Nepal’s freshly sworn-in government under Prime Minister Balendra Shah wasted no time signaling its tech-forward agenda. In one of the new administration’s first major policy moves, the Ministry of Industry announced that artificial intelligence software will now handle the preliminary screening of startup loan applications — a first in the country’s history.
The Rs 860 million fund for the current fiscal year received over 10,000 applications, prompting the government to deploy AI tools to ensure impartiality and speed in the selection process. Asian Mirror The AI system evaluates each application against pre-defined criteria including innovation potential, business viability, team composition, and projected social impact. Shortlisted applicants then proceed to human review panels before any funds are disbursed.
The move aligns directly with the “Digital Nepal” framework — a long-term blueprint to modernise public services, reduce bureaucratic friction, and stimulate a knowledge economy. The government has also established a National AI Centre in line with AI Policy 2082, with the Minister expressing confidence that AI will support good governance, corruption control, employment generation, and innovation. Kathmandupost
For Nepal’s startup community, this is more than a procedural update. It signals that the state is beginning to treat technology as governance infrastructure — not just a talking point at conferences.
