Finance Minister Wagle seeks AIIB support for post-flood reconstruction in Nepal
KATHMANDU: Finance Minister Dr Swarnim Wagle met with Zou Jiayi, President of the Asian Infrastructure Investment Bank (AIIB), in Doha, Qatar, on Sunday during the bank's 11th annual Board of Governors meeting.
During the meeting, Dr Wagle requested the institution to expand its investments and support post-disaster rebuilding efforts in Nepal.
Responding to the appeal, President Zou expressed her deep sympathy over the significant loss of lives and property caused by the recent devastating floods in the Bhotekoshi-Trishuli river system. She pledged all possible support from the AIIB towards Nepal's post-flood reconstruction efforts.
She stated that Nepal would receive grant assistance under the AIIB 'Project Preparation Special Fund' to support project preparations. She also noted that the bank would consider providing loans to Nepal at a highly concessional interest rate by utilising grants from the 'Special Fund Window for Less Developed Members'.
During the discussions, Dr Wagle requested the AIIB to increase the nation's access to concessional financing and mobilise both its own resources and funding from other development partners. This support is intended to aid the development of green energy, cross-border electricity transmission lines, road infrastructure, and digital infrastructure as part of Nepal's medium- and long-term development efforts.
Minister Wagle called for the swift completion of AIIB-funded projects in the country, particularly the Electricity Distribution System Improvement and Expansion Project and the expressway study. Additionally, he conveyed his concern regarding the damage caused by the recent floods to the Upper Trishuli-1 Hydropower Project, which is funded by the AIIB.
According to the Finance Minister's Secretariat, the AIIB President reiterated the bank's commitment to collaborating further with Nepal, a founding member, for its economic development.
Minister Wagle congratulated Jiayi on being elected to the presidency and expressed gratitude for the AIIB's ongoing support to Nepal. Concluding the meeting, Minister Wagle invited President Zou to visit Nepal by 2026.
