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Nepal faces $5 billion rebuilding challenge after floods

Nepal is facing one of its worst natural disasters in recent years after a glacier collapse triggered massive floods across northern regions. The disaster has killed 626 people, left 2,426 missing, and destroyed vital infrastructure including roads, bridges, and hydropower projects. Seven deaths were also reported in Tibet, with hundreds missing across the border.

The flood unleashed torrents of rock, ice, and debris moving at nearly 150 kilometres per hour. Entire communities were cut off, trade routes with China were disrupted, and more than 90,000 people are in urgent need of assistance. Hydropower facilities accounting for over 12 percent of national capacity have been crippled, worsening electricity shortages.

Finance Minister Swarnim Wagle said reconstruction costs are estimated at 4 to 5 billion dollars, equal to nearly a tenth of Nepal’s economy. The scale of damage is severe but expected to be lower than the 2015 earthquake, which killed 9,000 people and caused losses of 9 billion dollars.

Nepal’s economy, already dependent on remittances and tourism, now faces additional strain. Authorities have requested international support for rescue operations, DNA testing, reopening transport links, and rebuilding damaged infrastructure. As assessments continue, the Himalayan nation confronts a daunting recovery challenge where foreign aid and technical expertise will play a crucial role in restoring stability.

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