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Survivors of the September 1 earthquakes in Afghanistan’s Kunar province are refusing to return to their villages, fearing landslides and aftershocks. The disaster killed over 2,200 people and injured more than 3,600, destroying thousands of homes. Many are sheltering in open fields or along riverbanks, anxious about falling rocks.

Rugged terrain and poor infrastructure have slowed relief efforts. Aid delivered by helicopter has reached some, but survivors report it is limited. In Shaheedan village, Shams-ur-Rahman, who lost six relatives, lives with his family beside a road, lacking even basic shelter. Displaced families remain vulnerable, awaiting more substantial aid and long-term support, according to Reuters.

US President Donald Trump announced that several European leaders will visit the United States this week to discuss the Russia-Ukraine conflict. Specific leaders and details were not disclosed.

According to Reuters, the announcement comes after Russia’s largest airstrike on Ukraine, which set Kyiv’s government building ablaze and killed at least four people, including an infant. Ukrainian President Volodymyr Zelenskiy condemned the attack and called for stronger air defenses.

Trump expressed concern over the ongoing war but said he remains confident in a resolution and plans to speak with Russian President Vladimir Putin soon.

Russia carried out its biggest air attack since the war began, striking Kyiv’s central government building and causing widespread damage across multiple cities. The overnight assault involved 805 drones and 13 missiles, with Ukrainian forces intercepting most. At least four people, including an infant, were killed, and more than 20 were injured. Residential areas in Kyiv and other cities such as Zaporizhzhia, Odesa, Sumy, and Chernihiv suffered extensive damage, Reuters reported.

Ukrainian President Volodymyr Zelenskiy condemned the strikes as deliberate attacks on civilians and called for stronger Western air defense support. European leaders, including Emmanuel Macron and Andrzej Duda, expressed solidarity, while US President Donald Trump hinted at escalating sanctions. In retaliation, Ukraine targeted Russia’s Druzhba oil pipeline, aiming to disrupt Russian energy infrastructure.

South Korea will repatriate hundreds of its citizens detained in a US immigration raid at a Hyundai battery plant in Georgia. About 475 workers were held, including around 300 South Koreans, in what US officials called the largest workplace enforcement action in years, Reuters reported.

Seoul said it will arrange a charter flight once administrative procedures are complete and expressed regret over images of heavily armed officers and shackled workers, calling the scenes distressing. The government also pledged to review visa processes to avoid similar incidents.

US authorities defended the operation, vowing more workplace raids and urging foreign companies to prioritize hiring and training American workers, according to Reuters.

French Prime Minister Francois Bayrou is expected to lose a confidence vote on Monday, likely toppling the country’s fourth government in three years and deepening political instability.

According to Xinhua, the fall of Bayrou’s minority cabinet threatens to stall decision-making as Europe grapples with Russia’s war in Ukraine, China’s rise, and trade disputes with the United States.

Markets are already reacting, with French borrowing costs climbing and investors warning of possible credit downgrades.

Egypt has named 48 women as judges to its State Council through entry-level appointments, a first in the country’s history. The move is part of wider efforts to modernize the judiciary and strengthen women’s role in public life, Xinhua reported.

Council chairman Osama Shalaby called it a “historic step” toward greater inclusion, building on the 2022 appointment of 98 women who joined through transfers from other courts.

One of the new judges, Samar Alaa, described the role as both an honor and a responsibility to serve justice and inspire others.

Founded in 1946, the State Council remains a key independent body handling administrative disputes, appeals, and legislative reviews.

Israel is weighing a US-brokered ceasefire plan that would halt its Gaza offensive and secure the release of hostages. The proposal, presented as President Donald Trump’s initiative, was also delivered to Hamas over the weekend, Xinhua reported.

Under the plan, all 48 hostages still in Gaza would be freed on the first day of the truce in exchange for thousands of Palestinian prisoners. Broader peace talks would then begin under Trump’s mediation.

Hamas signaled readiness to negotiate but demanded an end to the war, a full Israeli withdrawal, and a transitional Palestinian administration in Gaza. Families of hostages urged Prime Minister Benjamin Netanyahu to support the deal.

Trump said Israel had already accepted his terms and warned Hamas of consequences if it refused. Gaza health officials say more than 64,000 Palestinians have been killed since October 2023, according to Xinhua.

Political instability, once perceived as distant geopolitical threats, has become a disruptive force shaping everyday realities, rising prices, fluctuating job prospects, and uncertain entrepreneurial environments. In 2025, with an increasingly fragmented global order, the nexus between geopolitics and economics is undeniable. Decisions made in Washington, Brussels, or Beijing may seem remote, but their repercussions ripple into nations like Nepal, influencing consumer prices, employment patterns, and business viability.

For decades, globalization facilitated the liberal movement of goods, capital, and services. However, recent disruptions such as trade wars, sanctions, and cross-border investment restrictions have undermined that stability. For instance, the 2025 tariff escalation between the United States and China destabilized international supply chains, forcing companies to either absorb higher logistics costs or pass them onto consumers. These global shifts are reflected locally higher import prices and delayed access to essential technologies impact Nepalese households and businesses alike.

The broader macroeconomic impact is staggering. Political and Economic volatility has already eroded over $320bn in global corporate profits. The World Bank (2024) projects that continued geopolitical instability could reduce global GDP by two percent over five years equating to over $2trn. Corporations, facing earnings declines, are responding by freezing hiring, withdrawing from emerging markets, and redesigning business models to hedge against policy unpredictability.

This creates a hostile environment for job seekers and entrepreneurs in countries like Nepal. Risk-averse global investors hesitate to fund startups in politically fragile environments. According to McKinsey & Company (2025), 80 percent of global supply chain leaders have begun regionalizing operations to mitigate geopolitical risk, a trend that could bypass Nepal unless it strengthens domestic infrastructure and governance.

Furthermore, evolving legal and regulatory frameworks present additional challenges. Countries are instituting laws that restrict foreign ownership or control of strategic technologies, complicating cross-border business operations. As one global legal expert remarked, “Geopolitics is the new GDPR (General Data Protection Regulation.),” referencing the complexity of navigating geopolitical compliance as per the news media. For Nepalese youth seeking global opportunities, this means more bureaucratic red tape and fewer international openings.

Nepal, though geographically distant from global epicenters, remains vulnerable to these external shocks. Domestically, persistent political instability exacerbates the situation. Since its democratic transition in 2008, Nepal has witnessed 14 different governments, averaging one administration every 14 months. This political churn stymies policy continuity and deters investor confidence (CESIF, 2025). At the 2025 Kantipur Economic Summit, local business leaders cited high taxes, bureaucratic inertia, and inconsistent regulatory enforcement as key barriers to growth. Foreign direct investment (FDI) pledges for 2024 stood at Rs 56bn, yet only 35 percent of that materialized into actual capital inflows.

Migration trends further underscore Nepal’s economic fragility. The outflow of youth has intensified, with over 700,000 Nepalis departing for employment abroad in FY 2023/24 alone (Department of Foreign Employment, 2024). While remittances stabilize household consumption, they signify a loss of human capital crucial for national development. Youth unemployment remains alarmingly high at 19.2 percent (International Labour Organization, 2023), fueling this exodus.

Infrastructure bottlenecks further hinder growth. Flagship projects like the Nijgadh International Airport remain stalled due to environmental and bureaucratic disputes. Nepal’s poor ranking 111th out of 132 countries in the 2024 Global Innovation Index (WIPO, 2024) illustrates the policy and infrastructural deficits throttling innovation. Despite its growing tech-savvy population, Nepal lacks the ecosystem to support digital entrepreneurship or attract global investors.

Corruption, opaque regulations, and arbitrary enforcement discourage local enterprise. As per the Transparency International 2024 Nepal ranks in 107th position out of 180 countries in its Corruption Perceptions Index. Startups often encounter unpredictable tax regimes and cumbersome approval processes. As one young entrepreneur in Lalitpur recounted, “Investors liked my idea but warned me that Nepal’s political climate is too risky. One even suggested relocating to Bangalore.”

The consequences are visible in everyday life: fewer businesses mean fewer jobs; declining investment translates to limited services and slower income growth.

Yet, amid these challenges, Nepal holds transformative potential. With one of the youngest demographics in South Asia, abundant hydropower reserves, and proximity to India and China, Nepal could become a regional hub for clean energy, digital trade, and ecotourism. The missing link is political coherence and policy continuity.

For MBA students and young professionals, understanding this interplay is critical. Advocacy, informed participation, and institutional engagement are essential. By supporting transparency, economic reform, and democratic accountability, Nepal’s youth can shape a more resilient future. Businesses too must adapt developing agile strategies, risk mitigation mechanisms, and local market depth to survive in this volatile environment.

Global instability is not an abstract concept. It affects your startup potential, your career trajectory, and your nation's competitiveness. The question is not whether Nepal will be impacted but how it will respond.

Anupama Paudel 

Anisha Shakya

MBA (Global Business)

SAIM College