Himalaya Airlines resumes regular flights on Kathmandu-Beijing route

After an interval of three-year due to the Covid-19 pandemic, Himalaya Airlines restarted regular flights between Kathmandu and Beijing from today.

Nepali ambassador to China Bishnu Pukar Shrestha, along with other passengers, flew to Beijing in the resumed first direct flight of the Himalayan Airlines from Kathmandu to Beijing, according to the airlines that has reassured that the scheduled flight operations between Kathmandu and Beijing will be operational every Saturday. "The new service will provide a convenient and efficient travel option for passengers seeking to explore the dynamic cities of Beijing and Kathmandu."

The airline also believes that the resumption of this flight route will be a significant boost to both Nepalese tourism and trade.

The Kathmandu-Beijing-Kathmandu route – that has commenced on June 24, 2023 – departed from Tribhuvan International Airport (TIA) in Kathmandu at 7:40 hours (local time) and will arrive at Beijing Daxing International Airport at 14:15 hours (local time) in Beijing, with a flight duration of 4-hour-and-45 minutes. "The return flight, H9 666, will depart from Beijing at 15:25 hours (local time) and land in Kathmandu at 18:30 hours (local time)," the airliner informed.

"We are thrilled to initiate scheduled flights between Kathmandu and Beijing, especially after the disruptions caused by the Covid-19 pandemic," expressed vice president of the airline Bijay Shrestha. Emphasising that this route will enhance the airline's international presence, Shrestha informed that passengers can now book tickets for the Kathmandu-Beijing-Kathmandu flight at the Himalaya Airlines ticketing counter. "The company is confident that the resumption of this route will facilitate convenient and efficient travel options for individuals commuting between Beijing and Kathmandu, benefiting Nepal's tourism and business sectors."

Government, World Bank launch $275 million Butwal-Gorusinghe-Chanauta road

The Government and the World Bank today jointly launched the $275 million (equivalent to Rs 34.96 billion) Accelerating Nepal’s Regional Transport and Trade Connectivity (ACCESS) Project aiming at upgrading Butwal-Gorusinghe-Chanauta road.

Under the project, the 69-kilometer two-lane section of the Butwal-Gorusinghe-Chanauta road along the East-West Highway will be upgraded to a climate-resilient four-lane highway, according to a press note issued by the World Bank. "With a focus on ensuring better road safety, the project is expected to reduce travel time by 30 percent, thus providing better access to India’s western seaports."

The project will construct at least three market areas with required internet and trade information facilities along the highway to help enhance economic opportunities, especially for women entrepreneurs and traders, the press note reads, adding that the project will also support advancing Nepal’s preparedness and subsequent implementation of the Motor Vehicle Agreement (MVA) signed by Bangladesh, Bhutan, India, and Nepal to allow smooth passage of goods and passenger vehicles in each other’s territories. "It will help improve trade and connectivity by reducing trade and transport costs and transit time along selected corridors in Nepal."

The project was jointly launched by Minister of Physical Infrastructure and Transport Prakash Jwala and the World Bank Vice President for South Asia, Martin Raiser.

“The ACCESS project will help develop resilient infrastructure in Nepal and help unlock Nepal’s economic potential through better connectivity and trade, both between the provinces as well as regionally,” said minister Prakash Jwala, after launching the project.

“Enhanced trade and transport connectivity promotes economic integration and opens larger markets among South Asian countries," World Bank vice president for South Asia Region Martin Raiser, on the occasion, said, adding that the ACCESS project will help improve regional trade and promote sustainable infrastructure development to support Nepal’s green, resilient, and inclusive development.

The project will be implemented by the Ministry of Physical Infrastructure and Transport, Ministry of Industries, Commerce and Supplies, and Ministry of Forests and Environment. The project’s financing agreement was signed by the Government and the World Bank in September 2022, the press note adds.

Government, stakeholders discuss actions and investment priorities for GRID

The World Bank and Finance Ministry convened a high-level roundtable meeting today on investment priorities and enabling policies to operationalise Nepal’s vision for Green, Resilient, and Inclusive Development (GRID).

Government officials and development partners including Asian Development Bank (ADB), France, Australia, UK, Republic of Korea, European Union (EU), Germany, Japan, Finland, International Monetary Fund (IMF), Norway, Switzerland, the United States of America (USA), United Nations (UN, World Bank Group, International Center for Integrated Mountain Development (ICIMOD), and Association of International NGOs; as well as representatives from civil society, the private sector, youth groups, and think tanks participated in the event and took stock of efforts to implement GRID since the government and development partners endorsed the Kathmandu Declaration on GRID in September 2021.

“Nepal formally adopted the integrated approach to green, resilient, and inclusive development, or GRID, as its national development vision,” said chief secretary Shanker Das Bairagi, on the occasion. "This approach can be an engine of sustainable growth, good jobs and livelihood opportunities, and resilience in the face of multiple risks.”

The Roundtable also reviewed priority actions in the government’s emerging draft GRID strategic action plan including managing land, water, and forests in a more productive, sustainable, and integrated way; equipping people with new skills and resilient livelihoods; greening urban development; scaling up water supply and sanitation, managing pollution and waste; scaling up renewable energy; boosting the sustainability and resilience of the transportation system; strengthening disaster risk management and financing; and enhancing social protection to be responsive to shocks, according to a press note issued by the World Bank.

“Green, resilient, and inclusive development is about lifting incomes, improving opportunities for all, and achieving growth in harmony with nature,” World Bank vice president for the South Asia Region Martin Raiser said, adding that the World Bank and development partners are fully committed to supporting Nepal's GRID priorities and we are excited to see the impactful outcomes of GRID unfold.

Nepal’s draft GRID strategic action plan defines an economy-wide shift to a GRID development path, and specifies a set of high-priority investments with ready financing and a set of priority policy commitments. The priorities in the strategic action plan derive from Nepal’s key development, climate, environmental, and sector strategies. Financing sources include public expenditure from the government, overseas development assistance, innovative financing such as carbon finance, and private sector investment.

The event also served to consolidate the GRID partnership led by the government, which has grown to 20 development partners. In addition, the event was a milestone for the government to begin consultations with provincial and local governments and other stakeholders on the emerging strategic action plan. "It is anticipated the strategic action plan will be further refined and finalized this year," the press note reads.

हरित, उत्थानशील र समावेशी विकासका कार्य र लगानी प्राथमिकतामाथि छलफल

विश्व बैंक र अर्थ मन्त्रालयले नेपालको हरित, उत्थानशील र समावेशी विकास (ग्रिड) सम्बन्धी दृष्टिकोणको प्रभावकारी कार्यान्वयनका लागि आवश्यक पर्ने लगानी प्राथमिकता र अनुकूल नीतिहरूबारे छलफल गर्न आज काठमाडौंमा एक उच्चस्तरीय गोलमेच बैठक आयोजना गर्यो । 

कार्यक्रममा सरकार र विकास साझेदारहरूका साथै नागरिक समाज, निजी क्षेत्र, युवा समूह र प्रबुद्ध वर्गका प्रतिनिधिहरूको सहभागिता रहेको थियो । सो अवसरमा सहभागी प्रतिनिधिहरूले नेपाल सरकार र विकास साझेदारहरूबाट असोज २०७८ मा ग्रिड सम्बन्धी “काठमाडौं घोषणापत्र” संयुक्त रूपमा अनुमोदन गरिएयता भएका कार्यान्वयन प्रयासहरूको लेखाजोखा गरेका थिए ।

विकास साझेदारहरूमा हाल एसियाली विकास बैंक, फ्रान्स, अष्ट्रेलिया, संयुक्त अधिराज्य, गणतन्त्र कोरिया, युरोपेली संघ, जर्मनी, जापान, फिनल्याण्ड, अन्तर्राष्ट्रिय मुद्रा कोष, नर्वे, स्विट्जरल्याण्ड, संयुक्त राज्य अमेरिका, संयुक्त राष्ट्रसंघ, विश्व बैंक समूह, अन्तर्राष्ट्रिय एकीकृत पर्वतीय विकास केन्द्र (इसिमोड), अन्तर्राष्ट्रिय गैरसरकारी संस्था संघ लगायत बैठकमा उपस्थित थिए।

नेपालले  राष्ट्रिय विकासको दूरदृष्टिका रूपमा हरित, उत्थानशील र समावेशी विकास (ग्रिड) सम्बन्धी अवधारणालाई औपचारिक रूपमै अंगीकार गरेको मुख्य सचिव शंकर दास बैरागीले बताए । “विभिन्न जोखिमहरूका बीच यो अवधारणा समृद्धि, दिगो आर्थिक वृद्धि, राम्रा रोजगारी र जीविकोपार्जनका अवसर एवं उत्थानशीलताको एउटा साधन बन्न सक्छ,” उनले भने । 

उक्त गोलमेच बैठकले सरकारको मस्यौदा ग्रिड रणनीतिक कार्ययोजनामा उल्लेखित प्राथमिकता प्राप्त कार्यहरूको समेत समीक्षा गर्यो । ती प्राथमिकताप्राप्त कार्यहरूमा जमिन, जल र वनलाई थप उत्पादनशील, दिगो र एकीकृत रूपमा व्यवस्थापन गर्ने, मानिसहरूलाई नयाँ सीप र उत्थानशील जीविकोपार्जनबाट सुसज्जित बनाउनेस सहरी विकासलाई हरित बनाउने, खानेपानी तथा सरसफाइको पहुँच र प्रदूषण तथा फोहोरमैला व्यवस्थापन अभिवृद्धि गर्ने, नवीकरणीय ऊर्जा विस्तार गर्ने, यातायात प्रणालीको दिगोपना र उत्थानशीलता बढाउने, विपद् जोखिम व्यवस्थापन र वित्तीय लगानी सुदृढ गर्ने र विपदबाट आइपर्ने आघातहरूप्रति अनुकूलन हुन सामाजिक सुरक्षालाई सबल बनाउने  रहेका छन् ।

हरित, उत्थानशील र समावेशी विकासले आयस्रोत बढाउने, सबैका लागि अवसरहरू सुधार गर्ने, र प्रकृतिसँगको सामन्जस्यतामा वृद्धि हासिल गर्ने कार्य गर्छ भन्दै दक्षिण एसिया क्षेत्रका लागि विश्व बैंकका उपाध्यक्ष मार्टिन रेजरले भने, “ग्रिड सम्बन्धी प्राथमिकताहरूलाई साकार पार्न विश्व बैंक लगायत अन्य विकास साझेदारहरू पूर्णरूपमा प्रतिवद्ध छौं र हामी नेपालमा यसको प्रभावकारी नतिजाहरू हेर्न उत्सुक छौं ।”

विश्व बैंकका अनुसार नेपालको मस्यौदा ग्रिड रणनीतिक कार्ययोजनाले ग्रिड विकासको मार्गतर्फ जान अर्थतन्त्रव्यापी परिवर्तनको व्यवस्था गर्नुका साथै तयारी अवस्थामा रहेका बित्तिय प्रावधान सहितको उच्च प्राथमिकताका लगानी र प्राथमिकता प्राप्त नीतिगत प्रतिवद्धताहरू निर्दिष्ट गरेको छ । रणनीतिक कार्ययोजनाका प्राथमिकताहरू नेपालका प्रमुख विकास, जलवायु, वातावरणीय र क्षेत्रगत रणनीतिहरूबाट साभार गरिएका छन् । यसका वित्तिय स्रोतहरूमा नेपाल सरकारको सार्वजनिक खर्च, वैदेशिक विकास सहायता, कार्बन वित्त जस्ता नवीनतम स्रोत र निजी क्षेत्र लगानी रहेका छन् ।

उक्त बैठकले नेपाल सरकारको नेतृत्वमा रहेको ग्रिड साझेदारीलाई थप मजबूत बनाएको छ । यसका २० वटा विकास साझेदार छन् । साथै, उक्त बैठक आसन्न रणनीतिक कार्ययोजनाका सम्बन्धमा प्रदेश तथा स्थानीय सरकार र अन्य सरोकारवालाहरूसँग परामर्श सुरू गर्न सरकारका लागि एउटा कोशेढुंगा बनेको पनि विश्व बैंकको बुझाइ छ । सो रणनीतिक कार्ययोजनालाई थप परिष्कृत गरी यसै वर्ष अन्तिम रूप दिने अपेक्षा पनि विश्व बैंकले गरेको छ ।

Government and World Bank sign $120 million concessional loan financing agreement and $19.7 million grant agreement to strengthen school sector

The government and the World Bank today signed a financing agreement for $120 million concessional loan from the International Development Association (IDA) and a grant agreement for $19.7 million from the Global Partnership for Education for the School Sector Transformation Programme (SSTP) Operation, which support the implementation of the government’s flagship School Education Sector Plan.

The agreement was signed by finance secretary Arjun Prasad Pokharel and the World Bank country director for Maldives, Nepal, and Sri Lanka Faris Hadad-Zervos at the Finance Ministry.

The operation focuses on improving foundational skills by implementing the national integrated curriculum in early grades, a press note issued by the World Bank reads. "The operation supports the government’s programme through the development and implementation of the Recovery and Accelerated Learning Plan to address learning losses as a result of school closures due to Covid-19 and other disasters, strengthening teaching and learning in the classrooms, construction of green and resilient classrooms, ensuring minimum enabling conditions such as qualified teacher, child-friendly taps and seating, and toilets in the early childhood education development centers, and strengthening digital teaching and learning materials, among others," it reads, adding that the operation also envisions improving the equity of the school sector by supporting girls, disabled students, and those of lower socio-economic status, through targeted scholarships programmes.

“I am hopeful that the reform agenda envisioned in the School Sector Transformation Programme will be instrumental in increasing equitable access and improving the quality of education, which are critical for human capital development,” said finance secretary Pokharel after signing the agreement.

“The School Sector Transformation Programme operation supports the government of Nepal’s Green, Resilient, and Inclusive Development (GRID) agenda by investing in quality and equitable access to education, which is key to developing human capital and fostering inclusive and resilient growth,” said World Bank country director for Maldives, Nepal, and Sri Lanka Faris Hadad-Zervos, after signing the pact.

Private sector booms with over 30-fold growth in 30 years, contributing over 80 per cent to GDP and employment: Report

The private sector contributes significantly to the country's gross domestic product (GDP), with the service and agriculture sectors playing a dominant role, according to a new report by the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and the International Finance Corporation (IFC).

The report, titled 'State of Private Sector in Nepal: Contributions and Constraints,' analysed data from fiscal year 2011-12 to 2020-21, evaluating the private sector's contribution and current context in Nepal. The report is -- that is claimed to be the first such attempt to create a comprehensive baseline for the entire private sector in Nepal -- combines analysis of both published and unpublished secondary data to offer a snapshot of the private sector contributions to Nepali economy.

According to a comprehensive analysis of sectoral data published by the National Statistical Office (NSO), Finance Ministry (MoF), and various public and private enterprises, it has been estimated that the private sector, which includes households contributes, 81.55 per cent to the country's GDP, taking into account the value addition of all 18 sub-sectors that collectively drive Nepal's economy.

The number of private sector establishments has significantly increased over the past three decades, from 28,660 in 1983 to 923,356 in 2018. It is also the largest employer in Nepal, providing employment to 85.6 percent of the total labor force, the report claimes, adding that a substantial portion of the country’s labour force is employed in agriculture, forestry, and fisheries (57 per cent) and wholesale and retail trade, including vehicle repair (12.5 per cent). "Both industries are primarily driven by the private sector." In 2018, the private sector employed approximately 5.5 million people, while the public sector employed around 427,000 people.

"Based on solid evidence, this report further highlights the private sector’s vital contribution to the socio-economic development of Nepal," country representative for IFC in Nepal Babacar S Faye said, "Our hope is that it will also help better inform and encourage the dialogue between the public and private sectors in order to formulate the best policies that will unleash the full potential of Nepal’s dynamic entrepreneurs."

"The people of Nepal need jobs, products and services that can only come from a stronger and more productive private sector," she said, adding that as the first of its kind in Nepal, the report certainly does not pretend to be comprehensive,  and "we look forward to constructive feedback from all stakeholders in order to enrich the discussions and also improve future editions.”

The study revealed that the private sector has played a critical role in Nepal's growth since the restoration of democracy in the 1990s and the implementation of liberalisation, privatisation, and globalisation policies by the government. This has triggered remarkable progress in several industries, including finance, hospitality, tourism, education, and health.

However, the report highlighted certain areas that require improvement, such as simplifying bureaucratic processes, promoting transparency and accountability, improving the reliability and cost of transportation services, and reducing tariffs on crucial imported inputs.

"Nepal is currently going through a period of major social and economic changes and is having to deal with the challenges brought on by the Covid-19 pandemic," president of the FNCCI Chandra Dhakal said,  on the occasion. "To progress economically, it is vital that stakeholders come together for consultations and discussions," he said, adding that the report can act as a helpful aid to those looking to get the most out of the private sector's contribution to Nepal, and to foster cooperation between the public and private sectors. "We hope that future editions of this report will aggregate and analyse all private sector-related data in one place- creating a robust baseline for data-driven policy dialogue."

The report includes a survey of 517 Nepali firms to gauge the impact of Covid-19 and their awareness of sustainability and climate change. Half of the firms surveyed were in wholesale and retail trade, 13 per cent were in the hotel and accommodation sector, and 12 per cent were in manufacturing. Likewise, half of the firms had borrowed from commercial banks, and during Covid-19 restrictions, 87 per cent were affected, with 63 per cent fully closed. "Some 79 per cent experienced a loss of revenue during lockdown, but 50 per cent reported being profitable after it was lifted."

World Bank approves $100 million to strengthen healthcare system

The World Bank’s Board of Executive Directors – on Friday – approved $100 million in financing for the Nepal Quality Health Systems Programme operation, 

The Programme will improve the quality of healthcare services and increase the coverage of health insurance, and enhance the capacity of the healthcare system to prepare for and respond to health emergencies in Koshi and Gandaki provinces, according to a press note issued by the World Bank, Kathmandu Office.

“By prioritising and investing in health, Nepal can reap multiple benefits including improved health outcomes, increased productivity, and economic growth,” World Bank country director for Maldives, Nepal, and Sri Lanka Faris Hadad-Zervos said, adding that the World Bank supports Nepal’s goal to put quality at the core of health system policy and planning and service delivery.

The Programme will be implemented by the Ministry of Health and Population with the coordination of the Health Insurance Board at the federal level, and provincial and local governments in Koshi and Gandaki provinces to help achieve the strategic objectives of Nepal’s Health Sector Strategic Plan, 2022-2030. “These include enhancing efficiency and responsiveness of the health system, promoting sustainable financing and social protection in health, and promoting equitable access to quality health services,” the press note reads.

“The Programme supports the implementation of federalism and builds on Nepal’s first Programme for Results in the health sector to address the challenges of access and quality and to build a resilient public health sector,” practice manager for Health, Nutrition and Population, South Asia Region Dr Feng Zhao said, adding that the results achieved under this Programme have the potential for scale-up to other provinces.

The financing for the Programme is complemented by a $3.84 million grant from the Health Emergency Preparedness and Response (HEPR) Trust Fund. The HEPR Trust Fund supports eligible countries and territories to improve their capacities to prepare, prevent, respond, and mitigate the impact of epidemics on populations.