Himalayan News Service

Kathmandu, May 23:

A pre fact-finding mission of Asian Development Bank (ADB), which was in the capital recently to take stock of reforms and rural credit flow of Agricultural Development Ltd, Nepal (ADB-N) has returned. The mission visited Nepal following the approval of ADB-N restructuring decision of cabinet. The mission observed how ADB-N restructuring was moving on, which is partially supported by ADB with a financial assistance of Rs 4.5 billion. The government itself in the form of preference shares the rest Rs 4.5 billion. The report of Asian Development Bank’s (ADB) mission’s findings has yet to be made public. According to ADB sources, the mission led by Ashok Sharma, micro- and rural-finance specialist working in Manila explicitly studied on the rural credit system coupled with restructuring of ADB-N. Since long, donor community is scared of the government-owned financial institutions, as they have been found these institutions more vulnerable. The institutions are over politicised by every succesive governments.