ABSTRACT

Nepal’s new federal system had to provide healthcare services for COVID-19 from the start of the pandemic. At the same time, the new federal system provided economic relief to sectors that were hardest hit. Nepal’s federal system of governance performed well in the critical management of its COVID-19 pandemic response. The first COVID-19 case in Nepal was confirmed on 23 January 2020 in a 32-year-old male who had returned from China on January 9. To prevent the spread of the disease, Nepal focused its efforts on planning, prevention, and preparation. COVID-19 has had a significant negative impact on the Nepalese economy. The impact has occurred in many sectors of economy. Particularly affected were external trade, capital spending by the government and credit expansion of the bank and financial institutions. After the pandemic hit Nepal, new ad hoc mechanisms were established by executive decisions to respond to the crisis.