Kathmandu, March 25: Prime Minister Pushpa Kamal Dahal has requested the Asian Infrastructure Investment Bank (AIIB) to make a policy arrangement for a concessional rate of credit for Nepal.
During the courtesy meeting held today by the AIIB director-led delegation, which is visiting Nepal, PM Dahal said that it would be difficult for countries like Nepal to get loans at market rate interest because there is no concessional provision in AIIB
Nepal still needs more concessions on loans, but AIIB does not have such a system,” PM Dahal said, “The market rate has limited Nepal’s access to bank finance. I urge you, as policymakers, to reconsider.”
Stating that the government is focusing on good governance and institutional development, social justice and prosperity through high economic growth, PM Dahal said that he expects the bank’s support in financial management, technical assistance, knowledge sharing and policy capital mobilization in this process.
Mentioning that there are currently some projects in the energy sector with the investment of AIIB in Nepal, the PM urged them to invest in hydropower, tourism, information technology and infrastructure development as there is a lot of potential for investment.
Historic agreements have been made to export 10,000 megawatts of electricity to India and to export electricity to Bangladesh as well, this has paved the way for Nepal’s energy trade. PM Dahal said, “There is a good reminder for investment in the energy sector. We are holding an investment conference next month, and I believe that AIIB will represent it at the highest level and help create a favorable environment for investment in Nepal’s priority areas.”
People’s News Monitoring Service.
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