KATHMANDU: Prime Minister Pushpa Kamal Dahal ‘Prachanda’ has called on developed countries to help address the challenges faced by nations that missed the industrial revolutions.

PM Dahal made this appeal while inaugurating the 21st replenishment meeting of the International Development Association (IDA21) in Kathmandu this morning.

The World Bank’s International Development Association (IDA) has been a committed partner in South Asia for over six decades.

PM Dahal argued that assistance to countries lagging in industrial development is essential for achieving the global goals of peace and prosperity.

According to him, the development pace could be intensified through concessional financial aid.

“The aid can be mobilized for just access to resources, technology, and investment. Inclusive economies can be promoted by closing existing financial gaps,” he noted, adding that sustainable development initiatives require support.

The Prime Minister informed the attendees that Nepal faces a shortage of financial resources to meet sustainable development goals (SDGs), Nationally Determined Contributions (NDCs), and sustainable infrastructure despite its efforts for inclusive economic development.

He highlighted revenue constraints and trade losses as ongoing problems.

Therefore, financial assistance in the form of grants is required for Nepal to create jobs, spur economic activities, and upgrade its status from a least developed country (LDC).

“Human capital, health, and quality education need financial resources. Enhancing the quality of infrastructure and improving people’s lifestyles are our priorities,” PM Dahal said.

“We are also focusing on digitalization, investment in productive sectors, promotion of entrepreneurship, and skill development.”

The issue of food security triggered by climate change is equally important. The achievements made so far must not be reversed.

“Nepal has been advocating for climate justice along with compensation for loss and damages, as it bears a disproportionate effect of climate change,” PM Dahal stated, highlighting Nepal’s efforts to tackle hardships such as earthquakes, COVID-19, and the global recession.

Furthermore, PM Dahal expressed confidence that the IDA21 meeting would successfully forge a consensus among donors and recipients on policy priorities and results for the coming three years, and make high-level resolutions to address unprecedented challenges.

He reiterated that Nepal and other recipient countries want to see a larger impact from IDA.

PM Dahal’s address highlighted Nepal’s potential for development, particularly in sectors like hydropower, tourism, agriculture, and its diligent youth population.

He acknowledged IDA as a significant development partner to Nepal, noting its substantial financial support for reconstruction after the 2015 earthquake.

Senior Managing Director at the World Bank, Axel van Trotsenburg, stated that the meeting would provide guidelines for mobilizing IDA resources and planning for the coming decade.

On this occasion, Managing Director at Dwarika Hotel, Sangita Shrestha, urged development partners and policymakers to work actively for the effective mobilization of financial resources to support sustainable development efforts.

The event, attended by over 200 representatives from 61 countries, including high-level officials of the World Bank, will run through June 21.