The Nepal Weekly 
June 25, 2024
Prime Minister Pushpa Kamal Dahal inaugurated the IDA21 Replenishment Meeting, welcoming delegates from around the world. He highlighted Nepal’s six-decade partnership with the International Development Association (IDA) and celebrated the 60-year impact of IDA’s support in areas like infrastructure and social development, particularly after the 2015 earthquake.
PM Dahal stressed the need for continued support from the World Bank, acknowledging Nepal’s capacity constraints and the challenges of a new federal system. He expressed appreciation for IDA21’s focus areas, which align with Nepal’s priorities, including human capital, environmental sustainability, poverty reduction, energy access, and digitalization.
He also underlined the importance of concessional financing for Least Developed Countries like Nepal, which face significant risks from climate change despite contributing minimally to global emissions. He called for climate justice and compensation for loss and damage.
With political stability, Nepal is poised for economic development, leveraging its strategic location, hydropower resources, tourism, agribusiness, and young population. The Prime Minister introduced Nepal’s Green Resilient Inclusive Development (GRID) approach, aligning with the World Bank’s evolution roadmap.
PM Dahal urged for a collaborative effort to address historical disparities, promote inclusive growth, and strengthen international partnerships. He highlighted the need for substantial resources to achieve Sustainable Development Goals (SDGs) and Nationally Determined Contributions (NDCs) as Nepal transitions from LDC status in 2026.
Finance Minister Barshaman Pun participated to conclude the concluding session of the meeting on Friday.This is the largest event organized by the World Bank Group in Nepal to date.
It is informed that the meeting formulated strategies for future support to low-income countries. Senior managing director Axel van Trotsenburg and over a dozen vice presidents and directors from the World Bank attended, along with about 200 representatives from 61 countries. Following the inaugural session, the next three days were held in closed sessions.
Ministry of Finance sources informed that the sessions comprised in-depth discussions among donor representatives, recipient countries, and senior World Bank officials regarding concessional loans, grants, policy frameworks, outcome blueprints, and financial commitments for the next three years for low-income countries.
The World Bank established IDA in 1960, which has been playing a leading role in the international alliance of development partners, providing concessional loans, grants, and multilateral aid to underdeveloped countries. IDA has been assisting over 75 low and middle-income countries globally.
Post-meeting, senior World Bank officials were scheduled to visit nine projects related to education, drinking water, reconstruction, energy, and climate around the Kathmandu Valley, operated with investment from the World Bank and other development partners.
