Elizabeth Stevens/Oxfam
Nepal
Nepal, categorised as a lower-middle-income Nation, holds a population of 29.2 million and a GDP of USD 40.43 billion (The World Bank, 2022). Over the past decade, Nepal has shown steady economic and human development progress. In FY2021-22, the economy grew at 5.84%, with a GDP of $48.51 billion, $1381 per capita income, and 7.1% inflation. Nepal's economic landscape thrives on Micro, Small, and Medium-sized Enterprises (MSMEs), which contribute 22% to the GDP and employ 2.8 million people, constituting 13.5% of the workforce (ADB, 2021). In the 2018 National Economic Census, 923,356 enterprises were registered, including 69.3% Micro, 25.2% Small, and 5.5% Medium-sized enterprises.
Ownership and management are mainly male, with a ratio of 70:30. Small and medium-sized enterprises (SMEs) are crucial for productivity, equity, and global opportunities. They adopt new technologies, driving transformations. SMEs are crucial for inclusive growth, income and employment generation, and innovation, aligning with the 2030 Sustainable Development Goals. Nepal's SMEs ecosystem, acknowledged by the Government, aids business, innovation, and job creation. Enabling policies foster partnerships among industrial agencies, Entrepreneur's associations, and the private sector, aligning with the 2030 Development Strategy to uplift Nepal's status by 2026 and achieve middle-income status by 2030. In Nepal, the Enterprise Programme works with two enterprises: Research and Development (R&D) Innovative Solution Pvt. Ltd., facilitating advanced financial access via a credit card solution, and Pokhara Women Skill Development Pvt. Ltd. (PWSD), an empowering initiative for women artisans making handicrafts.
Pokhara Women Skill Development
This initiative empowers over 260 women, primarily working remotely across Nepal, offering them a chance to thrive despite facing violence against women in the community and lack of access to healthcare. With a central hub in Pokhara housing 70 artisans, this organization provides valuable training and production opportunities, enabling them to create handbags, home decor, and accessories. 75% of their production is exported globally, reaching and locally in Nepal, their work is stocked in ethical shops like Craftily and Fair Circle, ensuring both domestic appreciation and economic stability for these women.
R&D Innovation Solution
R&D Innovative Solution empowers rural Nepalese farmers with access to farming inputs and crucial financial resources. Through their innovative "Credit Card" solution, they've unlocked subsidized loans for 2,643 farmers and micro-entrepreneurs, totaling a GBP 7 million from various financial institutions. This program eliminates the traditional barrier of collateral for many farmers by leveraging a digital credit card system, providing loans ranging from NPR 2 lakhs (GBP £1,100) for individual farmers and micro-entrepreneurs to NPR 10 lakhs (GBP £5,500) for Business Service Providers (BSPs). Their efforts primarily support women and men who are enthusiastic to about growing their business, offering them the tools and access to finance to do so, ultimately leading to a more flourishing rural economy.
65% of leadership positions in enterprises supported by the programme are now held by women. Up from 49%
Enterprise Programme businesses are now providing secure incomes for over 5,000, an increase of 26% in the last year
Enterprise Programme business in Nepal have grown their revenues by 51%