Despite the shift in approaches in development goals; from exclusion to inclusion, Millennium Development Goals have not directly address disability issues in its previous form. However, without mainstreaming disability issues, poverty and inequality will remain unchanged. Therefore, in this paper, I discuss the situation of people with disabilities in the developing world by focusing on Nepal. Nationally representative Nepal Living Standards Survey (NLSS 2010/2011) has been used for poverty and inequality analysis. Compared to people without disabilities, poverty head count, gap and severity is higher among people with disabilities indicating that they are vulnerable to the risk of falling into poverty trap. Moreover, inequality is prevailing in consumption, land and education: land distribution is found being most unequal whereas relatively equality is found in education.
Additionally, Utilizing a unique data set collected from people with hearing, physical, and visual impairments, I present the estimations of wage returns to the investment in education for people with disabilities. The estimated rate of returns to education is significantly high among people with
disabilities, ranging from 19.4 to 32.2%. These findings suggest the importance of addressing disability issues in post-2015 development goals if to reduce poverty and inequality and achieve sustainable development for all.