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🇳🇵 Nepal /Economy & Trade

ADB reaffirms $2.4 billion for Nepal through 2029

From Kathmandu Post · () English

Summarized and contextualized by DistantNews.

At a glance

News Official statement New plan
  • The Asian Development Bank (ADB) will increase its financial assistance to Nepal by $2.4 billion through 2029.
  • This increased support aims to foster a more dynamic and resilient economy, focusing on job creation and improved livelihoods.
  • The ADB's commitment marks 60 years of partnership and includes new loans for water and sanitation, and trade facilitation.

The Asian Development Bank (ADB) plans to significantly scale up its financial support to Nepal, committing an additional $2.4 billion over the next four years, announced ADB President Masato Kanda. This increased assistance aims to bolster Nepal's economic transformation, job creation, and investment, positioning the ADB as Nepal's largest multilateral development partner.

Nepal is at a defining moment, with an opportunity to build a more dynamic and resilient economy.

— Masato KandaDescribing Nepal's current economic situation and potential.

During a meeting with Prime Minister Balendra Shah, Kanda congratulated the prime minister on his electoral mandate and affirmed the ADB's dedication to supporting the government's reform agenda. The Country Partnership Strategy (CPS) for 2025-2029 already outlines a $2.4 billion commitment, with the latest announcement reinforcing this focus on tangible results for Nepalis, including more jobs, stronger businesses, and enhanced community livelihoods.

ADB is stepping up as Nepal’s largest multilateral development partner, and our support is expected to reach $2.4 billion by 2029.

— Masato KandaAnnouncing the increased financial assistance from ADB.

This year also marks 60 years of partnership between Nepal and the ADB. The bank's current active portfolio in Nepal stands at $3.9 billion. As part of Kanda's visit, two loan agreements totaling $165 million were signed: one for $115 million to improve water and sanitation services for over 850,000 people, and another for $50 million to modernize trade systems, reduce business costs, and enhance competitiveness through digitalization.

Our focus is on results for people, more jobs, stronger businesses, and better livelihoods for communities across Nepal.

— Masato KandaOutlining the objectives of ADB's support.

The ADB's future support will prioritize employment, private sector development, sustainable infrastructure, public service delivery, resilience, women's empowerment, and digital transformation. The bank also intends to mobilize additional resources through co-financing and innovative financial instruments.

ADB is stepping up as Nepal’s largest development partner, with additional support of $2.4 billion through 2029 to help translate the Prime Minister’s vision into results on the ground.

— ADB statementReinforcing the bank's commitment to Nepal's development goals.
DistantNews Editorial

Originally published by Kathmandu Post. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

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