<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20230208140212/63e39fd69c7e80680e0d700djpeg.jpg" alt="" width="1200" height="800"/><figcaption>Photo: LAKPA SHERPA</figcaption></figure>Nepal’s unique ecological diversity and topography gives the country <a href="https://www.nepalitimes.com/here-now/saving-the-treasure-trove-of-nepals-orchids/">many cash crops</a>, but there is one crop that is actually turned into cash.In recent years, there has been a dramatic rise in exports of the bark of a Himalayan bush, Edgeworthia gardneri, prized in Japan to print currency notes, passports, envelopes, postage stamps, and other stationery.Common at altitudes from 1,500-3,000m in the Himalaya, the plant is known colloquially as Argeli, and with its increasing demand, farmers in Sindhupalchok, Dolakha, Taplejung, Ilam, Baglung, Myagdi, among other districts, have begun to commercially cultivate it.Read also: <a href="https://www.nepalitimes.com/here-now/info-age-boost-for-nepals-pashmina/">Info age boost for Nepal’s pashmina</a>, Aakriti Shrestha“Argeli is the only export from our region,” explains Lhakpa Sherpa, a paper bush farmer in Dolakha. “It has brought in over Rs2 million income into our municipality.”According to Narayan Manandhar's Plants and People of Nepal, techniques to make paper by hand are believed to have been introduced to Nepal in the 14th century from China. The Tamang community in Rasuwa and Dolakha have used the bark of the Lokta plant, the more famous wildcrafted, handmade paper indigenous to Nepal, for at least 700 years.Read also: <a href="https://www.nepalitimes.com/here-now/nepals-water-in-qatar/">Nepal’s water in Qatar</a>, Ramesh KumarNepal began <a href="https://www.nepalitimes.com/here-now/nepals-water-in-qatar/">exporting</a> the paper bush to Japan over a decade ago and it has already served as a replacement for Mitsumata which was traditionally used to make Japanese paper. "While Japanese paper is considered the best in the world," says Kiran Kumar Dangol of Nepal Handmade Paper Association, "Nepali paper is seen as stronger and better quality than most paper abroad, which has led to its high demand."Today, Edgeworthia gardneri is cultivated in 55 districts of Nepal. It is a small evergreen shrub that grows in dry and shaded areas, with brownish red stem, long stalks and yellow flowers, and can self-pollinate. Also called Arili, Arkaale, Tinhaange Lokta, Pachyaar in Gurung, Warpadi in Tamang and Dhyarpati in Sherpa language, the plant can quickly shoot up to 3m depending on soil conditions and plays an important role in preventing drought and increasing greenery.<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20230208140212/63e39fda9c7e80680e0d700ejpeg.jpg" alt="" width="1741" height="885">"Unlike most plants, it does not suffer from disease and is avoided by insects and cattle,” adds Sherpa. But cultivation requires detailed attention – the plant will spoil if not dried properly in the cold months.The bushes are harvested five years after being planted, usually from October to February, during which time it has a distinct white colour. High water-content Argeli is greenish in colour and is not considered suitable or of good quality.The inner fibrous cover of the stem is used to make paper and the outer bark to make ropes, while some places also use its roots to cure scabies. There are three different grades of Argeli -- A, B and C -- with prices ranging from Rs100 to Rs575 per kg.Read also: <a href="https://www.nepalitimes.com/banner/a-post-mortem-of-nepals-garment-boom/">A post mortem of Nepal’s garment boom</a>, Sewa Bhattarai“Agreli is a good source of income for communities in the hilly and Himalayan regions," says Benu Das Shrestha of Jugal Nepali Paper Industry in Sindhupalchok. "The plant does not require any irrigation and is easy to cultivate.”According to Chet Bahadur Sherpa, a cultivator from Dolakha employing 40 people in his business, farmers work for two months at a rate of Rs1,000 per day, while women workers are paid Rs20 per kg.Read also: <a href="https://www.nepalitimes.com/here-now/saving-the-treasure-trove-of-nepals-orchids/">Saving the treasure trove of Nepal’s orchids</a>, Kamal MadenThe Forest Research and Training Centre estimates that more than 100,481 tons of Nepali paper bush is produced yearly across 2,091,000 hectares in the country. One kilogram of the fresh, mature bark makes 400 grams of Nepali paper. In 2015/16 FA, 60,000kg of Argeli bark worth nearly Rs36 million was exported to Japan. Last year, exports rose to 95,000kg and yearly profits now total up to more than Rs100 million.Vijay Suvedi, biotechnologist at Tribhuvan University’s Applied Science and Technology Research Centre emphasises that there is huge potential for sustainably profitable farming of Argeli, especially in Eastern Nepal.<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20230208140212/63e39fde9c7e80680e0d700fjpeg.jpg" alt="" width="1200" height="800"><figcaption> </figcaption></figure>“Right now, all work is done by hand, which takes a lot of effort.," he says. "We need to mechanise the planting and harvesting to make it systematic and economically viable."Nepali paper bush could be one of Nepal’s best-known exports, alongside <a href="https://www.nepalitimes.com/here-now/info-age-boost-for-nepals-pashmina/">Pashmina, carpets and garments</a>. Apart from making paper, the leaves, stems and roots of the plant can also be sold commercially by farmers.The Nepal Handmade Paper Association currently conducts training and workshops with local stakeholders and designers to increase demand for Argeli bark and handmade paper. Says Kiran Dangol: “We have the next generation of designers who are really good. By tapping into local employment, we can increase the demand for Nepali paper locally and globally.”Translated by Aria Prasai from the Nepali original in Himalkhabar online.

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Japanese Yen, Made in Nepal

<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161144/636d1c819c7e80680e0af363jpeg.jpg" alt="" width="1040" height="600"/>Nepali rupee currency notes worth Rs2,758,424,164 is in circulation across the country, according to Nepal Rastra Bank which is in charge of note issuance and management.There was new note stock worth Rs79.81 billion until last fiscal year, which is a six fold increase compared to a year before.The paper currency most in circulation is Rs1,000, of which there are 488,615,058,  whereas there are only 348,705 bills of the old Rs250 notes in the market.

Rs 2,758,424,164 in circulation

<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108181144/636a964a9c7e80680e05dc5cjpeg.jpg" alt="" width="1500" height="1000"/>Nepal has the <a href="https://www.nepalitimes.com/opinion/can-nepal-be-the-powerhouse-of-asia/">fifth highest hydropower potential</a> in the world. Besides electricity, which can be used for peak energy supply, hydropower <a href="https://archive.nepalitimes.com/article/nation/reservoirs-of-suspicion/hydropower-geopolitics%20,3991">reservoirs</a> can also play a role in regulating water in rivers, flood control and irrigation.With federalism, Nepal has the potential to <a href="https://archive.nepalitimes.com/article/Nepali-Times-Buzz/Power-for-Nepal-review,2884">decentralise hydropower</a> along with political power. All seven provinces, except Province 2 in the Tarai, have enormous capacity to develop hydropower to generate downstream benefits, such as increasing agriculture output, boosting tourism and generating employment.The government’s current budget includes a provision to develop one large hydropower project in each province. Prioritising water value first and peak energy second, Nepal can double its megawatt potential by maximising storage and daily peaking of run-of-river projects, while regulating river flow.Read also: <a href="https://www.nepalitimes.com/editorial/making-nepal-powerful/" target="_blank" rel="noopener">Making Nepal powerful</a>, EditorialAll this would allow 5.4 million households across Nepal to gradually <a href="https://www.nepalitimes.com/opinion/look-whats-cooking-in-nepal/">replace imported cooking gas</a> and traditional firewood with cheaper electricity, reducing Nepal’s <a href="http://archive.nepalitimes.com/blogs/thebrief/2012/08/14/lost-in-priority/">trade deficit</a> and <a href="http://archive.nepalitimes.com/news.php?id=19406#.XdKA2dIza71">improving health by eliminating indoor pollution</a> from open kitchen fires.<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108181144/636a964d9c7e80680e05dc5djpeg.jpg" alt="" width="640" height="281"><figcaption> </figcaption></figure>If each family consumes 1KW of energy and if 3 million families switch from cooking gas and firewood, we will need 3,000MW in the morning and evening peak hours, which can be provided by new mega-projects designed to generate 15,000GWh. Of course, the distribution system would need to be improved and <a href="https://www.nepalitimes.com/here-now/the-cost-of-light/">demand side reforms</a> have to be in place.The market value of the electricity generated could reach Rs180 billion, which would replace the import of Rs100 billion worth of cooking gas, Rs20 billion in transportation and petroleum products, and Rs50 billion worth of electricity for industries. With millions of people using electricity in the kitchen, indoor air would be healthier.Read also: <a href="https://www.nepalitimes.com/here-now/an-energy-windfall-for-nepal/" target="_blank" rel="noopener">An energy windfall for Nepal?</a>, Kushal GurungThe main problem for the provinces today is that they do not have this supply, which is impeding industrial development and job creation. Developing hydropower will replace high-value raw materials and energy imports, and allow gross value addition compared to investment in other sectors.Income from selling the energy could provide the provinces with the resources to fund their own development projects. Initially, identifying and developing 500MW projects in each of the six provinces would generate a total of 3,000MW. The Nepal Electricity Authority’s current electricity rate of Rs12/unit would provide each province Rs30 billion in gross income — a total of Rs180 billion that could increase GDP by 10%.This plan would need the central and provincial governments to work closely together, with Kathmandu providing the financial guarantee and licenses for the provincial governments to develop projects.Cost of financing is a major component of the outlay in hydropower. Domestic banks loans at 13% interest would cut into profits, so projects would need international financing at 1-2% for 25 years. The Non-Resident Nepali Association could be the bridge to connect Nepal with financial assistance schemes like the Chinese Government’s BRI, the US Millennium Challenge Corporation, and others.Nepal could also seek financial assistance from the Export-Import (EXIM) Bank of China, Asian Infrastructure Investment Bank (AIIB), Exim INDIA Bank, Japan International Cooperation Agency (JICA), Department for International Development (DFID), World Bank Group, Asian Development Bank (ADB), Export-Import Bank of Korea and others. Financing hydropower development of 5,000MW would require $12 billion in soft credit, to be paid back in 30 years, and earnings from these projects can easily sustain provincial development expenses.The Nepal Government’s 6 projects for 6 provinces would take 6 years to come into production after necessary preparations, such as a study report, environmental impact assessment, land acquisition and lease. A cabinet decision is all it would take to fast track the process, and construction could begin by the second year.  <a href="http://archive.nepalitimes.com/news.php?id=18195#.XdJ_UtIza70">Gyanendra Lal Pradhan</a> is a member of the <a href="http://cnind.org/">Confederation of Nepalese Industries</a>, and is associated with <a href="https://hydrosolutions.com.np/">Hydro Solutions</a>.

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Decentralising (hydro)power

<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108141156/636a60af9c7e80680e056e91jpeg.jpg" alt="" width="640" height="480"/>The Independent Power Producers Association of Nepal (IPPAN) is hosting the <a href="http://www.nepalenergyforum.com/power-summit-2019/">Nepal Power Summit</a> from 21-22 November in Kathmandu. The event will draw over 700 energy experts from Nepal and globally.<a href="https://archive.nepalitimes.com/article/business/Power-investors-meet-2018,4130">Past Hydropower Summits</a> and <a href="http://archive.nepalitimes.com/blogs/thebrief/2013/08/26/powered-up/">Energy Conclaves</a> have yielded little results, and there is mental fatigue among Nepalis about seminars, conferences, workshops and summits because they are usually talk shops with no follow up action and real tangible impact.This year’s Nepal Power Summit is based on Nepal’s achievements in the sector in the recent past, and will focus on regional energy trade, transmission lines infrastructure, enabling regulations and financing. The key breakthrough in <a href="https://www.nepalitimes.com/editorial/invest-in-investment/">mobilising investment in energy</a> will depend on breaking monopolies and opening up new markets. No one will invest in power unless there is somewhere to sell it.Which is why Nepal needs to create <a href="https://www.nepalitimes.com/here-now/the-cost-of-light/">greater demand at home</a>. The summit will look into all possibilities including energy for transport, which presently is almost solely dependent on imported fossil fuels. The idea is that we must use as much energy for productive domestic end uses before we plan to export.The theme for this year’s summit is Powering the Asian Century, and this is a recognition of the region becoming an engine of global economic growth. Rising living standards of Asians need goods and services that are produced with <a href="https://www.nepalitimes.com/here-now/nepal-turns-to-solar-and-batteries-to-meet-peak-demand/">clean, renewable</a> energy that do not exacerbate the climate crisis and contribute to air pollution.Nepal can and should position itself as the source of clean hydropower for the Asian century. We need to grab this opportunity, it could our chance to bring really big change to Nepal.While some people <a href="https://www.nepalitimes.com/here-now/how-they-kept-nepal-in-the-dark-ages/">cursed the darkness during the years of power cuts</a>, the private sector stepped up and took the lead. The public and the government began to engage, and then came the investors.  Nepal was still addicted to foreign aid and pleaded at donor meetings to get other countries to build power plants for us, free of cost.The idea of investment replacing aid is now catching on, however old habits die hard and the dependency syndrome is still deeply rooted. The Chinese president just reminded us that only Nepalis can develop Nepal. Others can help mobilise resources, give us access to technology and finance, but at the end of the day, Nepalis will have to do the heavy lifting.Nearly one in four Nepalis are now working, earning and sending money home from all parts of the globe. The spending power of Nepalis can be felt during these weeks of festivities. Gold and land are still the preferred investments for people who still do not trust the market, the businesses and the government.Hydropower is perhaps the one sector that is now able to draw public investment. We have to remind people that investing in hydropower is a good idea and protect the money small and big investors put into energy by expanding domestic and regional demand for the electricity generated.Nepalis then need to wean themselves from imported LPG, petrol and diesel. The energy sector in Nepal can create hundreds of thousands of new jobs and help keep our young professionals at home. Along the way, we have to learn how to better negotiate with our neighbours and respond to their market needs.We are not fooling anyone by lining our streets with flower pots and cloth banners to cover our dirty rivers for a couple of days. Ensuring the prosperity of 30 million people is hard work, but powering the Asian century is our historic opportunity.Anil Chitrakar is President of Siddharthinc.

Anil Chitrakar

Can Nepal be the powerhouse of Asia?

<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108131148/636a50329c7e80680e04fd48jpeg.jpg" alt="" width="1400" height="933"/><figcaption>SILO-ED THINKING: The Melamchi Project is given by authors as an example of non-nexus thinking. By planning it only as a drinking water project, Kathmandu’s residents will have to pay for expensive water. If it was designed as a multipurpose energy-urban water supply-irrigation scheme, it would have been much more cost-effective and sustainable. Pic: KUNDA DIXIT</figcaption></figure>‘Nexus’ has become a word with a negative connotation in Nepal, used in conjunction with collusion or complicity: ‘<a href="https://www.nepalitimes.com/here-now/the-business-of-politics-undermines-nepals-democracy/" target="_blank" rel="noopener">government-business nexus</a>’, or ‘<a href="http://archive.nepalitimes.com/article/nation/Nepal-medical-education-system-infested-by-corrupt-investors-with-political-protection,2585">nexus of politicians with the medical mafia</a>’.Nexus has a nefarious nuance because of the <a href="https://www.nepalitimes.com/editorial/a-klepto-republic/" target="_blank" rel="noopener">corrupt conspiracies</a> that are hatched in the corridors of power between the political leadership and the <a href="https://www.nepalitimes.com/here-now/nepal-has-to-curb-corruption-before-wooing-investors/" target="_blank" rel="noopener">captains of industry</a>, giving democracy itself a bad   name. An increasing number of Nepalis are disillusioned not just with politicians, but the system of government itself.Multi-disciplinary social scientists Jeremy Allouche, Carl Middleton and Dipak Gyawali in their new book, <a href="https://www.amazon.com/Water-Food-Energy-Nexus-Politics-Pathways-Sustainability/dp/0415332834" target="_blank" rel="noopener">The Water-Food-Energy Nexus: Power, Politics and Justice</a>, try to reinstate the respect that the word ‘nexus’ has lost. They lay out the necessity of a multi-purpose nexus in designing and implementing development. For too long, we have maintained a tunnel vision in which <a href="https://archive.nepalitimes.com/article/nation/reservoirs-of-suspicion/hydropower-geopolitics%20,3991" target="_blank" rel="noopener">hydropower</a> was seen as only energy, drinking water only as a utility, or water only for urban supply.Read also: <a href="https://www.nepalitimes.com/opinion/nepal-must-keep-water-on-its-land/" target="_blank" rel="noopener">Nepal must keep water on its land</a>, Anil ChitrakarThe authors trace the history of the global nexus narrative through the standpoint of <a href="https://www.nepalitimes.com/opinion/nepal-must-keep-water-on-its-land/" target="_blank" rel="noopener">water</a> – the substance which by its very nature has multi-pronged uses in household consumption, <a href="https://www.nepalitimes.com/banner/lifting-livelihoods-by-lifting-water/" target="_blank" rel="noopener">farming</a>, urban utility, energy generation or ecosystem services. Although ‘nexus’ is now the theme in many academic papers and conferences, the need to take a holistic look at development outcomes has not ‘trickled up’ to decision-making levels of governments and multilateral agencies.The reason for this is simple: silo-ed thinking, turf tussles and narrow departmental horizons embedded in our political structures. How to come out of the confines of such flawed development planning is the theme of this book, and thankfully there are examples of where things have gone wrong, and how they could have been set right.Chapters by former Minister of Water Resources and energy economist Dipak Gyawali are especially interesting for us in Nepal. How we goofed on Kulekhani and Melamchi by looking at them solely as energy or drinking water schemes respectively. Gyawali provides the example of how nexus-thinking could have turned <a href="https://archive.nepalitimes.com/page/melamchi-coming-to-kathmandu" target="_blank" rel="noopener">Melamchi into a multipurpose project</a>. He writes: ‘Silo-ed, de-nexused thinking is not only the bane of developing countries, but also international development agencies.’Widening the diameter of the tunnel to 5m, and sourcing waters from Yangri, Larke and Balephi could have augmented the dry season flow of the Bagmati to irrigate 30,000 hectares in Sarlahi and Rautahat and generate 190MW of electricity, while supplying adequate <a href="https://archive.nepalitimes.com/article/nation/Melamchi-water-not-enough-for-everyone,3899" target="_blank" rel="noopener">drinking water for Kathmandu Valley</a>. But successive governments and donor officials designed a project that has been delayed by decades so that by the time it is completed it will not even meet present water demand.<a href="https://www.nepalitimes.com/from-the-nepali-press/melamchi-delayed-by-government-extortion/" target="_blank" rel="noopener">The latest scandal</a> in which a government secretary tried to extort Rs50 million from the Italian contractors will delay the project by at least more four years, and possibly cost the nation Rs5 billion in compensation.<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108131148/636a50359c7e80680e04fd49jpeg.jpg" alt="" width="640" height="878"><figcaption> </figcaption></figure>Given this example, one could say that nexus thinking is alive and kicking in Nepal – but only when it comes to corruption, extortion and inter-departmental plunder. The authors argue that inter-sectoral planning needs the vision and political will of rulers to look at water-food-energy from diverse viewpoints. This is even more important now because the structural problems Nepal has had to grapple with are made more urgent because of the <a href="https://www.nepalitimes.com/banner/weather-warning-for-climate-meeting/" target="_blank" rel="noopener">climate crisis</a>.‘Integrating water security with agriculture, energy production and <a href="https://www.nepalitimes.com/editorial/act-globally-think-locally/" target="_blank" rel="noopener">climate concern</a>... provide a better transition toward greener economies and the wider goal of sustainable development,’ write the authors.<a href="https://www.nepalitimes.com/banner/between-existence-and-extinction-in-nepal/" target="_blank" rel="noopener">Nature conservation</a> has dispossessed the marginalised, worsening inequality in Nepal. Policies that cross-cut socio-ecological concerns, biodiversity, community action, and forestry science would allow us to address the second-generation problems that <a href="https://www.nepalitimes.com/banner/in-conservation-nepal-is-not-out-of-the-woods-yet/" target="_blank" rel="noopener">Nepal’s conservation efforts</a> are undergoing.Much of the book sounds dry and turgid. For instance, only inter-disciplinary scientists could come up with a sentence like ‘A multi-dimensional means of scientific enquiry which seeks to describe the complex and non-linear interactions between water, energy, food, with the climate, and further understand wider societal implications’.Translation: ‘Look at things holistically.’ And that could be the most important take-away for decision-makers and donor agencies involved in Nepal’s development.

Kunda Dixit

Finding the nexus between water, food and energy

<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108131148/636a50269c7e80680e04fd44jpeg.jpg" alt="" width="800" height="1012"/>This monsoon, precipitation has not been particularly heavy over Nepal. In fact, total rainfall so far has been <a href="https://www.nepalitimes.com/banner/not-so-soon-monsoon/" target="_blank" rel="noopener">below the seasonal average</a> in most places. Yet, floods have ravaged the Central Tarai, landslides and rockfalls have blocked most major highways, bridges have been wrecked, nearly 100 people have been killed, and hundreds of thousands of people forced to live in higher ground.Floods may be natural, but the <a href="https://www.nepalitimes.com/editorial/flood-of-recrimination/" target="_blank" rel="noopener">destruction they cause is manmade</a>. Inundation is mostly the result of flood control levees themselves trapping water, embankments blocking drainage paths, and built-up floodplains constricting the flow of rivers. The good news is that Nepal’s decision-makers seem to have belatedly understood this cause-effect. The bad news is: they are doing absolutely nothing about it.Read also: <a href="https://www.nepalitimes.com/opinion/nepals-fatalistic-ke-garne-culture/" target="_blank" rel="noopener">Nepal’s fatalistic ‘ke garne’ culture</a>, Anil ChitrakarIn fact, instead of arresting the building spree, all three levels of government allow riverbeds to be gouged out for sand and boulders, increasing the velocity of the water. Elected local leaders we thought would be more accountable turned out to be middlemen hurriedly awarding contracts to themselves a few days before the <a href="https://www.nepalitimes.com/opinion/nepals-fatalistic-ke-garne-culture/" target="_blank" rel="noopener">the end of the fiscal year</a> so their excavators could claw away fragile <a href="https://www.nepalitimes.com/editorial/bulldozing-democracy-2/" target="_blank" rel="noopener">slopes to build ruinous roads no one needs</a>. Most of these have been already washed away in the past two weeks, causing damage to terrace farms and endangering settlements.If all this was not bad enough, megalomaniacs in federal, provincial and local governments are wasting hard-earned tax payer’s money erecting utterly useless view towers on any mountain top they can find. Their slogan ‘One Hill Station, One View Tower’ would be hilarious if it was not such a tragic waste of money.Limchubung Municipality in Udaypur district, with a population of just 12,000, is building a view tower costing Rs10 million for no other reason than to spend the cash. Province 2 has allotted Rs10 million to build a view tower in Sarlahi, where thousands of people are still living on roof terraces because of submergence. And the Far-Western Province is building a tower in Kailali district because everyone else is doing it.But Province 3 is way ahead of the others, earmarking Rs180 million to build towers on 12 mountain tops. Not to be outdone, Province 1 has plans to erect view towers costing Rs80 million along mountain tops in Ilam. The example has been set by Kathmandu itself, which five years ago decided to turn the old bus park in Tundikhel into a 27-floor ‘view tower-cum-business complex’. The bus terminal was relocated, but construction of the Rs5 billion tower never got off the ground. The entire project appears to have been kickback driven, and an elaborate ruse by tycoons in collusion with corrupt officials to usurp the prime real estate.Nepal’s mountains are already the highest in the world. The view from their summits is naturally stunning. Adding another 20m to the view does not make any sense. Instead, why not build proper facilities, public toilets, comfortable guest houses, and a waste-disposal system on these mountain tops?Biratnagar Municipality got Province 2 Federal Minister Lalbabu Pandit to lay the foundation stone for a 110m commercial tower in ward 3, but after much criticism the height of the edifice was reduced to 45m.None other than Prime Minister Oli himself launched a pet project to build a view tower in his native district of Jhapa for Rs2.5 billion. Oli has also commanded that a 150m high statue of the Buddha be put up in Damak. The local government in Morang is installing the world’s biggest statue of a cow. Why such erections are even necessary when the roads leading to them are decrepit, bridges have been washed away and cities wallow in squalour, no one can explain.There is more: a 20m statue of ‘Mother Nepal’ is being built in Mahendranagar. Tanahu plans a 30m figure of the saint, Vyas. Province 5 is putting up huge statues of Kanakmuni and Kakasanda Buddhas in Kapilbastu. But for the most meaningless project so far, the grand prize goes to Mayor Nima Gyalzen Sherpa of Helambu, who is starting on a 60km ‘Great Wall’ inspired by one he saw in China. He thinks it will be a tourist attraction, and will bring more visitors to his district. Someone please tell him tourists do not come to Nepal to look at concrete towers, statues of mythical figures or stone walls.What we really need are more health posts, better equipped rural hospitals, affordable health care and quality schools that are accessible to the poor. It is much more necessary to <a href="https://www.nepalitimes.com/editorial/a-klepto-republic/" target="_blank" rel="noopener">control corruption</a> and improve accountability. Wish we had leaders with more common sense and integrity.<h2>10 years ago this week</h2><a href="http://archive.nepalitimes.com/issue/461" target="_blank" rel="noopener">Nepali Times issue #461</a> of 24-30 July 2009 looked at geo-politics and why Nepal’s foreign policy needed to be deft and agile to deal with regional powers. Ten years later, not much has changed. In fact, China is seen as even more of a threat than a decade ago, and the US itself is headed into decline under President Trump. Excerpt from <a href="http://archive.nepalitimes.com/news.php?id=16148#.XTlr9_IzbIV" target="_blank" rel="noopener">Editorial</a>:‘Prithvi Narayan Shah described Nepal as a yam between two boulders, Pushpa Kamal Dahal modified that during the war and described us as more like a dynamite stick between two stones. Either way, it’s inevitable that we’ll get squeezed as these titanic nations jostle for leadership as economic and political powerhouses of the future. Nepal’s foreign policy strategy should be to minimise the danger of getting pulverised, to take economic advantage of our location, and not to play these two giants against each other.Our message to the mandarins in Beijing and Delhi should be: look here, we don’t have oil, we are not all that strategic and we are ungovernable. Just leave us alone, Nepal is not worth fighting over. If the Americans and Europeans want to fight the Chinese over Tibet, they should do it in Beijing, not in Kathmandu.’<a href="http://archive.nepalitimes.com/issue/461"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108131148/636a50299c7e80680e04fd45jpeg.jpg" alt="" width="800" height="1249"></a>

EDIFICE  COMPLEX

<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108131144/636a4fd29c7e80680e04fd2bjpeg.jpg" alt="" width="2922" height="1834"/>Nepal will be evaluated for international money laundering activities by the APG (Asia Pacific Group) of the Financial Action Task Force (FATF) during 2019, and may be blacklisted if the government does not adequately crack down on illegal cross-border money transfers.If Nepal is not able to come up with a workable mechanism to identify criminal activities and bring offenders, including prominent businesspersons and politicians, under the purview of the law by the end of 2020 it faces the danger of being blacklisted by the task force.The FATF was established in 1999 to track down and stop money laundering and funding of terrorist activities around the world. Nepal is a member of its associate organisation APG, which investigates regional member countries. With an investigation due, Nepal had hastily passed the Money Laundering Prevention Act in 2008, but took 2 years to implement it.An APG working committee evaluated Nepal, and concluded that its attempts to control money laundering were not effective enough. On February 2010, it put Nepal on an international monitoring list. Nepal then established a Money Laundering Investigation Department. With the help of the IMF and World Bank, the government created legal structures and adopted policies to prevent money laundering. After it took these steps, it was removed from the international monitoring list, which meant that it was not prohibited from doing financial transactions with other countries or international organisations.Though Nepal improved its legal stance on money laundering after the first international investigation, it does not seem to have made much progress since then in actually preventing tax evasion and money laundering.Read also: <a href="https://www.nepalitimes.com/opinion/so-youd-like-to-do-business-in-nepal/" target="_blank" rel="noopener">So you’d like to do business in Nepal?</a>, Ritu Pradhan MallaIn the past, the APG had evaluated Nepal on the basis of its legal safeguards and policies. However, in future it will be looking for concrete action to see if Nepal implemented the 40 suggestions and 11 results that it made in 2010. “The next evaluation will be focused less on laws and more on implementation and results,” admits Binod Lamichhane, spokesperson of the Money Laundering Investigation Department. “So if our implementation remains as weak as it is, it could create problems for us.”Experts say the government will find it very difficult to implement its own laws because so many of those involved are powerful businessmen enjoying political protection. “If the Money Laundering Prevention Act is implemented, then politicians and officials will have a hard time showing the source of their earnings. Which is why implementaction of the Act never became a priority for Nepal. Clearly, it was created only as a showpiece to assuage foreigners,” a former director general of the department confided.Indeed, although everyone agrees that corruption and tax evasion are rampant in Nepal, there is no record of prominent persons being investigated for it. However, since the APG will be investigating on its own next year, the department has been forced to conduct its own secret probes. Director General Rup Narayan Bhattarai says he cannot speak about the investigations at the moment but according to sources, well known Nepalis, including a businessman who is expanding outside Nepal, another tycoon who created an international business network after the 2006 movement, a prominent trader accused of gold smuggling and an industrialist who suddenly switched to tourism, are under investigation.However, the going is not expected to be easy, because the Money Laundering Investigation Department lacks coordination with other powerful agencies, which is international practice and considered essential to investigate money laundering. Though the law states that Nepal Rastra Bank should coordinate with other agencies and provide information to the department about suspicious financial transactions, the implementation of this law is weak.“Since our mechanism for identifying illegal wealth is weak, we are not able to figure out if the money, property, shares, gold, etc, deposited in banks are legal or not,” says an official of the bank. “So at the moment we are unable to effectively pass on useful information.”Currently, FATF has blacklisted Iran and North Korea, while 12 countries, including Sri Lanka, Pakistan, Cambodia, Ethiopia, and Syria, are currently on its international monitoring list. Nepal risks joining these countries if the APG evaluation does not meet international criteria for transparency.

Nepal risks being blacklisted on money laundering

<figure><img width="800" height="910" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108121144/636a419d9c7e80680e04a685jpeg.jpg" alt=""/><figcaption>Illustration: DIWAKAR CHETTRI</figcaption></figure>Just when we thought everything necessary had been said about <a href="https://archive.nepalitimes.com/article/editorial/trickledown-corruption,4176" target="_blank" rel="noopener">Nepal’s corrosive corruption</a>, it seems to be even worse. The idea that ‘corruption’ is a Rs100 note slipped under a table is now just a quaint notion. Today, a network of politicians, bureaucrats, the legislature, judiciary and private sector cartels plunder and loot from the people, dividing the spoils. The beauty of it: no one is caught.Read also: <a href="https://www.nepalitimes.com/?p=27016&amp;preview=true" target="_blank" rel="noopener">A klepto republic</a>, Editorial‘Corruption in Nepal is not a series of disjointed, individual acts. Instead, a range of stakeholders spanning public, private and criminal spheres operate as one to steal from the people and ensure impunity thrives,’ says a new report by the <a href="http://nitifoundation.org/" target="_blank" rel="noopener">Niti Foundation</a>, Nepal’s Kleptocratic Network: Mapping Corruption and Impunity.  The network is one of shifting alliances spanning multiple agencies, with powerful businesses acting as brokers.<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108121144/636a41a09c7e80680e04a686jpeg.jpg" alt="" width="350" height="248">‘Money flows upwards through the hierarchy while impunity and benefits flow downward,’ adds the report. It uses flowcharts to show and shame politicians, political parties, public institutions and the private businesses. Read also:<a href="https://archive.nepalitimes.com/article/editorial/trickledown-corruption,4176" target="_blank" rel="noopener">Trickledown corruption</a>, Editorial <a href="https://www.nepalitimes.com/uncategorized/elected-contractors/" target="_blank" rel="noopener">Elected contractors</a><a href="https://www.nepalitimes.com/here-now/nepal-has-to-curb-corruption-before-wooing-investors/" target="_blank" rel="noopener">Nepal has to curb corruption before wooing investors</a>, Ramesh Kumar ‘The private sector has gained primacy as the driver of corruption and impunity in Nepal ... its main roles are to distort the functions and policies of government regulatory agencies and to hijack key revenue streams to facilitate money laundering and rentier practices,’ the report concludes.In cahoots are political ‘patrons’ of the network and parties creating a ‘culture of collusion’, and public institutions, which also ‘collude with private interests and politicians to steal directly from the state’.State institutions have been ‘weaponised’ and ‘hollowed out’.So, who remains to protect the interests of the Nepali people? If you were thinking ‘the judiciary’, think again.The report states starkly: ‘Through pressure and threats, including sackings, impeachments, and forced retirements, political parties control and extract loyalty from justices.’

No shame

<img width="1400" height="1049" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108121144/636a41a19c7e80680e04a687jpeg.jpg" alt=""/>All of us witness examples of <a href="http://archive.nepalitimes.com/news.php?id=17581#.XOS_jiAza70" target="_blank" rel="noopener">Nepal’s corruption pandemic</a> every day in every sphere of life: from slipping a few to get a driving license to setting land transactions. Roads that are dug up and not finished for years and bridges that collapse as soon as they are built are our monuments to malfeasance. Clever civil servants now deploy ‘brokers’ outside their offices to ‘facilitate’ state services that should be free, so they do not have to directly get hands dirty. Read also: <a style="background-color: #ffffff; font-size: 15px; letter-spacing: 0.01em;" href="https://www.nepalitimes.com/?p=27015&amp;preview=true" target="_blank" rel="noopener">No shame</a>But these are cases of petty theft by small fry. At higher levels of government, corruption is so huge and widespread, so accepted as SOP, that the word ‘corruption’ does not do justice anymore to this <a href="https://www.nepalitimes.com/editorial/crony-communism/" target="_blank" rel="noopener">contagion</a> of loot and plunder.One egregious example of the rot was the ugly scene in the Parliamentary Accounts Committee (PAC) on Tuesday when Nepal Communist Party MP Aman Lal Modi accused <a href="https://www.nepalitimes.com/here-now/how-they-kept-nepal-in-the-dark-ages/" target="_blank" rel="noopener">Kul Man Ghising of the Nepal Electricity Authority (NEA)</a> of corruption. Ghising, many readers will remember, is the man who ended the practice of his corrupt predecessors of providing 24-hour power to industries in return for bribes. Nepalis did not suffer from load-shedding just because of undersupply but because of structural corruption —  <a href="http://archive.nepalitimes.com/article/nation/corruption-in-electricity-industry-of-Nepal,3408" target="_blank" rel="noopener">top NEA executives were selling electricity to industrialists</a>, leaving household consumers in the dark for 10 years.<a href="http://archive.nepalitimes.com/article/interview/interview-with-Kulman-Ghising,3409" target="_blank" rel="noopener">Ghising</a> recently asked those industries to pay a backlog of dues for dedicated feeders, prompting Nepal’s so-called captains of industry to gang up on him. It does not take a Sherlock Holmes to figure out why MP Modi is using PAC to go after Ghising.Then there was the sordid affair of the <a href="https://www.nepalitimes.com/from-the-nepali-press/melamchi-delayed-by-government-extortion/" target="_blank" rel="noopener">Melamchi contract</a>. The much-delayed $500 million project to bring water supply to Kathmandu Valley was nearing completion in December. A Dispute Resolution Board awarded the contractor Rs350 million for delays caused by the earthquake and Blockade in 2015, but a secretary in the Water Supply Ministry refused to sanction payment unless he got Rs50 million in kickbacks. The Italians abandoned the project, Melamchi is in limbo.To understand just how deep-rooted corruption in Nepal is today, a report issued this week by the <a href="http://nitifoundation.org/" target="_blank" rel="noopener">Niti Foundation</a>, Nepal’s Kleptocratic Network: Mapping Corruption and Impunity, is an eye-opener. To be sure, none of what it contains should surprise us. We always knew rent-seeking was the modus operandi of the state, and politicians and bureaucrats were up to their necks in extraction and extortion. Such is the impunity, the big fish never get caught. <img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108121144/636a41a49c7e80680e04a688jpeg.jpg" alt="" width="350" height="248">The report tries to show, not tell, just how nefarious, deep-rooted and interlocked rent-seeking is in Nepal. Illustrating graft with graphics, we are given flowcharts to explain why plunder and impunity is so systemic.‘Core state entities responsible for regulation and upholding rule of law have been weaponised or hollowed out by the kleptocratic network to extract resources and guarantee impunity,’ says the report. ‘The impunity network comprises those that declare law, enforce law and apply law.’The report lays bare how Parliament is infiltrated by special interest groups who are in key committees drafting legislation for sectors like education, health and infrastructure. There is no separation of powers anymore -- the powers-that-be control all three branches of government.The executive openly interferes in legislative functions, and tries to influence the courts with ‘bench shopping’. Those who stand in the way or try to expose the rot, like Kul Man Ghising, are themselves accused of corruption. The state is in open collusion with the private sector, which is now well represented in Parliament. The CIAA corruption watchdog is a lapdog of the state. Lack of transparency and impunity is rife in the security forces. The report has gory details of how ‘<a href="https://www.nepalitimes.com/here-now/nepal-has-to-curb-corruption-before-wooing-investors/" target="_blank" rel="noopener">revenue capture’</a> works through collusion between officials in <a href="https://archive.nepalitimes.com/article/editorial/trickledown-corruption,4176" target="_blank" rel="noopener">all three levels of government</a> and contractors.The only remaining check and balance function is carried out by the fourth estate, hence the moves to try to censor its content through legislation. But even the media is used by powerful interest groups to target rivals or tar those who expose them.Everyone seems to be on the take: it is a public-private partnership to loot the country. ‘The private sector has gained primacy as the driver of corruption and impunity in Nepal … by distorting the functions and policies of government regulatory agencies and to hijack key revenue streams to facilitate money laundering and rentier practices.’  The Niti Foundation report makes for thoroughly depressing reading, and what it lacks is a roadmap out of this morass. Our only hope is in a transparent and fair electoral process that will one day punish thieves and reward the honest by electing them to office. <img width="1282" height="919" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108121144/636a41a59c7e80680e04a689jpeg.jpg" alt=""><h2>10 years ago this week</h2> The Nepali Times <a href="http://archive.nepalitimes.com/issue/452" target="_blank" rel="noopener">edition #452 of 22-28 May 2009</a> was filled with analysis of the politics post-resignation of Pushpa Kamal Dahal over the Army Chief sacking. The Ass had his own take on the matter, and except for GPK, the cast of characters are the same in this excerpt from the <a href="http://archive.nepalitimes.com/news.php?id=15961#.XOaeC1IzaUk" target="_blank" rel="noopener">Backside Column ten years ago</a>:‘Rate we are going, the new federal constitution of Nepal is looking more and more like a mirage. The closer we get to it, the more it recedes. The prolonged coalition-cobbling is reminiscent of mid-1990s. And it’s the same old faces.BijayG being pulled by both arms to switch sides when Upadro refused to toe the line. The only difference with 15 years ago is that this time the entire exercise is outsourced to Lainchaur. And the sight of both GPK and PKD courting Kamal Thapa for royalist support just shows how quickly fortunes turn in politics.And even the bigger parties are out to feather their nests. One senior NC leader, when asked by the Ass if he would be joining the Makunay-led govt, said: “You think I’m stupid to join a sarkar that will last three months? I will join the one formed after this.” <img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108121144/636a41a89c7e80680e04a68ajpeg.jpg" alt="" width="800" height="1270">

A KLEPTO REPUBLIC

Last week, Nepali investment professionals formally launched the Association of Investment Professionals Nepal (AIPN), a non-profit billed as a Chartered Financial Analyst Society in formation. Ashutosh Tiwari caught up with Nick Pollard, the Managing Director for Asia Pacific of the CFA Institute, and with Manoj Shahi, the first CFA from Nepal and founding chairman of AIPN.   <img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108101152/636a26db9c7e80680e043a3ajpeg.jpg" alt="" width="388" height="460"/> Ashutosh Tiwari: How does the Chartered Financial Analyst credential help Nepali investment professionals?Nick Pollard: The CFA Institute is the global association of investment professionals that sets the standard for excellence and credentials. Our organisation is a champion of ethical behavior in investment markets and a respected source of knowledge, and thought-leadership in the global financial community. Our aim is to create an environment where investors’ interests come first, markets function at their best, and economies grow.  Our role is to develop and nurture future investment professionals through relevant and accessible credentialing programs, and also to deliver value to charter holders that accelerates their professional success and builds the kind of market integrity that benefits investors and the charter holders that serve them. We also support the creation and adoption of rules and standards that improve and expand investment industry professionalism. Our main credential, the CFA Program, is considered the gold standard for investment management globally, and there are over 165,000 charter holders around the world.What makes you hopeful about the growth of the investment industry in Nepal?Whilst Nepal may not be the largest market for the CFA Institute, we have seen the number of charter holders double in the last five years, and this year we have over 100 candidates studying for the CFA program. This is driven by a genuine desire to join a network of investment professionals around the world, and to be competent and credible on the global stage.There are encouraging signs of development – new international hotels being built in Kathmandu, hydroelectric projects and a growing tourist trade. With the continuous growth of the financial industry in Nepal and continuous regulatory reform, there is an obvious hunger for new talent, and we are positive that more and more investment professionals will strive for the CFA qualification to achieve further career and professional development.    Some say investment and ethics do not go together in Nepal. But you emphasise the importance of developing professionals who make ethics the cornerstone of their work. To create trust, remain competitive, and to develop the most effective capital markets, the investment management industry must be ethical. Investors big and small have a choice about where they do business, and Nepal needs to attract investment to grow. With an abundance of information available about company values, beliefs and culture, having a reputation for being ethical is vital to attract talents and new business. So being ethical isn’t a nice to have – it is an essential component of individual and corporate success. CFA qualification gives charter holders the clear moral compass to guide the business decisions. What are your long-term plans in and for Nepal?We are here to support the launch of AIPN, and our long-term plan is to assist AIPN to join over 150 other CFA societies around the world by becoming a CFA Society here in Nepal. We also plan to provide more services here through working with local organisations to raise investment industry standards and market integrity, and also to provide a variety of career resources including continuing professional development, networking and social events. Ashutosh Tiwarui: What are your long-term plans in and for Nepal?Manoj Shahi: The mission of AIPN is to promote professionalism, ethical practice and continuous learning in the investment industry for the ultimate benefit of society. We have set a high bar for ourselves and we aim to do this by focusing on three fronts: development of ethical professionals, creating value proposition for our members, and working towards development of ethical capital markets through collaboration with all stakeholders. This will take time but we are optimistic that we can be a positive catalyst to the investment and capital markets industry in Nepal.<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108101152/636a26dc9c7e80680e043a3bjpeg.jpg" alt="" width="1789" height="1789">There are other finance and investment professionals in Nepal. How are AIPN different?Our members will be required to sign onto a code of ethics they agree to adhere to during their membership. In addition, most will have some affiliation with the credentialing programs of the CFA Institute. Either they will be CFA charter holders or CFA candidates at different levels of progress. We will focus strongly on ethical investment practice, adoption of international best investment practices and increasing financial literacy among the investment public for the ultimate benefit of the society. Finally, we will have strong institutional support from the CFA Institute, the standard setter for the global investment industry.What are some of the key elements that hinder investment in Nepal?Foreign investments come in two types: Portfolio and Direct. Nepal’s capital market is not ready for portfolio investments since we do not have the liquidity nor the depth that portfolio investors would expect. Besides, the regulatory framework does not exist to allow for such investments.For foreign direct investment are the risk adjusted returns acceptable to the investor? Why should a foreign investor come to Nepal when there are 200 plus countries to choose from?  There must be a compelling profit motive for them. If I can make similar risk adjusted returns in my own country or a nearby country (home country bias) why should I go all the way to Nepal to invest? Therefore, we as a country need to determine how much initial cost we are willing to bear for longer term benefits to the country and society.Whether we like it or not, our natural foreign investors are Chinese and Indian. If we cannot attract and retain them, you might as well forget about others. That is not to say foreign investors from other countries will not come to Nepal. If the market potential is there, they will come if they can navigate around our regulatory and business practices. This is why we are seeing some interest in the hospitality and cement sector. But because of our geographical location, we will always be viewed as investment opportunity from their Indian arms. That is the reality we need to deal with.How could we unblock those hindrances? We first need to decide where we want to attract foreign investments.  Then we must determine how much cost we are willing to bear in the short term for long term gain for the economy and society. At the fundamental level this is an allocation of value of the enterprise between foreign investors who provide capital and know-how and domestic stakeholders who are in need of them. Obviously it helps if regulatory and business practices are simplified, transparent, corruption free, and the investment environment is stable and apolitical but the bottom line is that foreign investors are not going to come to Nepal if they cannot make acceptable risk adjusted returns on their investments. Investors will, therefore, welcome any measure that reduces their risk or increase their return. We can have all the summits and consultant studies that we want but if they cannot be translated into actionable, implementable rules and regulations that gives the foreign investor their expected risk adjusted return, nothing much is going to happen. We want FDI but are afraid that the foreigner will take advantage of us. We need to reset that mentality and look for positive win-win investments.In all this, CFA charter holders could play a very constructive role in the creation of these win-win investment contracts. They can leverage the deep knowledge base that they have acquired to identify the risk and returns relevant to investments and come up with solutions to bridge the gap in expectations between the parties. Local CFA charter holders with their global credential will allow domestic parties to negotiate with strength to maximise their interests.

Two experts on Nepal’s investment climate

Nepal’s only international aviation gateway, at Kathmandu airport, will cut night-time operation hours to allow construction of taxiways, and airlines have been told to curtail flights. This is expected to lead to more than normal chaos during the height of peak autumn and spring tourist seasons at an airport that is congested even at the best of times. The airport will close from 10PM to 8AM from 8 November-31 March 2025. The taxiways will now connect to the thresholds at both ends of the runway, making the airport more efficient in handling higher frequencies of landings and takeoffs. The parallel taxiway extension will allow international flights to land every 4 minutes instead of the current every 7 minutes. At present planes have to wait to land until a plane taking off backtracks along the runway.&nbsp; Kathmandu is Nepal’s only airport with international operations, and it has only one runway that is only one way in from the south over the mountains. With the taxiway improvement, the airport will be able to handle 42 aircraft landings and takeoffs per hour — double the current capacity.&nbsp; The Civil Aviation Authority of Nepal (CAAN) has been trying to entice international airlines to also start flying to and from the other two international airports at Pokhara and Bhairawa (Lumbini) by slashing landing and handling charges. But so far only Nepal Airlines operates a weekly flight to Bhairawa from Kuala Lumpur.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241018161016_046569e53d1d66cd445cc66c697c0ef724810aec9f54bdf827481e3cd6b80c32.jpg" data-media-id="editor_0" data-image-id="20241018161016_046569e53d1d66cd445cc66c697c0ef724810aec9f54bdf827481e3cd6b80c32" data-rendition-name="original" width="2356" height="1134" loading="lazy" alt="Kathmandu airport expansion"> <figcaption>Kathmandu Airport Expansion plan with extension of taxiways to the thresholds of runways 02 and 20 that will limit airport operations from 8 November 2024 - 31 March 2025. Areas in blue are existing structures, including the international terminal which in future will be the domestic airport, and the new international terminal near the north end of the runway,</figcaption> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241018121028_6e17cc2ee87c1b02d78cb54905825b7aa15299b7a00f5eddb01a59579ab85c1a.jpg" data-media-id="editor_1" data-image-id="20241018121028_6e17cc2ee87c1b02d78cb54905825b7aa15299b7a00f5eddb01a59579ab85c1a" data-rendition-name="original" width="1353" height="1328" loading="lazy" alt="Kathmandu airport NT"> </figure>  CAAN has reportedly told international airlines to cut their flight frequency to Kathmandu citing the shorter operation hours and has told budget airlines to shift some of their flights to Pokhara or Bhairawa, or face cuts. Many airlines currently operate regular flights to and from Kathmandu between 10PM and 8AM: Air Arabia to Sharjah, Fly Dubai to Dubai, Jazeera Airways to Kuwait, Cathay Pacific to Hong Kong, Singapore Airlines, several Nepal Airlines flights, and one of four daily flights by Qatar Airways to Doha. Jazeera Airways, FlyDubai, and Thai AirAsia have applied and got permission from CAAN to begin regular flights to Bhairawa’s Gautam Buddha International Airport. Starting 9 November, FlyDubai will start making a stopover in Bhairawa before flying on to Kathmandu. Immigration, customs and security are all fully functional in Bhairawa. In Kathmandu, the next phase of the airport upgrade includes converting the current international terminal for domestic operations, the construction of a new international terminal where the domestic departure area is now, as well as moving the hangars and the Nepal Army Air Wing to the eastern side of the runway. The apron area will also double its parking space for widebody jets. This is part of a Airport Capacity Enhancement Project that was initially funded through a $80 million loan from the Asian Development Bank (ADB), and the entire masterplan is expected to cost $800 million. This project is the latest upgrade to Nepal’s only international airport since it saw its first flight in 1949. The current international and domestic terminals are too small to handle the current annual traffic volume of 8.5 million passengers a year that is growing at 20% a year.

Kathmandu airport to cut flight hours

As Kathmandu becomes more congested and polluted, and with remote online work becoming the norm, many professional Nepalis are planning to retire in Pokhara, or move there.&nbsp; With its stunning mountain panorama, balmy winters and proximity to a profusion of wilderness areas, builders are responding to this demand with new townhouses, housing development and apartments. One such block of flats is the 10-storey <a href="https://sungavaapartment.com/">Sungava Apartment</a> located at Phulbari above the Seti River, near the point where it flows into and under Pokhara. The imposing structure near Manipal Hospital is almost complete, and on a recent visit the site was strewn with huge boulders unearthed while digging the foundation.&nbsp; The Seti brought down these boulders during a gigantic flood that geologists estimate happened 800 years ago when a chunk of Annapurna IV broke off and ploughed into the glacier below. Today, Sungava (means ‘orchid’) sits safely on a high terrace, 100m above the blue-green Seti and commands a view of Dhaulagiri, Annapurna South, Machapuchre, Annapurna III and IV.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2024102411104_5f8fc736c86ea3c08d7bef43bb727081d3cc1a2caa55ae2b441717e6044de7e9.jpg" data-media-id="editor_1" data-image-id="2024102411104_5f8fc736c86ea3c08d7bef43bb727081d3cc1a2caa55ae2b441717e6044de7e9" data-rendition-name="original" width="2016" height="1512" loading="lazy" alt="High living below the Himalaya NT"> </figure>  The soil here is conglomerate that has solidified like concrete, and the boulders were extracted by heavy earthmovers. It is intriguing to think that these metamorphic rocks as big as cars, rounded by glacial grinding, were once a part of a much higher Annapurna IV. Even for those with little interest in geology, Sungava is an ideal place to contemplate the tectonic forces that pushed these peaks into the sky to be sculpted into delicate shapes by wind, snow, earthquake and avalanche over millions of years. The view of the Himalayan panorama from Sungava’s many balconies are breathtaking when not obscured by clouds, or the haze that drifts in from across the southern border. On most days, just watching the towering pyramid of Machapuchre (Tamu name: कतासुँ क्लिको) play hide and seek with the clouds is mesmerising. There are rocks aplenty at Phulbari, and it is probably the flowers that grew along the flat terraces e that gave the place its flowery name. The boulders will hopefully be turned into a rock garden while landscaping. An nearby restaurant complex is making the best use of the stones in its design, using flat rocks as outdoor benches and tables. Sungava was designed by the husband-wife architect team of Deepak Sherchan and Jyoti Joshi of <a href="https://thedarkmermaidamarbshrestha.blogspot.com/2013/12/creative-builders-collaborative-cbc.html">Creative Builders Collaborative (CBC)</a>, which also built Heritage Plaza, Indreni Apartment and numerous other projects in Nepal. Sadbhavana retains CBC’s trademark Newari-style masonry and here it borrows from the orange brickwork of the old town of Pokhara, integrating it with modern design elements. A few of those heritage houses are still standing in Ganesh Tole and Ram Krishna Tole in Pokhara’s old quarter.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2024102411108_5eb64a4885961b6d30781cefeb1e8a313da313ac5227c7a66b60f0c7d48d6fab.jpg" data-media-id="editor_3" data-image-id="2024102411108_5eb64a4885961b6d30781cefeb1e8a313da313ac5227c7a66b60f0c7d48d6fab" data-rendition-name="original" width="1362" height="595" loading="lazy" alt="High living below the Himalaya NT"> </figure>  About 400m from the apartment past a bend on the river, and down below three tiers of terraces in the canyon is a suspension bridge. Below it, the Seti is still swollen with post-monsoon flow as it tumbles away in a hurry to head down south.&nbsp; Back at the apartment, it is quiet, far away from the hubbub of Lakeside a 15 minute drive away, and in the lap of greenery. There are 52 units at Sungava and it already has a close-knit prospective community of professionals, including doctors, publishers, engineers, and businesspeople from the renewable energy and IT sectors.&nbsp; Some residents say they opted for a second home in Pokhara to make it a ‘base camp’ to explore the Annapurnas with its many hiking trails made newly accessible with new roads. With the NRN citizenship law, overseas Nepalis can now also buy the flats. &nbsp; The floor plans include options for north and south-facing 3-bedroom apartments with verandas, and the facility has underground parking has EV charging, heated pool, sauna and gym. There are still some unsold apartments with panoramic views of the mountains and one can imagine oneself at the kitchen with its huge window, humming a ditty while preparing breakfast: “खाना पकाउँ हिमाल हेरेर...”

High living below the Himalaya

When the United Nations held its Summit of the Future at its headquarters in New York in September, many world leaders, including Nepal’s Prime Minister K P Oli, highlighted the effect of climate breakdown in increasing the frequency and intensity of natural disasters. What did not get as much attention was the long term impact of the climate crisis on food production. In fact, heat stress, weather extremes and the consequences on rain-fed agriculture is already being felt worldwide, undermining the chances of the <a href="https://unstats.un.org/sdgs/">UN’s Sustainable Development Goals (SDGs)</a> being met by 2030.&nbsp; The SDG’s 17 targets commit countries like Nepal to reduce poverty and inequality, end malnutrition, protect the natural environment, and ensure that citizens all enjoy health, justice and prosperity without leaving anyone behind.&nbsp; However, besides the impact of climate breakdown on agricultural production, in Nepal the area under cultivation is impacted by urban expansion, falling productivity and the need for expensive inputs like fertiliser and pesticides.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241019041052_626413c5baf4dae407ac9579231b41daeb51510aa636b75aeb7489d94cca6a62.jpg" data-media-id="editor_1" data-image-id="20241019041052_626413c5baf4dae407ac9579231b41daeb51510aa636b75aeb7489d94cca6a62" data-rendition-name="original" width="999" height="1500" loading="lazy" alt="urban agriculture in Kathmandu"> <figcaption>Kathmandu's urban sprawl is eating into its fertile cultivable lands. Photo: TAYLOR MASON</figcaption> </figure>  Now, a new study led by Nepali researcher Prajal Pradhan at the University of Groningen in The Netherlands looks at how urban agriculture may offer a solution to falling food production and meeting SDG targets. The researchers evaluated 1,450 publications exploring the contributions of urban agriculture with both positive and negative effects, and published their findings in the journal Cells Report Sustainability. Urban agriculture can help achieve 17 SDGs, positively influencing 81 targets. However, it could also undermine 51 goals.&nbsp; Read also: <a href="https://nepalitimes.com/here-now/the-vanishing-land">The vanishing land</a>, Taylor Mason “Urban agriculture offers immense potential for sustainable development, but realising this potential depends crucially on adopting practices that minimise its adverse effects while maximising its benefits,” Pradhan explains. Urban agriculture can substantially enhance urban food security, provide employment to the urban poor, serve as ground water recharge in built-up areas, and preserve open spaces that can serve as safe havens during disasters like earthquakes. However, it also presents problems like the potential health risks from contamination and the need for expensive inputs. &nbsp; “Urban agriculture plays a definitive role in advancing the SDGs, but achieving this requires tailored, context-specific solutions that address the unique challenges of different regions,” says Yuanchao Hu of Wuhan University in China and who is a researcher at the Potsdam Institute for Climate Impact Research. “But it needs equitable access and rigorous management of environmental risks.”&nbsp; Rapid urbanisation is eating into Nepal’s most fertile agricultural land, which means farming in remaining open spaces inside cities can be a viable alternative, especially as food prices rise.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241019041052_7b7c9413086226fbdc630d45acf772cfa1ced77a8970b9056ec5ec7e5226fdf8.jpg" data-media-id="editor_3" data-image-id="20241019041052_7b7c9413086226fbdc630d45acf772cfa1ced77a8970b9056ec5ec7e5226fdf8" data-rendition-name="original" width="1500" height="999" loading="lazy" alt="urban agriculture in Kathmandu"> <figcaption>A vegetable patch in between new houses in Thimi. Photo: TAYLOR MASON</figcaption> </figure>  “The conversion of Nepal’s most fertile land into cities is a severe problem,” Pradhan told Nepali Times. “Crop cultivation, horticulture, agroforestry, beekeeping, livestock rearing, or aquaculture can all be farming activities within and around cities.”&nbsp; The study makes recommendations for sustainable practices that build on the positive aspects of urban agriculture while mitigating the downsides, thereby promoting more resilient cities in future. Research shows that urban agriculture has been helping many countries attain SDG targets by enhancing food security and biodiversity while helping education and preservation of open spaces.&nbsp; Indeed, many farmers from the hinterland who have settled in Kathmandu Valley or other urban areas of the country have been practicing urban agriculture, leasing neighbourhood patches or cultivating roof gardens both out of necessity because of inflation and falling income to grow their own food, and also as a fulfilling hobby. Saurav Dhakal, a sustainability advocate with Story Cycle and now research fellow at the Asian Institute of Technology in Thailand, says there are socio-economic and environmental benefits of urban agriculture. “It provides benefits to all urban dwellers, regardless of their income status,” says Dhakal, “families get fresh food, and there are many other benefits like water retention, heat regulation and biodiversity. These are all public goods, so special government incentives may be needed.” It is not unusual to see vegetable patches and even paddy fields within inner city Kathmandu where an older generation of farmers are using available fertile land and <a href="https://archive.nepalitimes.com/article/Nepali-Times-Buzz/rooftop-gardens-kathmandu,1415">roof gardens to produce fresh, nutritious food </a>to reduce their dependence on food items that have to be bought after being trucked in from large distances.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2024101905100_1291ce98dbbb8caed8702ac4b1d469b3e13016d7ecaaf3bfd5f91c974d3c0c77.jpg" data-media-id="editor_5" data-image-id="2024101905100_1291ce98dbbb8caed8702ac4b1d469b3e13016d7ecaaf3bfd5f91c974d3c0c77" data-rendition-name="original" width="1500" height="999" loading="lazy" alt="urban agriculture in Kathmandu"> <figcaption>An older generation of farmers are using any available fertile land to continue farming but it is getting more and more difficult. Photo: TAYLOR MASON </figcaption> </figure>  Nepal’s urban population grew rapidly from only 3.6% in 1991 to 25% today. There is large outmigration from the mountains to peri-urban areas of the Tarai, to Kathmandu Valley and Pokhara, with many young men then moving abroad for work. Kathmandu Valley’s population has swelled to nearly 3 million, and is growing at 6.5% a year. Dilip Shrestha, 71, used to work for Nepal Food Corporation, so he knew firsthand about inflation, shortages and vegetables with pesticide residue. So, when he designed his new house in Kathmandu, he built a spacious roof where he grows cucumber, ginger, garlic, coriander, onions, tomatoes, chili, beans, okra, pumpkin and lettuce. His family eats healthier, and he has reduced dependence on the market.&nbsp; The co-author of the Cell Reports Sustainability journal article, Daya Raj Subedi who is a PhD candidate at Beijing Forestry University, says urban agriculture also promotes inclusion and psycho-social wellbeing.&nbsp; He says, “A crucial finding of the study is the identification of opportunities and challenges associated with urban agriculture, it can promote sustainable transformation of society.” In Banepa, 55-year-old Bijaya Manandhar in her lifetime has watched the fertile farms of her neighbourhood that used to supply vegetables to Kathmandu, now completely built up with no open space left. The pandemic lockdown prompted her to turn to the family’s <a href="https://nepalitimes.com/banner/rooftop-agriculture-on-the-roof-of-the-world">ancestral livelihood by growing food</a> not on terrace farms, but on the roof terrace. Manandhar is now a part of <a href="https://nepalitimes.com/banner/rooftop-agriculture-on-the-roof-of-the-world%5C%5C">कौसी खेती र करेसाबारी क्रान्ती</a> (Rooftop Farming and Garden Revolution) which has an online membership of 52,000, and awards annual prizes to women who excel in urban agriculture.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241019041052_7257f5def8f823f35a799fa6f6825e153f2ffa406ac11325d4fe74049b79e96d.jpg" data-media-id="editor_8" data-image-id="20241019041052_7257f5def8f823f35a799fa6f6825e153f2ffa406ac11325d4fe74049b79e96d" data-rendition-name="original" width="1600" height="736" loading="lazy" alt="urban agriculture in Kathmandu"> <figcaption>Rooftop farming is gaining popularity as a form of urban agriculture. </figcaption> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241019041052_beff1a4494ce896dd8fd383ee1f518e5448bcf7ea8bb138255391c7bcb9769ed.jpg" data-media-id="editor_9" data-image-id="20241019041052_beff1a4494ce896dd8fd383ee1f518e5448bcf7ea8bb138255391c7bcb9769ed" data-rendition-name="original" width="4000" height="3000" loading="lazy" alt="urban agriculture in Kathmandu"> </figure>  Pradhan says the challenge now is to upscale such examples of successful urban agricultural practices so they support Neal’s efforts to meet SDG targets. He adds, “Crop cultivation around cities can be protected by land use plans and regulations. Promoting community-based agriculture, including rooftop gardens, requires community engagement and public-private partnerships across the food value chain.”&nbsp; Such support would accelerate the popularity of existing rooftop farming and community gardens in Kathmandu Valley, or kitchen garden initiatives in Pokhara, and building on traditional farming practices that are preserved and integrated into urban settings like in Bhaktapur and Banepa. In Lalitpur, the Women Entrepreneurship Facilitation Center promotes urban farming enhancing both sustainability and empowerment.&nbsp; Another co-author of the report, Yuanchao Hu from China says followup research of the team will aim to identify good practices in local urban agriculture practices. He adds, “There are examples of urban agriculture that optimise sustainability, ensuring that it remains a viable solution for cities globally while countries try to meet SDG targets.” Prajal Pradhan, Daya Raj Subedi, Kshitij Dahal, Yuanchao Hu, Prakriti Gurung, Sijal Pokharel, Sagar Kafle, Biplav Khatri, Sudeeksha Basyal, Monika Gurung, and Aruna Joshi. Urban Agriculture matters for sustainable development. Cell Reports Sustainability, 1:100217, 2024. [DOI: 10.1016/j.crsus.2024.100217] Prajal Pradhan (<a href="mailto:p.pradhan@rug.nl">p.pradhan@rug.nl</a>) This article is brought to you by <a href="https://nepalitimes.com/" target="_blank">Nepali Times</a>, in collaboration with <a href="https://inpsjapan.com/en/" target="_blank">INPS Japan</a> and <a href="https://sgi-peace.org/" target="_blank">Soka Gakkai International</a>, in consultative status with UN ECOSOC.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240630110640_30c3782f9c09219bf1c249b51483a3cfb7a53a06d117d2aebd23ca7080d12758.jpg" data-media-id="editor_14" data-image-id="20240630110640_30c3782f9c09219bf1c249b51483a3cfb7a53a06d117d2aebd23ca7080d12758" data-rendition-name="original" width="680" height="103" loading="lazy" alt="SDG logo"> </figure>

Back to the land in the cities

The 700-year-old Lakshmi Narasingha temple in Bhaktapur houses a rare half-lion and half-human incarnation of Lord Vishnu carrying the Goddess Lakshmi. The temple was destroyed in the 1934 mega earthquake that killed 10,000 people and destroyed many monuments in Kathmandu Valley. It was rebuilt by a German project in the 1980s, but as a single-storey structure instead of its original two-tier pagoda design.&nbsp; With new findings from in-depth research, Bhaktapur municipality began re-restoring the temple in 2021, preserving its original architecture.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241017131016_2fae38cce543ad7b1f6de632feb3e212e08ed1acedd747830e949d7b8e878f18.jpg" data-media-id="editor_0" data-image-id="20241017131016_2fae38cce543ad7b1f6de632feb3e212e08ed1acedd747830e949d7b8e878f18" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="In with the old in Nepal NT"> </figure>  “Our temples and heritage sites hold deep meaning. It is disheartening to witness how often they lose their original elements, whether by design or accident,” explains Kumar Chawal of the Consumer Committee of Bhaktapur. “There is a need to preserve our architecture and protect its historical value for future generations. Otherwise, we risk losing a vital part of our identity.” The Laksmi Narsingha restoration is similar to the Bhai Dega temple in Patan Darbar Square which also collapsed in 1934, but was rebuilt with a Moghul-style dome by the Rana government at the time. Only two months before the 2015 earthquake, heritage conservationists had started to rebuild Bhai Dega as the original three-tier based on early photographs. But priorities shifted when four other temples in the square were brought down by the 7.8M earthquake on 25 April 2015.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241017131016_697ea707d9ad163be5de5f2efbf5b70d3cab771adcc22f0fae6bf937c6cb0130.jpg" data-media-id="editor_1" data-image-id="20241017131016_697ea707d9ad163be5de5f2efbf5b70d3cab771adcc22f0fae6bf937c6cb0130" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="In with the old in Nepal NT"> </figure>  This showed how damage to monuments in Kathmandu Valley spanned from one earthquake to the next. Bhai Dega restoration remains half-complete to this day because money for its restoration ran out.&nbsp; Whereas Bhai Dega restoration was done by the Kathmandu Valley Preservation Trust with grants from western embassies and international foundations, in Bhaktapur it is the municipality itself that allocated the Rs30.7 million needed to restore the Lakshmi Narasingha temple. The expected date of completion is early 2025. The municipality and local communities are focusing on two main aspects: preserving the past and promoting localisation. The restoration team has designed a blueprint for the temple by using historical photographs and insights from older generations.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241017131016_182882fdc393c99e70d1d0490319e415229563666c4934e3a582426ebf00ca30.jpg" data-media-id="editor_2" data-image-id="20241017131016_182882fdc393c99e70d1d0490319e415229563666c4934e3a582426ebf00ca30" data-rendition-name="original" width="1200" height="560" loading="lazy" alt="In with the old in Nepal NT"> </figure>  “At first, the Lakshmi Narasingha temple had only one entrance, but during the demolition process, we uncovered the foundations of four doors. Now, we are restoring all of them. This is an example of how our ancient structures have changed over time, often without our knowledge,” says Chawal. “Constructing temples is not like building houses. They carry historical and spiritual values, which is why they hold a special place in our hearts,” he adds. By replicating ancient design elements and rebuilding the temple as accurately as possible to its original form, the team has stayed true to Bhaktapur’s soul. But the restoration also revived ancient techniques that were in danger of being forgotten, generating employment for woodcarvers, masons, and contractors. The community of Bhaktapur’s Gahiti neighbourhood near the famous Nyatapola Temple has also set aside specific days for locals to volunteer in the reconstruction work. This has encouraged young people to take pride in ownership of their heritage. Families have also supported the effort by donating funds for bells, the temple pinnacle, and other structural features to the temple.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20241017131016_db850ec0c084cdbe54f65bee92dad2ad8122d20fd60ec87ec086fbb9d2f72bd6.jpg" data-media-id="editor_3" data-image-id="20241017131016_db850ec0c084cdbe54f65bee92dad2ad8122d20fd60ec87ec086fbb9d2f72bd6" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="In with the old in Nepal NT"> </figure>  “I feel at peace knowing I have contributed my sweat to restoring this temple,” said one volunteer. “It is our duty to preserve our temples and heritage. The Nyatapola area will look magical once this temple is completed.” Community mobilisation is a long-standing tradition in Bhaktapur. In the past, locals have actively participated in the restoration of other temples in the city, such as Bhairav and Nyatapola fostering a strong sense of ownership. This collective engagement has not only been crucial in preserving the city's historical monuments but also in strengthening the bond between local communities and their heritage, says officials at the municipality. While securing funding is essential, and the municipality showed it values heritage conservation, the Lakshmi Narasingha restoration is proof that active involvement and sense of responsibility of the local community is as important, if not more. Local involvement also means that the monuments will be cared for into the future, When locals take ownership of these efforts, the restored monuments are not only protected in the present but are also cared for in the future.