Projects

Improving Trade and Fiscal Policies in Nepal through Capacity Building and Training

Kaizen undertook capacity assessment and building initiatives to achieve inclusive economic growth and enhance food security.

Nepal faces significant challenges in trade and fiscal policies due to limited capacity and competency of key government agencies. To address these challenges, Kaizen partnered with Chemonics International and undertook three initiatives as part of the Nepal Economic, Agriculture, and Trade program. The overall goal was to facilitate trade and increase revenues without distorting the economy.

			Highlights		

							Enhanced food security through the formation of 368 farmer groups
Improved economic policies through training and customs improvements
Increased competitiveness of selected sectors through market surveys 
						

The first initiative increased the capacity of these agencies to analyze trade data and improve competency in trade negotiations. Kaizen conducted a diagnostic study on trade data availability, assessed the existing system of reporting issues on trade with China and India, and evaluated trade and analytical negotiation capabilities of the Ministry of Commerce and Supplies. Based on its findings, Kaizen provided solutions for making trade data available, redesigned reporting systems, and developed a negotiations skills training program for the ministry. The recommendations provided clear next steps toward ultimate success and were well received.

The second initiative expanded on the first with an assessment of data collection methods across all trade-concerned agencies. The focus was on the use of trade data to support negotiations for multilateral and bilateral trade agreements. Kaizen recommended rigorous training for customs field officers and an enhanced information technology toolset to support better data collection and analysis.

The third initiative helped increase the competency of officials and improved the overall effectiveness of trade negotiations. Based on the 2010 Nepal Trade Integration Strategy, Kaizen developed a manual and training program that emphasized trade negotiating techniques on bilateral, regional, and multilateral platforms between trading partners of different levels of development and size of economy.
The initiatives undertaken by Kaizen and Chemonics International have significantly improved trade and fiscal policies in Nepal. They increased the competency of key government agencies; provided solutions to improve trade data availability, reporting systems, and negotiations skills; and enhanced revenue without distorting the economy, ultimately contributing to the country’s economic growth and development.