Literacy Rate (%)*, Nepal vs Selected Asian Countries9 Enrolment Ratio (%), Nepal vs Selected Asian Countries, 201610 *Latest available census data in the country High Rural Population Despite rapid urbanization in recent years, Nepal remains one of the least urbanized countries in the world. The World Bank estimates that only one-fifth of the Nepali population lives in urban areas, while more than 80% of the population resides in rural areas. Source: World Bank Most infrastructure and socioeconomic development in Nepal are centered in a few large cities, while people in remote rural areas continue to struggle with poor infrastructure and limited access to basic services such as healthcare, education, and financial services. As a result, Nepal trails its South Asian peers in economic growth and SDGs with high poverty and low adult literacy rates. Nepal needs to adopt a holistic approach to investing in its socioeconomic growth aspirations. It is important for the Government of Nepal to focus on extending the reach of its services and development agenda to rural areas to drive inclusive growth and achieve its vision of “Prosperous Nepal, Happy Nepali”. 9 Data for the Sustainable Development Goals by Country, UNESCO Institute for Statistics 10 Data for the Sustainable Development Goals by Country, UNESCO Institute for Statistics 12

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