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DOCKING NEPAL’S ECONOMIC ANALYSIS
International Economy With 55.1% of the world’s population vaccinated with at least one dose of vaccine, many countries are removing the travel restriction for fully vaccinated visitors. The opening of the borders worldwide has helped countries feel some relief. Opening the border in a safe and controlled way can lead to global economic recovery, as many advanced economies’ supply chains depend upon air transport for integration in the global economy and many other countries’ economies depend upon inbound tourism. Opening Borders: The United States has opened its 20-months long border closure to fully vaccinated foreign visitors from November 2021. Vaccines approved by the US Food and Drug Administration and the World Health Organization would be accepted for entry by air.15 Even with the United States being wide open, local, and statelevel restrictions still apply.16 Similarly, Australia after 600 days of closing its international border has taken steps to gradually reopen. The border is open to fully vaccinated New Zealander and Singaporean travellers with a negative COVID-19 test taken 72 hours before departure.17 Australian and permanent residents are permitted to leave the country with no exemption18. In addition, the Australian government has announced to allow foreign students and skilled workers to enter the country from December 2021.19 The opening of borders is an indication of economic recovery for sectors that heavily depend on tourism. According to the estimation of the World Travel
and Tourism Council, closure of borders has cost the tourism sector a loss of USD 2,600 billion.20 G20 Outcomes: The G20 summit was held from October 30 -31, 2021 in Italy. It has led countries to contribute to limit global warming with significant and effective action but only a few concrete commitments were made. The G20 leaders have fallen short on the pledged target of zero emission and have further pledged to reach the target of net-zero carbon emissions by or around mid-centuries instead of specifying a year. The G20 countries have agreed not to fund new dirty coal plants abroad by 2021 end of 2021. The leaders have acknowledged setting a minimum carbon price for polluting countries by using carbon pricing mechanisms and incentives. In the summit, the countries approved new global regulation for tax billing for a stable and fair international tax system around the world that will tax a minimum of 15% to multinational companies.
Leaders also pledged to help the World Health Organization's target of vaccinating 40% of the world population against COVID-19 by 2021, and 70% by next year by removing financial and supply constraints and supplying vaccines to developing countries.21 COP26 Outcomes: The COP 26 summit held at Glasgow from 9-19 November, had a record number of delegates gathered to act against climate change. Despite the various commitments made by the countries to reduce the use of fossil fuel and the amount of carbon emission has left many disappointed as COP failed to provide vulnerable countries with the required funds to rebuild and respond to climate change.22 The summit has planned to come together next year with a stronger 2030 emission target and limit global warming to 1.5°C. The action to be taken against the use of fossil fuel is a good start since it was not mentioned in the previous COP agreement. Countries came to a consensual agreement on matters like
