Nepal is a lower-middle income country with a total population of around 29 million and a gross domestic product (GDP) of USD 35 billion (The World Bank, 2021). The state of economic and human development in Nepal has been steadily improving over the last decade. Gross national income per capital, a measure of absolute economic prosperity, has increased by more than 50 percent since 2011 to USD 910 in 2021. Likewise, Nepal’s national human development index (HDI) score stood at 0.587 in 2019, positioning the country at 147 out of 189 countries and putting Nepal in the medium human development category.1 Despite these key indicators of socio-economic status, Nepal has to make additional notable economic, social and political advancements to ensure a prosperous future for all Nepal’s citizens.

PROJECT BACKGROUND

Nepal shares a long and open border with India, granting citizens of both countries free cross-border movement following the Treaty of Peace and Friendship in 1950. Along the border there are numerous ground crossing points (GCPs), of which the majority are informal and 13 are formal government-designated crossing points.

Since early 2020, the novel coronavirus (COVID-19) has had enormous repercussions on global health and safety. Its impact on the socioeconomic and political landscape has been unprecedented. Nepal declared its first nationwide lockdown in March 2020 when the second case of COVID-19 was confirmed. Although the lockdown managed to suppress the spread of the virus, its implementation—which consisted of a range of public health and social measures—in many cases also exacerbated underlying socioeconomic challenges, and impacted people's mental health, education, and livelihoods.