ADB and World Bank keen to jointly finance the Upper Arun and Dudhkoshi

Kathmandu; Asian Development Bank (ADB) Vice-President for South, Central and West Asia Yingming Yang met with Nepal Prime Minister Pushpa Kamal Dahal and reiterated ADB’s commitment to supporting the country’s development priorities, including fostering an environment conducive to private sector growth and integrating climate change and disaster risk management into ADB projects in the country.

Yang also met with Finance Minister and ADB Governor Barsha Man Pun on 26 April. During these meetings, Yang praised Nepal’s socio-economic progress, particularly noting the reduction in the poverty rate, and underscored the longstanding partnership between Nepal and ADB.

He also discussed the forthcoming ADB country partnership strategy for Nepal, 2025–2029, which is being prepared as a joint approach with the World Bank Country Partnership Framework. He prompted the government of Nepal to invest in disaster risk management, given the country's vulnerability to natural hazards.

During his 4-day visit from 26 to 29 April, Yang attended the Nepal Investment Summit and stated in his keynote speech that ADB is looking for opportunities to expand its private sector operations in Nepal. He also mentioned that ADB will provide transaction advisory services for public–private partnerships, explore allocating resources from its Asia Pacific Project Preparation Facility, while also mobilizing concessional and grant resources for climate initiatives.

On 28 April, Yang attended the inauguration of the Matatirtha substation under the South Asia Subregional Economic Cooperation (SASEC) Power System Expansion Project. Speaking at the inauguration, Yang expressed pride in ADB's role in Nepal's energy sector development, emphasizing the importance of prioritizing investments in large-scale hydropower and renewable energy to align with Nepal’s vision for energy security.

Alongside World Bank Vice-President of the South Asia Region Martin Raiser, Yang also participated in the high-level meeting between ADB, the Government of Nepal, and the World Bank on the financing of the Upper Arun and Dudhkoshi Hydropower Project. This meeting—chaired by the Minister of Energy, Water Resources, and Irrigation Shakti Bahadur Basnet -- built on the objectives outlined in the memorandum of understanding signed during COP28 by ADB and the World Bank, aimed at enhancing Nepal’s hydropower sector.

Yang also met with Assistant Secretary-General, Assistant Administrator, and Director of the Regional Bureau for Asia and the Pacific Kanni Wignaraja. Additionally, he met with representatives of the development partner agencies, private sector, and think tanks. He also visited the ADB-supported Bagmati River Improvement Project and Melamchi Water Supply Project.

ADB Country Director for Nepal Arnaud Cauchois accompanied Yang in these meetings. ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.