Kathmandu, Oct 23: With the decision of the Fund for Responding to Loss and Damage (FRLD) under United Nations Framework Convention on Climate Change of providing support to Nepal, the government has engaged in its implementation process.
The first extraordinary meeting of the Fund held on Thursday had decided to provide around Rs 3 billion grant assistance to Nepal. The Fund clarified that the assistance would be for relief, rehabilitation and reconstruction of the communities affected from the devastative flood in Bhotekoshi and Trishuli Rivers on August 26.
Nepal would immediately forward necessary process to receive the funds, according to the Ministry of Agriculture, Forest and Environment.
Spokesperson of the Ministry and alternate member of the Fund, Dr Maheshwor Dhakal, shared that the proposal would be submitted as soon as the Fund’s Secretariat would provide formal letter regarding the decision and information about the procedure for receiving the funds.
Necessary preparation would be made for the utilization of the amount to be received from the Fund coordinating between Forest Ministry and Finance Ministry after receiving the formal information from Fund’s Secretariat, he added.
Thereafter, the organization recognized by the Fund would be invited to prepare and submit a detailed proposal.
“A process to prepare the proposal will be put forward based on the guidelines received from the Secretariat. Nepal will submit a detailed proposal through an authorized organization. Once the proposal is approved and funds will be received and implemented,” underlined Dr Dhakal.
National priorities, needs of local communities and gap in resources and programmes at government level would be made main basis while preparing the proposal.
Priorities would be set with a focus on mobilizing the funds for rehabilitation of communities of flood-hit areas and providing support in necessary areas.
Dr Dhakal mentioned that various options are available for mobilization of funds—through accounts of the government, national implementing entities or internationally recognized organisations.
However, methods to be adopted would be determined based on formal instruction to be received from Fund’s Secretariat, coordination with relevant bodies, capacity and preparedness of the organisations capable of implementing the proposal.
According to him, when the aid will reach the affected communities once the funds are received will depend on how long it takes Nepal to prepare proposals, get approval, and implement the programme.
The fund’s 10th board meeting is scheduled to be held in the Philippines this coming December, and the 11th meeting will be held in Nepal from March 17 to 19, 2027.
He said that if the process of mobilizing grants could be started before the meeting in Nepal, it would be easier to update the board on the progress of the implementation and provide on-site information about the situation in the affected area.
The historical decision of the Loss and Damage Fund was made at a special board meeting on October 22, where they decided to provide the requested amount in response to the Government of Nepal’s request.
For the first time in the Fund’s history, a special meeting was held focusing solely on disaster-related issues of one country, and this is the first time a decision has been made to assist Nepal.
To address the human and economic losses caused by the flood in the Bhotekoshi-Trishuli river system, Finance Minister Dr Swarnim Wagle and Minister for Agriculture, Forests and Environment Gita Chaudhary had made a special request to the board of the fund through a joint letter on August 31.
The request letter had urged immediate assistance. There were various discussions and consultations at different stages between board members and alternate members representing developing and developed countries to address Nepal’s request.
In that process, the Ministry of Forests stated that it coordinated with various regional groups and also continuously consulted with the co-chairs of the fund and the secretariat.
Dr Dhakal, Joint Secretary of the Ministry of Forests and alternate member of the fund, gave a presentation on the flood situation in Nepal, the damages caused, and the need for assistance, and facilitated coordination among the relevant parties.
According to the government, the communities affected by the Bhotekoshi floods are a priority. Initial reports say that around 1,500 people have died due to the flood in the Bhotekoshi–Trishuli area, and more than 5,000 people are still missing. Similarly, over 60,000 people from about 15,000 families have been directly affected.
The initial estimate of the economic damage caused by the flood is about 2.70 billion US dollars, while the preliminary assessment suggests that around 4.70 billion US dollars will be needed for reconstruction.
Besides physical damage, the government has stated that there are also significant social, cultural, and other non-economic losses.
According to Dr Dhakal, when mobilizing the grants, the priorities of the local community and needs that government programmes can’t address will be identified. Based on that, programmes will be proposed to help with the rehabilitation of affected families, livelihoods, and post-disaster reconstruction.
He stated that the process of receiving grants would be made effective by also considering the efficiency of nationally and internationally recognized institutions, the time it takes to prepare proposals, and the ability to implement programmes.
Nepal believes that the decision of the Loss and Damage Fund has set an important precedent in providing support to developing countries that are more at risk due to climate change to address post-disaster losses.
Even though Nepal’s contribution to climate change is negligible, this decision sends a message that countries like Nepal, which are more affected by its impact, can be provided with timely assistance based on their needs.
