Foreign Minister Shishir Khanal inaugurated Kathmandu Climate Week 2026 today, emphasizing the critical need for robust domestic action on climate risk reduction, infrastructure development, and disaster management to strengthen Nepal’s climate diplomacy on the global stage.
The event, running from October 2 to 4, 2026, in Kathmandu, is themed “Climate Justice for Building Climate Resilience: From Local Initiatives to Global Climate Diplomacy.” It aims to connect local climate initiatives with national policies and global diplomatic efforts, positioning Kathmandu as a central hub for climate dialogue in South Asia and the Himalayan region.
Minister Khanal highlighted that climate change is not merely an environmental issue but profoundly impacts agriculture, infrastructure, water security, public health, energy, financial stability, and foreign policy. His remarks underscore Nepal’s increasing vulnerability to climate change despite its negligible contribution to global greenhouse gas emissions, which stands at approximately 0.027%.
Nepal’s Climate Vulnerability and Economic Impact
Nepal is globally ranked fourth for climate change risk. According to Germanwatch’s Climate Risk Index (CRI) 2025, Nepal ranked 69th among countries most affected by extreme weather events due to climate change between 1993 and 2022. However, experts argue that the reality is far more severe, noting that Nepal has consistently appeared much higher in previous CRI reports, such as fourth in 2017 and tenth in 2021.
Climate-induced disasters in Nepal lead to an average of 249.7 deaths annually, affecting 75,840 people directly. These events also inflict an estimated annual economic loss of $221.3 million, equivalent to 0.258% of Nepal’s Gross Domestic Product (GDP). Despite these significant impacts, Nepal’s carbon emission rate has increased six-fold from 0.0873 tonnes in 1994 to 0.5360 tonnes in 2024.
The country has experienced a consistent rise in temperatures, with maximum temperatures increasing by 0.05608 degrees Celsius annually and minimum temperatures by 0.002 degrees Celsius between 1974 and 2014. Projections indicate an average temperature increase of 0.92 to 1.07 degrees Celsius by 2045 and 1.72 to 1.82 degrees Celsius by 2021. Studies warn that if global average temperature rise is not limited to 1.5 degrees Celsius, two-thirds of Himalayan ice reserves could melt by 2050.
Policy and Diplomatic Efforts
Nepal has been proactive in developing climate policies, formulating its first climate change policy in 2067 BS and revising it as the National Climate Change Policy, 2076 (2019). The National Adaptation Plan (NAP) 2021-2050 was approved in Kartik 2078 BS, aiming to systematically integrate climate change adaptation into existing policies and plans. Under the Paris Agreement, Nepal submitted its second Nationally Determined Contribution (NDC) and approved NDC 3.0 on May 14, 2025 (Baisakh 31, 2082 BS), enhancing its climate commitments for 2025 and beyond.
In a significant move to bolster its diplomatic efforts, the Ministry of Foreign Affairs established an Environment Diplomacy Cell on September 20, 2026 (Asoj 3, 2083 BS). This initiative followed devastating floods on August 26, 2026 (Bhadra 10, 2083 BS), which underscored the escalating natural hazards driven by climate change.
Prime Minister Balen Shah addressed the 81st United Nations General Assembly on September 24, 2026 (Asoj 8, 2083 BS), where he raised issues of climate change, loss of life and property from climate-induced disasters, and climate justice. He proposed a ‘Himalayan Climate Resilience Mechanism’ and urged the international community to simplify and enhance access to climate finance mechanisms, including the Loss and Damage Fund, for climate-vulnerable mountain countries like Nepal.
Challenges and Funding Gaps
Despite a budget allocation of Rs 10.14 billion for climate change adaptation in the current fiscal year 2081/82, only 13.73% (Rs 1.34 billion) had been spent by Poush-end, indicating slow progress in budget implementation. Nepal, the first country to implement Climate Budget Tagging (CBT) in 2012 (fiscal year 2068/69), aims to increase the share of climate-responsive budget in total allocation from the current approximately 6% to 20% by fiscal year 2085/086.
A significant funding gap persists: Nepal requires an estimated $450 billion annually for climate change mitigation but has allocated only Rs 50 billion (approximately $400 million). This raises questions about how Nepal plans to bridge this substantial deficit and secure adequate international climate finance. The effective implementation of NDC 3.0 will require strong ownership across federal, provincial, and local governments, sustained engagement from partners, clear priorities, sufficient funding, and robust institutional capacity.
Specific outcomes, decisions, and commitments from Kathmandu Climate Week 2026 are yet to be announced. Furthermore, there is a demand for legally binding ‘Climate Resilience Programs’ for indigenous and farmer communities most affected by climate change, along with provisions to ensure access to climate finance for individuals without formal land ownership certificates or identification. The status and implementation of such legal frameworks remain open questions.
