Country director of the Asian Development Bank Nepal Resident Mission (ADB NRM), Dr. Sultan Hafeez Rahman, has said the on-going conflict has affected almost all of the ADB-assisted projects in the country.
Addressing a year-end press meet at the NRM’s office in the capital Friday morning, Rahman said there were instances when the (ADB-assisted) projects were stopped. He said the local authorities (of the Maoists) had asked the projects to register with them, but in those instances our answer was simply no.
“We are an international development institution and our mandate is to provide assistance to the country and the legitimate authority. (We have made it clear that) we can’t work with the authority which is not recognized by an international,” Rahman said. “This is the view that has been respected continuously,’ he added.
Rahman clarified that ADB doesn’t implement the projects directly. “Government has its own mechanism to implement the projects. We provide funding, technical assistance etc. and make sure that ADB’s stringent policies are complied with and objectives of the project realized,” he added.
Rahman further said peace and stability were crucial to achieve Nepal’s strategic development objectives. “ADB’s new five-year Country Strategy and Programme (CSP) recognizes the centrality of the conflict as an impediment to Nepal’s development prospects, and thus attempts to address its root causes,” said Rahman. He said ADB would make its future assistance to Nepal more sharply focused and results-oriented, use more sector-wide and programmatic approach, and encourage participation of more stakeholders and institutions in the design and implementation of all projects.
Rahman also informed that ADB had five loans totaling USD 110 million in the year 2004. The loans included USD 40 million loan for the decentralised rural infrastructure and livelihood project, $20 million loan for the sub-regional transport facilitation project, $20 million for the community managed irrigated agriculture sector project, $20 million for the skills employment project and $10 million for the gender equality for empowerment of women project.
Rahman also said that the new CSP offers up to 50 percent of the total loan to Nepal to be transformed into grants. “This is a landmark achievement for Nepal and a strong commitment that ADB remains committed to assist Nepal and realize the development aspirations of the people Nepal,” he added.