Nepal - Industry, value added (% of GDP)

Industry, value added (% of GDP) in Nepal was 11.80 as of 2020. Its highest value over the past 55 years was 21.49 in 1996, while its lowest value was 7.86 in 1975.

Definition: Industry corresponds to ISIC divisions 10-45 and includes manufacturing (ISIC divisions 15-37). It comprises value added in mining, manufacturing (also reported as a separate subgroup), construction, electricity, water, and gas. Value added is the net output of a sector after adding up all outputs and subtracting intermediate inputs. It is calculated without making deductions for depreciation of fabricated assets or depletion and degradation of natural resources. The origin of value added is determined by the International Standard Industrial Classification (ISIC), revision 3 or 4.

Source: World Bank national accounts data, and OECD National Accounts data files.

See also:

Year Value
1965 10.85
1966 9.03
1967 9.82
1968 10.08
1969 10.36
1970 11.46
1971 9.14
1972 9.09
1973 9.59
1974 8.71
1975 7.86
1976 8.45
1977 10.54
1978 11.14
1979 11.20
1980 11.17
1981 11.53
1982 12.05
1983 11.99
1984 11.83
1985 14.27
1986 15.00
1987 14.96
1988 15.18
1989 15.65
1990 15.35
1991 16.45
1992 19.40
1993 19.52
1994 20.39
1995 21.27
1996 21.49
1997 21.40
1998 21.08
1999 20.44
2000 20.74
2001 16.66
2002 16.95
2003 16.97
2004 16.66
2005 16.47
2006 16.07
2007 15.87
2008 16.05
2009 15.07
2010 14.20
2011 13.59
2012 13.98
2013 13.80
2014 13.56
2015 13.16
2016 12.66
2017 12.86
2018 13.20
2019 13.01
2020 11.80

Limitations and Exceptions: Ideally, industrial output should be measured through regular censuses and surveys of firms. But in most developing countries such surveys are infrequent, so earlier survey results must be extrapolated using an appropriate indicator. The choice of sampling unit, which may be the enterprise (where responses may be based on financial records) or the establishment (where production units may be recorded separately), also affects the quality of the data. Moreover, much industrial production is organized in unincorporated or owner-operated ventures that are not captured by surveys aimed at the formal sector. Even in large industries, where regular surveys are more likely, evasion of excise and other taxes and nondisclosure of income lower the estimates of value added. Such problems become more acute as countries move from state control of industry to private enterprise, because new firms and growing numbers of established firms fail to report. In accordance with the System of National Accounts, output should include all such unreported activity as well as the value of illegal activities and other unrecorded, informal, or small-scale operations. Data on these activities need to be collected using techniques other than conventional surveys of firms.

Statistical Concept and Methodology: Gross domestic product (GDP) represents the sum of value added by all its producers. Value added is the value of the gross output of producers less the value of intermediate goods and services consumed in production, before accounting for consumption of fixed capital in production. The United Nations System of National Accounts calls for value added to be valued at either basic prices (excluding net taxes on products) or producer prices (including net taxes on products paid by producers but excluding sales or value added taxes). Both valuations exclude transport charges that are invoiced separately by producers. Total GDP is measured at purchaser prices. Value added by industry is normally measured at basic prices.

Aggregation method: Weighted average

Periodicity: Annual

General Comments: Note: Data for OECD countries are based on ISIC, revision 4.

Classification

Topic: Economic Policy & Debt Indicators

Sub-Topic: National accounts