World Bank approves $50m for Nepal digital transformation project

KATHMANDU: The World Bank’s Board of Executive Directors approved $50 million in financing for the Nepal Digital Transformation Project on Monday. The funding is intended to expand Nepal’s digital public infrastructure and accelerate the digitisation of key government services.

The project will finance core digital platforms, including an integrated online citizen service portal, an integrated social registry, a secure government-wide data exchange, and a digital locker to manage verifiable credentials and a digital wallet. It will also support the phased digitalisation of high-impact services, beginning with land administration.

To strengthen the digital economy and attract private-sector investment in data infrastructure, the project includes measures to improve legal and regulatory frameworks. Investments will also be made in electronic signatures, cybersecurity and data governance to promote trust in digital services.

“By investing in core digital platforms and digitalising services, this project will help deliver enhanced services to people and businesses in an inclusive and transparent manner, thereby improving service delivery, public sector efficiency, and good governance,” said David Sislen, World Bank Division Director for Maldives, Nepal and Sri Lanka.

The financing is arranged under a joint co-financing agreement between the World Bank and the Asian Development Bank under the Full Mutual Reliance Framework, with the World Bank as lead lender and the ADB expected to contribute $40 million pending consideration by its board in March 2026. The project will be implemented by Nepal’s Ministry of Communication and Information Technology and the Department of National ID and Civil Registration.