11 June 2024, Kathmandu
Nepal’s Ambitious Leap Towards Becoming an Information Technology Hub: A Path to $30 Billion in Exports
Nepal is setting its sights on a transformative journey to establish itself as a hub for information technology (IT) exports, aiming for an ambitious $30 billion in exports and the creation of 1.5 million jobs.
Nepal’s Path $30 Billion IT Exports
This bold vision was laid out during the “Information Technology Decade and Upcoming Work Direction Program” organized by the Nepal Economic Journalist Society (SEJON) in the capital. Experts and stakeholders are confident that, with the right policy reforms and stable governance, this goal is attainable.
The Vision for an IT-Driven Economy
Finance Minister Barshaman Pun highlighted the government’s commitment to fostering a conducive environment for the IT sector through the fiscal year 2021–82 budget. The government plans to establish a high-level commission to ensure policy stability and prioritize the IT sector. A key component of this strategy includes the revision and implementation of the ‘Digital Nepal Framework,’ alongside the development of IT parks equipped with high-speed internet, reliable electricity, and robust security infrastructure in Kathmandu Valley and Butwal. The objective is to construct IT parks in every province, promoting regional IT growth.
Pun emphasized that the private sector will drive the IT industry, much like the agriculture, tourism, and energy sectors. The government’s role will be to create a supportive policy environment and address tax-related issues through dialogue. He expressed confidence that, with minimal facilitation, the IT sector could achieve significant export growth.
Policy and Infrastructure Initiatives
Minister of Communication and Information Technology Rekha Sharma reinforced the government’s commitment to the IT decade, announcing the formation of a task force to outline yearly activities and milestones. She underscored the importance of public-private partnerships in developing IT parks and programs. The government aims to consume domestically produced software, enhancing local industry capabilities.
Sharma acknowledged existing challenges, such as outdated laws and unclear policies, which have hindered the sector’s growth. She called for comprehensive reforms to meet current digital needs, including the creation of knowledge parks, internship opportunities for undergraduates, and an entrepreneurial ecosystem. The recent release of the Cyber Security Policy 2080 demonstrates the government’s proactive approach to creating a secure digital environment.
Stakeholder Insights and Commitment
Experts like Dr. Amrita Sharma from IIDS emphasized the necessity of political commitment and stability for the IT decade to succeed. She advocated for tech diplomacy to promote Nepal’s technology industry globally. The consensus among stakeholders is that the private sector’s involvement is crucial, with embassies playing a vital role in showcasing Nepal’s IT capabilities.
Joint Secretary of the Ministry of Finance, Dhaniram Sharma, reiterated that the IT decade is a realistic plan, formulated after extensive consultations with IT experts and entrepreneurs. Ajit Vikram Shah, CEO of Lotus Holdings, and Manoj Paudel, Chairman of the Investment and International Forum of the Federation of Nepalese Industries and Commerce, highlighted the need for continuous growth and investment in the sector. Karvika Thapa, CEO of Kimbu Tech, stressed the importance of public awareness and education, particularly in rural areas, to ensure widespread digital literacy and engagement.
Conclusion: A Promising Future for Nepal’s IT Sector
Nepal’s strategic focus on the IT sector promises significant economic and social transformation. By fostering a stable policy environment, enhancing infrastructure, and encouraging private sector participation, Nepal aims to become a formidable player in the global IT market. The IT decade not only envisions substantial export revenues and job creation but also aims to establish a culture of intellectual labor within the country, reducing the need for physical labor migration abroad.
The collective efforts of the government, private sector, and stakeholders will be crucial in realizing this vision, ensuring that Nepal leverages its unique position and potential to become a leading IT hub in the region.
For more details: Nepal’s Path $30 Billion IT Exports