About this quiz
50 questions covering every section of the note.
This Lok Sewa practice set has 50 multiple-choice questions (Subject: Economics and Planning · For: Kharidar, Nayab Subba, Section Officer · Level: Easy). Take the quiz above first; after that, use the study list below to revise every question with its correct answer and a short explanation.
Study list: all 50 questions with answers and explanations
Nepal's First Five-Year Plan started in:
- A) 2007 BS
- B) 2013 BS ✔
- C) 2019 BS
- D) 2022 BS
Why: Nepal's planned development began with the First Five-Year Plan, which ran from 2013 to 2018 BS (1956 to 1961 AD). It was prepared soon after the democratic change of 2007 BS, mostly with foreign aid.
Who chairs the National Planning Commission?
- A) President
- B) Prime Minister ✔
- C) Finance Minister
- D) Governor of NRB
Why: The Prime Minister is the ex-officio chairperson of the National Planning Commission (NPC). Day-to-day work is led by the full-time Vice-Chairperson, with members who are experts in different sectors.
Which plan was the first three-year plan of Nepal?
- A) First
- B) Second ✔
- C) Third
- D) Eighth
Why: The Second Plan (2019 to 2022 BS) was Nepal's first three-year plan. The First Plan was five-year, and from the Third Plan (2022 to 2027 BS) Nepal returned to five-year plans.
The period with no periodic plan (plan holiday) was:
- A) 2018 to 2019 BS
- B) 2047 to 2049 BS ✔
- C) 2064 to 2067 BS
- D) 2076 to 2077 BS
Why: After the People's Movement of 2046 BS, the political transition left no periodic plan from 2047 to 2049 BS. This gap is called the plan holiday. Planning resumed with the Eighth Plan in 2049 BS.
Which plan was the first after restoration of democracy in 2046 BS?
- A) Seventh
- B) Eighth ✔
- C) Ninth
- D) Tenth
Why: The Eighth Plan (2049 to 2054 BS) was the first periodic plan after democracy was restored in 2046 BS. It came right after the plan holiday of 2047 to 2049 BS.
Which plan had poverty alleviation as its single main goal?
- A) Eighth
- B) Ninth ✔
- C) Tenth
- D) Eleventh
Why: The Ninth Plan (2054 to 2059 BS) set poverty alleviation as its single main objective. Exams often pair it with the Tenth Plan, which continued this goal as the Poverty Reduction Strategy Paper (PRSP).
The Tenth Plan was also known as:
- A) PRSP ✔
- B) MDG plan
- C) SDG plan
- D) Basic needs plan
Why: The Tenth Plan (2059 to 2064 BS) also served as Nepal's Poverty Reduction Strategy Paper (PRSP), a document prepared with the World Bank and IMF framework for poverty reduction.
How many three-year interim plans followed the Tenth Plan?
- A) Two
- B) Three
- C) Four ✔
- D) Five
Why: After the Tenth Plan, Nepal had four three-year plans because of the political transition: the 11th (from 2064/65), 12th (2067/68), 13th (2070/71) and 14th (2073/74 to 2075/76).
The long-term vision "Prosperous Nepal, Happy Nepali" was set by the:
- A) Tenth Plan
- B) Fifteenth Plan ✔
- C) Eighth Plan
- D) Second Plan
Why: The Fifteenth Plan (2076/77 to 2080/81) introduced the long-term vision 'Prosperous Nepal, Happy Nepali' (Samriddha Nepal, Sukhi Nepali). It was also the first plan prepared under the federal system.
The long-term vision targets the year:
- A) 2090 BS
- B) 2100 BS ✔
- C) 2110 BS
- D) 2085 BS
Why: The 'Prosperous Nepal, Happy Nepali' vision is a 25-year vision that targets 2100 BS. Each five-year plan from the Fifteenth onwards is meant to move Nepal step by step towards it.
The current (Sixteenth) Plan period is:
- A) 2076/77 to 2080/81
- B) 2081/82 to 2085/86 ✔
- C) 2070 to 2073
- D) 2064 to 2067
Why: The Sixteenth Plan covers 2081/82 to 2085/86, the five fiscal years after the Fifteenth Plan ended in 2080/81. It is the current periodic plan of Nepal.
The First Plan gave top priority to:
- A) Industry
- B) Transport and communication ✔
- C) Tourism
- D) Education
Why: In the First Plan (2013 to 2018 BS), transport and communication got the largest share of spending, because roads and links were the base needed for any other development at that time.
The First Plan was mainly funded by:
- A) Domestic taxes
- B) Foreign aid ✔
- C) Remittance
- D) Loans from NRB
Why: Nepal had very little domestic revenue in 2013 BS, so the First Plan was funded mostly by foreign aid, mainly from the USA and India. Remittance was not a major source then.
The Seventh Plan is linked with which programme?
- A) Basic needs programme ✔
- B) PRSP
- C) SDG
- D) Green economy
Why: The Seventh Plan (2042 to 2047 BS) is linked with the Basic Needs Programme, launched in 2044 BS to meet people's basic needs such as food, clothing, housing, health and education.
The National Planning Commission was established in:
- A) 2007 BS
- B) 2013 BS ✔
- C) 2017 BS
- D) 2047 BS
Why: A central planning body was set up in 2013 BS, the same year the First Plan began. It is the institution now called the National Planning Commission, Nepal's apex body for periodic plans.
The framework linking the plan with the budget for three years is:
- A) MTEF ✔
- B) PRSP
- C) SDG
- D) HDI
Why: MTEF (Medium-Term Expenditure Framework) links the periodic plan with the annual budget over three years, so that projects get money according to plan priorities. Nepal introduced it with the Tenth Plan.
How many periodic plans has Nepal prepared, including the current one?
- A) Twelve
- B) Fourteen
- C) Sixteen ✔
- D) Eighteen
Why: Nepal has prepared sixteen periodic plans, from the First Plan of 2013 BS to the current Sixteenth Plan (2081/82 to 2085/86). Some were five-year and some were three-year plans.
Plans after 2064 BS were three-year because of:
- A) A transition after the People's Movement ✔
- B) A war with India
- C) Lack of foreign aid
- D) Monarchy
Why: After the People's Movement of 2062/63 BS, Nepal was in a political transition with an interim constitution and Constituent Assembly. So the 11th to 14th plans were short three-year interim plans.
Nepal's plans are linked to global goals called:
- A) MDGs only
- B) SDGs ✔
- C) IMF goals
- D) WTO rules
Why: Since the Fifteenth Plan, Nepal's plans are linked with the Sustainable Development Goals (SDGs), the 17 global goals of the UN Agenda 2030. Earlier plans were linked with the MDGs (2000 to 2015).
The yearly document that puts the plan into action is the:
- A) Constitution
- B) Budget ✔
- C) Economic Survey only
- D) Census
Why: A periodic plan sets five-year goals, but money is spent each year through the annual budget. The budget turns plan priorities into programmes and spending for that fiscal year.
The National Planning Commission is chaired by the:
- A) Prime Minister ✔
- B) President
- C) Finance Minister
- D) NPC Secretary
Why: The Prime Minister is the chairperson of the NPC, which shows that planning is guided at the highest level of government. The Finance Minister is a member, not the chair.
The full-time head of the NPC is the:
- A) Vice-Chairperson ✔
- B) Chief Secretary
- C) Governor
- D) Speaker
Why: The Vice-Chairperson is the full-time executive head of the NPC and runs its daily work. The Prime Minister is chairperson only in an ex-officio role.
The First Plan (2013–2018 BS) gave top priority to:
- A) Transport and communication ✔
- B) Industry
- C) Tourism
- D) Health
Why: The First Plan put transport and communication first, because roads, airports and links were the infrastructure needed before industry, tourism or health could grow.
The Third Plan period was:
- A) 2022–2027 BS ✔
- B) 2019–2022 BS
- C) 2027–2032 BS
- D) 2013–2018 BS
Why: The Third Plan ran from 2022 to 2027 BS. After the three-year Second Plan (2019 to 2022 BS), Nepal went back to five-year plans with the Third Plan.
The Seventh Plan (2042–2047 BS) is linked with the:
- A) Basic Needs Programme ✔
- B) PRSP
- C) Prosperous Nepal
- D) Poverty only
Why: The Seventh Plan is remembered for the Basic Needs Programme of 2044 BS, which aimed to meet everyone's basic needs, such as food, shelter, health and education, by 2057 BS.
The Eighth Plan period was:
- A) 2049–2054 BS ✔
- B) 2047–2049 BS
- C) 2054–2059 BS
- D) 2042–2047 BS
Why: The Eighth Plan ran from 2049 to 2054 BS. It started right after the plan holiday (2047 to 2049 BS) and was the first plan after the restoration of democracy.
The Ninth Plan period was:
- A) 2054–2059 BS ✔
- B) 2049–2054 BS
- C) 2059–2064 BS
- D) 2064–2067 BS
Why: The Ninth Plan ran from 2054 to 2059 BS and had poverty alleviation as its single main objective. It came between the Eighth Plan (2049 to 2054) and the Tenth Plan (2059 to 2064).
The Tenth Plan period was:
- A) 2059–2064 BS ✔
- B) 2054–2059 BS
- C) 2064–2067 BS
- D) 2067–2070 BS
Why: The Tenth Plan ran from 2059 to 2064 BS and is known as the PRSP. It was the last five-year plan before the run of four three-year interim plans began in 2064 BS.
PRSP stands for:
- A) Poverty Reduction Strategy Paper ✔
- B) Planned Rural Social Programme
- C) Public Revenue Sharing Plan
- D) Provincial Reform Strategy Plan
Why: PRSP stands for Poverty Reduction Strategy Paper. Nepal's Tenth Plan (2059 to 2064 BS) served as its PRSP, focused on broad-based growth, social inclusion, good governance and targeted programmes.
The Eleventh Plan (first three-year interim) began in:
- A) 2064 BS ✔
- B) 2059 BS
- C) 2067 BS
- D) 2070 BS
Why: The Eleventh Plan, the first three-year interim plan, began in 2064 BS (2064/65 to 2066/67), right after the Tenth Plan ended, during the post-2063 political transition.
The Fourteenth Plan period was:
- A) 2073/74–2075/76 ✔
- B) 2070/71–2072/73
- C) 2076/77–2080/81
- D) 2067/68–2069/70
Why: The Fourteenth Plan ran from 2073/74 to 2075/76. It was the last of the four three-year plans; Nepal then returned to five-year plans with the Fifteenth Plan in 2076/77.
The Fifteenth Plan period was:
- A) 2076/77–2080/81 ✔
- B) 2073/74–2075/76
- C) 2081/82–2085/86
- D) 2064/65–2066/67
Why: The Fifteenth Plan ran from 2076/77 to 2080/81. It was a five-year plan, the first prepared under the federal system, and it introduced the 'Prosperous Nepal, Happy Nepali' vision.
The Fifteenth Plan was the first plan after:
- A) Federalism under the 2072 constitution ✔
- B) Panchayat
- C) Rana rule
- D) 2046 movement
Why: The Constitution of Nepal 2072 created three levels of government. The Fifteenth Plan (from 2076/77) was the first periodic plan made for this federal structure.
MTEF stands for:
- A) Medium-Term Expenditure Framework ✔
- B) Monthly Tax Estimate Form
- C) Medium-Term Economic Forecast
- D) Ministry Training Evaluation Framework
Why: MTEF means Medium-Term Expenditure Framework. It estimates spending for the coming three years and links the periodic plan with each annual budget, helping to prioritise projects.
SDGs are to be achieved by:
- A) 2030 ✔
- B) 2015
- C) 2050
- D) 2100
Why: The UN adopted the Sustainable Development Goals in 2015 as 'Agenda 2030', so the target year is 2030. Nepal's Fifteenth and Sixteenth Plans include SDG targets.
How many SDGs are there?
- A) 17 ✔
- B) 8
- C) 10
- D) 21
Why: There are 17 Sustainable Development Goals with 169 targets, covering poverty, hunger, health, education, gender equality, clean water, energy, climate, peace and partnerships.
The MDGs (2000–2015) had how many goals?
- A) 8 ✔
- B) 17
- C) 10
- D) 5
Why: The Millennium Development Goals had 8 goals for 2000 to 2015, such as ending extreme poverty and achieving universal primary education. They were followed by the 17 SDGs.
The Second Plan was for how many years?
- A) Three ✔
- B) Five
- C) Two
- D) Four
Why: The Second Plan (2019 to 2022 BS) lasted three years. It was Nepal's first three-year plan; the First Plan and the plans from the Third onwards were five-year plans.
The plan holiday was caused by:
- A) Political change after 2046 ✔
- B) Earthquake
- C) War
- D) Famine
Why: The plan holiday of 2047 to 2049 BS came from the political change after the People's Movement of 2046 BS, which ended the Panchayat system. No new plan was made until the Eighth Plan.
Which body evaluates development projects nationally?
- A) NPC ✔
- B) NRB
- C) CIAA
- D) PSC
Why: Besides making plans, the NPC monitors and evaluates national development projects and programmes. NRB handles monetary policy, CIAA checks corruption and PSC selects civil servants.
Provincial plans in Nepal are prepared by:
- A) Provincial Planning Commissions ✔
- B) NPC only
- C) Ministry of Finance
- D) Local levels
Why: Under federalism, each province has its own Provincial Planning Commission that prepares the provincial periodic plan. The NPC prepares the federal plan, and local levels make their own plans.
The Agriculture Perspective Plan (APP) was a:
- A) 20-year plan for agriculture ✔
- B) 5-year industrial plan
- C) Tourism plan
- D) Hydropower plan
Why: The Agriculture Perspective Plan was a 20-year plan (2052/53 to 2072/73 BS) to raise agricultural growth through irrigation, fertiliser, roads, power and technology.
Which plan introduced the concept of regional development (development regions)?
- A) Fourth Plan ✔
- B) First Plan
- C) Tenth Plan
- D) Fifteenth Plan
Why: The Fourth Plan (2027 to 2032 BS) introduced regional development. Nepal was divided into development regions in 2029 BS, which later became five development regions.
The Sixteenth Plan aims at:
- A) Good governance, social justice and prosperity ✔
- B) Only tourism
- C) Only hydropower
- D) Panchayat goals
Why: The main theme of the Sixteenth Plan (2081/82 to 2085/86) is good governance, social justice and prosperity. It continues the long-term vision of 'Prosperous Nepal, Happy Nepali'.
The NPC was established in:
- A) 2013 BS ✔
- B) 2007 BS
- C) 2046 BS
- D) 2072 BS
Why: Nepal's central planning body was set up in 2013 BS, when planned development began with the First Plan. It later took the name National Planning Commission.
The budget implements plans on a:
- A) Yearly basis ✔
- B) Five-year basis
- C) Monthly basis
- D) Decade basis
Why: A periodic plan covers several years, but the budget is made for one fiscal year at a time. Each year's budget puts that year's part of the plan into action.
Development planning in Nepal started with help from:
- A) Foreign aid (USA, India) ✔
- B) Domestic tax only
- C) World Bank only
- D) China only
Why: Nepal had little domestic revenue in the 2010s BS, so the First Plan depended on foreign aid, mainly from the USA and India. Domestic tax alone could not fund development then.
Which plan made poverty reduction its sole objective?
- A) Ninth ✔
- B) Eighth
- C) Tenth
- D) Twelfth
Why: The Ninth Plan (2054 to 2059 BS) is the plan with poverty alleviation as its sole objective. The Tenth Plan also focused on poverty, but as the broader PRSP strategy.
How many periodic plans has Nepal completed before the Sixteenth?
- A) Fifteen ✔
- B) Ten
- C) Twelve
- D) Sixteen
Why: Fifteen plans were completed before the current Sixteenth Plan, from the First Plan (2013 BS) to the Fifteenth Plan (ended 2080/81).
Nepal's long-term vision is set for the year:
- A) 2100 BS ✔
- B) 2090 BS
- C) 2030 AD
- D) 2050 BS
Why: Nepal's long-term vision 'Prosperous Nepal, Happy Nepali' targets 2100 BS. It was set in the Fifteenth Plan and is a different target from the UN SDG year of 2030 AD.