Call for equitable, affordable and universal access to vaccines to fight Covid-19

Nepal called for equitable, affordable and universal access to vaccines to fight Covid-19 pandemic.

Addressing annual ministerial meeting of the Least Developed Countries (LDCs) held virtually on the margins of the 76th session of the United Nations General Assembly (UNGA), today morning foreign secretary Bharat Raj Paudyal highlighted the consequences of the Covid-19 pandemic on peoples, societies and economies of the LDCs, including Nepal, and called for equitable, affordable and universal access to vaccines.

He said that LDCs must build resilient economies with adequate physical infrastructure, advanced industrial and technological capacity, and expanded social protection systems to win the war against the virus, eradicate poverty and ensure the well-being of their people. He also underlined the need to build productive capacity for the structural transformation of their economy.

He called for an enhanced level of support from the international community in the areas of ODA, FDI, aid for trade, debt relief, climate financing, and technology transfer.

While expressing concerns about the upfront cost and loss of support measures, he said that graduation from the LDC category is our long-held aspiration and an important development milestone, and we are committed to making it smooth, sustainable and irreversible.

"As we prepare for LDC5 in Doha, we must focus on the unfinished business of the IPoA and chart out actions for sustainable and resilient recovery of the LDCs," he stressed, emphasising the need for a unity of purpose, global solidarity and strong and ambitious programme of action to avert the risk of another lost decade of development.

A number of ministers from LDCs, friends of LDCs and development partners, and high-level UN officials participated in the meeting. The meeting also adopted a Ministerial Declaration at its conclusion.

Japan extends grant aid for the scholarships to government officers

Japan has extended grant aid for the scholarships to the government officers.
Japanese ambassador to Nepal Masamichi Saigo and finance secretary Rajan Khanal today signed and exchanged three sets of Notes, on behalf of their respective governments, to implement the implementation of Japanese Grant Aid for Human Resource Development Scholarships (JDS).
These Notes are for extending Japan’s Grant Assistance up to ¥250 million (or equivalent to Rs 254.7 million) and ¥378 million (or equivalent to Rs 385.2 million) for the implementation of JDS Phase I and Phase II, respectively. The third note relates to assistance of ¥300 million (or equivalent to Rs 305.7 million) for the implementation of the School Sector Development Programme (SSDP).
Likewise, chief representative of the Japan International Cooperation Agency (JICA Nepal) Yumiko Asakuma and joint secretary of the International Economic Cooperation and Coordination Division (IECCD) under Finance Ministry Shreekrishna Nepal have also signed and exchanged a Grant Agreement for the implementation of the scheme, according to a press note issued by the Japanese Embassy in Kathmandu.
The JDS Project Grant is designed to support human resource development of friendly nations through accepting highly capable, energetic, and young government officials into Japanese universities and strengthening the partnership between recipient countries and Japan by utilising human relation chains to address future global needs, the press note reads. “Phase I of JDS is in the final completion stage under which 60 Nepali government officers have already been dispatched while 20 are in the process of pursing their studies in Japanese universities.”
In the meantime, Phase II of JDS is in the implementation process with the addition of an infrastructure development component and doctoral degree programme as per the request of the government of Nepal.
Similarly, Japan has also been assisting in the implementation of the School Sector Development Programme (SSDP) from 2016. “Education is an investment in human capital and the foundation for a nation’s sustainable social and economic development,” said Japanese envoy Saigo, after signing the agreement. He also stressed that through education the cycle of poverty could be eradicated in the long term. SSDP is considered as an important vessel to enable Nepal to achieve the Sustainable Development Goals (SDGs) and to become a middle-income country by 2030.
Envoy Saigo hoped that the SSDP would improve the quality of education, school management and institutional capacity and the access to education for children in marginalized communities, based on SDGs policy ‘No one left behind’.
The Embassy of Japan also expressed its firm belief that the objectives being envisaged by above Projects will be achieved, thereby further strengthening the existing cordial relationship of friendship and cooperation between the people of Japan and Nepal.
Japanese Grant Aid for human Resource Development Scholarship (JDS) was established by the Government of Nepal with the assistance of the Government of Japan in 2015. The JDS is funded by the Government of Japan through Official Development Assistance (ODA) supported by Japanese tax payers. The JDS Grant is designed to support human resource development of friendly nations through accepting highly capable, energetic, and young government officials in designated Japanese universities as JDS fellows. These officials are then expected to engage in formulation and implementation of socio-economic development plans and programmes, and are also expected to be future leaders or engines for development in their respective countries. Yet another objective of the JDS Scheme is to strengthen partnerships between recipient countries and Japan by utilising human relation chains to address future global needs, the press note explains.

Nepal leads regional consultation on global partnership for effective development cooperation

Finance Ministry, together with co-host Bangladesh, convened a consultative side event on the eve of the senior level meeting (SLM) of the Global Partnership for Effective Development Cooperation (GPEDC) in New York, today.
As the GPEDC’s senior level meeting will advance global commitments on development effectiveness, the side event – for two days – provided a forum for consultation with countries in the Asia-Pacific region to capture country-level perspectives, towards ensuring that the priorities of countries in the region are reflected in the deliberations of the SLM. Nepal, a member of the GPEDC Steering Committee representing recipient countries in Asia, organised the side event to ensure that the views of their constituency are well represented in the GPEDC global dialogue.
The side event – organised with the support of UNDP and DFID – brought together over 40 participants, including government representatives from 10 countries in the Asia-Pacific region, as well as from civil society, private sector, parliaments, multilateral organisations, and cooperation provider countries. A panel of eight distinguished speakers featured government representatives from Nepal, Bangladesh, Cambodia, Indonesia, Myanmar, the Philippines, Japan, and UNDP.
Nepal has a significant financing gap to achieve the Sustainable Development Goals (SDGs). The National Planning Commission (NPC) has estimated that the average investment requirement is approximately Rs 2,025 billion per year, or about 48 per cent of GDP on average, with Official Development Assistance (ODA) expected to shoulder about 18 per cent of the financing requirement.
In his remarks, finance secretary Rajan Khanal, representing an LDC, emphasised that the core commitments of aid effectiveness matter to LDCs, in very concrete and practical ways. “To partner countries like Nepal, the quality of aid still matters,” he said, appreciating the role of the GPEDC. “The commitments and exchange of experiences on development effectiveness at global level underpins our efforts at national level to improve the effectiveness of development cooperation.”
“Achieving the SDGs requires financial resources on a very large scale, but financing alone is not enough”, said UNDP’s Regional Bureau for Asia and the Pacific Claire Van der Vaeren. “Effectiveness, the question of how we do development, is just as important,” she said, adding that it is critical that resources are used within a framework of accountability; that there is strong ownership by partner countries and a focus on results; and that development is pursued through inclusive partnerships.
Likewise, joint secretary of the International Economic Cooperation Coordination Division (IECCD) under Finance Ministry Shreekrishna Nepal will be speaking in the closing session of the meeting tomorrow, where he will share key messages and expressions of action which emerged from the side event discussions.

Nepal, Japan sign Nagdhunga tunnel deal

The Nepal and Japan today signed an agreement for a loan for the Nagdhunga Tunnel Construction Project that is going to be the first tunnel road in Nepal.
The agreement that will pave the way to start construction of the 2.45-km tunnel road under the Nagdhunga pass has set August 2022 as the target to bring the tunnel into operation.
Finance secretary Shanta Raj Subedi and Japan’s ambassador to Nepal Masashi Ogawa signed the exchange of notes for the project today at the Finance Ministry.
Likewise, a Loan Agreement for the project was also signed by joint secretary and chief of International Economic Cooperation Coordination Division at Finance Ministry Baikuntha Aryal and chief representative of Japan International Cooperation Agency (JICA) Nepal Jun Sakuma, on the sidelines, in the presence of deputy prime minister and finance minister Krishna Bahadur Mahara and physical infrastructure and transport minister Ramesh Lekhak.
Speaking during loan agreement signing ceremony, ambassador Ogawa said that the project is regarded as the 60th anniversary commemoration project and the Japan government considers this project to be a symbolic landmark for the socio-economic development of Nepal and for the deepening relationships between our two countries. He remarked that Japan has many years of experience in developing such tunnel road projects and highly developed tunnel construction technology of Japan will be used in Nagdhunga-Naubise tunnel road project.
Referring to the present condition of this road link, he said that the road conditions of Naubise–Thankot section of the Tribhuvan Highway are very poor and the vehicular movement is slow due to the many sharp curves and steep gradient. Considering the complex geological condition of this stretch, the need for its upgradation or realignment with a better alternative had been felt for long.
According to the agreement, the Japan will provide a loan of 16.636 billion yen – around Rs 15.29 billion – for the construction of the tunnel under the Nagdhunga pass to ease traffic congestion along the Nagdhunga-Naubise section of the Prithvi Highway, the key gateway of the Kathmandu Valley.
According to a statement issued by JICA, the loan amount – under its official development assistance (ODA) – will cover public work on the tunnel, access roads, bridges and other constructions – including improvements, plus consultation services – and also including detailed design-work, bidding assistance, construction supervision, and the strengthening of operations and management capacity.
"The loan agreement is signed with the condition of 40 years repayment and a 10-year grace period with 0.01 per cent annual interest,” according to a press release issued by JICA.
Under the loan agreement, the project will purchase the products and services necessary to construct 5.05-km of tunnel-road that stretches from Baad Bhanjyang, Kathmandu to Sisnekhola, Dhading districts. The 2.45-km of the stretch will be a two-lane tunnel and 2.20-km (Kathmandu side) and 0.40-km (Dhading side) will be approach roads. There will be 2 bridges along the approach roads, according to the agreement.
The tunnel will also have fire detection units, CCTV cameras, evacuation tunnel-doors, emergency parking bays, lighting, loud speaker equipment and visibility-index meters, among other infrastructures for safer operations.
Likewise, the construction of toll facility, control office and distribution line of 4.1 kilometers are the other components of the project. Plaza area, rest room, restaurant, shops, parking space will also be developed, utilizing a flat land made by disposal of tunnel excavation materials.
The project aims at reducing the time it takes vehicles to clear the Nagdhunga Pass to one-third of the current time making the transport of people and goods more efficient, and to contribute to local socioeconomic development. It is also anticipated that this project will significantly improve vehicular movement and, accordingly, travel time and transport expenses for fuel and spare parts will also decrease significantly.
It is said that it will take one-and-a-half years to prepare the detailed project report (DPR) of the project and another three-and-a-half years for the construction. The contractor for the project will be selected under the international competitive bidding. The Ministry of Physical Infrastructure and Transport is the executing agency of the project, which is expected to be completed by August 2022.
The assistance programme was announced during the visit of Japanese State Minister for Foreign Affairs Nobuo Kishi to Nepal – at the ceremony of the 60th anniversary of establishment of diplomatic ties between Japan and Nepal – this September.
“This project will be instrumental to further strengthening economic activities," Japanese Embassy in Kathmandu said in a statement. "The infrastructure being constructed will be yet another cornerstone in enhancing the friendly relation between the people of the two countries."

Japan to provide grant assistance of Rs 1.83 billion to Nepal

Japan has pledged grant assistance of Rs 1.83 billion to Nepal for the improvement of aviation safety facilities and school sector development programme.
Ambassador of Japan to Nepal Masashi Ogawa and finance secretary Lok Darshan Regmi signed and exchanged two separate sets of notes – one each for aviation safety and school sector development programme – today on behalf of their respective governments to this effect in celebration of the 60th anniversary of the establishment of diplomatic relations between Japan and Nepal.
Deputy Prime Minister and finance minister Krishna Bahadur Mahara and the State Minister for Foreign Affairs of  Japan Nobuo Kishi witnessed the signing ceremony, according to a statement issued by the Kathmandu-based Embassy of Japan.
"Under the first notes, the government of Japan is extending Rs 1.518 to the government of Nepal for the implementation of the Project for Improvement of Aviation Safety Facilities in major airports with the purpose of improving the safety and efficiency of air transport in Nepal,” the statement reads.
The largest assistance so far from Japan in the civil aviation sector will be used to implement the Project which will help improve safety at eight airports across Nepal, 5 short take-off and landing (STOL) airstrips, two regional airports and the only international airport Tribhuvan International Airport (TIA).
The Project will install a Localiser (LOC) with Terminal Distance Measuring Equipment (T-DME) at Tribhuvan International Airport – which provides horizontal guidance to aircraft during the landing approach – and install VHF Omni-directional Range/Distance Measuring Equipment (VOR/DME) at Chadragadhi and Dhangadhi Airports, for the improvement of aviation safety facilities in Nepal.
Likewise, it will install VOR/DME Test Rack at the Navigation Aid Maintenance Section at Sinamangal, Kathmandu; supply and replace equipment to enhance capacity at the Civil Aviation Academy, Sanothimi, and install other necessary equipment like Runway Threshold Identification Lights, Runway Threshold and End Lights, Runway Edge Lights, and Solar Power Supply Systems at Lukla, Jomsom, Jumla, Rara and Simikot Airports, based on the plan/design envisage by this Project, it adds.
"After the completion of the project, it is expected that the number of flights that can land with precision by using the LOC at TIA – the only airport of the country – will be increased; the number of flights that can fly to the designated airports by utilising VOR/DME will be increased, and the runway usability factor for big aircrafts at TIA will be improved,” the statement reads, adding, "As a result of this project, aviation safety will be significantly enhanced at the eight selected airports."
According to Civil Aviation Authority of Nepal (CAAN) director general Sanjiv Gautam said that the three-year project would begin in 2017.
At the same function, Japan International Cooperation Agency (JICA) Nepal chief Jun Sakuma and joint secretary at the Finance Ministry and coordinator of the International Economic Cooperation and Coordination Division Baikuntha Aryal also signed the grant agreements for smooth implementation of the projects.
In March 2013, the JICA had provided Rs 906 million in grant to install two new radars at TIA and Bhatte Danda in Lalitpur to the south of the airport. The installation of second generation Monopulse Secondary Surveillance Radar (MSSR) systems at TIA and Bhatte Danda under a TIA modernisation project, which is expected to make Nepali skies safer, has been completed. The radar is planned to come into operation by November after tests are completed.
The MSSR will replace the existing airport surveillance/secondary surveillance radar system to enhance and strengthen the existing surveillance system installed under the Japanese official development assistance (ODA) extended in 1994.
Likewise, Rs 313 million would be spent for the implementation of the School Sector Development Programme (SSDP), the statement further adds.

UN body asks government to strike balance between fiscal and monetary policy to spur productive growth

A UN body has asked the government to strike balance between Fiscal Policy and Monetary Policy to spur productive growth.
Speaking at a function organised to unveil the report of 'Economic and Social Survey of Asia and the Pacific 2016' produced by United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) in Kathmandu today, economic affairs officer at the Macroeconomic Policy and Financing for Development Division of UNESCAP Sudip Ranjan Basu said that the Monetary Policy alone cannot shoulder the growth and that the Fiscal Policy has become more important to boost and redistribute the growth. "Productive growth has been slowing in recent years," he said, adding that quality of labour, access to finance to SMEs, and poor infrastructure are hitting productivity. "Productivity could be increased, if the government manages to strike balance between the Fiscal Policy and the Monetary Policy."
The contrast in Fiscal and Monetary Policy has hampered the economic growth, the UNESCAP report stated, suggesting the government to boost under disbursement of allocated budgets, improve tax administration and compliance, and accelerate reconstruction activities through issuance of reconstruction bond. "The government for maximum utilisation of domestic resources in increasing productivity as the Official Development Assistance (ODA) from rich countries have been drying for various reasons,"
Analysing the findings of the report executive chairperson of the South Asia Watch on Trade, Economics and Environment (SAWTEE) Posh Raj Pandey, said a proactive Fiscal Policy could help speed up spending. "Smart and active Industrial Policy, ensuring investment climate, and social protection for transition class, could help poor out of the poverty line," Pandey said, adding that active and efficient governance is a must to ensure growth.
The report, one of the oldest reports coming from UN agencies, states that some 1.7 million people could be out of poverty, if the agriculture productivity could be increased.
The Asia Pacific report also stated that the region as a whole has experienced considerable slowdown in economic growth and productivity gains in recent years. "The Asia Pacific region's progress on poverty reduction is slowing, inequalities are rising and prospects of decent employment are weakening," it said, adding that productivity and Sustainable Development Goals (SDGs) are closely linked and investing in these goals will increase productivity and help economic growth.
The regional report has projected Nepal to grow by 2.2 per cent in the current fiscal year, which is the lowest in the region. However, the inflation that the report has projected is the highest in the region.
Catastrophic earthquakes in April 2015, subpar monsoon season that resulted in weak agricultural growth and recent strikes and disruptions of trade routes in certain parts of the country have hit the growth in the near term. In the medium-term, the report states, a trade agreement with the USA and also an agreement with India to develop two large-scale hydropower projects could spur growth in the coming fiscal years.

CAAN selects NEC to support modernisation of TIA

Civil Aviation Authority of Nepal has selected NEC Corporation to support modernisation of Tribhuvan International Airport (TIA).

The project totaling approximately one billion yen for the modernisation of Tribhuvan International Airport is crucial as its a major hub for domestic flights, apart from being the only international airport.

Official Development Assistance (ODA) from Japan is being used to update airport equipment like aging surveillance radars and data processing systems to accommodate the rapidly rising number of passenger flights.

By March 2015, NEC is scheduled to provide an air traffic control radar system, a secondary surveillance radar that receives detailed operating information from airplanes and a multi-sensor information processing system that utilises information received from radars. Secondary surveillance radars detect bearing, distance and flight information like altitude and identification codes of an aircraft, based on information received from the avionics of the aircraft. It will contribute to improving the reliability and efficiency of air traffic control services while helping to ensure smooth and secure airport operations.
NEC has provided air traffic control solutions for more than 50 years, including systems for sophisticated transportation hubs in Japan, South Korea, Taiwan and the Philippines. As a result, NEC is able to provide advanced air traffic control systems in Nepal that capitalise on technologies developed through a distinguished history of expertise and experience.
As a landlocked country, where mountains account for a majority of the territory, air transport is key for effective travel and supply of goods.

New Foreign Aid Policy will be instrumental in boosting development

The government has renamed Foreign Aid Policy to Development Cooperation Policy aiming at increasing its effectiveness of foreign assistance

During the Local Donor meeting here today to discuss the draft of Development Cooperation Policy 2013, the Finance Ministry also urged the development partners to extend their assistance through budgetary system as the Development Cooperation Report 2012 had revealed that almost a quarter of the foreign assistance is still out of budgetary system. “Some 23 per cent of the total aid has still been out of the budgetary channel hampering government’s efforts to maintain transparency in foreign assistance,” chief economic adviser of the Finance Ministry Chiranjibi Nepal said.

The donors have been supporting various non-governmental organisations (NGOs) except their Official Development Assistance (ODA).

“Channelising the foreign assistance through the budgetary system will help increase the transparency and accountability,” he said, adding that the transparency and accountability – the key buzz words of the development partners – will also help better outcome from the external assistance and lessen the dependency on foreign aid.

Presenting the highlights of the proposed Development Cooperation Policy, joint secretary at the minister and chief of the Foreign Aid Coordination Department Madhu Kumar Marasini said that the draft has focused on establishing a system to accept and mobilise foreign assistance in line with the government policy to reap maximum benefit in a transparent manner.

The proposed Policy envisages an environment to accelerate economic growth through effectively channelising foreign aid in line with the government policy, create an environment for private sector growth, trade enhancement and formulate a mechanism for effective implementation of donor funded programmes.

The proposed foreign aid policy will help graduate Nepal from the current status of Least Developed Country (LDC) to Developing Country status, said finance minister Shankar Prasad Koirala said, chairing the meeting.

However, donor’s support would play a key role in its effort to graduate Nepal to developing country, he said, adding that Nepal with proper utilization of foreign aid would graduate to developing country status by 2022. “The proposed policy is aligned to approach paper of third three-year interim plan and included the interest of development partners, and aims at restoring the confidence of private sector.”

The political stability after the CA election will ensure the economic growth, the minister added.

Finance secretary Shanta Raj Subedi, on the occasion, informed that the timely budget for the current fiscal year will help spur the economic growth this fiscal year 2013-14.

Addressing the meeting, World Bank country manager for Nepal Tahsin Sayeed asked the government to speed up the process of implementing the long pending economic reform to create investment friendly environment in the country.

Ban hails Nepal's plan to graduate from LDC by 2022

United Nations secretary-general Ban Ki-moon has appreciated Nepal for its vision to graduate from the status of Least Developed Countries (LDCs) by 2022 to developing countries.
During his meeting with foreign minister Madhav Prasad Ghimire at the United Nations Office at ECOSOC meeting in Geneva today, Ban also praised Nepal’s role in highlighting the concerns and difficulties faced by Least Developed Countries (LDCs) in multilateral forums.
He also appreciated the progress made by Nepal toward meeting most of the Millennium Development Goals (MDGs).
Ghimire, on the occasion, underlined the need for giving due recognition to the special needs and difficulties of the LDCs in implementing the post 2015 development agenda.
According to a press release issued by Nepal’s Permanent Mission to UN and Other International Organisations in Geneva, Ban also pledged UN’s full support to Nepal’s political process.
They also discussed on wider cooperation for the development of Lumbini and the role of Official Development Assistance (ODA) as its recent trend of decrease might negatively impact the achievement of key goals and objectives outlined in the Istanbul Programme of Action.

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JICA grant to help install two radars at TIA

The Japan International Cooperation Agency (JICA) and government signed a ¥989 million grant agreement today to install two new radars at the Tribhuvan International Airport (TIA) in Kathmandu and at Bhatte Danda in Lalitpur district aiming at improving aviation safety, strengthening air transport capacity and making air traffic services effective.

Since the aircraft movement at the TIA has been rapidly increasing in recent years, the capability of the existing air space surveillance is not sufficient. The grant aid will be utilised in installing Monopulse Secondary Surveillance Radar (MSSR) systems at the TIA and Bhatte Danda under JICA’s Tribhuvan International Airport Modernisation Project.
JICA, under the project, had earlier provided one set of the Airport Surveillance Radar (ASR)/Secondary Surveillance Radar (SSR).

As the existing ASR/SSR at the only international airport has aged and deteriorated, air traffic controllers can only detect and monitor the aircraft flying near the TIA and the others flying outside the Kathmandu Valley are out of the radar coverage.
Once the new systems are installed, radars will monitor small aircraft flying on domestic air routes as well as international aircraft flying in high altitude and extend en-route surveillance up to 200 nautical miles. It will ultimately help make Nepali skies safer and increase air space capacity.

JICA has incorporated transport infrastructure in its Assistance Programme for Nepal and improvement of the air transport has been prioritised together with the land transport as vital infrastructures.
The Japanese aid agency has been contributing towards the improvement of aviation safety and capacity in Nepal by extending Official Development Assistance (ODA) like grant aid for the modernisation of the TIA and for the improvement of the existing air traffic service system.

Chief of the International Economic Cooperation Coordination Division under Finance Ministry joint secretary Madhu Kumar Marasini and chief representative of JICA Nepal office Tsutomu Shimizu signed and exchanged the grant agreement on behalf of their respective government and organization.

Similarly, finance secretary Shanta Raj Subedi and ambassador of Japan to Nepal Kunio Takahashi signed the Exchange of Note on behalf of their respective governments.