Saturday, October 18, 2025

FM Khanal urges donors to increase investment in Nepal

Kathmandu, Oct. 15

Nepal’s Finance Minister Rameshore Prasad Khanal held a series of high-level meetings at the sidelines of the annual meetings of the World Bank and the International Monetary Fund (IMF), in Washington D.C. on Wednesday.

According to the Ministry of Finance (MoF), the meetings focused on securing trade benefits, attracting foreign investment, and promoting financial stability for Nepal.

The meeting between FM Khanal and the United States Trade Representative discussed boosting mutual trade and investment between Nepal and the US.

He formally requested an extension of the Nepal Trade Preference Program (NTTP), a vital mechanism for Nepali exports. Separately, the Minister met with a representative from the US State Department to discuss strengthening bilateral ties and exploring other issues of mutual interest, read a statement issued by the MoF.

Likewise, Minister Khanal pressed development partners for increased funding. He held separate discussions with representatives from the Saudi Fund and the Japan International Cooperation Agency (JICA), and urged both to increase their investment commitments in Nepal’s infrastructure and human development sectors.

Following the plea, the Saudi Fund representative confirmed that the Fund would commit investment to crucial irrigation and hydropower projects in Nepal. Similarly, the dialogue with the JICA representative focused on expediting ongoing infrastructure works, including the restoration of the BP Highway, and the swift progress of both the Nagdhunga Tunnel Road and the Koteshwar Section projects.

Minister Khanal also engaged in talks with Krishna Srinivasan, the Director for the Asia and Pacific Department at the IMF, regarding the nation's financial stability. They talked about the continuation of the Extended Credit Facility (ECF) programme, which is supported by the Fund.

They also exchanged views on necessary amendments to the Nepal Rastra Bank Act, reviewing the loan portfolios of commercial banks, and measures to maintain overall financial stability in the country.

Governor of the NRB Bishwo Nath Poudel was present during this meeting. 

  Published in The Rising Nepal daily on 16 October 2025.     

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