Kshitiz Dahal on Nepal's Public Debt Dilemma: Opportunities and Challenges

Ep#089 Kshitiz Dahal is an economist at South Asia Watch on Trade, Economics and Environment with key interests in international trade, development economics, and econometrics. He has worked extensively in Nepal’s international trade, trade in digital services, migration and remittances, Nepal’s industrial policy, and public debt. He has contributed to the research initiatives of international organizations, including the Asian Development Bank, United Nations Economic and Social Commission for Asia and the Pacific and Organisation for Economic Co-operation and Development. Aslesh and Kshitiz discuss Nepal’s public debt, exploring its origins, implications, and current scenario. Beginning with an examination of the concept of public debt and historical examples worldwide, they unravel the rising concerns surrounding Nepal's per capita debt. Through an analysis of various indicators and drivers behind the recent surge in public debt, they navigate the intricate landscape of debt financing and its repercussions on the Nepali economy and society. From understanding key lenders to dissecting the explicit and implicit costs associated with debt servicing, we shed light on the multifaceted nature of this economic phenomenon. If you liked the episode, hear more from us through our free newsletter services, PEI Substack: Of Policies and Politics, and click here to support us on Patreon!!