Nepal, officially Kingdom of Nepal, constitutional monarchy of southern Asia, bounded on the north by the Tibetan Autonomous Region in China and on the east, south, and west by India. The area of Nepal is 140,797 sq km (54,362 sq mi).

Nepal occupies one of the most mountainous parts of the world, a characteristic that has contributed to its isolation. Because of its landlocked position, however, Nepal must maintain friendly relations with the neighboring nations of China and India. Since the 1970s the country has attracted growing numbers of tourists as well as skilled mountain climbers.

Land and Resources
Mountains dominate the landscape of Nepal. These physical barriers have isolated the country and hindered development of its natural resources. Of the ten highest mountains in the world, nine—including Mount Everest (8848 m/ 29,028 ft), the highest—are located entirely or partly within Nepal's borders.

Physiographic Regions
Nepal can be divided into three parallel bands trending northwest to southeast. Closest to China is the Great Himalaya Range (see Himalaya), where average elevations exceed 4570 m (about 15,000 ft). The second band is dominated by the Mahabharat and Churia ranges of the Himalaya; elevations in these systems average about 2500 m (about 8200 ft). The third and southernmost region is the Terai, an area of plains, swamps, and forests. The alluvial soils of the Terai are fertile, unlike those of the mostly barren uplands. Other than the Terai, the only sizable area of flat land is the Valley of Kathmandu, a basin in the center of the country.

Rivers and Lakes
Nepal's principal rivers flow generally north to south and empty into the Ganges River. The three major streams crossing the country are the Karnali, Kosi, and Narayani rivers. The country has no sizable lakes.

Climate
Elevation plays a major role in the climate of Nepal. In the high mountain ranges, temperatures remain cold throughout the year. In the Terai and the Valley of Kathmandu, summers are hot and rainy and winters are cool. Temperatures are highest from late spring to midsummer. The higher mountain elevations are always snow-covered.

Vegetation and Animal Life
The Terai supports extensive hardwood and bamboo forests in areas where clearing for agriculture has not taken place. On the lower slopes of the mountains, pines flourish amid oaks and wild flowers. Firs and shrubs predominate in the higher regions, and only small plants grow at elevations above 3660 m (about 12,000 ft).

The wildlife of the Terai includes tigers, leopards, deer, and elephants, which inhabit humid areas. Wild goats, wild sheep, and wolves live at higher elevations. A creature known as the yeti, or Abominable Snowman, is believed by some to roam the mountain peaks.

Mineral Resources
Because of Nepal's inaccessible terrain, the mineral wealth of the country has not been thoroughly charted. Deposits of mica, copper, iron ore, ochre, lignite, and cobalt are, however, known to exist.

Population
Nepal's indigenous population consists of two major groups, the numerically dominant Indo-Nepalese, whose ancestors migrated into the country from the south, and the Tibeto-Nepalese, whose forebears entered Nepal from the north. Much intermingling of the two groups has occurred. Tibeto-Nepalese ethnic groups include the Sherpas, who are noted as guides and porters for mountain-climbing expeditions, and the Gurung, noted as soldiers. The Gurkhas, skilled soldiers of various Nepalese ethnic groups, have served in the British and Indian armed forces.

Population Characteristics
Nepal's population was 15,022,839, according to a 1981 census; in 1989 the population was estimated at 18,452,000. The overall population density in 1989 was about 131 persons per sq km (about 339 per sq mi). Most of the people are concentrated in the Kathmandu region and in the Terai region. The mountain areas in the north are sparsely inhabited.

Principal Cities
Kathmandu, the capital of Nepal, is the most populous, with 235,160 inhabitants (1981). Other urban centers are Biratnagar (93,544), in the southeast; Lalitpur (79,875), near Kathmandu; and Bhaktapur (48,472), also near Kathmandu.

Language and Religion
The official language of the country is Nepali, an Indo-European tongue used by about half of Nepal's inhabitants. It is similar to Hindi. At least 30 other languages are also used. Hinduism is the official religion of Nepal and is professed by about 90% of the population. The Nepalese practice of Hinduism includes elements from Buddhism, which also is an important religion of the country. The Buddha, the founder of Buddhism, probably was born in what is now Nepal.

Education and Cultural Activity
Nepal has never been colonized by another nation, and as such it has developed a self-contained culture and society.

Education
School attendance is required for all Nepalese between the ages of six and ten. Many more boys than girls attend school. In the late 1980s the annual enrollment in primary schools was about 1.9 million and in secondary schools about 540,000. The country's principal institution of higher education, Tribhuvan University (1959), in Kathmandu, had an enrollment of some 65,000 per year in the late 1980s. Only about 20% of the Nepalese population aged 15 or more years is literate.

Culture
The dominant Hindu religion pervades Nepali culture, along with some Buddhist influence. Pagoda temples and buildings with carved wood trim are found throughout Nepal. The National Museum of Nepal (1928), in Kathmandu, has a variety of collections on the culture and history of the country. The principal libraries also are in Kathmandu.

Communications
Government-controlled Radio Nepal broadcasts in Nepali and English. About 2 million radios were in use in the late 1980s. Television service began in 1986. Nepal has some 60 daily newspapers, of which at least 20 are published in Kathmandu. An influential daily is Gorkha Patra, issued in Kathmandu.

Government
Nepal is governed under a constitution promulgated in 1962 and reaffirmed by referendum in 1980; substantial amendments were also made in 1980. The government operates according to a system that is called Panchayat Democracy, that is, guided democracy. A new constitution providing for a limited monarchy was drafted in 1990.

Executive
The head of state and chief executive of Nepal is the monarch. The monarch is assisted by a council of ministers, headed by a prime minister, which is responsible to the Rashtriya Panchayat (National Assembly).

Legislature
Below the national level, Nepal has a pyramidal, three-tier system of panchayats, or councils. In ascending order of importance are village, district, and zonal panchayats. Village panchayats are directly elected, and members of councils at the two higher levels are predominantly chosen by the panchayat at the next lower tier. The unicameral 140-member Rashtriya Panchayat is composed of 112 popularly elected representatives and 28 appointees of the monarch. Although political parties were banned from 1960 until 1990, the Nepali Congress party and other groups have been permitted to function since the mid-1980s.

Judiciary
The highest tribunal in Nepal is the supreme court, composed of a chief justice and up to six other judges. The country also has 4 regional, 15 zonal, and 75 district courts.

Social Services
No organized social welfare system operates in Nepal. Christian missionaries, however, have established hospitals and clinics in the country. In the late 1980s Nepal had only about 860 physicians and 3840 hospital beds.

Defense and International Organizations
Military service in Nepal is voluntary. In the late 1980s the country's army had about 35,000 members. Nepal joined the United Nations in 1955.

Economy
In the late 1980s Nepal had one of the world's least developed economies. About 90% of the labor force was employed in agriculture. The gross domestic product was estimated at $2.9 billion, or only $180 per capita. The annual budget called for $388 million in domestic revenue and $813 million in expenditure.

Agriculture
About 17% of Nepal's land area is cultivated, primarily in the Terai region. Rice, corn, wheat, potatoes, sugarcane, millet, cotton, jute, and tobacco are grown, and poultry, cattle, goats, sheep, and buffaloes are raised.

Forestry and Mining
The annual timber harvest in the late 1980s was 16.5 million cu m (583 million cu ft). Mining has not been pursued on a major scale because of transportation problems. Some lignite and mica, however, have been extracted.

Manufacturing
Most of Nepal's manufacturing activity is based on the natural resources and agricultural products of the country. Cotton textiles, pulp and paper, construction materials, processed food, cigarettes, and footwear are among Nepal's products.

Energy
Nepal's great hydroelectric power potential has not been extensively developed because of the high cost of constructing facilities. In the late 1980s only about 538 million kwh of electricity was generated each year in Nepal; about 95% was produced in hydroelectric plants.

Transportation
Porters and pack animals still carry much of the freight within Nepal. The country has only about 2800 km (about 1740 mi) of paved roads. Roads have been completed across the country and from Kathmandu to Tibet. Two short railroad lines operate between Nepal and India. The government operates Royal Nepal Airlines; airports serve Kathmandu and Biratnagar. A 42-km (26-mi) long ropeway carries freight between Hetauda and Kathmandu.

Currency and Banking
The unit of currency, the Nepalese rupee (28.3 rupees equal U.S.$1; 1990), is divided into 100 paisa. The Nepal Rastra Bank (1956) is the government bank of issue. The Nepal Bank and the Rastriya Banijya Bank are the country's main commercial banks.

Foreign Trade
Clothing, carpets, foodstuffs, and leather goods are exported by Nepal, and consumer goods, transportation equipment, fertilizer, petroleum products, and chemicals are imported. Nepal usually imports more than it exports each year; in the late 1980s annual imports cost about $571 million, and exports earned about $156 million. India is by far the leading trade partner. Tourism and the earnings abroad of Gurkha soldiers are important sources of foreign exchange.

History
Forces under a raja of the Rajput military caste, in flight from invading Muslims, overran Nepal in 1324, and his descendants continued to rule until 1768. In the latter year the country was seized by invading Gurkhas. Following consolidation of their power, the Gurkhas attempted (1790) the conquest of Tibet, but they were defeated two years later by a Chinese force, which briefly occupied part of Nepal. Relations between the Gurkhas and the British in India were governed by treaty from 1791 to 1803, when, as a result of frontier disputes, the British withdrew their representative from the Nepalese capital. Friction increased steadily during the next decade, and finally, in November 1814, the British declared war on Nepal. The ensuing conflict ended (1815) in victory for the British. Under the terms of the peace agreement, ratified in 1816, the Nepalese government relinquished an extensive section of the Terai and other border territories. Pro- and anti-British groups in the ruling circles of Nepal contended for power during the next 30 years. In 1846 the pro-British army leader Sir Jung Bahadur (1816-77) of the Rana family seized control of the government and became prime minister. Jung Bahadur initiated a long period of political domination by the Rana family, in which the office of prime minister was made hereditary. In 1854 Jung Bahadur launched a successful invasion of Tibet. By the provisions of the peace treaty in 1856 Tibet granted diplomatic and commercial rights to Nepal and agreed in addition to the payment of a yearly tribute. Nepal rendered valuable assistance to the British during the Sepoy Mutiny (1857-59) and during World War I. The British government reaffirmed the independence of Nepal by the terms of a treaty concluded in 1923. Nepal supported the Allied cause during World War II. Nepal and the United States established diplomatic relations in 1948.

The hereditary Rana regime was subjected to increasing criticism during 1949, particularly by dissidents residing in India. The political-reform movement, which was approved by the Indian government and directed by the newly created Nepalese Congress party, won the support of King Bir Bikram Tribhuvana (1906-55). Like his predecessors under the Ranas, he possessed purely nominal powers. His intervention in domestic politics deepened the crisis, however, and on November 7, 1950, Prime Minister Maharaja Mohan Shumsher Rana (1885- ) removed him from the throne. A few days later the king fled to India, and Nepalese Congress insurgents began military operations along the southern frontier. The Indian prime minister Jawaharlal Nehru, refusing to recognize King Tribhuvana's deposition, requested the reorganization of the Nepalese government along democratic lines and the election of a constituent assembly.

Prime Minister Rana acceded to Nehru's suggestions on January 8, 1951. Within the next few weeks representatives of the Congress party were installed in the cabinet. The king returned to the Nepalese capital on February 15. Friction between the Rana and Congress party factions culminated on November 16, 1951, in the removal of Prime Minister Rana from power and the formation of a Congress party-Independent cabinet headed by the Congress party leader Matrika Prasad Koirala (1912- ).

As a first step toward the establishment of constitutional rule, the king convened an advisory assembly at Kathmandu on July 4, 1952. Supporters of the old aristocratic regime opposed the democratic trend, and the new system began to break down. During the remainder of the decade political unrest continued, with several changes of government and intervals in which the king resumed direct rule. King Tribhuvana died in 1955 and was succeeded by his son Mahendra Bir Bikram (1920-72). In February 1958, the king promulgated the country's first democratic constitution, and the next year the first Nepalese elections were held for a parliament consisting of two houses. The result was an overwhelming victory for the Congress party, and Bisheswar Prasad Koirala (1915-82), half brother of the former prime minister, formed a government. In December 1960, declaring that the regime had been corrupt and inefficient, King Mahendra dismissed the government and suspended Parliament. The king, considering the parliamentary system unsuited to Nepalese conditions, proclaimed a new constitution in 1962. The government then instituted social reforms, including land reform and modernizing the legal code to remove the basis for caste discrimination.

When the king died in 1972, he was succeeded by his son Birendra Bir Bikram (1945- ), who was formally crowned in 1975. The young king initially exercised strong control over the government, attempting to repress the reform movement led by former prime minister Bisheswar Prasad Koirala. As antimonarchist sentiments grew in the late 1970s and serious riots challenged his authority, the king relaxed his grip somewhat.

In a 1980 referendum on the form of government, the voters decided to retain the present nonparty panchayat system with certain modifications. Elections under the new provisions were held in 1981 and 1986. After a new wave of prodemocracy protests in early 1990, the king ended the 30-year ban on political parties, and a multiparty coalition government took office in April. In May 1991 the Nepali Congress party won the country's first democratic election in 32 years, and the party's general secretary, Girija Prasad Koirala (1925- ), the brother of Bisheswar Prasad Koirala, became prime minister.