Third Nepal-Germany bilateral consultation mechanism meeting discuss cooperation

The third meeting of Nepal-Germany Bilateral Consultation Mechanism in Kathmandu today took stock of overall state of the bilateral relations and cooperation between Nepal and Germany.

Division Head (Joint Secretary) of the Europe America Division under Foreign Ministry Ganesh Prasad Dhakal and director for Indo-Pacific Policy, South Asia, Afghanistan of the Federal Foreign Office of Germany Erik Kurzweil led their respective delegations to the meeting.

At the outset, the two sides reviewed the overall Nepal-Germany relations and ongoing cooperation, according to a press note issued by the Foreign Ministry. 

Joint Secretary Dhakal appreciated the continued German cooperation to Nepal’s development endeavours, whereas director Kurzweil shared about ongoing development cooperation extended to Nepal under German development assistance.

The two co-chairs stressed the need of continuing interactions, including the exchange of high-level visits, between the two countries. “They underscored the importance of enhancing partnerships in productive sectors, including investment and trade,” it reads, adding that Dhakal briefed about the business-friendly policies adopted by Nepal and requested the German side to encourage their participation in the upcoming third Nepal Investment Summit and explore possibilities of further investments in Nepal.

Matters of regional and global importance were also discussed during the meeting. The two co-chairs agreed to work together on matters of common interest, including climate change, at various multilateral for a. Views were also exchanged to further strengthening cultural relations, enhancing people-to-people contacts and connectivity, among others.

The Nepali delegation comprised of senior officials of the Foreign Ministry; Finance Ministry; Ministry of Culture, Tourism and Civil Aviation; Ministry of Forest and Environment; Ministry of Home Affairs; and Ministry of Energy, Water Resources and Irrigation.

Likewise, the German delegation included ambassador of Germany to Nepal Dr Thomas Prinz and other officials of the Embassy of Germany.

India to assist Nepal construct three projects

Indian government is helping Nepal construct three more projects.

The Embassy of India and Ministry of Federal Affairs and General Administration today signed Memorandum of Understandings (MoUs) for undertaking three High Impact Development Projects (HICDP) projects in Nepal under the grant assistance of government of India, one each in Education, Health Care and Drinking Water Sectors, according to a press note issued by the Indian Embassy in Kathmandu.

These three projects, construction of Shree Janata Belaka Secondary School Building in Udayapur District; construction of Ngonga Thenchowk Chholing Meditation Centre in Soulukhumbu Distirct and construction of Lisnekhola Tikasung Dangchet Jharlang Water Supply Project in Dhading District is estimated to cost of Rs 101.79 million, the press note reads, adding that the construction of these projects will provide better education facilities, better health care facilities and safe drinking water facilities for the local community and improve the quality of life for people in Nepal.

Since 2003, India has taken up over 532 HICDPs in Nepal and has completed 476 projects in the areas of health, education, drinking water, connectivity, sanitation and creation of other public utilities across all seven provinces of Nepal at the grassroots level.

As close neighbours, India and Nepal share wide-ranging and multi-sectoral cooperation. “The implementation of these projects reflects the continued support of the India in bolstering the efforts of Nepal in uplifting its people, adds the press note.

Nepal to have first flyover at Gwarko

 Nepal is going to have the first flyover at Gwarko in Lalitpur after two years of ‘safety audit,’ of the Kalanki-Koteshwor road section.

The Department of Roads (DoR) confirmed the plan to construct a flyover at Gwarko Chowk within a year to ease traffic flow and minimise accidents. The department plans to complete the construction of the flyover within a year, though not a single project has been completed in projected timeframe.

The Quality Research and Development Centre under the Department of Roads has approved the flyover at Gwarko as road structure is perfect for a flyover, after the recommendations of the safety audit. Initially, the Quality Research and Development Centre had planned a flyover or an underpass at two other junctions at Satdobato and Ekantakuna but it has not concluded the study. The flyover will be built using the grade separation method under which a junction of two or more surface transport axes at different heights (grades) are aligned so that there will be no disruption in traffic flow on other transit routes when they cross each other, the Quality Research and Development Centre further informed.

The flyover will be constructed on the north-south part of the eight-lane road and only four lanes will be used for the flyover, according to the department's plan. "After the flyover is completed, vehicles heading to Imadol from Patan will use the existing road, and those heading to Satdobato from Koteshwor  or the other way round will use the 35-meter flyover."

The final design of the new structure will be soon revealed, though the exact cost estimation has not been completed. The department will issue a tender to construct the flyover once the estimated cost is released by the Finance Ministry.

The flyover will be very helpful in reducing traffic jams. According to Metropolitan Traffic Police Division, Gwarko to B&B Hospital areas are prone to accidents. Though, constructing a flyover doesnot guaratee to reduce accidents, it will ease the traffic.

After the widespread criticism over accidents and deaths on the road, the department commissioned a ‘road safety audit’ in the second week of February in 2019. However, no significant changes have been made to the road section. The audit had also recommended the installation of traffic signals at 213 places along the entire road stretch, including Balkumari, Gwarko, Satdobato, Chapagaun Dobato, Mahalaxmisthan, Ekantakuna, Nakkhu, Manohara bridge, Kalanki, Dhobighat, Khasibazar and Sanepa Chowk. But two years have been passed, and the recommendation is not implemented.

With Rs 5.13 billion cost, the Kalanki-Koteshwor section of road widening project was funded by China. It began in June 2013 and was handed over to Nepal on January 29, 2019. But the traffic jams, and accidents have been been reduced, which forced the department to conduct the 'road safety audit'.

Nepal-India relationships rest on four pillars: Visiting Indian foreign secretary

 India’s relationship with Nepal rests on four pillars – development cooperation, stronger connectivity, expanded infrastructure and economic projects – according to visiting Indian foreign secretary Harsh Vardhan Shringla.

Shringla, who is on a two-day official visit to Nepal, during a lecture on Nepal-India relations in Kathmandu today, also said stressing the need for strong cooperative relations between the two neighboring countries, he also said that his country sees Nepal as foremost friend and development partner. “India will work to Nepal's priority.”

He also highlighted easier and enhanced access to educational opportunities in India for the young people of Nepal. “India will work to Nepal’s priorities,” he said, adding that the structure that the pillars hold up is also well-defined and unchanging – mutually beneficial people-to-people contacts. And in all this technology, particularly digital technology, is to my mind a force multiplier. “Nepal is fundamental to India’s neighborhood-first policy apart from people-to-people linkages between the two countries are strong.”

“Enhancing cross-border connectivity and infrastructure projects are also critical,” he said, adding that they unlock potential of millions and in millions. “Connectivity projects come in various forms like physical connectivity projects such as highways, rail and air links and inland waterways enhance movement of goods and people, whereas energy connectivity – whether power transmission lines or petroleum pipelines – contribute to the well-being of each other’s citizens, and build mutual trust and partnerships.”

“Digital connectivity through optical fibre networks is our route to the future, particularly, and as we find in India, with remote access to education, healthcare and other services through the digital medium,” he said. “Finally, trade facilitation through upgraded border infrastructure makes for easier transit and seamless commerce.”

“India sees itself as Nepal’s natural and instinctive responder,” the Indian foreign secretary said, while referring to India's prompt response to devastating earthquake in Nepal in 2015 that claimed nearly 10,000 lives leaving thousands injured. “India will also share the Nobel coronavirus vaccines as soon as the vaccine once it is rolled out.”

Shringla arrived Kathmandu yesterday at the invitation of his counterpart Bharat Raj Paudyal. Earlier yesterday, he called on President Devi Bhandari, Prime Minister KP Sharma Oli and foreign minister Pradeep Kumar Gyawali. Shringla also held a delegation-level meeting with foreign secretary Paudyal yesterday afternoon. “In my meetings here in Kathmandu, with the President and the Prime Minister of Nepal, the foreign minister, and my counterpart the foreign secretary, and other dignitaries and officials, I have been left with no doubt that our countries are on the same page and share the same vision,” he informed

He also reminded the high level meetings of the leaders from both the countries. “Our Prime Minister’s visit to Nepal in August 2014 was the first at that level in 17 years,” he said, adding that the visit injected a fresh energy into the relationship and created a steady stream of two-way travel and developmental initiatives. “Over the past six years, Prime Minister Modi has visited Nepal four times and the Prime Minister of Nepal has been welcomed in India seven times, apart from the leaders have met 16 times at the level of head of state or head of government.”

He also reminded the High Impact Community Development Projects, which according to him are tailored to the needs of the local community, create community assets, and promote socio-economic welfare at the grassroots level. “Such development projects have been implemented in all 77 of Nepal’s districts and over a hundred of them have been completed since 2014 when our Prime Minister visited Nepal for the first time when he took over.”

These programmes cover diverse sectors such as education, health, irrigation, drinking water, preservation of culture, skill development, youth training, and agriculture, and have immediate and positive impact on the lives of people, touching everybody in society, added the visiting guest. 

Before wrapping his two-day visit, Shringla today afternoon travelled to Gorkha and inaugurated three schools – Shree Mahalaxmi, Shree Ratnalaxmi and Shree Tara Secondary Schools – constructed with Indian reconstruction assistance. “There are about 1600 students in these three schools, who now have the advantage of the newly constructed earthquake resilient school buildings,” according to a press note from the Indian Embassy. “These schools are part of 71 educational institutes across nine districts being built under government of India grant assistance of $50 million for reconstruction in the education sector,” it reads, adding that the nine beneficiary districts are Gorkha, Nuwakot, Sindhupalchowk, Ramechhap, Dolakha, Kavrepalanchowk, Dhading and Kathmandu. 

Speaking on the occasion, Indian foreign secretary emphasised that education is the best investment in the future of the country and its people. Since 2003, government of India has built nearly 270 educational campuses across Nepal under High Impact Community Development Projects scheme, complementing the efforts of Nepal in this area. Shringla also encouraged Nepali students to take advantage of over 3000 scholarships being provided by government of India to contribute in the development of their country and to further strengthen India-Nepal partnership.

India is also working with Nepal on reconstruction of 147 health posts and hospitals in ten districts of Nepal under a grant of $ 50 million and 28 cultural heritage sites in 8 districts of Nepal under another grant of $ 50 million.

In his last engagement before leaving Nepal that also signifies the diverse bilateral development and cultural cooperation, foreign secretary Shringla virtually inaugurated the Tashop (Tare) Gompa monastery constructed at Shree Kharka village in Manang district, the press note reads, adding that the event was also attended by secretary at the Ministry of Culture, Tourism and Civil Aviation Yadav Prasad Koirala, acharya Lama Norbu Sherpa, president of Nepal Buddhist Federation along with the representatives of Khangsar Sewa Samiti.

After completing his two-day official visit, foreign secretary Harsh Vardhan Shringla returned to New Delhi in the late afternoon today, the press note reads.

Projects under Indian assistance

• The Motihari–Amlekhgunj petroleum pipeline was the first of its kind in the region. It has created capacity to carry two million metric tonnes of petroleum products into Nepal, and has already led to savings of over Rs 800 million for the people of this country. 

• Brisk implementation of the 900 MW Arun III hydropower power project is underway, and cross-border power transmission lines have been upgraded

• The Jayanagar-Kurtha cross-border rail line should be operational shortly. It will make Janakpur so much quicker to visit from India. Tourism from India would be an important area of employment, commerce and opportunity. We want to promote it to the extent that we can.

• The modern integrated check-posts (ICP) at Birgunj and Biratnagar have transformed cross-border movement of people and goods, and work on the integrated check-posts at Nepalgunj has commenced

• After the earthquake of 2015, India cooperated with Nepal in the restoration of 30 heritage locations, including the iconic Seto Machindranath temple in Kathmandu, the Hiranyavarna Mahavihar at Patan, and the Jangam Matha at Bhaktapur. Our best domain specialists are at the service of the living history of Nepal.

• Given the young population – both in India and Nepal – education is a crucial bridge. Seventy schools and 150 health facilities are coming up in 12 districts of Nepal with Indian support. 

• The outlay of Indian earthquake-related assistance is US$ 1 billion but its true value is not in monetary terms. It lies in how it has helped communities on the ground. To cite an instance, 46,000 houses have been built in Gorkha and Nuwakot. They incorporate earthquake-resilient technologies in line with the motto of ‘Build Back Better’, and they epitomise humanity’s ability to triumph over adversity.

Government, World Bank sign financing agreements of $350 million to boost economic recovery

 The government and the World Bank today signed two separate agreements that will help strengthen urban governance and the financial sector in Nepal in support of the country’s Covid-19 resilience and recovery efforts.

The agreements for the Nepal Urban Governance and Infrastructure Project and the Finance for Growth Development Policy Credit were signed by finance secretary Sishir Kumar Dhungana on behalf of the government and the World Bank country director for Maldives, Nepal, and Sri Lanka Faris Hadad-Zervos.

“We are thankful to the World Bank for the support in strengthening urban development and improving financial sector stability in Nepal,” finance secretary Dhungana said, adding that the projects support Nepal’s implementation of federalism and the financial sector reform agenda, while contributing to the government’s recovery efforts from the Covid-19 crisis.

The $150 million (around Rs. 18 billion) Nepal Urban Governance and Infrastructure Project will support municipalities located in two strategic urban clusters: Eastern-Terai region (Provinces 1 and 2) and Western region (Gandaki Province and Lumbini Province). Through Nepal’s’ first dedicated Urban Sector support, the project will finance strategic infrastructure in the targeted cities, based on the priorities of the municipalities and their citizens, according to a press note issued by the World Bank. “The project will also support capacity building for the municipalities for improved urban management and with strong focus on citizen engagement, enabling targeted municipalities to better plan, manage and execute service delivery and urban management activities.”

The project will finance small scale labour intensive public works, thus supporting economic recovery and creating temporary jobs for at least 20,000 people across the country, including women and other vulnerable groups. The project also includes a contingency emergency response component to allow for reallocation of project funds to support response and recovery in case of a national emergency, it reads.

Similarly, recognising several initiatives and strong commitment of the government in strengthening financial sector stability, diversifying financial solutions and increasing access to financial services, the multilateral development partner offered the $200 million (around Rs. 24 billion) Finance for Growth operation as a budgetary support. “It will support enhanced supervision of risks confronting the banking and financial institutions, especially in the context of the pandemic’s impacts,” the press note reads, adding that the operation will also help build capital, insurance, venture capital and private equity and disaster risk financing markets through regulatory reforms. “This will help open new investment opportunities for market actors and crowd-in private financing.”

The operation also focuses on expanding access to finance for households, women and firms through regulatory and other reforms that will attract additional inflows of international finance and mobilize digital services, credit infrastructure and literacy programs.

“The World Bank is committed to support the government in implementing its relief, recovery, and resilience plan to meet urgent demand while focusing on long-term goals and opportunities to rebuild stronger and better from the pandemic,” World Bank country director for Maldives, Nepal, and Sri Lanka Faris Hadad-Zervos said, adding that through the new projects, the bank looks forward to working with the government to strengthen institutions for effective service delivery as part of the federalism implementation process and build a resilient financial sector to boost economic recovery.

On the occasion, the secretary at the Ministry of Urban Development Dr Ramesh Singh, joint secretary at the Finance Ministry Shreekrishna Nepal, director general at the Department of Urban Development and Building Construction Maniram Gelal, World Bank Operation Manager for Maldives, Nepal and Sri Lanka Lada Strelkova, World Bank senior operation officer Bigyan Pradhan and other officials were also present.

Nepal, Switzerland join hands to develop small irrigation systems in the Mid-hills

Nepal and Switzerland joined hands to develop small irrigation systems in the Mid-hills in Province 1.
Joint secretary at the Finance Ministry Shreekrishna Nepal and ambassador of Switzerland to Nepal Elisabeth von Capeller signed the agreement to implement Small Irrigation Programme (SIP)-Phase II and exchanged it between them, on behalf of their respective governments, today at the Finance Ministry.
The total budget of the programme is over 49.46 million Swiss Francs (equivalent to Rs 5.69 billion) where Switzerland has agreed to provide grants of 17.60 million Swiss Francs (equivalent to Rs 2.02 billion) and Nepal will contribute 8.86 million Swiss Francs (equivalent to Rs 1.02 billion),” reads a press note issued by the Embassy of Switzerland in Kathmandu. “The Province 1 government and participating local governments will contribute 20 per cent each of the total cost of the civil works, while Water Users Associations will contribute 10 per cent of the civil works,” it reads, adding that the programme will be implemented by the local governments of mid-hills of Province 1 over the next 4 and half years. “The programme will develop around 1,300 small irrigation schemes covering total irrigation area of 20,000 hectares benefitting more than 65,000 small farming households with an aim to double their agriculture income.”
The government has expressed its sincere appreciation to Switzerland for the assistance as well as its continued support in the socio-economic development of Nepal, the press note further reads.

Nepali Army claims to complete Expressway on time

Nepali Army claimed that it committed to complete construction of Kathmandu-Tarai Expressway on time – by May 13, 2024 – though it has been delayed due to some technical reasons including cabinet’s delay in endorsing Detailed Project Report (DPR).
Organising a press meet at its headquarters today, the Nepali Army Brigadier General Sharad Lal Shrestha, who heads the Expressway Project, said that they are preparing for an integrated package of high bridges, tunnel and road works after they received DPR from the government. “The army expects to complete the 72.5-km long Kathmandu-Nijgadh Expressway on time and also hand it over to the government.”
Shrestha said that the army is currently in the process to shortlist consultants for geo-technical and geophysical investigation of the areas, where tunnels are being built as part of the Expressway. Stating that geo-technical report will be ready by mid-July 2020, he said that the construction of tunnels will be started by the selected international construction companies.
On the occasion, Nepali Army spokesperson Brigadier General Bigyan Dev Pandey also informed that the construction is expected to gain momentum after the cabinet approved its detailed project report (DPR) on August 21. “The DPR of the project had been submitted by a South Korean firm Soosung Engineering and Consulting Company to the Nepali Army on February 4. The DPR was later forwarded to the cabinet for approval by the Ministry of Defence on March 16.”
According to the new DPR, the project will be constructed according to ‘Asian Highway Class I’ standards, which means the highway will have four or more lanes and the construction material used for the pavement will be asphalt or cement concrete.
Likewise, the construction cost of the project has been estimated at Rs 175.19 billion – which is Rs 63.19 billion more than the earlier estimate of Rs 112 billion – according to the new DPR. “The consultant has determined the estimated cost of the project based on the government set rate and international standards,” he claimed.
Of the total 72.5-km-long Expressway, some 55.2-km stretch will be roads, 6.41-km tunnels and the remaining 10.59-km will be bridges, according to the DRP that has planned three tunnels – one 3.35-km-long tunnel in Mahadev Danda of Lalitpur district, another 1.63-km-long in Dhandre Danda and the third 1.43-km-long tunnel in Len Danda of Makawanpur district – apart from 71 small and big bridges along the Expressway.

Human development in Asia-Pacific region advances dramatically, but unevenly

The Asia-Pacific region has witnessed the steepest rise globally in human development. It leads the world in access to broadband internet and is gaining on more developed regions in life expectancy, education, and access to health care. Yet it continues to grapple with widespread multidimensional poverty, and may be vulnerable to a new set of inequalities emerging around higher education and climate resilience, according to the 2019 Human Development Report, released today by the United Nations Development Programme (UNDP).
The report ‘Beyond income, beyond averages, beyond today: inequalities in human development in the 21st Century,’ reads that as the gap in basic standards is narrowing, with an unprecedented number of people escaping poverty, hunger and disease, the necessities to thrive have evolved. “The next generation of inequalities is opening up, particularly around technology, education, and the climate crisis.”
The Human Development Report (HDR) – which pioneers a more rounded way to measure countries’ progress beyond just economic growth – analyses inequality in three steps: beyond income, beyond averages, and beyond today, proposing a battery of policy options to tackle it. “This is the new face of inequality,” UNDP Administrator Achim Steiner says, adding that inequality is not beyond solutions and as this Human Development Report sets out.
According to the report’s Human Development Index (HDI), no other region has experienced such rapid human development progress. South Asia was the fastest growing region – 46 per cent growth over the period 1990-2018 – followed by East Asia and the Pacific at 43 per cent. Of all countries on the HDI, Thailand had the second-highest increase after Ireland, moving up 12 ranks during 2013-2018. Indonesia and the Philippines both joined the ranks of countries with high human development. South Asia also saw the greatest leap in life expectancy and years of schooling.
Beyond these gains in basic standards and capabilities, however, the picture becomes more complex.
Describing the ‘nextgeneration’ of inequalities likely to drive achievement further along the development spectrum, the report notes for example that in countries with very high human development, subscriptions to fixed broadband are growing 15 times faster and the proportion of adults with tertiary education is growing more than six times faster than in countries with low human development.
The region is in the vanguard of technological transformation. From 1987 to 2007 little changed in the global ranking of installed bandwidth potential, but at the turn of the millennium things started to change, with the expansion of bandwidth in East and North Asia. The report states that China leads the world in installed bandwidth, and East Asia is projected to share with North America about 70 per cent of the global economic benefits tied to artificial intelligence by 2030. But tertiary education rates lag significantly behind wealthier countries, with only 25 per cent of the tertiary school-aged population in South Asia and 44 per cent in East Asia and the Pacific enrolled in higher education.
And although millions throughout the region have escaped multidimensional poverty, the incidence of multidimensional poverty varies enormously across countries, from 0.8 per cent in the Maldives to 56 per cent in Afghanistan. Out of the 1.3 billion multidimensional poor, 661 million are in Asia and the Pacific, which shares almost half of the multidimensional poor living in 101 countries of the world. South Asia alone shares more than 41 per cent of the total number of multidimensional poor. Despite India’s significant progress on the multidimensional poverty front in the past decade, it accounts for 28 per cent of the 1.3 billion multidimensional poor.
Four in ten people in South Asia still lack access to sanitation facilities. And the report warns that the poorest communities remain vulnerable to climate change. Poor people are expected to be more exposed to droughts for warming scenarios above the 1.5°C rise in temperature in several countries in Asia. The rural poor in poor countries are at risk of a double shock: a negative impact on livelihoods and spikes in food prices resulting from drops in global yields.
“The rapid transformations in the region have brought us to an inflection point,” assistant secretary general and director of the Regional Bureau for Asia and Pacific Kanni Wignaraja says, adding that many others remain without the opportunities or basic resources to access a decent life, while many have escaped poverty.
The report also finds that despite progress, group-based inequalities persist on the Indian subcontinent, especially affecting women and girls. The HDI reveals marked contrasts between South Asia and the wider region. East Asia and the Pacific ranks second highest on the Gender Development Index, with the Republic of Korea first in the region on the Gender Inequality Index. Yet worldwide among regions, South Asia has the widest gender gap on the HDI.
While Singapore has the region’s lowest incidence of intimate partner violence against women, the report states that a staggering 31 per cent of women in South Asia have experienced intimate partner violence.
Inequalities persist at the household level as well, the report adds. Over 22 per cent of under-five children in South Asia experience nutritional inequality at home, where one child in the household is malnourished while a sibling is not. And while more than 10 per cent of South Asian girls are out of school and living in a multidimensionally poor household – compared to 9 per cent of boys – that average includes wide variation among countries: in Afghanistan, it is 44 per cent of girls, compared to 25 per cent of boys.
The report also recommends policies that look at but also go beyond income, anchored in lifespan interventions starting even before birth, including through pre-labour market investments in young children’s learning, health and nutrition. Such investments must continue through a person’s life, when they are in the labour market and after.
The report also argues that taxation cannot be looked at on its own, but must be part of a system of policies, including policies for public spending on health, education, and alternatives to a carbon-intensive lifestyle.

Chure exploitation will create ecological crisis: President Yadav

The first president Dr Ram Baran Yadav today stressed the need to rethink the plan for construction of highway through Chure.
Speaking at ‘Chure Ko Chintan (contemplation on Chure)’ organised as part of Nepal Literature Festival in Janakpurdham today, he called on the stakeholders to pay attention to the imminent ecological crisis stemming from perpetual Chure erosion. “The construction of highway through Chure and excessive use of construction equipment like excavators have resulted in drying up of water sources and disappearance of animal species from their habitats,” the first president said, suggesting implementation of development plans being sensitivity of the region bearing 60 per cent of the total population, which is also pocket area for grain production. “The government should rethink its plan for railway expansion at the expense of forest areas.”
The future generation will have to pay cost of destroying Chure as the natural calamities will be dearer for them, he added.
Likewise, former prime minister Madhav Kumar Nepal seconded Yadav.
Nepal calling the government to conserve Chure, said that the myopic planning has heralded crisis in the Chure region. “There is an urgent need to frame a masterplan for the entire country for its scientific development without causing harm to the environment,” he added.

Nepal and China sign and exchange 20 agreements

Nepal and China signed 18 memorandums of understanding (MoU) and two letters of exchange – to promote bilateral cooperation in multiple fields including physical infrastructure development, railroad connectivity and investment – today on the concluding day of Chinese President Xi Jinping's two-day state visit to Nepal.
The signing of 18 MoUs and two Letters of Exchange in regard with having a partnership with government bodies including the Ministries of Home, Foreign Affairs, Physical Infrastructure and Transport, Agriculture and Livestock Development, Industry, Commerce and Supply, and the Kathmandu metropolis were witnessed by Prime Minister KP Sharma Oli and Xi today morning.
Foreign ministers from Nepal and China as well as finance, home and foreign secretaries and secretaries at related ministries and the Chinese ambassador to Nepal Hou Yaunqi signed and exchanged the MoU and letters of exchange, on the occasion.
Xi arrived in Kathmandu yesterday in a first visit by a sitting Chinese president to Nepal in over two decades.
The two sides – while recalling the MoU signed between the two countries on June 21, 2018 on Cooperation in Railway Project – agreed to conduct the feasibility study as outlined in the MoU signed on October 13, 2019, which will lay an important foundation to launching the construction of the Cross-Border Railway, a joint statement issued on the occasion, reads, adding that both sides also reiterated their commitment to extend cooperation on Kathmandu-Pokhara-Lumbini Railway Project. “The two sides welcomed the reopening and restoration of the freight functions of the Zhangmu-Khasa port, and will optimise the functions of the Jilong-Keyrung port and open the Lizi-Nechung port at the earliest possible time and build necessary infrastructure on the Nepali side of the border.”
Both sides would also keep implementing the Protocol concerning the Utilisation of Highway in Tibet of China by Nepal for Cargo Transport and the Protocol to the Agreement on Transit Transport. On the basis of maintaining the long-term operational condition of the Araniko Highway, both sides agreed to cooperate on upgrading and reconstructing the highway on a priority basis in a step-by-step manner.
The Chinese side conveyed its readiness in initiating the repair of Syaphrubesi-Rasuwagadhi Highway, the statement reads realising the importance of enhanced level of connectivity between the two countries, the two sides agreed to proactively cooperate on the feasibility study for the construction of tunnels along the road from Jilong-Keyrung to Kathmandu. “The Chinese side also noted the request made by the Nepali side for the construction of Kimathanka-Leguwaghat section of the Koshi Highway and agreed to consider this project in future cooperation plan and requested the Nepali side to submit a detailed proposal.”
According to the joint statement, the two sides reiterated their commitment to undertake study on the possibility of cooperation, as reflected in the Joint Statement issued in Beijing on June 21, 2018, for the development of the three North-South corridors in Nepal – Koshi Economic Corridor, Gandaki Economic Corridor and Karnali Economic corridor – in order to create jobs and improve local livelihood, and stimulate economic growth and development. “The Chinese side will also extend assistance for training Nepali technical human resources in the field of railway, road and tunnel engineering as well as inland waterways and shipping.”
Both sides welcomed the consensus reached by the civil aviation authorities of the two countries on expanding the air rights arrangements, under the framework of which the airlines of both countries are encouraged to launch-operate more direct air services. Both sides will coordinate closely to speed up the construction of the Pokhara International Airport so that it would start operation at an early date.
The two sides expressed satisfaction over the successful commercial operation of Nepal-China cross-border optical fiber cable and agreed to further strengthen cooperation on information and communications for mutual benefit.
Both agreed to strengthen cooperation in various fields of economy including trade, tourism, investment, capacity of production and improving people’s livelihood so as to promote mutual development, reads the statement. “Under the framework of Nepal-China Joint Commission on Economy and Trade, the two sides will establish a working group on investment cooperation and a working group on trade led by secretary-vice minister-level officials or their designates so as to facilitate bilateral investment and trade.”
The Chinese side welcomed the Nepali side to participate in the National Exhibition of the Second China International Import Expo to be held in Shanghai in November 2019.
Both sides will hold comprehensive discussions with a view to strengthening trade relations between the two countries. The Chinese side will take positive measures to expand Nepal’s export to China. The Chinese side will consider providing technical support for the establishment of a multifunctional laboratory in Nepal and extend necessary cooperation to make Tatopani Frontier Inspection Station at Larcha fully functional. Nepal will facilitate the Chinese banks to open their branches and other financial services in Nepal with a view to facilitating trade and investment between the two countries. Both sides will complete their internal procedures at the earliest time for the operationalisation of the Protocol to the Transit Transport Agreement and try their best to implement it at an early date.
Both sides welcomed the signing of the Protocol on Phytosanitary requirements for the Export of Citrus Fruits from Nepal to China and agreed to conclude MoU on Cooperation on Import and Export of Food Safety at the earliest, it reads, adding that the two sides will continue cooperation on production capacity and investment according to the principles of ‘dominated by enterprises, respecting business principles, adhering to market-orientation and following international common practice’. “On the basis of the MoU on Energy Cooperation between the Ministry of Energy, Water Resources and Irrigation of Nepal and the National Energy Administration of the People’s Republic of China signed on June 21, 2018, both sides will bring into full play the Joint Implementation Mechanism (JIM) on Nepal-China Cooperation in energy sector, to carry out exchanges and cooperation in the fields of hydropower, wind power, solar power, biomass energy and other kinds of new energy as well as grid systems, etc.”
Both sides agreed to jointly carry out Nepal-China Electric Power Cooperation Plan and complete it within one year, apart from taking this Plan as an important reference for the next step of bilateral electric power cooperation and promote its implementation.
The Chinese side attached great importance to the aspiration of the Nepali side to establish a multidisciplinary Madan Bhandari University for Science and Technology as a mark of respect to People’s Leader Late Madan Bhandari and will extend support at the earliest date after the Nepali side chooses a suitable site for the university. Both sides will continue their discussion on the basis of the report to be submitted by the site visit working group of the Chinese side.
Likewise, the Chinese side is willing to expedite the project of improving the quality of supplied water in Kathmandu.
The Chinese side noted Nepal’s proposal on Integrated Development, including resettlement of scattered population in the Himalayan Region of Nepal. The Chinese side is willing to share experiences and consider cooperating with the Nepali side on this proposal.
Recognising that Mount Sagarmatha -Zhumulangma is an eternal symbol of the friendship between Nepal and China, the two sides will promote cooperation in different fields, including addressing climate change and protecting the environment. They will jointly announce the height of the Mount Sagarmatha-Zhumulangma and conduct scientific researches.
Both sides expressed satisfaction with the signing of the Agreement between the Government of Nepal and the Government of the People’s Republic of China on Boundary Management System, which will improve the level of boundary management and cooperation for both sides. They were also satisfied with signing the Treaty on Mutual Legal Assistance in Criminal Matters and expressed hope for an early conclusion of the Treaty on Extradition. The two sides agreed to strengthen cooperation between the law enforcement agencies on information exchanges, capacity building and training. In the next 3 years, China will offer 100 training opportunities to the Nepali law enforcement officers each year. With a view to promoting cooperation in security sector, the two sides will continue to strengthen cooperation in the exchange of visits of the security personnel, joint exercises and training, disaster prevention and reduction and personnel training.
The two sides agreed to promote exchanges and cooperation in education, culture, tourism, traditional medicine, media, think tanks and youth at different levels. The Chinese side will offer the Nepali side 100 Confucius Institute Scholarships.
The Chinese side supports the Nepali side to hold the activity of Visit Nepal Year 2020, welcomes the Nepali side to participate in the travel marts held in China and is willing to facilitate Nepal’s promotion on tourism in China. The Chinese side will hold the 9th China Festival and the 4th Kathmandu Cultural Forum in Nepal, and continue to encourage the Chinese Cultural Centre and the Confucius Institute to promote Nepal-China cultural exchanges and cooperation.
The two sides welcomed that Kathmandu of Nepal and Nanjing of China and Butwal Sub-Metropolitan City of Nepal and Xi’an city of China had developed friendship-city relations. The Chinese side consented to the establishment of Nepal’s Consulate General in Chengdu, Sichuan Province of China.
Both sides agreed to revitalise the existing mechanisms between the two countries to further strengthen relations and advance mutually beneficial cooperation in various fields.
Both sides agreed to strengthen cooperation in the United Nations and other multilateral fora and to safeguard common interests of developing countries. Both sides exchanged fruitful views on promoting collaboration and strengthening cooperation in regional issues and agreed to support each other on matters of mutual interest. The two sides expressed firm commitment to the multilateral trading regime and work for a more open, inclusive and balanced economic globalization with shared benefits.
Both sides held that President Xi Jinping’s State visit, on the historic occasion of the 70th anniversary of the founding of the People’s Republic of China, to Nepal marked the beginning of a new era in Nepal-China relations and served as an important milestone in the history of friendly cooperation between the two countries. The Chinese side would like to extend its sincere gratitude to the Government of Nepal and its people for their warm and friendly reception.
Nepal and China decided to elevate Nepal-China Comprehensive Partnership of Cooperation Featuring Ever-lasting Friendship to Strategic Partnership of Cooperation Featuring Ever-lasting Friendship for Development and Prosperity, according to the joint statement.
The two sides also expressed satisfaction over the fact that since the establishment of diplomatic relations between the two countries in 1955, Nepal-China relationship has withstood changes of the international situation and has been growing in a consistent, steady and healthy manner, which sets a model of peaceful coexistence between the two countries of different size, reads the joint statement. “Both sides recognised that the bilateral relationship between the two countries is characterized by equality, harmonious coexistence, ever-lasting friendship and comprehensive cooperation.”
Both sides decided to, on the basis of the Five Principles of Peaceful Coexistence, Charter of the United Nations and principles of good neighborliness; elevate Nepal-China Comprehensive Partnership of Cooperation Featuring Ever-lasting Friendship to Strategic Partnership of Cooperation Featuring Ever-lasting Friendship for Development and Prosperity.
Likewise, The two sides agreed to respect each other’s independence, sovereignty and territorial integrity, and respect and accommodate each other’s concerns and core interests, it reads. “The two sides will adhere to good neighboring policy and deepen overall cooperation in a win-win manner, so as to achieve mutual benefit and pursue stability and development together.”
Nepal and China take the Belt and Road Initiative (BRI) as an important opportunity to deepen mutually-beneficial cooperation in all fields in a comprehensive manner, jointly pursue common prosperity and dedicate themselves to maintaining peace, stability and development in the region, it reads, adding that the bilateral relationship between Nepal and China has entered a new phase.
The Nepali side, on the occasion, reiterated its firm commitment to One China policy, acknowledging that Taiwan is an inalienable part of the Chinese territory and Tibet affairs are China’s internal affairs, and the determination on not allowing any anti-China activities on its soil. The Chinese side also reiterated its firm support to Nepal in upholding the country’s independence, sovereignty and territorial integrity, and its firm support and respect to Nepal’s social system and development path independently chosen in the light of Nepal’s national conditions.
The two sides, on the occasion, agreed to intensify implementation of the MoU on Cooperation under the Belt and Road Initiative (BRI) to enhance connectivity, encompassing such vital components as ports, roads, railways, aviation and communications within the overarching framework of trans-Himalayan Multi-Dimensional Connectivity Network with a view to significantly contributing to Nepal’s development agenda that includes graduating from LDC at an early date, becoming middle income country by 2030 and realising the SDGs by the same date.
President of the People’s Republic of China Xi Jinping – at the invitation of President Bidya Devi Bhandari – paid two-day state visit to Nepal on October 12-13 October. President Xi and the Chinese delegation departed for Beijing on today afternoon.
During the visit, President Xi met with President Bhandari, held talks with Prime Minister K P Sharma Oli and attended the welcoming banquet by President Bhandari. While addressing a banquet hosted by Bhandari in honour of Xi yesterday evening, the Chinese President announced Rs 56 billion economic assistance for Nepal for the next two years from 2020 to 2022.
Before the banquet, Xi held talks with Nepali Congress (NC) President and former prime minister Sher Bahadur Deuba. During the meeting, Deuba appreciated Chinese investments that go towards Nepal’s development efforts.

Earthquake reconstruction, energy projects help improve ADB's operations

Overall operations of the Asian Development Bank (ADB) in Nepal has improved as of July 31, 2019 compared with the same period last year, on the back of continued contribution to the country’s earthquake reconstruction efforts and a number of ongoing energy projects, said ADB country director for Nepal Mukhtor Khamudkhanov.
“While Nepal’s portfolio performance has improved, challenges remain and further improvement is crucial to tapping into ADB’s lending resources,” Khamudkhanov today said at the opening of the annual Tripartite Portfolio Review (TPR) meeting – organised jointly with Finance Ministry – of ADB operations in Nepal.
ADB’s lending to Nepal has increased in recent years, reaching the highest commitment level in 2018 at $592 million. Of the net available funding amount of $2.7 billion spread over 31 investment projects, 68 per cent has been contracted out and 42 per cent has been disbursed as of July 31.
“Effective project preparation and better project readiness are critical to ensuring that a project’s development impact is realised on the ground without delays,” said the head of ADB’s Portfolio Management Unit in Nepal Rudi van Dael. “Timely submission of Audited Project Financial Statements and timely closure of projects are also important in improving the portfolio performance and to avoid time and cost overruns.”
“The review process is a good exercise to examine the implementation constraints and formulate agreed actions to achieve the projected 2019 targets,” said the joint secretary and chief of Finance Ministry International Economic Cooperation Coordination Division (IECCD) Shreekrishna Nepal.
ADB’s support to Nepal’s reconstruction efforts after the 2015 earthquake totals $389 million. The reconstruction of 154 schools under the ADB-supported Earthquake Emergency Assistance Project (EEAP) is nearing completion. As of August 2019, the total disbursement for the project for this year has reached $38.75 million and is expected to meet the 2019 target of $59.53 million by the end of the year, according to the multilateral development partner.
ADB is one of the leading development partners in Nepal in the energy sector, with $554 million in commitments. “Of the $101.2 million contract award target set for 2019, some $111.2 million has already been awarded, exceeding the annual target,” a press note issued by the ADB reads, adding that this was mainly contributed by the Power Transmission and Distribution Efficiency Enhancement Project, with contracts worth $74 million awarded. “ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty.”
In 2018, it made commitments of new loans and grants amounting to $21.6 billion. Established in 1966, it is owned by 68 members, 49 from the region.

BRI should be utilized for two countries' benefits

Nepal’s joining of the belt and road initiative (BRI) will benefit both Nepal and China, according to vice president Nanda Bahadur Pun.
“It was a matter of pride for Nepal to join the BRI launched by the Chinese president Xi, he said addressing a meeting with deputy governor of Yunnan Province of China at his residence, Green House, today.
The vice president reminded that Nepal had moved ahead with the campaign of 'prosperous Nepal, happy Nepali' and foreign investment was imperative for Nepal's development. “We expect maximum investment from Chinese companies," he said, adding that modernisation of agriculture, infrastructure development for tourism, excavation of minerals and processing of herbs are some of the potential areas for investment in Nepal.
The visiting deputy governor, on the occasion, said that China and Yunnan Province are happy to have cooperation with Nepal in various sectors. “The Chinese President has stressed that Yunnan could be made a center for the expansion of relations with South Asian and South East Asian countries,” he added.

JICA holds workshop for technology transfer in Nepal

Nikken Sohonsa Corporation and Nippon Koei Co Ltd – in association with JICA – organised a workshop here today.
The workshop – held by the Japanese companies to transfer Japanese technology to the officials in the Department of Roads in Nepal and other related agencies – imparted knowledge and ideas on how to protect the slops along the highways, especially those in the mid-hill areas in Nepal using biological soil crust method and later replicate the technology in other similar roads in Nepal.
This workshop was part of ‘Collaboration Programme with the Private Sector for Disseminating Japanese Technology for Environment-friendly Slope Restoration with Soil Algae’ project implemented by JICA. The project also carried out slope restoration with soil algae along the Sinduli-Bardibas Road and other mid-hill highways by promoting vegetative succession by spraying biological soil crust produced from the cosmopolitan soil, according to a press note from the Japanese Embassy in Kathmandu.
Upon the implementation of this new technology, it is believed that the traffic flow along the Sinduli-Bardibas Road would be secured. The technology is expected to support for better protection of the mountain roads by mitigating slop failures, the release reads, adding that the technology transfer is one of the ‘corner stones’ of JICA’s cooperation with Nepal.

NDC meets to finalise concept paper of 15th five-year plan

The National Development Council (NDC) meeting – the first one after the country entered into the federal set-up – kicked off today in Kathmandu to give final shape to the concept paper of the 15th five-year plan (fiscal years 2019-20 AD to 2023-24 AD).
The concept paper prepared by the National Planning Commission (NPC) with the government's vision of 'Prosperous Nepal, Happy Nepal', will be forwarded to the Cabinet for its endorsement after NDC finalises it.
The meeting inaugurated by Prime Minister KP Sharma Oli will also witness deliberations on the draft of the 25-year development concept paper will continue till tomorrow.
Speaking at a programme a member of the NPC Min Bahadur Shahi said that the NDC meeting will also hold discussions on the draft 25-year development concept paper. "The five-year periodic plan has addressed the government’s vision of ‘Prosperous Nepal, Happy Nepali’," he said, adding that the NPC had taken inputs for the draft of the 15th five-year periodic plan from various stakeholders.
Likewise, vice chair of NPC Pushpa Raj Kandel said that the final document will be prepared before April 20 and forward it to the Cabinet for approval.
Though, NPC had set a target to achieve a minimum average economic growth of 9.4 per cent per annum in the next five years, earlier, the draft envisions that the economy can grow up to 10.1 per cent per annum in the next five years based on different scenarios.
The draft of the periodic plan also envisions the country’s agriculture sector to witness average growth of 5.6 per cent per annum in next five years while the industrial sector can witness average growth of 17.1 per cent per annum. Likewise, the services sector is expected to witness 9.9 per cent growth per annum in between fiscal years 2019-20 and 2023-24.
The government had last introduced a five-year periodic plan in 2001, which lasted till 2006. Since then the government had introduced only three-year interim periodic plans on four occasions due to political transition.

NTB launches website in Chinese language

Nepal Tourism Board (NTB) has launched its website in Chinese language to facilitate an increasing number of tourists from China who are visiting Nepal.
Minister for Culture, Tourism and Civil Aviation Rabindra Adhikari and Chinese ambassador to Nepal Yu Hong jointly inaugurated the website today.
"The government wants to accelerate economic growth by increasing the contribution of the tourism industry to 25 per cent,” Adhikari said – after inaugurating the website – praising the contribution of China towards Nepal’s development. "Nepal has prioritised welcoming Chinese tourists to strengthen the China-Nepal relationship and lead the country towards prosperity."
Speaking on the occasion, Chinese ambassador to Nepal Yu Hong said that the website will help take the bilateral ties between the Nepal and China to a new height and help promote cultural and economic partnerships through tourism. Currently, more than 100,000 Chinese tourists visit Nepal every year.
The board has developed the website – to inform Chinese tourists about major tourist destinations in Nepal – written in Chinese language. The website contains information about tourist destinations of all the seven provinces, including major tourist destinations, attractive pictures of important religious places, temples, snow-capped mountains and rivers.
The infographic video uploaded inside the website contains information of all seven provinces and the routes to reach in there in an illustrated way.

ADB to help improve delivery of urban services and infrastructure

The Asian Development Bank (ADB) has sanctioned a $150 million soft loans for Nepal to improve urban infrastructures in the southern plains of the country.
The ADB’s board of directors has approved a $150 million loan to help improve the delivery of urban services and infrastructure in eight municipalities in the southern plains including in Province 7 in the far west, according to a press note issued by the multilateral development partner.
The project will help the areas become more sustainable, inclusive, and resilient places to live in for more than 1.5 million people, the press note reads.
Urbanisation in Nepal has been growing at a rapid pace at about six per cent since the 1970s, however, this has not contributed significantly to inclusive economic growth due to inadequate urban planning, weak institutions, neglected operations and maintenance (O&M) of existing urban infrastructure, as well as limited technical capacity. It is estimated that the government would need to double its spending on urban infrastructure to meet the backlog of future demand up to 2030 worth $24.5 billion.
Investments from the Regional Urban Development Project will focus on eight municipalities from the southern Tarai region, including four municipalities from the less-developed Province 7 in far western Nepal.
The project will enhance urban infrastructure in municipalities in the Tarai region, incorporating climate-resilient and sustainable features, reducing flooding duration to less than an hour in eight municipalities. It includes the construction and rehabilitation of 200-km storm water drains; improvement of 240-km roads; construction of at least 40-km footpaths responsive to the needs of elderly, women, children, and people with disabilities; building of four sanitary landfills and resource recovery centres; and construction of 20-km sewers while connecting 7,500 households to the sewerage system in Biratnagar.
"Improving urban infrastructure and service delivery in major urban areas in Nepal, including in the Tarai region, is a must given their importance to the country’s economy and development,” an ADB urban development specialist Vivian Castro-Wooldridge, has been quoted as saying in the press note. "The project will ensure that people in the southern parts of Nepal are living in areas that are safe, sustainable, inclusive, and resilient to climate change."
The Tarai region is where a significant amount of Nepal’s urban population lives and where majority of the landlocked country’s trade activities flow—through the municipalities of Biratnagar, Birgunj, and Siddharthanagar. Province 7, bordering India, is one of the poorest and most vulnerable provinces in Nepal, with 40 percent of people living under poverty and almost none having access to proper waste collection and treatment facilities.
The project will mark ADB’s first investment in urban infrastructure in Province 7 and will improve flood management, mobility and solid waste management. It will also assist the development of urban plans and bylaws that reflect greater disaster risk resilience, improved land management, and regional development. Municipal capacity will be strengthened through the implementation of a performance-based socio-economic development programme.
The project will also support a project development facility for the preparation of a pipeline of urban infrastructure projects, particularly in solid waste management, drainage, roads, water supply, and sanitation, with high readiness to reduce future start-up delays, adds the release.

End of transition could lead to prosperity

If things go as planned, Nepal will get a new constitution on September 20 since it has been endorsed by overwhelming majority of two-thirds in the Constituent Assembly (CA) today.

The much-awaited supreme law of the country is expected to pave the way for a prosperous Nepal, according to business leaders, who, however, are still cautious about the Tarai unrest.

After continuous efforts of eight years, the CA finally approved the Constitution of Nepal 2015 by two-third majority today late evening. The promulgation of the new constitution on September 20 at 5 in the evening is expected to end the prolonged political transition that has bled the economy blue.
"It is indeed a historical moment," Pashupati Murarka, president of Federation of Nepalese Chambers of Commerce (FNCCI) said. Stating that he was hopeful that the promulgation of new constitution will be the stepping stone for a prosperous Nepal, Muraraka said that the country will now move forward with economic agenda. "Political parties will now have no excuse to focus on economic agenda," he added.
Private sector, however, knows that constitution is not a magic wand. "But it can be a base for a stable and prosperous Nepal," Murarka said.
Business leaders also said constitution can be amended to address concerns of Madhes-based parties and other disgruntled forces. "The amendment process should be made easier," senior vice president of Confederation of Nepalese Industries (CNI) Hari Bhakta Sharma said. He further said the new constitution should be the stepping stone toward a stable and prosperous Nepal. "The political parties should make clear that constitution is not an end, but a means to achieve economic prosperity," he said, adding that everyone should get a chance to earn a living and right to economic activities.
The constitution has ensured the right to economic freedom that can ensure people's access to economic opportunity. "Most of the ills of the society is also due to lack of opportunity," Sharma opined.
Everyday around 1,500 youths leave the country searching for greener pastures abroad due to lack of employment opportunity at home. The youths are the precious human capital – one of the assets of the country for development, according to pundits of development theory that states human capital, natural resources and capital as prerequisites for development of a country – have been wasting their productivity in foreign land.
More than 50 per cent of the population is youth – from age 15 to 35 – according to the recent census. The country also has abundant natural resources.
With the promulgation of new constitution, foreign investors will be eager to put their money into different projects in Nepal. It would, in turn, create more jobs within the country. More investment mean naturally more employment opportunity. The end of political transition will therefore create employment opportunities at home making the best use of youths.
More investment in mega projects and infrastructures will not only create employment opportunity but also push economic growth upwards. With increased investment, historical growth rate of 3.5 percent will also get a boost, according to business leaders.
Likewise, Nepal, which has set a target of graduating to a league of developing countries by 2022 from the current status of Least Developed Country (LDC), needs growth rate of more than 6 per cent growth which will no more be a distant dream.
The constitution is certainly not a panacea for all ills, but it can solve most of our problems, a hopeful Murarka said.