Nepal's community schools shrink as private sector and health facilities grow

Nepal's education sector is undergoing a significant structural shift, with community schools steadily declining and private institutions experiencing rapid growth. The nation's Economic Survey for fiscal year 2025-2026 highlights a sharp contraction in community schools and their student enrollment over the past five years. This trend is mirrored by a robust expansion of the private education market and state-funded healthcare facilities.

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The share of private academic institutions is on a consistent upward trajectory. Conversely, the total volume of community schools has depreciated primarily due to the ongoing execution of institutional mergers.

Currently, Nepal has 35,951 schools, including 25,623 community schools, 8,941 private institutions, and 1,387 religious or traditional schools. Five years ago, community schools constituted 78 percent of the national total, but this share has now fallen to 71 percent. Conversely, private schools have grown their share from 19 percent to 25 percent, with religious institutions holding 4 percent.

The "consistent upward trajectory" of private institutions contrasts with the "depreciation" of community schools, primarily due to ongoing mergers. The government's policy of merging under-enrolled community schools, enforced for over a decade, is criticized by educationists and policy analysts. They argue this administrative strategy inadvertently accelerates the commercialization and privatization of basic education, posing a direct threat to constitutional guarantees of equitable access.

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Basic level public schools are shutting down rapidly across the districts. The local governments have turned school mergers into aggressive bureaucratic campaigns.

Enrollment figures further illustrate this shift. Currently, 62 percent of the 7.04 million students nationwide attend community schools, a stark decrease from ten years ago when nearly 80 percent of students were enrolled in public institutions. Professor Peshal Dahal of Tribhuvan University's Central Department of Education contends that the state's framework is actively dismantling public education while bolstering private capital. He notes that local governments are aggressively pursuing school mergers, which disrupt access for vulnerable communities, especially in rural areas experiencing demographic shifts and out-migration.

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In town areas, authorities are pushing the concept of mega-schools based strictly on density. This will inevitably result in the mass closure of smaller schools.