World Bank2013-08-192013-08-192000-04-11https://hdl.handle.net/10986/15153The report is an overview of Nepal's economic development, comprising five volumes, which include the main report, followed by reviews on agricultural and rural development, on the social sectors, and, the transport sector. Although development progress is noteworthy in many areas, considerable evidence of improper resource spending exist, thus, the main objective of this report is to identify the incentives, and institutional factors that contributed to this spending, and propose recommendations. Systemic factors have consistently hindered implementation, and development results, such as deficient budget planning, resource allocation, and expenditure management, coupled with the lack of ownership of projects, and programs which contributed to poor performance. Institutional weakness, and governance issues remain the most critical aspects affecting effectiveness of public spending across sectors in Nepal. The report suggests that traditional budget reforms alone, will not be effective to improve public resource management, rather, changes in the political environment, and institutional capacity are required, prior to the much needed reforms. Given the fiscal constraints, the government should promote private participation to undertake economic activities, and, further enhance and promote, public involvement in social sectors development, and greater local ownership of public expenditure programs.en-USCC BY 3.0 IGOPUBLIC EXPENDITURESECONOMIC DEVELOPMENTSOCIAL DEVELOPMENTSOCIAL INDICATORSPUBLIC SPENDINGGOVERNANCEGOVERNMENT OWNERSHIPCOMMUNITY PARTICIPATIONPRIVATE SECTOR PARTICIPATIONBUDGETARY POLICYAGRICULTURAL DEVELOPMENTRURAL DEVELOPMENTTRANSPORT SECTOR MANAGEMENTHEALTH FINANCEEDUCATIONAL FINANCINGREVENUE MOBILIZATIONREFORM POLICYALLOCATION OF GOVERNMENT RESOURCESRESOURCES MANAGEMENTINSTITUTIONAL MANAGEMENTCAPACITY BUILDINGFISCAL CONSTRAINTS ACCOUNTABILITYACCOUNTINGAGRICULTURAL SECTORANNUAL GROWTH RATEANTI-CORRUPTIONAUTHORITYBALANCE OF PAYMENTSBUDGET ALLOCATIONSBUDGET REFORMSCIVIL SERVICE REFORMSCIVIL SOCIETYCONSTITUENCIESCORRUPTIONCULTURAL PRACTICESDEBT SERVICEDEBT SERVICE RATIODECENTRALIZATIONDECENTRALIZATION PROCESSDECISION-MAKINGDEMOCRATIC PROCESSDEMOCRATIZATIONDEVELOPING COUNTRIESDEVELOPMENT GOALSDEVELOPMENT INDICATORSDEVELOPMENT ORGANIZATIONDEVELOPMENT POLICIESDEVELOPMENT PROCESSDEVELOPMENT PROGRAMSDEVELOPMENT STRATEGYDEVELOPMENT WORKDIVIDENDSDOMESTIC BORROWINGDONOR COMMUNITYDRINKING WATERECONOMIC ACTIVITIESECONOMIC DEVELOPMENTECONOMIC GROWTHECONOMIC GROWTH RATESECONOMIC MANAGEMENTECONOMIC POLICIESEFFECTIVE USEELECTRICITYEMPLOYMENTEQUILIBRIUMEXCHANGE RATEEXECUTIONEXPENDITURE MANAGEMENTEXTERNAL DEBTFINANCIAL MANAGEMENTFINANCIAL REPORTINGFINANCIAL RESULTSFISCALFISCAL DEFICITSFISCAL MANAGEMENTFOREIGN EXCHANGEFOREIGN EXCHANGE RESERVESFORESTRYGNPGOOD GOVERNANCEGOVERNMENT AUTHORITIESGOVERNMENT ENTITIESGOVERNMENT OFFICIALSGOVERNMENT REVENUEGOVERNMENT SPENDINGGOVERNMENT'S DEVELOPMENT STRATEGYGOVERNMENTAL ORGANIZATIONGROSS DOMESTIC PRODUCTHEADCOUNT INDEXHEALTH CAREHEALTH CENTERSHUMAN RESOURCEHUMAN RESOURCE DEVELOPMENTIMPORTSINCREASED EMPHASISINFLATIONINSTITUTIONAL ANALYSISINSTITUTIONAL ARRANGEMENTSINSTITUTIONAL CAPACITYINSTITUTIONAL MECHANISMSINSTITUTIONAL WEAKNESSESINSURANCELABOR FORCELABOR FORCE SURVEYLACK OF ACCOUNTABILITYLACK OF OWNERSHIPLIFE EXPECTANCYLIVING STANDARDLOCAL BODIESLOCAL CURRENCYLOCAL GOVERNMENTSLOCAL LEVELLOCAL LEVELSLONG TERMMINISTRY OF FINANCEMORTALITYNATIONAL ACCOUNTSNATIONAL CONSENSUSNATIONAL PLANNINGPER-CAPITA INCOMEPOLICY FRAMEWORKPOLITICAL COMMITMENTPOLITICAL INTERFERENCEPOLITICAL PARTIESPOLITICIANSPOPULATION GROWTHPOVERTY ALLEVIATIONPOVERTY ERADICATIONPOVERTY LINEPOVERTY REDUCTIONPRIMARY EDUCATIONPRIMARY SCHOOLPRIORITY AREASPRIVATE COSTSPRIVATE SECTORPRIVATE SECTORSPRODUCERSPRODUCTIVITYPUBLIC ADMINISTRATIONPUBLIC ENTERPRISESPUBLIC EXPENDITUREPUBLIC EXPENDITURE REVIEWPUBLIC FUNDSPUBLIC INVESTMENTPUBLIC INVOLVEMENTPUBLIC OFFICIALSPUBLIC RESOURCESPUBLIC SECTORPUBLIC SERVICESPUBLIC SPENDINGREAL TERMSREHABILITATIONREPRESENTATIVESRESOURCE ALLOCATIONRESOURCE ALLOCATIONSRESOURCE USEROADSRURAL AREASRURAL COMMUNITIESRURAL ECONOMYRURAL POORSAVINGSSERVICE DELIVERYSHORT TERMSOCIAL COSTSSOCIAL DEVELOPMENTSOCIAL INDICATORSSOCIAL SECURITYTAXTAX ASSESSMENTTAX REFORMSTECHNICAL ASSISTANCETECHNICAL CAPACITYTECHNICAL SERVICESTECHNICAL SKILLSTECHNICAL SUPPORTTELECOMMUNICATIONSTOTAL EXPENDITURESTRANSPARENCYURBAN AREASURBAN COMMUNITIESURBAN POPULATIONWATER SUPPLYWorld Bank10.1596/15153