World Bank assures increased investment in Nepal

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    KATHMANDU, April 19 :

    wbankFinance Minister Dr Ram Sharan Mahat said on Saturday that development partners are ready to increase assistance to Nepal to help the country graduate as a developed nation by 2022. 

    Speaking to media persons upon his arrival at the Tribhuvan International Airport (TIA) on Saturday after a two-week long visit to USA and Mexico for participation in a World Banks´ program, Mahat informed that the World Bank has expressed commitment to increase financial assistance to Nepal. 

    Mahat also informed that the World Bank is preparing a four-year country partnership strategy to support Nepal in key areas of the development process. Currently, 20 development projects are running with financial support worth Rs 23 billion from the World Bank. 

    “The World Bank group will increase its assistance in infrastructure development and employment generation,” said Mahat, adding “Development partners are optimistic about improved investment climate following the second Constituent Assembly election.” 

    Likewise, the International Finance Corporation (IFC), which supports private sector development, has also made commitment to provide Rs 600 billion for developing hydropower projects with total installed capacity of 3,000 megawatts, said the finance minister. “IFC has also assured of investment in tourism and telecommunication sectors,” Mahat said. 

    IFC has already been invested in the 38 megawatts Kabeli. Similarly, IFC also expressed interest to invest in 213 megawatts Upper Trishuli, 600 megawatts Upper Marsyangdi, 900 megawatts Upper Karnali and 900 megawatts Arun III hydropower projects. 

    Mahat had held separate meetings with World Bank Managing Director Mulyani Indrawati, Vice President for the South Asia region Philippe Houerou and executive vice president of IFC Jin Young Cai in Washington DC. 

    Mahat during his USA visit participated in the high level seminar addressed by the United Nations´ General Secretary Ban ki-Moon. Mahat advocated for increasing climate financing budget during the seminar.

    Developed countries have been already set up a fund worth US $ 30 billion to cope with the impact of climate change.

    Source : Republica

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    Donors assure support

    KATHMANDU: The finance minister has informed that foreign donor agencies are positive towards expanding their development assistance to Nepal post the election after returning from his visit to North America. 

    “The World Bank has assured to increase its support to Nepal, while the International Finance Corporation (IFC) has expressed commitment to provide Rs six billion for hydropower projects,” pointed out Finance Minister Ram Sharan Mahat, after his return from a week-long visit of the United States and Mexico.

    “Moreover, the favourable response extended by foreign agencies towards increasing the climate financing budget during the Global Partnership for Effective Development meeting held in Mexico City is yet another great achievement of the visit,” he added.

    “Nepal can easily attain sustainable development and high rate of growth if we can make donor countries and agencies implement the commitments made,” Mahat said.

    Following Minister Mahat’s meeting with World Bank held at its headquarters in Washington DC, he had informed that the International Development Assistance (IDA) allocation for Nepal will be increased in the upcoming IDA review to support the country’s growth. 

    “The World Bank is not increasing development assistance to any other country, but has assured of increasing assistance to Nepal,” he informed. At present, World Bank is undertaking 20 projects and is providing annual financial support of Rs 23 billion.

    Likewise, IFC also pledged funds worth Rs six billion to support the construction of 3000 MW hydro projects. “IFC has also expressed its interest to invest in Nepal’s tourism and telecommunication sector,” informed Mahat.

    IFC has already invested in the 38 MW Kabeli Hydropower and will be supporting projects such as 216 MW Upper Trishuli, 600 MW Upper Marsyangdi, 900 MW Upper Karnali, and 900 MW Arun III, among others. 

    Source : The Himalayan Times