Friday, December 9, 2011

Nepal to get more support from Asian Development Fund

Based on the previous history of proper usages of resources, Nepal is eligible to receive more financial support from Asian Development Fund (ADF).
“Nepal is working towards minimising corruption and misuse of funds through different mechanisms like e-tendering and similar tools that will ensure the grants reach the targeted groups,” assured finance secretary Krishna Hari Baskota, addressing the donors, during the recent meeting of Asian Development Fund in Dhaka.
The country will be achieving tentative growth rate of five per cent, single digit inflation and is working towards increasing foreign currency reserve sufficient to bear the cost of import of service and goods for seven months, he said, adding that the sustained use of foreign aid has pushed Nepal closer to attaining majority of Millennium Development Goals (MDGs).
Along with an improved image on different frontiers and indicators like competitiveness will guarantee that the funds will not be misutilised, the finance secretary assured, pledging that Nepal is suitable to receive more financial assistance in future for its development works.
The country has, so far, received funds worth $1.3 billion from the Asian Development Fund that has been investing in infrastructure development, economic stability, governance, environmental issues, agriculture development, education, energy and other similar social and economic sectors contributing in improving living standard of Nepalis.
Nepal is fifth largest aid receiver from Asian Development Fund (ADF) which Bangladesh is the largest aid receiver with $3.2 billion.
However, donor countries asked the aid recipient countries to be more dependent on their internal sources for development works citing the contraction in their respective economies following the eminent recession. The meeting at Dhaka is the second round of tri-partite meeting between, Asian Development Bank (ADB), donor countries and the aid recipient countries.
The first round was conducted in Manila in September and the third one will once again be held in Manila in March 2011 that will decide the amount the donor countries will be providing to support the Asian developing countries.
Representatives from 28 donor countries including US, Japan, United Kingdom, Sweden, Norway, Germany, Australia, and France were present in the meeting along with the donor recipient countries including Nepal, Afganistan, Bang-ladesh, Mongolia, Solomon Islands and Vietnam.

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