Kathmandu, November 1

A delegation of the World Bank Group executive directors concluded their visit to Nepal today urging stakeholders to focus on ‘rapid strengthening of institutions and systems to ensure stronger and more sustained growth’.

“Nepal has made progress in reduction of poverty and its stable government signals a smoother transition to the federal structure,” Jorge Chavez Presa, spokesperson of the delegation and executive director for Costa Rica, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Spain and Republica Bolivariana de Venezuala, has been quoted as saying in a media release.

“However, to ensure stronger and more sustained growth, it needs rapid strengthening of institutions and systems. The World Bank Group is committed to help the Nepal government achieve its ambitious goals for the benefit of all Nepalis.”

The conversations with Finance Minister Yubaraj Khatiwada focused on leveraging World Bank Group-wide support for the federalism agenda, maximising finance for development, and investing in health and education for the people of Nepal.

During their visit, the delegation met representatives from federal and local governments, the private sector, development partners, and civil society, and the discussions centred around Nepal’s transition to federalism, the need to invest in the country’s human capital, crowding in the private sector for diversified investment, the pace of reconstruction after the earthquakes in 2015, and the creation of jobs, especially for Nepal’s youth.

During the visit to an earthquake reconstruction site in Patlekhet of Kavrepalanchowk, the executive directors learnt about the reconstruction programme that supported rebuilding of more than 430,000 houses after the devastating earthquakes. The government’s larger rural housing reconstruction programme aims to provide earthquake-resistant housing for around 700,000 beneficiaries.

The delegation also visited Incessant Rain Animation Studios, a Nepali studio exporting digital products to global cinema and gaming industry. They observed firsthand the retaining of young talent in the country and the disruptive technology in action.

To further understand investment scenarios and discuss ways for diversifying investment, the executive directors met entrepreneurs and private sector representatives. In their discussions with policymakers and civil society representatives, the directors continued the conversation about opportunities emerging in different sectors in federal Nepal and ways to expand and enhance their positive impact, the release states.

The 11-member delegation of the World Bank Group executive directors had arrived on October 29 to gain a comprehensive view of Nepal’s current development status and opportunities. The visit marked the 50th year of World Bank Group-Nepal engagement, with the first World Bank credit in Nepal approved by the board on November 4, 1969. The trip was part of a larger visit to the South Asia Region that will also include Bangladesh and Maldives.