World Bank2025-06-062025-06-062025-06-06https://hdl.handle.net/10986/43303Hazardous air pollution poses significant health and economic challenges for Nepal. Air pollution raises public health concerns in Nepal, particularly in the country’s two geographic hotspots: the Kathmandu Valley and the Terai (southern plain areas bordering India). In these two areas, the annual average particulate matter (PM) (i.e. PM of less than 2.5 micrometers in diameter, which is the most critical air pollutant) concentrations reach 37 and 39 µg/m3, respectively. This exposure is between seven to eight times higher than the World Health Organization (WHO) guideline value of 5 µg/m3. These levels of air pollution shorten the average life expectancy of Nepal’s residents by more than three years, and lead to almost 26,000 premature deaths each year. Beyond health impacts, poor air quality leads to reduced labor productivity and negatively impacts tourism (lower visibility of the Himalayas and cancelled flights). Overall, poor air quality is estimated to cost the equivalent of more than six percent of Nepal’s gross domestic product (GDP) each year. The main objectives of this report are to identify the levels, patterns, and sources of air pollution in Nepal, assess its health and economic impacts, and present solutions to improve air quality. The recommendations are based on a foundational diagnostic review of Nepal’s existing air quality management actions. The report aims to provide comprehensive insights and actionable policy options for the government, stakeholders, and the public to support urgent and effective interventions.en-USCC BY-NC 3.0 IGOGOOD HEALTHAIR POLLUTIONIMPACT ON TOURISMAIR QUALITY IMPROVEMENTWELL-BEINGReportWorld Bank