The World Bank has approved a $80 million, The Rural Enterprise and Economic Development (REED) Project to boost Nepal’s agriculture sector by strengthening rural market linkages and promoting entrepreneurship while creating jobs to support post-COVID-19 recovery.
“The project is an opportunity for the government and the private sector to work together in building the ‘Nepal’ brand in the agriculture sector and leverage the country’s global recognition. In doing so, the project can stimulate many niche sectors such as coffee, tea, fruit and medicinal products, among others, to help them grow and to support post-COVID-19 recovery.”- Faris Hadad-Zervos, World Bank Country Director for Maldives, Nepal and Sri Lanka
The Project will promote market linkages to support the growth of rural enterprises, especially those that are women-led with a key focus on productive partnerships. The partnerships that will add value, create jobs and foster sustainable linkages between small-holder producers and institutional buyers will be the major focus. In addition to this, the project will also help improve production through investments in municipal agriculture centers and value chain infrastructures to ensure the availability of inputs for farming as recovery actions from COVID-19.
REED will work with provincial and local governments, intermediary organizations and small and medium enterprises to build capacity in the agriculture sector and strengthen the entrepreneurship ecosystem.
The project supports the Government of Nepal’s Agriculture Development Strategy 2015–2035 that aims to create a sustainable, competitive, inclusive and resilient agricultural sector that drives economic growth with private sector participation. The project focuses on five economic corridors covering Provinces 1, 2, Bagmati, Gandaki, Lumbini and Sudurpashchim.
Apart from this project, The World Bank is supporting Nepal’s development through a portfolio of 24 different projects with net commitments of over US$3 billion. The World Bank-supported projects aim at strengthening public institutions for economic management, service delivery and public investment; generating more and better jobs through private sector-driven growth; and building inclusion for the poor, vulnerable and marginalized groups, with increased resilience against climate change, natural disasters and other exogenous shocks.
We believe that this financing from The World Bank will open doors for the development of the Nepalese agricultural sector which creating ample opportunities for Nepali agri-entrepreneurs!
Source: World Bank