Nepal's economy

Nepal's gross domestic product (GDP) for 2013 was estimated at over $17.921 billion (adjusted to Normal GDP). In 2010, agriculture accounted for 36.1%, services comprise 48.5%, and industry 15.4% of Nepal's GDP. While agriculture and industry is contracting, the contribution by service sector is increasing. Agriculture employs 76% of the workforce, services 18% and manufacturing/craft-based industry 6% citation needed.Agricultural produce – mostly grown in the Terai region bordering India – includes tea, rice, corn, wheat, sugarcane,root crops( Potato tomato onion garlic etc.), milk, and buffalo's meat. Industry mainly involves the processing of agricultural produce, including jute, sugarcane, tobacco, and grain. Its workforce of about 10 million suffers from a severe shortage of skilled labor.

Nepal’s economic growth continues to be adversely affected by the political uncertainty. Nevertheless, real GDP growth is estimated to increase to almost 5 percent for 2011/2012. This is a considerable improvement from the 3.5 percent GDP growth in 2010/2011 and would be the second highest growth rate in the post-conflict era. Sources of growth include agriculture, construction, financial and other services. The contribution of growth by consumption fueled by remittances has declined since 2010/2011. While remittance growth slowed to 11 percent (in Nepali Rupee terms) in 2010/2011 it has since increased to 37 percent. Remittances are estimated to be equivalent to 25–30 percent of GDP. Inflation has been reduced to a three-year low to 7 percent.