Nepal faces looming food insecurity amid global conflict and climate risks
Summary
Rising fuel prices, fertilizer shortages, and a weak monsoon driven by the US-Iran conflict and global climate risks are threatening Nepal's food security and economic growth in 2026.
Key Points
- Nepal faces food insecurity due to rising fuel prices, fertilizer shortages, and projected weak monsoon rains linked to the US-Iran war and climate risks.
- Fuel prices in Nepal have increased about 40 percent since the US-Iran war began, significantly raising transportation and agricultural costs.
- Chemical fertilizer shortages and price hikes are expected to reduce agricultural production by up to 50 percent globally, impacting Nepal's food supply.
- The World Bank projects Nepal's economic growth to shrink to 2.3 percent in fiscal year 2025/26, down from 4.6 percent the previous year, due to the war's economic effects.
