Nepal’s education budget must fund thinking, not just schooling

Nepal's ambition to prepare its youth for an AI-driven future contrasts sharply with its education budget, which falls short of its stated goals. The country's 2030 vision includes allocating 20 percent of the national budget or 5 percent of GDP to education. However, actual spending has hovered between 10-11 percent of the national budget and below 3 percent of GDP, indicating a significant gap between aspiration and reality.

This underfunding has tangible consequences. It weakens the educational infrastructure, places the futures of the most vulnerable children at risk, and restricts the potential of an entire generation. The budget's priorities, or lack thereof, undermine the stated goal of fostering critical thinking, problem-solving, and communication skills essential for an AI-integrated world.

Experts argue that merely increasing the education budget is not a panacea. The case for greater investment must be coupled with a clear strategic direction, effective implementation, and measurable improvements in learning outcomes. Key areas for focus include enhancing teacher development, strengthening foundational literacy and numeracy, improving classroom quality, boosting student retention, reforming assessment methods, and cultivating the creative and critical thinking skills vital for the future.

International examples offer valuable lessons. Peru, for instance, successfully linked increased public investment in education with broader reforms, including teacher salaries, infrastructure, curriculum, and assessment. This approach led to improved PISA scores between 2009 and 2018. Vietnam's success, despite lower wealth, highlights the importance of strong social expectations, quality teachers, equity, disciplined classrooms, and a deep public belief in education.