In a significant boost to its development agenda, Nepal has received foreign aid commitments totaling ₹273.04 billion for the fiscal year 2024/25, surpassing the projections outlined in its national budget. Among the contributors, the Asian Development Bank (ADB) has emerged as the largest development partner, committing over ₹118 billion—primarily targeting environmental and climate-focused initiatives.
According to data released by Nepal’s Ministry of Finance, the aid comprises ₹215.54 billion in loans and ₹57.50 billion in grants. The commitments span critical sectors such as infrastructure, transport, climate resilience, governance, disaster management, agriculture, irrigation, water, and education.
The ADB’s leading contribution focuses on projects related to the environment, forest conservation, and climate change. These include programs under Nepal’s Green, Resilient and Inclusive Development (GRID) framework, initiatives for climate-resilient landscapes, watershed management, and sustainable livelihoods.
The World Bank ranks as Nepal’s second-largest partner, pledging around ₹100 billion. Its support includes road and bridge improvements, trade facilitation, and disaster resilience infrastructure.
Key sectoral commitments in the aid package include ₹63.94 billion for transport, ₹56.41 billion for the energy sector, ₹55.87 billion for climate and environmental efforts, ₹28.47 billion for irrigation, ₹25.53 billion for water management, ₹20.13 billion for disaster preparedness, and around ₹9.5 billion each for agriculture and social sectors.
Other international partners contributing aid include the UK’s Foreign Commonwealth and Development Office (FCDO), the European Union, China, Germany, Norway, Japan, Switzerland, World Vision International, the International Fund for Agricultural Development (IFAD), and the Strategic Climate Fund.
This marks the second consecutive year ADB has held the top donor position for Nepal, followed closely by the World Bank, the European Union, and other bilateral partners.
