Human Development Report 2025 Released: Nepal Ranks 145th, Focus on Role of Artificial Intelligence

The United Nations Development Programme (UNDP) has released the Human Development Report 2025, placing Nepal at 145th position with a Human Development Index (HDI) of 0.622, categorizing it under medium human development countries.

According to the report presented in Kathmandu, Nepal’s HDI has increased by 54% over the past 35 years. However, low per capita income and persistent gender inequality remain key obstacles to further progress.

This year’s report highlights the impact, opportunities, and challenges of Artificial Intelligence (AI) on multidimensional aspects of human development.
Minister for Communication and Information Technology, Prithvi Subba Gurung, emphasized that Nepal has prioritized the development of the IT sector, with policies being advanced to attract foreign direct investment, establish data centers, and promote the digital economy.

He added that Nepal is actively exploring how AI can be effectively used in education, health, and agriculture to enhance productivity and make public service delivery globally competitive.

Kyoko Yokosuka, UNDP Nepal’s Resident Representative, stated that the report centers on how countries like Nepal can leverage AI while addressing its challenges.
She noted that AI can significantly contribute to inclusive service delivery, local government capacity building, disaster management, and climate resilience, especially when backed by data-driven policymaking.

Secretary of the Ministry of Communication, Radhika Aryal, highlighted that updating the Digital Nepal Framework, national IT policies, telecommunication laws, and strengthening cybersecurity and AI-related infrastructure are key government priorities.

While Nepal has made notable progress in human development over the decades, significant challenges remain, particularly in boosting income levels, ensuring gender equality, and adopting inclusive technology. The strategic use of AI offers a promising path to accelerate Nepal’s development and strengthen its global competitiveness.