Germany and Nepal Conclude Successful Development Cooperation Negotiations

The Federal Republic of Germany and Nepal have successfully concluded their Negotiations on Development Cooperation, which took place in Berlin on September 4-5, 2024. The negotiations were led by Dr. Bärbel Kofler, Parliamentary State Secretary to the Federal Minister of Economic Development, and Mr. Dhani Ram Sharma, Joint Secretary at the International Economic Cooperation Coordination Division of Nepal’s Ministry of Finance.

Germany committed a total of 51 million euros in new aid, focusing on three key areas of bilateral cooperation: Renewable Energy and Energy Transmission, Health and Social Protection, and Sustainable Economic Development.

The new commitments include significant support for a power distribution program in the energy sector, assistance in implementing Nepal’s National Gender Equality and Social Inclusion Strategy in the health sector, and initiatives to promote resilient agricultural private sector development as part of sustainable economic growth.

Germany’s continued support aligns with Nepal’s reform agenda and its goal of graduating to a middle-income country. Both parties discussed how this transition will influence bilateral aid modalities and emphasized the importance of ensuring a smooth transition. The new projects will also prioritize strengthening gender equality, reflecting a shared priority between the two governments.

Development cooperation between Germany and Nepal remains a vital component of the international donor community’s efforts. This includes the Team Europe Initiative “Green Recovery,” where Germany, Finland, the European Union Commission, and Nepal collaborate to strengthen resilient agricultural ecosystems.

Germany and Nepal have a long-standing and productive partnership, working together to achieve the Sustainable Development Goals (SDGs) and address challenges related to sustainable economic development, energy, climate change, and health and social issues.