Sovereign AI Compute Center to be Established in Syuchatar
Through the budget for the upcoming fiscal year 2083/84, the government has announced structural reforms in the information and communication sector, expansion of digital infrastructure, and increased access to communication services. Allocating a total of Rs. 5.13 billion for the information and communication sector, priority has been given to telecommunications, social media regulation, secure printing, and public welfare advertisements.
The government has announced that it will present a bill related to the Telecommunications Authority in Parliament within the coming year to revise the regulatory structure of the telecommunications sector. The use of the latest technology will be accelerated, and access to quality telecommunications services will be expanded. Priority has been given to expanding quality telephone services and networks in Karnali and Sudurpaschim provinces, which are affected by geographical remoteness and weak network problems.
Along with communication infrastructure, the government has also announced restructuring in the government printing system. The government plans to establish a secure printing institution by integrating government printing-related structures currently operated through various agencies. This step is expected to systematize the government printing system and strengthen the security of sensitive documents.
Emphasizing the expansion of the digital economy, the government has introduced a policy to encourage the expansion of business activities through social media registered in Nepal. This is viewed as an effort to bring social media platforms into the formal framework and include the digital market within the tax and regulatory structure.
For the economic strengthening of media outlets, the government has allocated Rs. 330 million for public welfare advertisements disseminated through print and electronic media.
The government has also introduced a plan to lead Nepal into the era of artificial intelligence (AI). Through the budget, the government has announced the establishment of the country’s first “Sovereign AI Compute Center,” prioritizing AI infrastructure, human resource development, and the creation of a digital economy.
According to the budget statement presented in Parliament on Friday by Finance Minister Dr. Swarnim Wagle, the country’s first Sovereign AI Compute Center will be established in Syuchatar, Kathmandu. Through this center, the government plans to purchase thousands of AI processing units and provide computing capacity at concessional rates to AI entrepreneurs, researchers, and startup companies.
The government has also prioritized the concept of transforming clean hydropower energy produced in Nepal into high-value digital services. The budget statement presents a proposal to convert hydropower energy into AI compute services, signaling that energy production will not be limited only to electricity sales but will also be linked with the digital economy.
The government has also begun efforts to bring back Nepali talent working internationally in the AI sector. The budget mentions that in the upcoming fiscal year, at least 15 internationally renowned Nepali AI researchers will be invited to contribute to research, innovation, and policymaking in Nepal by providing prestigious fellowships.
The government has also emphasized the development of human capital required for AI-centered economic transformation. In particular, it has announced high priority for academic subjects considered fundamental for AI development, including mathematics. This is viewed as an indication of further strengthening science, technology, engineering, and mathematics education in schools and higher education.
Artificial intelligence (AI)