The need for a national urbanization policy in Nepal

Abstract

There is a need for a national urbanization policy in Nepal as a means of redressing regional disparities in development between the hills, the Kathmandu Valley, and the Terai versus rural and urban areas. A settlement system would complement urban and rural development and reduce dependency on India. An urbanization policy would be both systematic and guided by public and private investment in existing urban and rural settlements. Regional investment in development would contribute to commercialization and agricultural industrialization (development and linkage of market towns and service centers, strengthening of basic infrastructure and land use patterns, strengthening of urban areas around transportation centers, promoting nonfarm employment opportunities, establishing strong financial and technical institutions in middle-sized cities, and strengthening municipalities' mobilization of local resources and financing). Nepal has been one of the least developed countries in its region. The agricultural economy provides economic support for 80% of total population. In 1991, density was 130 person per sq. km. 9% of the total population live in urban areas, but the rate of urban growth is the highest among South Asian Regional Cooperation countries (7.3% in Nepal compared to 6.1% in Bangladesh and 3.7% in India). Rural markets and towns are rapidly becoming urbanized but without basic infrastructure. The spatial component of urbanization must be emphasized. Total population increased in the Terai from 37% in 1971 to 47% in 1991, which increased population density by 31% but not cultivation. Harsh physical conditions in mountainous regions and lack of cultivable land are push factors. Pull factors are employment opportunities in emerging urban centers and the availability of agricultural employment in the Terai. Movement to lowlands is enhanced by the eradication of malaria. 53% of the urban population is in the Terai in 1991, which also has 65% of cultivable land, 35% of roads, and 63% of industry. Urban settlements increased from 10 in 1951 to 33 in 1987 and 36 in 1991. In the Terai, the increases are from five to 21 urban centers. The central and eastern region have experienced faster urban growth than the other three regions. Kathmandu is the most populated urban center followed by Biratnagar, Pokhara, and Birganj. Government ministries are ill-equipped to handle the technical and manpower needs in the process of urbanization.