Obstacle to economic development in Nepal is systemic political corruption

by KEDAR NEUPANE

MAP/Duck Duck Go

A cursory reading of indicators in international publications Nepal’s standing appears disappointing and frustrating. This dismal picture of an immensely proud nation is humiliating for people of Nepal. There is no reason for a moral high ground for self-eulogy despite successive political transformations which occurred in the past decades. This metamorphosis resulted in continued social and political instability with misplaced politico-economic priorities leaving behind most of the nation’s population below the margins of subsistence living and quality of life. Economic prosperity should have been the principal concern of all citizens, irrespective of political ideologic orientation, economic philosophy, and friendships with North and South of the border or the West.

Nepal is the second poorest country in Asia and per capita GDP stands only slightly higher than of war-torn Afghanistan. Nepal is high on the Corruption Perception Index. Likewise, Global Competition Index in doing business ranks the nation near bottom of the scale. Pick any indicator in the international level or within SAARC and ASEAN groupings one will gauge its international standing. During the past decades, several countries registered meaningful economic progress particularly benefitting from the global trade liberalization and foreign direct investments. Nepal’s both neighbors made remarkable economic successes and have become dominating economic powerhouses dominating the global agenda.

Both, China, and India, are projected to dominate the 21st Century economic agenda and continue growing stronger militarily influencing world events. Just imagine, over the last three decades how communist China could uplift nearly 800 million people out of abject poverty level while wisely marshalling the foreign investments, tapping on the global economic trends unleashed by trade liberalization, and then investing on physical infrastructure and information technology. Such a massive transformation is an unprecedented in the economic history of the entire human civilization. India follows the trend, albeit reluctantly due to domestic political squabbling, but still making progress steadily. What happened in Nepal is anybody’s guess, and may be a subject of fierce debate? The truth, however, is it is still not noticed domestically and what is happening around the neighborhoods as if entire nation is in a political state of vegetation.

This nation has certainly missed the initial opportunities while dancing in the euphoria of political elixir emanating from the glorification of democracy and rhetoric of republicanism as if it is the only panacea of all political, social, and economic malaise. It does not seem to improve even after a decade of governance by elected people and by overthrowing the hereditary system of monarchy. Democracy exists on paper for the manipulative use of political elites and resembles like a cartel of political oligarchs. Country’s deepening crises is now like a cobweb of communal/racial divide, religious, linguistic, and geographical biases on the one side and, while on the other side, rising perception of state sponsored corruption, failing governance, nepotism, political impunity, misuse of treasury and sheer inability to focus on innovative measures for alleviating sufferings of poor and victims of coronavirus pandemic.

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