Cofinancing operations enable ADB’s financing partners, governments or their agencies, multilateral financing institutions, and commercial organizations, to participate in financing ADB projects. The additional funds are provided in the form of official loans and grants, other concessional financing, and commercial financing such as B loans, risk transfer arrangements, parallel loans and equity, guarantee cofinancing, and cofinancing for transactions under ADB’s TFP.
By the end of 2014, cumulative direct value-added (DVA) official cofinancing for Nepal amounted to $1.30 billion for 44 investment projects, and $72.1 million for 86 technical assistance projects. Cumulative DVA commercial cofinancing for Nepal amounted to $54.62 million for three investment projects.
In 2014, Nepal received $79.0 million grant cofinancing from the governments of Japan, Norway, and the United Kingdom, the Gender and Development Cooperation Fund, the Sanitation Financing Partnership Trust Fund under the Water Financing Partnership Facility, and the Strategic Climate Fund; and $185.0 million loan cofinancing from the European Investment Bank, and the OPEC Fund for International Development.
Nepal: Projects Cofinanced, 1 January 2010 - 31 December 2014
|Cofinancing||No. of Projects||Amount ($ million)|
|Technical Assistance Grants||24||30.21|
a A project with more than one source of cofinancing is counted once.
Investment Projects Cofinanced for Nepal, 1 January 2010-31 December 2014
|Project||ADB Amounta ($ million)||Cofinancing Amount ($ million)||Type of Cofinancingb|
|Building Climate Resilience of Watersheds in Mountain Eco-Regions||-||28.17||G|
|Community-Managed Irrigated Agriculture Sector - Additional Financing||30.00||30.00||O|
|Decentralized Rural Infrastructure and Livelihood (Additional Financing)||25.00||27.06||G/O|
|Electricity Transmission Expansion and Supply Improvement||75.00||25.00||G|
|Establishing Women and Children Service Centers - Additional Financing||-||3.70||G|
|Governance Support Program (Subprogram I) (Supplementary)||-||8.80||G|
|Kathmandu Sustainable Urban Transport||20.00||2.52||G|
|Kathmandu Valley Wastewater Management||80.00||16.00||O|
|Reducing Child Malnutrition through Social Protection||-||2.00||G|
|School Sector Program||65.00||267.97||G|
|Secondary Towns Integrated Urban Environment Improvement||60.00||17.00||O|
|South Asia Subregional Economic Cooperation Power System Expansion||180.00||191.20||G/O|
South Asia Tourism Infrastructure Development - Additional Financing
|Strengthening Public Management Program||21.00||4.00||G|
|Support for Targeted and Sustainable Development Programs for Highly Marginalized Groups||-||2.70||G|
|Third Small Towns Water Supply and Sanitation Sector||60.00||21.30||G/O|
|Trade Finance Programc||29.57||28.82||C|
- = nil.
a Loan, grant or blend.
b C = commercial cofinancing, G = grant cofinancing, O = official cofinancing.
c The $1 billion limit for ADB’s Regional Trade Finance Program (TFP), approved by the Board of Directors in 2009, is the maximum exposure the TFP can assume at any one point in time. This limit has never been breached. Although greater than $1 billion in 2010–2014, the TFP exposure was not breached because TFP maturities tend to be short—less than 180 days on average—and TFP exposure can revolve (be reused) within a year. The TFP also distributes risk exposures to various partners that leverage its capital resources.