The Asian Development Bank (ADB) has pledged a significant investment of US $2.3 billion (approximately Rs 313 billion) to Nepal over the next five years through a fresh Country Partnership Strategy (CPS) 2025–2029, launched in collaboration with the Government of Nepal (GoN).
Unveiled in Kathmandu, the new CPS marks a strategic step forward in ADB’s six-decade-long support to Nepal, focusing on a future defined by inclusive, resilient, green, and employment-driven growth. The pledged amount will be disbursed through a blend of grants, loans, and technical assistance, with development priorities set by the government.
According to ADB Country Director for Nepal Arnaud Cauchois, the CPS aims to stimulate private sector–led growth, increase youth employment, and enhance climate and disaster resilience. He emphasized that the ADB would implement the strategy through investment projects, policy-based lending, and sector-specific development programs. These will be integrated with institutional reforms, policy strengthening, and infrastructure investments.
Finance Minister Bishnu Prasad Paudel, who also serves as Deputy Prime Minister, hailed the CPS as a “new chapter” in Nepal-ADB ties. Aligning with Nepal’s 16th Five-Year Plan, the strategy prioritizes climate adaptation, inclusive development, and job creation, especially for the youth—one of Nepal’s most pressing socio-economic challenges.
In addition to economic growth, the CPS lays out cross-cutting priorities including digital transformation, good governance, capacity-building for federalism, and the empowerment of women and marginalized communities—aiming to ensure equitable and sustainable development outcomes.
Though launched by ADB, the initiative reflects broader concerns voiced by development partners. Preeti Arora, the World Bank Operations Manager for Maldives, Nepal, and Sri Lanka, highlighted Nepal’s progress in poverty reduction, but pointed out the need for structural economic transformation. She stated that enhanced collaboration under the CPS would reduce project duplication and improve efficiency in aid delivery.
With this bold commitment, the ADB reinforces its role as a key development partner in Nepal, supporting the country’s efforts to build a more resilient, inclusive, and productive economy by 2029.
