Policy expertise

Political Economy of Agriculture and Hydropower, Nepal

Policy Area
Department for International Development (DFID)
OPM contact

The key, over-arching objective of the project was to analyse the political incentives and institutional factors shaping the economic environment in Nepal, with a view to identifying feasible policy options which have the potential to unlock some of the binding constraints to inclusive growth in key sectors. Within this overarching objective, OPM undertook the following tasks: - Mapping the main domestic political, economic and other stakeholders in Nepal, as well as international actors and their interests and incentives - Identifying within two key sectors (power and agriculture) the main political and governance factors constraining growth. This involved mapping institutions, interests and key drivers/obstacles within the sectors concerned - Scoping out three policy options within each sector and testing their feasibility in political and institutional terms and likelihood of implementation - Identify potential second best policy options or institutional arrangements which might serve to release identified constraints; - Recommending a process for addressing these issues in the context of a policy dialogue with the government, private sector, donors and other key stakeholders; and - Drawing lessons for DFID’s policy work on the political economy of growth and making recommendations as to the relevance/applicability of the different approaches currently under development.

Leader, Social Development
Principal Consultant