Kathmandu: Rt. Hon. Prime Minister Balendra Shah met with the Asian Development Bank (ADB) President Masato Kanda as ADB and Nepal marked 60 years of partnership and deepen support for the country’s economic transformation, job creation, and investment, on July 7.
According to Prime Minister Shah’s press and research expert Dipa Dahal, in this courtesy meeting that lasted for half an hour, Prime Minister Shah expressed his belief that in the coming days, Nepal will take a new leap in development through good governance and transparency. There was a positive discussion between the two parties on promoting hydroelectricity and tourism as the backbone of Nepal’s economy, cooperation on digitization and tourist road infrastructure.
“Nepal is at a defining moment, with an opportunity to build a more dynamic and resilient economy,” said President Kanda, “ADB is stepping up as Nepal’s largest multilateral development partner, and our support is expected to reach $2.4 billion by 2029. Our focus is on results for people: more jobs, stronger businesses, and better livelihoods for communities across Nepal.”
Appreciating the great potential, strong mandate and young leadership in Nepal’s economic sector, he reiterated ADB’s commitment to always be with Nepal’s success. He says that Nepal’s commitment to youth leadership and reform is inspiring.
During his visit, ADB signed two loan agreements totaling $165 million as part of its annual commitment. ADB stated that a $115 million project will bring reliable, safely managed water and sanitation services to more than 850,000 people, while a $50 million policy-based loan will modernize the systems that move goods across Nepal’s borders, helping businesses reduce costs, improve efficiency, and enhance competitiveness through digitalization and streamlined procedures.
President Kanda toured ADB-financed projects to see first-hand the impact of ADB’s support. He virtually inaugurated two substations which will help strengthen electricity supply in Kathmandu, together with the Hon. Minister of Energy, Water Resources and Irrigation, Biraj Bhakta Shrestha, and Norway’s Ambassador, H.E. Dagny Mjøs.
With the Hon. Minister of Education and Sports, Sasmit Pokharel, President 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. New initiatives, including pilots on artificial intelligence learning, aim to equip teachers and students with skills for a changing labor market.
In his meeting with the Hon. Finance Minister, Swarnim Wagle, discussions focused on Nepal’s reform agenda, including reforms of the business climate, investment mobilization, and ADB’s support for the government’s growth and resilience priorities.
President Kanda met with key private sector leaders to exchange views on opportunities and constraints affecting investment, private sector development, and job creation in Nepal.
Moving forward, ADB plans to scale up its support, with annual lending expected to reach up to $660 million this year and $2.4 billion under ADB’s Country Partnership Strategy for Nepal 2025–2029. This support will prioritize employment creation, private sector development, sustainable infrastructure, public service delivery, resilience, empowerment of women and disadvantaged and vulnerable groups, and digital transformation, while mobilizing additional resources through cofinancing and innovative instruments such as green and local currency bonds.
