Extreme heat threatens Nepal's economy as warming accelerates

Summary

Nepal is facing rising temperatures with extreme heatwaves damaging livelihoods and economic productivity, particularly impacting informal workers and urban centers like Kathmandu.

Key Points
  • Nepal is rapidly warming, with temperatures already 1.26°C above pre-industrial levels and projected to rise further, intensifying heatwaves across the region.
  • Extreme heat is reducing workers’ productivity, especially in construction, agriculture, and informal sectors, while raising energy demand and straining infrastructure.
  • Poor and informal workers bear the brunt of heat-related economic and health burdens, with increased spending on cooling, healthcare, and financial stress from lost income.
  • The World Bank report recommends integrating heat resilience into urban planning, health systems, and infrastructure to mitigate economic losses and protect public health.
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