Nepal has asked the UN Loss-and-Damage Fund for a financial compensation of $20m after the BhoteKoshi flash floods of 26 August 2026. However, this would be just around 0.5% of the total economic losses and physical damages due to the flash floods.
Currently the total economic losses due to the catastrophic floods have been put at $2.7bn. More than 1,400 people were killed and thousands were left unaccounted for after flash floods struck Nepal.
According to a report by Yahoo Finance, the UN Loss-and-Damage Fund was established in 2023. Between December 2025 and July 2026, the Fund received 176 applications seeking more than $2.8bn. However, as of September 2026, no country had received any money from the fund. The Fund allows a maximum of $20m as financial compensation for any one country for a single CAT event.
Nepal's disaster management authority estimated about $2.7bn in physical damage and economic losses from the floods. Add another $4.8bn in recovery and reconstruction costs, and the country's $20m request looks even smaller against its overall need.