Nepal has a growing population of educated and motivated young people, yet many struggle to find meaningful employment because their education does not adequately prepare them for the realities of the workplace. Employers often report that graduates lack practical experience and essential skills such as communication, teamwork, problem-solving, and adaptability. Although access to education and vocational training has expanded, a significant gap remains between what young people learn, and the skills employers need. This mismatch contributes to underemployment and affects both young people’s employment prospects and businesses’ ability to find skilled employees. The project addresses this challenge through the Practice Enterprise (PE) model, an innovative learning approach that enables young people to gain hands-on experience in simulated business environments before entering the workforce.
The project introduces and institutionalises the Practice Enterprise (PE) model in Nepal, giving young people practical experience in simulated environments that reflect real-world business operations. Through PEs hosted by TVET schools, universities, and job facilitation platforms, participants will develop skills in areas such as marketing, accounting, human resources, procurement, customer relations, and digital business operations.
The approach combines experiential learning with industry-relevant skills development. Expertise from Practice Enterprise Network (PEN) Worldwide will support the initial design and implementation, while strengthening the capacity of local partners to manage the model in the long term.
The project will establish four pilot PEs and train 700 young people. Job portals will take a leading role in managing and expanding the model, educational institutions will host training and provide infrastructure, and private sector companies will contribute mentoring and workplace insights. The project will also support the integration of the PE model into academic calendars and employment services.
By connecting education providers, employers, and job facilitation services more closely, the project aims to improve youth employability, reduce skills mismatches, and strengthen the transition from education to employment.
The project promotes an innovative learning-by-doing approach that enables participants to develop workplace competencies in a risk-free environment before entering employment. It focuses on digital literacy, communication, teamwork, problem-solving, leadership, and entrepreneurship.
The initiative is designed to be inclusive, with 60% of participants coming from discriminated groups and 50% being women. Sustainability is built into the approach through partnerships with job portals, which will gradually take on management responsibilities and integrate PE training into their services.
The project also aims to establish a national framework and quality assurance mechanism for Practice Enterprises, laying the foundation for future expansion across Nepal. In doing so, it contributes to broader efforts to strengthen school-to-work transitions, digitalisation, and the responsiveness of Nepal’s skills development system to labour market needs.