Rs 600 bn Need of the Hour as 2015 Reconstruction Aid

Three years after the devastating earthquake struck Nepal, the country is still having to pay a huge price.

On September 16, 2018, Nepal National Reconstruction Authority (NRA) Chief Executive Officer Sushil Gyewali has said that the authority will require approximately Rs 600 billion to finish reconstruction works of all structures affected by the 2015 quake.

In a meeting with the International Monetary Fund (IMF), Gyewali told representatives that Rs 336 billion of the estimated amount will be spent in the current year itself. Representatives including, IMF Mission Head Gerard Almekinders, IMF Asia & Pacific Department, Deputy Director Kenneth Kang, Joint NRA Joint Secretary Pitambar Ghimire were present at the meeting.

Reconstruction Cost Estimates:

• In the following year of the 2015 earthquake, NRA had estimated a budget of Rs 938 billion to undertake reconstruction activity
• Earlier, NRA had designed a five-year ‘Post Disaster Recovery Framework’ that estimated the recovery cost at Rs 838 billion
• In the same way, Nepal National Planning Commission had prepared a Post Disaster Needs Assessment report which projected reconstruction costs at Rs 669 billion
• In June 2015, Nepal had organized an international conference for Nepal’s recovery. Members of the conference, including donor agencies and neighboring countries pledged to contribute Rs 410 billion
• Rs 67 billion was devoted to rescue and relief works, out of the committed financial aid
• According to Gyewali, with the remaining amount of Rs 343 billion, the government has already signed agreements for Rs 262 billion

NRA Chief Gyewali assured supporters that NRA will use the funds provided by donor agencies and countries before reaching out to more donor agencies for additional monetary support.

He also informed IMF officials that the Nepal Government was holding discussions with several donor agencies to pitch for financial aid for completion of reconstruction works.

The Nepal Government has successfully completed construction of Nepal’s famous Krishna Mandir and is also working on the reconstruction of the Dharahara, among the many structures that fell prey to the major earthquake.