LocationsNepal Launches UNDP’s 2025 Human Development Report: Spotlight on AI for Inclusive Growth
June 10, 2025
The United Nations Development Programme (UNDP) Nepal today launched the global 2025 Human Development Report (HDR), “A Matter of Choice: People and Possibilities in the Age of Artificial Intelligence”, in collaboration with Nepal Economic Forum at a high-level event in Kathmandu. The launch was accompanied by a panel discussion on “Making AI Work for Nepal”, which brought together a broad cross-section of stakeholders including government officials, policy makers, development partners, academia, private sector representatives, civil society organizations, media, youth, and students.
The 2025 HDR reveals that global human development progress has slowed to its lowest point in 35 years, with widening gaps between richer and poorer countries. The report calls attention to the urgent need for innovative solutions to reignite development and highlights Artificial Intelligence (AI) as a powerful but double-edged tool that must be steered wisely to foster inclusion and resilience.
Speaking at the launch, UNDP Resident Representative to Nepal Ms. Kyoko Yokosuka emphasized, “The global findings remind us that development gains cannot be taken for granted. In Nepal, our challenge is to harness digital transformation and AI not just for innovation’s sake, but for deepening human development and leaving no one behind.”
Hon. Prithvi Subba Gurung, Minister of Communication and Information Technology (MoCIT), noted that Nepal finds itself at a historic moment, with AI redefining how we learn, work, govern and grow. He emphasized on the government having developed an AI Vision that puts people at the center of a resilient and adaptive digital transformation and how Nepal’s AI strategy promotes inclusion over exclusion, empower over control, and puts people over profits.
Meanwhile, Alexandru Oprunenco, Regional Innovation Advisor at UNDP, gave a presentation about the HDR, remarking that progress in human development has slowed in recent years, with many countries still not fully recovering from the setbacks of the COVID-19 pandemic. He noted that while Nepal has made steady progress, increasing HDI by 54% over the last 35 years, incomes remain low and gender inequality persists. With AI now adding a new dimension to development, he emphasized how we must retain our agency to design and develop the technology in a way that puts people at the center, augments instead of automates human capabilities, tackles real development problems, and creates a more inclusive society.
The program also featured a panel discussion titled “Making AI Work for Nepal”, which explored critical questions for the country's digital future. It focused on how digital transformation and AI can support inclusive growth, strengthen citizen-centered state capacity, and ensure equitable access across all provinces. Speakers also emphasized the need for adaptive, learning-based governance to make the most of emerging technologies in Nepal’s development journey.
Adesh Khadka, Joint Secretary at MoCIT, shared how MoCIT is actively leading regulations and policy to leverage AI to empower Nepali citizens. He added "The National AI Policy, in conjunction with Digital Nepal 2.0, is being formulated to integrate AI into key economic sectors like agriculture, health, and IT, and serve as a medium for large-scale job creation."
Parag Shrestha, Managing Director, South Asia and Head of Strategy at Fusemachines, highlighted that Nepal has the talent, drive, and growing infrastructure to build a globally competitive AI industry. With proper investment, trust-building, and public-private collaboration, he noted that AI can become a transformative force for economic development and global recognition.
On the other hand, H.E. Rob Fenn, Ambassador of the United Kingdom to Nepal, stressed that AI holds great promise, but that Nepal must avoid early mistakes. He noted how establishing safeguards against misinformation and social division is critical to prevent the fallout of this rapidly developing technology. Particularly, the ambassador talked about how investing in digital literacy and AI readiness will go a long way in creating an AI-ready Nepal.
Meanwhile, Sunaina Ghimire Pandey, President of the Federation of Computer Association of Nepal, emphasized that AI must be made inclusive, accessible, and trustworthy for all Nepalis including women, students, and marginalized communities. She also stressed that the government and private sector must invest in awareness, digital literacy, and infrastructure to ensure AI becomes a tool of empowerment and opportunity.
As moderator, Sujeev Shakya, Chair of Nepal Economic Forum, anchored the discussion by weaving in global context, personal anecdotal reflections, and a call for urgency. He urged the importance of stakeholders working together to shape a forward-looking digital future in Nepal.
Finally, the program ended with concluding remarks from Radhika Aryal, Secretary at MoCIT, who that Nepal has made strides in technology adoption, but its benefits are not equally distributed. She highlighted that AI holds considerable potential, and if approached correctly, it can deliver inclusive digital outcomes for the country.
These discussions are particularly timely as Nepal prepares to scale its digital infrastructure, modernize service delivery, and engage young innovators in shaping its digital future. The event also served as a platform to build consensus around a vision for equitable and human-centered AI strategies in Nepal.
UNDP Nepal remains committed to supporting national partners in aligning technological innovation with inclusive human development. It will work to ensure that new tools like artificial intelligence serve as bridges that connect people to opportunities.
The 2025 Human Development Report is available at https://hdr.undp.org/content/human-developmentreport-2025
For further information, please contact:
Monica Upadhyay, Head of Communication, United Nations Development Programme – Nepal, monica.upadhyay@undp.org, 977-9841343953
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