focus areas include:
1. Digital Platforms & Citizen Access
Integrated Online Citizen Service Portal: A one-stop digital shop for government services.
Integrated Social Registry: Streamlining the delivery of social protection programs and subsidies.
Digital Locker & Wallet: A secure system for managing verifiable credentials (such as citizenship IDs and licenses) in a digital format.
2. Strengthening Digital Public Infrastructure (DPI)
Secure Data Exchange: Establishing a government-wide framework for secure and interoperable data sharing between different ministries.
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Land Administration Digitization: Full digitization of land records and administration services.
Industry Support: Strengthening Nepal’s DPI
The project has received significant praise from Nepal’s information technology leaders. Chiranjibi Adhikari, Senior Vice President of the Federation of Computer Association Nepal (CAN Federation) and a renowned cybersecurity expert, has lauded the initiative as a major milestone for the country’s technological landscape.
“This project is a vital step toward a truly Digital Nepal. By focusing on core platforms and secure data exchange, we are not just digitizing records; we are building a foundation of trust. This investment will make Nepal’s Digital Public Infrastructure significantly stronger, fostering a secure environment for startups, businesses, and every citizen to thrive in the digital economy,” stated Adhikari.
His endorsement reflects the private sector’s optimism that this project will address long-standing gaps in data localization, cybersecurity, and integrated service delivery.
Joint Financing: A World Bank and ADB Collaboration
The project is unique in its financial structure, operating under the Full Mutual Reliance Framework:
Lead Lender: The World Bank ($50 million).
Trail Lender: The Asian Development Bank (ADB), expected to contribute an additional $40 million in March 2026.
Why This Matters for Nepal
As Nepal aims to graduate from its “Least Developed Country” (LDC) status, digital transformation is a necessity. From reducing paperwork in land offices to ensuring social benefits reach the right person through a digital wallet, the Nepal Digital Transformation Project is the blueprint for a modernized nation.
For more: World Bank Approves $50 Million
