Nepal's community schools shrink as private education expands, deepening inequality

Nepal's education landscape is shifting, with community schools shrinking and private institutions expanding, a trend education experts say exacerbates inequalities. The government's Economic Survey 2025-26 reveals a significant decrease in community schools, which now constitute 71% of all educational institutions, down from 78% five years prior. Concurrently, private schools have grown their share to 25%, up from 19%.

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The share of private schools is increasing. The number of community schools has declined due to school mergers.

The decline in community schools is largely attributed to a government policy of merging institutions with low enrollment. This strategy, pursued for over a decade, has led to a gradual reduction in the number of public schools. Education stakeholders have voiced concerns that this policy inadvertently bolsters the private education sector.

The impact is also evident in student enrollment figures. While a decade ago approximately 80% of students attended community schools, this figure has dropped to 62%, with private schools now serving 38% of students. Peshal Khanal, a professor at Tribhuvan University's Central Department of Education, stated that government policies have weakened public education while strengthening the private sector.

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Many primary-level schools are being shut down. The government has a policy of closing schools with very few students, and local governments are actively carrying out school mergers.

Khanal explained that the closure of small schools, particularly in rural areas, is influenced by slowing population growth and migration. The push for larger, consolidated schools in urban centers could lead to further closures. He emphasized the need for more research into the effects of these changes on educational access and quality, noting that the shrinking public sector creates more opportunities for private institutions to flourish.

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This could further widen inequalities in access to and quality of education.

Despite the decline in traditional schools, the number of Early Childhood Development (ECD) centers has seen an increase, with a rise of 1,335 centers in the past year, reaching a total of 42,619.

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The concept of developing large schools based on student numbers is being promoted in urban areas. This could result in even more small schools being closed.