Stakeholders have emphasized that Nepal’s public debt should not be debated solely in terms of its size, but also in terms of how it is used, its cost, returns, sustainability, and its implications for future generations. A dialogue on “Debt, Development & Us: A Dialogue on Nepal’s Public Debt” was organized on Monday by Youth Initiative and AIDS Healthcare Foundation Nepal (AHF Nepal). The program brought together young people and experts to discuss Nepal’s public debt situation, its role in development, debt sustainability, and its links to employment, education, healthcare, and the future of young people.
During the program, Resham Thapa, Associate Professor of Economics at Tribhuvan University, delivered a context presentation on “What is Public Debt? Global Context and Nepal’s Scenario.” He provided participants with an overview of the concept of public debt, the global context, and Nepal’s public debt situation. The main attraction of the program was a panel discussion titled “Voices Behind the Debt.” Moderated by Dipesh Kumar Ghimire, the discussion featured Kalpana Khanal, economic journalist Gajendra Budhathoki, Devendra Singh, Program Development Manager at ActionAid International Nepal, and Nischal Dhungel, a PhD student at the University of Utah.
The panel discussed Nepal’s current public debt situation, debt sustainability, public expenditure, economic growth, taxation, social justice, transparency, and the returns from debt-financed projects. The discussion also focused on the need to understand public debt not merely as a government issue, but as a matter closely linked to young people’s employment, education, healthcare, skills development, entrepreneurship, and future tax obligations. Participants emphasized that Nepal’s public debt should not be assessed solely by looking at its total volume or its ratio to GDP. The source of the debt, borrowing costs and terms, areas of investment, economic and social returns, and the country’s future repayment capacity should also be considered when assessing the sustainability and effectiveness of public borrowing.
Speaking at the program, Yogesh Kafle, President of Youth Initative, said public debt should not be viewed merely as a government issue but as a matter directly connected to young people’s employment, opportunities, and future. “Public debt should not be viewed merely as a government issue; it directly concerns young people’s employment, opportunities and future. Meaningful youth participation is essential to ensure that public debt is used transparently and productively,” said Kafle.
