Govt Must Create an Enabling Environment

Entrepreneurship is not new to Nepal—we have simply forgotten it. To strengthen Nepal’s economy, we must build a model of entrepreneurship rooted in our context. This is closely tied to the country’s balance of payments: Nepal needs to increase exports and reduce reliance on imports to create a stronger economy. That journey begins at the individual level.
Unfortunately, our education system has not traditionally promoted entrepreneurship. Yet over the past 15 years, change has become visible. Slowly but surely, a new mindset is emerging among the younger generation. Unlike 15–20 years ago, when most youths aspired to become bankers, today many want to become entrepreneurs.

Still, entrepreneurship is inherently risky—and most ventures fail. Often, this is not solely due to external challenges; many young entrepreneurs falter because they overlook basic processes. Numerous startups operate without partnership agreements, clear business models or structured roles among team members. Weak accounting practices, poor marketing and little attention to packaging further undermine growth. While banks’ insistence on collateral is a challenge beyond entrepreneurs’ control, they must still strengthen the factors within their reach.

The arrival of Shark Tank Nepal has recently brought entrepreneurship into mainstream conversation. The show has delivered two important messages: first, to government officials, that entrepreneurship is happening and deserves support; and second, to young people, that with a strong idea and business model, investors do exist. It has also introduced the culture of pitching and structured investment to a wider audience.

Nepal is, in fact, an excellent place to experiment with regional products that can eventually be exported abroad. Yet regulatory barriers remain. While IT companies can now establish operations overseas, other sectors still face restrictions.

Despite these challenges, there are encouraging success stories. In the SME sector, products like churpi (hardened cheese used as pet food) and Nepali pickles are now exported in significant volumes. These examples prove that when quality and branding are strong, there is a global market for Nepali products. What remains is for the government to create an enabling environment—removing bottlenecks, supporting entrepreneurs and building a system where risk-taking is rewarded and innovation is nurtured.

This opinion article was originally published in September 2025 issue of New Business Age Magazine