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Kathmandu, Jul 7 (PTI) Nepal Prime Minister Balendra Shah on Tuesday met Asian Development Bank (ADB) President Masato Kanda, who said the country was at a “defining moment”, with an opportunity to build a more “dynamic and resilient economy”.
The ADB president reiterated his commitment to continue the multilateral development bank’s support for Nepal.
The meeting between Kanda and Shah comes as ADB and Nepal mark 60 years of partnership and deepen support for the country’s “economic transformation”, according to a statement by ADB Nepal.
“Nepal is at a defining moment, with an opportunity to build a more dynamic and resilient economy,” said Kanda.
“ADB is stepping up as Nepal’s largest development partner, with additional support expected to reach
USD 2.4 billion through 2029,” according to ADB Nepal.
“Our focus is on results for people: more jobs, stronger businesses, and better livelihoods for communities across Nepal,” the ADB president said.
The discussion focused on further strengthening the Nepal-ADB collaboration, establishing a partnership in clean energy production and acknowledging Kathmandu’s vast potential for hydropower development, according to the statement.
Expressing satisfaction over the development of Nepal’s digital economy, he also pledged continued support for strengthening the country’s digital infrastructure.
During his visit, ADB signed two loan agreements totalling USD 165 million as part of its annual commitment.
A USD 115 million project will bring reliable, safely managed water and sanitation services to more than 850,000 people, while a USD 50 million policy-based loan will modernise the systems that move goods across Nepal’s borders, helping businesses reduce costs, improve efficiency.
Kanda visited ADB-financed projects to see first-hand the impact of its support. He virtually inaugurated two substations, which will help strengthen the electricity supply in Kathmandu, along with Minister of Energy, Water Resources and Irrigation Biraj Bhakta Shrestha.
With Education Minister Sasmit Pokharel, Kanda visited a school rebuilt after the 2015 earthquake and now equipped with modern science and technology facilities, part of ADB’s continued investment in disaster risk management and human capital.
During his meeting with Finance Minister Swarnim Wagle, discussions focused on Nepal’s reform agenda, including reforms of the business climate, investment mobilisation, and ADB’s support for the government’s growth and resilience priorities, according to ADB Nepal.
Kanda also met key private sector leaders and exchanged views on opportunities and constraints affecting investment, private sector development, and job creation in Nepal.
Looking ahead, ADB plans to scale up its support, with annual lending expected to reach up to USD 660 million this year and USD 2.4 billion under ADB’s Country Partnership Strategy for Nepal 2025-2029, according to the statement.
This support will prioritise employment creation, private sector development, sustainable infrastructure, public service delivery, resilience, empowerment of women and disadvantaged and vulnerable groups, and digital transformation, while mobilising additional resources through co-financing and innovative instruments such as green and local currency bonds, it added. PTI SBP GSP GSP
