Prime Minister Pushpa Kamal Dahal ‘Prachanda’ has called on developed countries to assist nations that missed the industrial revolutions in overcoming their development challenges.
PM Prachanda made this appeal while inaugurating the 21st replenishment meeting of the International Development Association (IDA21) in Kathmandu this morning. The World Bank’s International Development Association (IDA) has been a steadfast partner in South Asia for over six decades.
Highlighting the need for aid to countries lagging in industrial development, PM Prachanda emphasized that such assistance is crucial for achieving global peace and prosperity. He asserted that concessional financial aid could accelerate development.
“The aid can be mobilized to ensure just access to resources, technology, and investment. An inclusive economy can be promoted by bridging existing financial gaps,” he noted, adding that sustainable development initiatives require robust support.
The Prime Minister pointed out that Nepal faces a significant shortfall in financial resources needed to meet its sustainable development goals (SDGs), Nationally Determined Contributions (NDCs), and sustainable infrastructure development despite its efforts towards inclusive economic growth. He cited revenue constraints and trade losses as persistent challenges, underscoring the need for financial assistance in grants to create jobs, stimulate economic activity, and upgrade Nepal’s status from a Least Developed Country (LDC).
“Human capital, health, and quality education require financial resources. Our priorities include enhancing infrastructure quality and improving people’s lifestyles,” PM Prachanda stated. “We are also focusing on digitalization, investment in productive sectors, promotion of entrepreneurship, and skill development.”
He also stressed the importance of addressing food security issues exacerbated by climate change, noting that progress made so far must not be reversed. “Nepal advocates for climate justice and compensation for loss and damages, as it disproportionately suffers from climate change,” he remarked, highlighting Nepal’s efforts to tackle hardships such as earthquakes, COVID-19, and the global recession.
Moreover, Prachanda expressed optimism that the IDA21 meeting would achieve consensus among donors and recipients on policy priorities and results for the next three years, leading to high-level resolutions to address unprecedented challenges.
He reiterated the desire of Nepal and other recipient countries to see greater impacts from IDA assistance, emphasizing Nepal’s potential in areas such as hydropower, tourism, agriculture, and its hardworking youth. He acknowledged IDA as a key development partner, noting its substantial financial support for reconstruction following the 2015 earthquake.
Senior Managing Director at the World Bank, Axel van Trotsenburg, highlighted that the meeting would provide guidelines for mobilizing IDA resources and planning for the coming decade.
Sangita Shrestha, Managing Director at Dwarika Hotel, called on development partners and policymakers to actively work towards the effective mobilization of financial resources for sustainable development efforts.
The event, attended by over 200 representatives from 61 countries, including high-level World Bank officials, will continue through June 21.
