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Nepal sets flood reconstruction needs at $4.78 billion

KATHMANDU, NEPAL / RankWire.AI / – Nepal estimates it will need about $4.78 billion to rebuild after the devastating Bhote Koshi River floods. The government published the estimate through its Rapid Damage and Needs Assessment following the August 26 disaster. The assessment puts direct physical damage at about $1.8 billion. It also estimates economic losses at roughly $883 million. Officials said the figures cover damage across social, productive and infrastructure sectors. The floods struck communities and critical infrastructure across Rasuwa, Nuwakot, Dhading and other districts.

Nepal sets flood reconstruction needs at $4.78 billion
Nepal begins long-term recovery after floods left reconstruction needs at $4.78 billion. (AI-generated image)

Nepal expects to require about $57.67 million for short-term reconstruction and recovery during the next six months. Longer-term reconstruction needs account for about $4.71 billion of the total estimate. The Ministry of Foreign Affairs said the government has shared the rapid assessment with relevant agencies. A broader Post Disaster Needs Assessment is also underway. That process will measure the full scale of losses and rebuilding requirements. The government continues to restore transport, electricity and telecommunications links while relief and recovery operations remain active.

The August 26 floods caused widespread damage to homes, roads, bridges and power infrastructure along the Bhote Koshi river system. Earlier government assessments found that about 7,570 houses had been affected, impacting roughly 32,933 people. Officials also recorded damage to 48 government offices. About 55 kilometers of roads, 37 motorable bridges and 68 suspension bridges sustained damage. Floodwaters also affected about 1,806 hectares of agricultural land. The government reported damage to 13 hydropower projects, one solar plant and two transmission lines.

Flood damage extends across transport and energy networks

Nepal said the disaster affected about 783 megawatts of hydropower generation capacity. The scale of the destruction has complicated access to several affected areas. Authorities have continued road clearance and site recovery work while repairing essential connections. An Acrow bridge over the Tadi River at Devighat has opened to the public after installation. Government teams have also worked to remove obstructions along damaged routes. The Ministry of Foreign Affairs said Nepal has mobilized domestic resources and received support from international partners during the emergency response.

Search and rescue operations have continued alongside the reconstruction assessment. By September 11, authorities had rescued 13,676 people, including more than 320 foreign nationals. About 5,130 people remained missing, including roughly 600 foreigners from around 35 countries. Authorities had recovered 1,385 bodies from flood-affected areas. Officials said those figures remained subject to updates as recovery and verification work continued. Forensic specialists from several countries have worked with Nepal Police and other agencies on DNA collection, analysis and identification of recovered remains.

Recovery assessment outlines long-term rebuilding requirements

The disaster also left large volumes of debris across affected communities and infrastructure corridors. The United Nations Development Programme estimated at least 2.2 million tonnes of debris within areas it analyzed. Its preliminary assessment found that 11 hydropower stations and one solar facility had stopped operating. Those facilities had a combined capacity of 431.1 megawatts. The agency also reported damage to 15 power projects under construction, with planned capacity totaling 470 megawatts. Those findings formed part of the wider effort to measure infrastructure and recovery needs.

Nepal’s reconstruction estimate remains based on the government’s rapid assessment while the detailed national review continues. The Ministry of Foreign Affairs said the broader assessment will determine the full extent of damage, losses and recovery requirements. Authorities are also continuing search operations, infrastructure restoration and delivery of relief supplies to affected communities. The government has requested specialized equipment for recovery work, including drones, bridge systems, testing kits and pumping equipment. The $4.78 billion estimate currently provides Nepal’s main official measure of the financial resources required for reconstruction.

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