Nepal continues to face a learning crisis, with many children completing school without essential literacy, numeracy and life skills despite high enrolment rates. To address this challenge, the British Council's AI4Ed Nepal project aims to explore the responsible use of artificial intelligence to improve the quality of basic education. Through research, teacher-led innovation, policy dialogue, and capacity building, the project will generate evidence to inform national policy and develop practical, scalable solutions that empower teachers, strengthen local governments, and support a more inclusive, equitable, and future-ready education system.
Currently in Phase One (December 2025 - August 2026), the project is focused on generating foundational evidence through a national mixed-methods research study involving 800 teachers across Nepal, teacher-led Action Research Micro-Studies (ARMS) that enable educators to test AI tools outside the classroom to enhance their teaching practice and improve student learning, and multi-level policy dialogues to assess AI literacy and identify systemic barriers to adoption. The insights generated through these activities will inform Phase Two, supporting the ethical, inclusive, and effective integration of AI across Nepal’s education system
The Educational Landscape in Nepal: A System in Crisis
The project addresses a convergence of deep-seated challenges within Nepal's education system. While the country has made commendable progress in expanding access to schooling, this has not translated into meaningful learning, leading to what is widely recognised as a learning crisis.
The Disconnect Between Schooling and Learning
A critical disconnect exists between school attendance and the acquisition of essential skills. This phenomenon of "learning poverty"-where children are physically in classrooms but not effectively learning-has far-reaching consequences. It compromises Nepal's ability to ensure equity and inclusion, weakens future opportunities for children, and poses serious risks to the country's economic growth, innovation, and global competitiveness.
Socio-Economic Consequences
The deficiencies in the education system are a direct contributor to significant socio-economic challenges, most notably:
- High Youth Unemployment: The youth unemployment rate is 23.4%, significantly higher than the regional and global medians.
- Gender Disparity in Employment: Female unemployment (12.25%) is notably higher than male unemployment (9.79%).
- Skills Mismatch: A persistent mismatch between the skills acquired through education and the demands of the labor market is a primary factor behind graduate unemployment, which has contributed to social and political unrest.
Systemic Root Causes
The learning crisis is underpinned by several structural and systemic issues:
- Teacher Professional Development: There is a significant inadequacy in teacher preparation and a limited availability of meaningful continuing professional development (CPD). Teachers often lack access to responsive, classroom-based mentoring and support. Female teachers, who constitute 47.4% of the primary school workforce, face additional barriers stemming from restrictive socio-cultural norms that compel them to juggle professional duties with caregiving.
- Challenges of Federalisation: The 2018 devolution of education responsibilities to local governments (Palikas) was intended to make services more responsive. However, many Palikas struggle to fulfil their mandates due to shortages of skilled human resources, limited pedagogical expertise, constrained finances, and the absence of robust, data-driven monitoring and accountability mechanisms.
- The Nascent State of AI in Education: The integration of AI into Nepal's education sector is in its infancy, characterised by limited awareness, fragmented experimentation, and a lack of systematic research. Most teachers lack the training and resources to engage with AI, and a significant gender digital divide presents a major equity concern.
- The AI Policy and Governance Gap: While Nepal has a Digital Nepal Framework (2019) and a National AI Policy (2025), there is no dedicated AI in Education Policy. This absence of clear guidance leaves policymakers and practitioners without a framework, risking ad hoc, inequitable initiatives that overlook critical issues of access, privacy, and accountability.