Kathmandu – The Asian Development Bank (ADB) said on Tuesday its support for Nepal is expected to reach $2.4 billion by 2029 under its Country Partnership Strategy, reaffirming its commitment to the country’s economic reforms, job creation and investment.
The commitment was reiterated during ADB President Masato Kanda’s visit to Kathmandu, where he met Prime Minister Balendra Shah as Nepal and the ADB marked 60 years of partnership.
Following the meeting, Kanda said in a post on social media that he had reaffirmed ADB’s support for Shah’s reform agenda.
“I affirmed ADB’s strong commitment to supporting his ambitious reforms towards economic transformation, job creation, and investment. ADB is stepping up as Nepal’s largest development partner, with additional support of $2.4 billion through 2029 to help translate the Prime Minister’s vision into results on the ground,” he wrote.
In a separate statement, ADB said Nepal was at “a defining moment” with an opportunity to build a more dynamic and resilient economy.
“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,” the statement read.
During the visit, ADB signed two loan agreements worth a total of $165 million as part of its annual commitment. The financing includes a $115 million project to improve water supply and sanitation services for more than 850,000 people and a $50 million policy-based loan to modernise Nepal’s cross-border trade systems through digitalisation and streamlined procedures.
ADB said annual lending is expected to reach up to $660 million this year. Support under its Country Partnership Strategy for 2025-2029 will focus on employment creation, private sector development, sustainable infrastructure, public service delivery, resilience, the empowerment of women and disadvantaged and vulnerable groups and digital transformation. The bank also plans to mobilise additional resources through cofinancing and financing instruments such as green and local currency bonds.
During his visit, Kanda also met Finance Minister Swarnim Wagle to discuss Nepal’s reform agenda including improving the business climate, investment mobilisation and ADB’s support for the government’s growth and resilience priorities.
He also toured ADB-financed projects, virtually inaugurated two electricity substations with Energy Minister Biraj Bhakta Shrestha and Norway’s Ambassador Dagny Mjøs and visited a school rebuilt after the 2015 earthquake with Education Minister Sasmit Pokharel.
