WB emphasizes support for green development

 Kathmandu, June 26

World Bank's Managing Director Mari Pangestu expressed commitment on behalf of the bank to support Nepal’s energy sector development through clean sources including hydropower and cross-border power trade.

The WB recognises the transformative potential of the proposed Upper Arun Hydro Electric Project, she said while concluding her five-day visit to Nepal. The support would be provided as the part of achieving Green, Resilient, and Inclusive Development (GRID), the WB said in a statement.

Reiterating the World Bank’s commitment to support Nepal’s resilient recovery from the pandemic, she lauded Nepal as an early mover in pivoting towards GRID and expressed WB's support for the country's resilient recovery and sustainable development.

Pengestu was joined by Regional Vice President of WB for South Asia, Hartwig Schafer.

She met with President, Bidya Devi Bhandari, Prime Minister, Sher Bahadur Deuba, Minister of Finance, Janardan Sharma, and Minister of Energy, Water Resources and Irrigation, Pampha Bhusal.

According to the multilateral donor, the meetings focused on Nepal’s economy, the impact of the COVID-19 pandemic and the war in Ukraine, and Nepal’s pathways to GRID.

“Nepal is a champion in the region with the adoption of GRID as a strategic framework to guide development policy decisions,” said Pangestu. “As the largest multilateral funder of climate investments in developing countries, with more than $26 billion provided for climate action last fiscal year alone, the World Bank Group takes pride in helping countries such as Nepal lay the foundation for sustainable, inclusive, and resilient recovery.”

Pangestu also participated in a high-level dialogue with senior representatives from the Ministry of Finance, Ministry of Forests and Environment, development partners, private sector, and youth to unpack key issues and opportunities for GRID in Nepal.

The high-level event was organised on the basis of the September 2021 Kathmandu Declaration endorsed by the Government of Nepal and 16 Development Partners, which identified up to $7.4 billion in committed and potential support for GRID and paved the way for the development of a strategic action plan for Nepal.

“GRID is an integrated, cross-sectoral, and comprehensive approach to generating higher quality growth and development,” said Hartwig Schafer.

According to him, one of the pillars of the approach is creating inclusive opportunities especially for women who play a key role in economic recovery and the society which will require investment in shock-responsive social protection, green job creation, and measures to strengthen diverse voices in development processes.

 Meetings were also held with private sector and development experts, women leading climate action, and young Nepali entrepreneurs working with green and sustainable enterprises.

Pangestu and the World Bank delegation visited earthquake housing reconstruction sites in Kavre, as well as the proposed Upper Arun Hydro Electric Project site.

Published in The Rising Nepal daily on 27 June 2022.