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Thomas Prinz, who has served as the German Ambassador to Nepal since September 2021, is nearing the end of his tenure. He embarked on his diplomatic career in 1998 by participating in EU election observation missions. Over the years, he has held various roles within the German Federal Foreign Office and served in German embassies across several countries, with a particular focus on Asia.

Prinz emphasizes that Germany and Nepal will continue to strengthen their partnership, rooted in shared values such as democracy, individual freedom and a commitment to building a just and equitable society that prioritizes environmental conservation and climate action. The two nations have fostered a robust relationship over the past 67 years since the establishment of diplomatic ties in 1958. Development cooperation began in 1961, and Germany has since become one of Nepal’s key trading partners. In this context, Kamal Dev Bhattarai and Pratik Ghimire of ApEx sat down with Ambassador Prinz for an interview. Excerpts: 

Can you share your overall impression of Nepal?

Nepal is a great country with wonderful people—very welcoming, very open and very friendly. It has always been a great pleasure for me to work with Nepal and Nepali counterparts. Nepal has such a diverse culture, with many different ethnic groups, including the Newari culture, as well as indigenous and tribal cultures in the valley and up in the mountains. It’s a fantastic place.

What is the one thing you will miss most about Nepal?

It’s indeed the friendliness of the people. Recently, I had a guest from Germany here, and she has traveled to various countries in this region. She said it’s so nice coming to Nepal—such a friendly and welcoming culture. People are always smiling on the streets, in taxis and at the airport. That is really something that touches me, and I will always keep that in my mind and remember it.

How do you see the current state of Nepal-Germany relations?

We have a very friendly bilateral relationship. We do not have any problem whatsoever. We are very good partners in many international matters, and we coordinate well. The way we conduct our development cooperation in Nepal is very much appreciated by the Nepali government. So, all in all, I would say we have extremely friendly relations. And that’s one reason I always feel pleasure working here in Nepal.

Do you think Nepal-Germany relations could have expanded further, considering past political engagements?

There is a problem on both sides. For Nepali politicians and decision-makers, Europe and Germany are far away. And the same is true for the German side. Nepal is, hence, not always in focus. It is up to us, the diplomats, to bring these countries into the focus of our decision-makers and try to engage top-level politicians in personal meetings. It happened last year when the President of Nepal Ramchandra Paudel made an official visit to Berlin and was received by the Federal President of the Federal Republic of Germany. But of course, we would like to see more of these developments. As I said, the problem is on both sides. During Covid, there was no travel, then we had Russia attacking Ukraine, Brexit and all these issues were consuming politicians in Europe. So, in a way, it's understandable that Nepal was not in focus.  

Another problem that hinders progress is the high fluctuation of political decision-makers in Nepal. Since I have been in Nepal, I have met three Prime Ministers, six Foreign Ministers and five Home Ministers. This rapid turnover of political personnel makes it difficult to build long-term relationships. I am sure that if Nepal had more stability, it would also be easier to establish more personal contacts.

Is there a one-way dynamic in Nepal-Germany relations, where Germany has been providing assistance for seven decades while Nepal has not engaged in proper negotiations?

Indeed, I sometimes discuss with my European colleagues how we could make decision-makers in Nepal more aware of the opportunities they could find for closer cooperation with Europe. We do not have this strategic view in the region, like, for instance, the direct neighbors have or maybe also outside big powers have. We are more interested in long-term business-making, civil contacts and so on. That is why I think they could take a closer look at Europe in some areas. 

We offer some business opportunities that others don’t. Even if others do offer the same, why not go with the Europeans? When you choose European partners, you are not in this, let’s say, political competition between northern and southern neighbors and so on. Therefore, sometimes I think Nepali decision-makers could take a closer look at what Europeans have to offer.

What is Germany’s Indo-Pacific outlook, and how does it view South Asia? How is Germany engaging with the region, and where does Nepal stand?

We have an Indo-Pacific guideline—or strategy, you could say—which was adopted by the German government about five years ago, and it clearly states that we want to strengthen our relations with democratic states and governments in the region. And Nepal is definitely one of those countries. So basically, the decision is to have a stronger footprint in the area and to closely cooperate with democratic countries. The fact that we revoked our decision to end our bilateral development cooperation is part of those guidelines. The fact that we are still very active here with our development cooperation is based on our commitment to strengthening democratic countries in this region.  

Regarding Germany’s outlook on South Asia, I have to say it is very much dominated by Germany-India bilateral relations, as India is the dominant country in the region. We have very strong trade relations with India, with cooperation in universities, research and so on. That largely shapes the perspective of German decision-makers, and I have always been busy trying to convince politicians, who visit South Asia and go to India to also look across the border and see what is happening in Nepal. When we have trade fairs in India, I try to convince our Chamber of Commerce in Mumbai to encourage German participants to take a look at Nepal. That will take some time, but I am quite optimistic that with India's growth, we will see some positive effects in Nepal too.

The Nepali government claims that the current environment is favorable for investment. How do you view Nepal’s overall investment climate from a German perspective?

The investment climate for foreign investment in Nepal is actually not very good or welcoming. We see minor improvements, and there is willingness on the part of the government to improve things, but we have to see how it plays out on the ground. The announcements we have heard so far are okay, but we need to see how they translate into action. How difficult it is to get a work permit or transfer money—these factors hinder foreign investment here.  

The fact that when you open a business here, you are always a minor partner in a joint venture. This is very difficult for European companies because they have their own compliance practices, and when they can’t guarantee these compliance practices, it becomes very difficult for them to invest. So, all in all, I would not consider Nepal a foreign investment-friendly country. I hope that will change, and I trust the government’s intention to improve the situation, but to convince investors that real change is happening, we need to see concrete improvements on the ground.

Germany is experiencing a labor shortage and has eased visa regulations to attract workers from countries like Nepal. What are the latest developments on that front?

We have changed our immigration laws recently and have become much more open to receiving foreign labor. Last year, we had a change in immigration law, and we are now openly welcoming skilled labor from abroad. It has become very easy to immigrate to Germany if the candidate brings any kind of skills with them. If you have a master's degree from Nepal or have already been studying in Germany and obtained a degree from a German university—whether in engineering, IT or any other field—you can easily apply for a job in Germany. If you find a job, we will issue the visa. We even accept people who come to Germany without having a job, as long as they have a degree and want to search for a job in Germany. In such cases, we can also issue a visa.  

We also have one way to migrate to Germany for unskilled labor, which is through the Nepal Secretariat for Skills and Training, an institute in Kathmandu. Through this program, we offer a one-year German language training course. Once they pass the course, they can go to Germany for vocational training, which is paid from the very first day. They are treated equally to Germans who undergo vocational training in Germany, receiving the same health insurance and social security benefits. Currently, we have about 130 Nepalis in this program already in Germany, and about 500 in the preparatory course in Kathmandu.  

So, besides skilled work, this is another way to go to Germany. When they complete this three-year vocational training, they graduate with a diploma and can then stay in Germany and work. These are the immigration pathways we have opened, and as we can see, many Nepalis are already following them. We are optimistic that we can increase the number over time.

Have you identified any potential areas where Nepal and Germany can expand further?

There are some traditional areas of cooperation, and we should continue working on them in the future. I am happy that we have now reached pre-covid numbers of German tourists coming to Nepal, and in this area, we will see further development. I could imagine, for instance, adding other groups of tourists, such as bicycle tourists or female trekking groups—these are areas where I see potential. Cultural groups also present opportunities.  

But beyond these traditional areas of cooperation, I see huge potential for Nepal in the field of IT services. Nepal already has a very vibrant IT sector, and I can only encourage decision-makers to put more effort into further developing it. There is tremendous demand for IT services, including programming, AI and algorithms essential for modern society. We have successful programmers here in Nepal, and those in Europe who are already working with Nepali programmers have had very positive experiences. So, I hope that in the future, this cooperation will create even more opportunities.

How do you see Nepal’s recent engagement with China?

China is one of Nepal’s two major partners, and whoever is in government in Nepal must engage with both. That will never be easy. Nepal has a major partner to the north and another to the south, and geography cannot be changed. For every Nepali politician, decision-maker and foreign minister, it is absolutely necessary to maintain good relations with both. The key is to balance these relationships—to cooperate with both without losing the ability to make independent decisions. It is crucial for Nepal to remain in a position where it cannot be blackmailed or forced into actions against its interests by either side.  

My recommendation would always be to follow the policies that various governments have adopted to avoid falling into a debt trap from any side. Nepal is a sovereign country and can engage with both neighbors. Several governments have demonstrated the ability to find an equilibrium and manage these relationships effectively. Moreover, both of Nepal’s neighbors have an interest in the region’s smooth development—nobody wants instability. Nepali politicians have experience in managing these dynamics and understand how to deal with two powerful neighbors.

What are your suggestions to our politicians on Nepal’s development?

I would say Nepal should focus on its strengths. Tourism, for instance, could be an area to build on. Currently, foreign tourists spend around $20 per day in Nepal, and efforts should be made to increase this figure, positioning Nepal as a more high-end destination. Another area where Nepal is strong is in IT services. The government should do whatever it can to support institutions that train IT engineers and make it easier for the sector to develop. It should also facilitate foreign companies to set up shop in Nepal to take advantage of the potential offered by these young engineers. Those would be my recommendations.

Mark Tolley is the regional director of inDrive Asia Pacific region with over 15 years of experience driving growth and operational excellence in the global QSR, cloud kitchen, and mobility industries. As the Regional Director for inDrive, he oversees several markets across [SEA+O], focusing on strategic market expansion, operational efficiency, and sustainable growth. Here’s an interview excerpt between Tolley and ApEx:

What factors have driven inDrive’s success in Nepal?

inDrive is always looking at markets where we can make a significant impact to local communities, we can bring affordable convenient mobility solutions and Nepal is one of those markets that we identified very early. There is a tangible transformed infrastructure where urbanization is outgoing. And Nepal again is a key market where we have seen right across 30 percent year in a year. The passengers  growth in the platform again is 30 percent plus and we have seen our drivers grow over 50 percent as well. And really what we put into that, I think the big thing we see in many countries and Nepal is our pay to pay model system and  where we are focused on fare transparent pricing for our customers. So, they can have the choice of value for money when you use our services. 

And on top of that we can have our low market leading commissions and when we put this together in a package when we enter a market, we see that there is a fairness and transparency that reflects with customers and drivers expectations. With this, the ecosystem has really allowed us to have more markets in Nepal and grow the market significantly. We only hope to continue growing up with this model of fairness without disrespecting our passengers.

inDrive emphasizes a people-centric and community-based approach. How does this strategy translate into the regional operations, and how do you ensure it resonates with local markets?

It’s always a case of how do we take a business at a lower price and I think we really work through this model allowing the environment through choice and control towards drivers and passengers.  So, what I mean by that is while our passengers are making their trip, they can choose the ride on the basis of ratings, varied costs and based upon the car that is comfortable and on top of that also the distance that they are. So, we have given these options to make their choice. In addition, the drivers can accept and decline too where I have also given power to the drivers and to be some of the entrepreneurs where they can choose when they work, how they work and which passengers do they want to take. And what this allows us to do, I am thinking of Nepalis in flexibility in freedom and underlining that this  you see great pricing which between the passenger and the driver is so unique and so aligned to people-centric mission and we see quite success.

Recently, we have been facing challenges related to some roaming cases. We have addressed this matter, and as part of our commitment to safety, inDrive maintains a strict zero-tolerance policy toward any harmful behavior or misconduct by users. The safety and satisfaction of our users, especially the safety and experience of women, is our top priority. We deeply regret and apologize for the incident experienced by our user.

At inDrive, we are a responsible company, and we are fully cooperating with the relevant authorities to ensure fairness and justice in this matter. We are dedicated to continually improving our services, as trust is a core value for us globally. Incidents like this do not reflect the values of inDrive or the quality of service we aim to provide. In fact, we are strengthening our measures to do better in the future. We want to ensure that every choice made on the inDrive platform is safe and secure. To that end, we offer several safety features to protect our users: Safety Button that provides quick access to contact support, the police, or ambulance services from the main screen. You can also easily access the phone numbers of their friends or family, which can be activated at any time, even during a ride. Share Your Ride feature allows passengers and drivers to share their ride details with friends or family, including real-time tracking. Rate Your Passenger/Driver where they can rate each other, providing transparency and helping others make informed decisions based on ratings. Lastly, a 24/7 Customer Support team is available around the clock to assist with any concerns. We are fully committed to enhancing safety on our platform and ensuring that every experience with inDrive is safe and secure.

Sustainability is a growing concern in the transportation industry. What steps is inDrive taking to incorporate sustainable practices in its operations?

Sustainability has been a focus of inDrive for a while and globally we see the shift among more sustainable options in a mobility industry. If we look at inDrive in Nepal, what are we doing to address that is, a few months ago we started the feature of comfort cars and that allows for comfortable ride among passengers in certain vehicle types. One important thing to know about the comfort cars is that most of them are electric vehicles and we have seen the response from the customers to want this type of ride. So, we are fully committed over the next year and beyond to  increase the demand for electric vehicles that we have.

What are the biggest challenges facing the ride-hailing industry in this region, and how is inDrive positioning itself to overcome them?

The biggest challenge we’ve observed in South and Southeast Asia is the growing demand for mobility options. In South Asia, the sector is expected to experience double-digit growth over the next 4-5 years. With this growth comes tighter regulations and constant changes, which require us to collaborate closely with local regulators. It’s essential to ensure that the regulations support businesses, drivers, and passengers alike. This is a challenge we see across Asia, and we’re addressing it in Nepal by fostering strong partnerships and adapting to regulatory environments. The second challenge stems from the increasing demand, which brings heightened competition. In many markets, we see more players entering the space, and sometimes we compete with ourselves. To stand out, we rely on our unique and straightforward model. By focusing on affordability and maintaining market-leading low commission rates, we’re able to enter and thrive in these markets. Our approach not only makes rides affordable but also supports drivers in maximizing their earnings. This innovative strategy allows us to remain resilient and adaptable as new challenges and competitors emerge.

How is the company leveraging innovation to enhance user experience and stay ahead in a competitive market?

Besides affordability, inDrive differentiates itself through our unique peer-to-peer pricing model, which promotes transparency and fairness, ensuring that both riders and drivers are satisfied with the mutually-agreed price.

Our peer-to-peer model is both innovative and highly suitable for entering this nascent market. This model of transparency and fairness is a significant advantage for us and reflects the innovation we aim to bring. When it comes to commissions for drivers, we are deeply focused on ensuring fairness and maximizing their earnings. By maintaining low commission rates, particularly in countries like Nepal, we enable drivers to earn more per order. This approach ensures that at the end of the month, they have more money in their accounts.

Additionally, we prioritize safety. We have a rigorous onboarding process and a robust verification system for drivers. Real-time tracking is another essential feature that enhances safety. These elements, combined with our continuous efforts to innovate, demonstrate our commitment to both safety and fairness.

What are inDrive’s primary goals for Nepal, and how do you see the brand evolving over the next five years?

Personally, I would say our focus is to continue expanding in the Kathmandu market while exploring new opportunities as they arise. Beyond that, we aim to ensure added insurance benefits for our drivers, providing them with greater security. We are also in the process of establishing a local office, which will serve as a valuable resource for customers and passengers who wish to engage with us directly. Additionally, we are actively working to grow our electric vehicle fleet within Nepal, which aligns with our commitment to sustainability and innovation. These three areas—expansion, driver support, and the adoption of EVs—are key priorities for us over the next five years

Can you share some impact/CSR projects by inDrive in Nepal?

Nepal is one of the cornerstones of our focus for 2025 and beyond. We have our invision program, which collaborates with communities worldwide. Recently, we partnered with the Nepal Centre of Disaster Management (NCDM) to officially unveil our first inDrive house for victims of floods and landslides. This marked the first of five houses in the region, and seeing the tangible impact of these collaborations was truly a proud moment. We have our YourPace program, where we actively engage with the community. For instance, we’ll be participating in the Kathmandu Marathon with a dedicated team encouraging people to run—I’ll personally be there as well. Furthermore, we’ve supported cultural initiatives, such as sponsoring several events, including the Alternative Film Awards.

Jagdish Khadka is the Chief Executive Officer (CEO) of eSewa. He has an experience of more than a decade in the digital banking field. Shreya Shrestha of ApEx talked with him regarding eSewa as a key player in Nepal’s digital landscape and its journey over the years. Excerpts:

eSewa has been a key player in Nepal’s digital transformation. How do you assess its impact on financial inclusion over the years?

Over the years, eSewa’s most significant achievement has been building trust among users by demonstrating that digital payment is not only possible but also secure, reliable, and convenient. We have focused on raising awareness and promoting digital literacy, which has made digital payments accessible and practical for everyone. To reach this stage, our efforts as a company have been pivotal. However, inclusivity has been a core principle—ensuring that our services extend beyond urban areas to every corner of the country. We are proud to be present in all 753 local bodies through our network of agents. These agents actively advocate for digital payments, addressing questions of trustworthiness and security while showcasing the convenience of mobile transactions. As a result, we are now witnessing payments being made seamlessly across the country. This reflects the trust and credibility we've built, proving that mobile-based digital payments are a reality for all, bridging gaps and empowering users nationwide.

Given Nepal’s economic landscape, what challenges did eSewa face in encouraging people to adopt digital payments, and how were these addressed?

First and foremost, for anyone providing a service, it is essential to embrace digitization. When it comes to payments, preparation is key—understanding what you’re selling or paying for is crucial. This was our biggest challenge in the beginning. Initially, we manually handled processes, such as scratching recharge cards, recording numbers in Excel, and uploading them later. That’s how it all started. Over time, merchants and businesses began recognizing the importance of digitization, leading to integration and gradual adoption of digital tools. This shift marked the beginning of a more organized and civilized approach to transactions. Alongside this, we focused on raising awareness about the use of digital platforms for merchants, which presented its own challenges. To address these challenges, we implemented strategies such as cashback offers, roadshows, campaigns, gifts, incentives, and mobilizing our agents and field staff. Our efforts extended to institutional collaborations, local bodies, and media partnerships, which played a significant role in disseminating our message. These initiatives not only raised awareness but also encouraged merchants to enhance their offerings, making digitalization more appealing and practical. In summary, awareness, service digitization, and building trust were our three biggest challenges. Despite these hurdles, we overcame them, and today, we stand here to the progress that can be achieved with persistence and innovation.

How does eSewa contribute to sustainable economic practices in Nepal while supporting efforts to reduce carbon emissions and promote eco-friendly financial solutions?

In the context of sustainability, eSewa embodies a paperless and cashless service model, significantly contributing to reducing carbon emissions and promoting efficient business practices. By transitioning from traditional methods to digital solutions, eSewa has enhanced business efficiency and environmental sustainability. For instance, tasks that previously required manual oversight, such as cash handling or bill clearance, are now seamlessly managed through digital devices, eliminating the need for physical presence and paper-based transactions. This shift has improved operational efficiency, financial processes, and capital mobilization. Additionally, the convenience of real-time money transfers and digital billing reduces the reliance on physical resources, such as paper and transportation, which indirectly lowers energy consumption and carbon emissions. For example, previously, paying an electricity bill required individuals to travel to offices, consuming time, energy, and fuel. With eSewa, such tasks are now completed digitally, reducing both the carbon footprint and the effort involved. Overall, eSewa not only drives business and operational sustainability but also aligns with environmental goals by promoting digital transformation. Its inclusive platform addresses diverse needs, offering sustainable solutions for businesses and individuals alike.

Could you elaborate on eSewa’s most groundbreaking innovation to date?

One of the most groundbreaking innovations introduced by eSewa is the top-up feature, which has revolutionized convenience in digital platforms. Additionally, we have continuously expanded our range of services, building trust among users by enabling seamless payments anytime, from anywhere. Our focus has been on providing an easy and smooth user experience, ensuring that customers feel confident and comfortable using our platform. Beyond this, we have also made significant strides in improving internal technologies and enhancing our service delivery methods to meet evolving user needs effectively. These efforts collectively reflect our commitment to innovation and customer satisfaction.

As digital payment systems evolve, how is eSewa leveraging technology to improve its services and user experience?

We can describe this era as the AI breakthrough period, where we have been actively integrating cutting-edge technologies. One key innovation is EVA, our AI-powered chatbot, which leverages machine learning to deliver intelligent and efficient customer interactions. Additionally, we have enhanced customer service by introducing personalized solutions, where AI and machine integration play a critical role in driving efficiency and improving user experience. By embracing these impactful advancements, we are creating a significant positive impact on our services and redefining customer engagement.

How does eSewa ensure inclusivity, particularly for rural populations and marginalized groups, in its services?

It is remarkable to note that a significant portion of our users comes from rural and marginalized communities. This is likely because, for many, our service is one of the few accessible options available. We’ve designed eSewa to be inclusive and user-friendly, recognizing that mobile phones are now a common tool for transactions, even in remote areas. To cater to diverse users, our app is localized with a Nepali language option, making it accessible to those with limited literacy. In addition, we operate 13 branches across the country to extend our services further, build trust, and educate users about digitization. These branches are instrumental in raising awareness and supporting users in embracing digital financial solutions. We have also prioritized inclusivity for merchants and specific groups. Over time, we’ve introduced various incentives tailored to female entrepreneurs, students, and marginalized communities. To ensure greater impact, we’ve conducted region-specific campaigns and programs in local languages, often collaborating with local influencers to connect more deeply with these communities. Through these efforts, we continue to foster inclusivity and accessibility in Nepal’s digital landscape.

Could you share examples of partnerships that have significantly boosted eSewa’s impact?

In our company culture, the ‘tiger on a cliff’ embodies our core values, where the C in cliff stands for collaboration. Collaboration is at the heart of everything we do at eSewa. Our long journey of success would not have been possible without the partnerships we’ve cultivated along the way. Our agent network has been pivotal in this growth. Initially, 10 percent of users were brought in by the company and 90 percent by agents, but over time, this dynamic reversed, thanks to the dedication of our agents. They played a crucial role in raising awareness about eSewa, introducing both users and merchants to our services, and helping establish our brand in the market. Beyond agents, we have built strong partnerships with local governments, organizations, and development agencies like DFIs. Together, we have successfully implemented numerous impactful projects. These collaborations have allowed us to educate, motivate, and create meaningful change within the digital financial ecosystem. By working hand in hand with these partners, we have not only expanded our reach but also strengthened the digital payment infrastructure, ensuring eSewa continues to empower individuals and communities across Nepal.

With rapid advancements in digital finance globally, where do you see eSewa in the next five to ten years?

At the core of eSewa lies our commitment to payments, around which we aim to integrate a wide range of services such as insurance, finance, savings, and investments. These offerings are designed to address the evolving lifestyles and financial needs of people in a holistic manner. Looking ahead, we envision incorporating cutting-edge AI innovations to enhance our services, making them smarter, more intuitive, and user-friendly. Our aspiration is to become an exemplary company that not only serves Nepalis but also becomes the go-to digital payment solution for anyone visiting Nepal. We strive to make eSewa a symbol of trust, convenience, and innovation in the digital financial landscape.

Devendra Gautam and Ramkala Khadka of Annapurna Media Network caught up with Katie Donohoe, mission director at the USAID in Nepal, to discuss different facets of the agency’s 63-year-long partnership in Nepal and plans for the future. Excerpts from the interview:

First of all, what inspired you to this journey, this career path?

I think there are two ways to answer that question: my work at USAID, and what inspired me to come to Nepal. I’ve always been interested in seeing the world. And I’ve always been interested in working with others and serving others. USAID allows me to do both. I get to work in partnership with people around the world to help them in different areas and provide assistance on behalf of the US government. And then I get to see the world. I actually started as a Peace Corps volunteer, as a teacher in Madagascar a long time ago. And that really made me want to keep doing this type of work. I’ve also worked in Zambia, Pakistan, Egypt, Nigeria, and now here in Nepal. And what brought me to Nepal is when I was thinking about my next assignment, I was really interested in working in a country with an amazing cultural diversity, a country that’s really changing quickly. So I’m fond of saying Nepal is changing, and USAID needs to change with it.

We’re really thinking about how we work and listen to Nepalis to tailor our portfolio along that development journey. And that’s what brought me here. I’ve been doing this work for about 20 years, and I think it’s shaping up to be my favorite job. 

And how has your experience been so far here in Nepal? 

Wonderful, really great. I had never been to Nepal before. I had certainly read about it and heard about it, but in Nepal, we’ve just been so warmly welcomed. I’m here with my family. I have lots of khadas everywhere in my house.

I’ve gotten to travel in Nepal. I’ve been to Janakpur and Sudurpaschim, Karnali, Pokhara, and then of course around Kathmandu. And it’s just been really a warm welcome, and as fascinating as I thought it would be.

The USAID has been in Nepal for the last seven decades or so?

Sixty-three years. 

What is the guiding philosophy driving the agency in Nepal?

Sure, that’s a great question. Our guiding philosophy is partnership, working together, listening to Nepalis, to determine the needs of the people, and then how we can bring our resources and other expertise to walk along that journey together. So in these 63 years, USAID has had some really remarkable accomplishments in Nepal with Nepali people. We helped pave the first roads here. We helped fund the first telephone exchange. We helped eradicate malaria.

I’m really proud, particularly of our work with women and children. Child mortality in Nepal has gone down 60 percent over the course of two decades. And that’s really remarkable. And we’re lucky to be on that journey.

To go back to your original question, I think those are the guiding principles of partnership. And then we really are focusing on thinking about federalism and how to implement federalism and implement the Nepali constitution by making sure, as Nepal develops, that everyone is included in that journey.

And then resilience. Of course, Nepal is, as we just felt recently, subject to shocks, different environmental shocks. So we do a lot of work thinking about resilience and how to help prepare Nepali people for those shocks so that, hopefully, everyone’s prepared for the next challenge.

What are the main strategic priorities of USAID missions in Nepal over the next few years, and how does it ensure that its projects align with Nepal’s national priorities, Nepal’s government’s priorities.

That’s where we start from: the priorities of the government of Nepal. We don’t ever want to do anything that doesn’t align with the needs of Nepal. So I mentioned those three overarching priorities, which are federalism, inclusion and resilience. And then we also think about working in different areas. So we work in education, which means helping teachers and children. We work in health, which is largely focused on mothers and children. We work on economic growth, which is a lot working with farmers and agriculture, but also working with small entrepreneurs. I’ve met some really great Nepali entrepreneurs. And then also thinking about democratic governance. We support the policymakers at every level of the Nepali government to implement democracy here in Nepal.

One of the foremost challenges for Nepal is dealing with disasters. Recently a quake epicentered in Tibet shook parts of Nepal (eastern Nepal) that showed how ill-prepared we are when it comes to dealing with disasters. This quake comes barely a year after the Jajarkot quake that left behind a trail of death, devastation and displacement. How is the USAID helping Nepal strengthen the institutional capacity in dealing with such disasters?

Sure. There are two ways we’re doing that. One is we’re working with the national institutions that think about disaster risk reduction, doing capacity building, planning to help everyone be prepared. And then we’re also working at the provincial and municipal level.

So for example, when I went to Sudurpaschim, we met with the municipal government and we saw their storeroom of emergency supplies. We have been supporting them to develop a plan to respond to disasters. So we think a lot about preparedness and helping people manage and be ready for a disaster when it strikes. And then of course there are earthquakes and landslides here, so we also have a humanitarian assistance program and a relief and recovery program. For example, in Jajarkot we’re helping build temporary learning centers. We just announced an assistance program of five million dollars that will build classrooms so that children can get back in school. This is an important part of our portfolio because it’s important to the government of Nepal and important to us as well.

As you said, USAID has been serving Nepal for 63 years. How does it measure the impact of its program in Nepal? Are there any notable success stories that you can share?

Monitoring data and accountability are really important to us. We want to make good investments that serve the people of Nepal. So I mentioned a few of the successes earlier but I’ll go back. One is the reduction in child mortality, which has gone down by 60 percent. So that’s a statistic that we track really closely.

Also a huge reduction in malaria. Those are really important. We also think about the number of people we serve. In 2023 alone, we served one million Nepali women, which is a number I love. So we’ve touched them in one way or another because they’re entrepreneurs, because they went to a health clinic that we serve, because they’re teachers and they received support in another way, because they’re community leaders or mayors or deputy mayors and received training or journalists of course, so that’s it. So we look, we try and really think about this data and gather data and that helps us understand what we’ve achieved and how else we can, what else we can achieve.

What also comes to mind is the USAID motto: From the American people. What percentage of USAID assistance, which is the taxpayers’ money, is going to the grassroots? There is this complaint that most of the international development assistance in Nepal actually goes down to paying the consultants, politically influential people and the intermediaries…..

Sure, that’s a great question. I’ll answer it in two ways. First, one of the other reasons I wanted to come to Nepal is that we’re really thinking about locally-led development here. I would say USAID Nepal is really on the cutting edge of getting funding directly to the grassroots, directly to people. So here, we fund Nepali organizations directly. These are civil society and other organizations that are serving Nepalis.

And that funding isn’t going through consultants or international NGOs. It’s going to Nepalis.

The second thing we do that I think is a sign of the deep and long partnership we have with the government of Nepal. In addition to working with CSOs, we fund the government of Nepal directly, which we don’t do in many countries, but we can do it here because we have such trust and accountability.

For example, we fund the Ministry of Health directly, we fund the Ministry of Education directly, and then that money is going straight to schools. That’s how we’re doing things, but then we also go out and visit communities.

Like when I’m in Sudurpaschim, I ask them: What money did you receive? How did you receive it and how did it work? So me and all of my colleagues are constantly doing monitoring.

And then the last thing I would say and it’s really important: We mostly hire and work with Nepali people.

At USAID, most of my staff, most of my colleagues are Nepali people. Most of the development organizations that we work with have entirely Nepali staff. So it’s touching people in that way. The second part of your question is kind of getting at accountability, right? We do a lot of auditing. We actually work with the Auditor General of Nepal, where we do a lot of independent auditing and monitoring, I feel really confident in the systems that we have and that’s what allows us to work so broadly in Nepal because we track really closely our financial systems, our data, we’re always asking for more information and that allows us to work here with confidence.

So how do you ensure that your programs are sustainable and continue to benefit local communities after the funding is stopped?

These are the questions I ask the team. So the first thing is we have to start by listening to Nepalis. And so if we design a program that, you know, I made up in my head in my office, it’s not going to be sustainable because it won’t meet the needs of the people. So we start with the design, and that helps it become more sustainable.

The second thing is it’s not always our funding. So we ask for cost sharing. We say, especially with the private sector or with the government in Nepal, we’ll put in 80 percent, you put in 20 percent. That makes it sustainable over time.

And then good programs last. Recently, I went to Janakpur and saw a program in a municipality that was providing small, small grants to local families, largely Muslim families. And the government, the municipality had used their own budget to continue that program after our funding ended using the capacity developed together to follow up with the families and monitor and provide different inputs.

So the program continued after we left. That’s the way we think about sustainability. But you have to think about it from the beginning or else the program ends, and you think, oh no, this is going to go away when we go away.

You were with the National War College, right?

I was.

How can you help this ill-prepared country fight multiple challenges like poverty, climate change, the shocks associated with climate change, and things like that with your war college background?

That’s an interesting question. So I actually was at the National War College.

I had a Nepali colleague when I was there. There are a number of senior Nepali military officers who studied at the National War College. That really helped me think about strategic development and strategic thinking and that was a lot of what I got out of that year. And so  the biggest lesson I learned there is to remind myself that you need a broad coalition of people to work with you across the governments of Nepal, the people of Nepal to make sure that your work is effective and strategic. As you said, we are investing taxpayer dollars from the American people and so we want to make sure it’s what Nepal wants and that it’s a strategic investment as we move forward and as Nepal develops.

Safa Tempo, Nepal’s first ever electric vehicle, was launched in Nepal with US assistance as part of efforts toward reducing Nepal’s reliance on gas-guzzling vehicles. Import of petroleum products is one of the major factors behind Nepal’s yawning trade deficit as it escalates the cost of running the economy. Is the US government working with Nepal to decrease reliance on diesel and petrol so that the national economy becomes profitable and sustainable in the long run?

We are working with Nepal for sustainable, broad-based economic growth. This includes economic electric vehicles and what we call the business-enabling environment.  

What are the policies that need to be in place so that Nepal develops? 

Nepal’s development has really improved over time in terms of human capital and social indicators vis-a-vis education and health, but the country still needs more economic growth so that people’s incomes rise and the growth becomes sustainable in the long term. We want that growth to be green for environmental reasons. Of course, clean energy is one area that we think about, we look at small entrepreneurs and other things. We’ve done a lot of work on energy, in electric vehicles also, but more in energy transmission. For the first time, Nepal is now a net exporter of energy to India. With USAID’s help, Nepal has completed a great deal of  regulatory work in the field of hydropower that has enabled it to export clean renewable energy to its neighbors. 

Through our partners at USAID Urja Nepal, we are working to develop a clean electricity market in Nepal by enabling households to use clean electricity instead of wood for cooking, working with the government on policies that make it easier for families to choose electric vehicles and helping the private sector clean energy producers sell energy to the Nepal Electricity Authority.

With our partners USAID Urja Nepal we established 23 electric vehicle fast charging stations.

There probably was one study, among several other similar studies, that found the consumption of a unit of green energy brings a return of 86 cents to a national economy. But here we are, exporting the green energy at dirt-cheap rates. Does the US have plans to increase Nepal’s capacity to utilize the domestically-generated green energy to the maximum possible extent instead of exporting it at cheap rates so that the economy becomes profitable and sustainable in the long run?

I cannot talk about the rates but would love to view the study. Going back to the beginning, we want to support Nepal in areas that Nepal and the Nepalis want to develop.

We help train Nepal government officials regarding green energy and other forms of energy. We are ready to help Nepal with policymaking and capacity-building. We are ready to help multilateral, bilateral exchanges that need to happen by working with our colleagues in India. Nepal can ask for help with regard to regulatory changes vis-a-vis the energy exchange.

Do you have any specific programs to support local governance and decentralization?

We have a few and the one I would point to is called public financial management. This program is really helping municipal government officials have a budget, a transparent budget. Using that tool, they (local governments) manage the budget they get from the federal government through the public sector in a transparent manner, making sure that it gets straight to the Nepali people. We also have programs that look at trafficking in persons and help the government of Nepal to stop it,  make sure that communities are prepared to help survivors and become more resilient against trafficking. We also think about civil society and media where we do some training of journalists and civil society to help them produce stories in this space. So in all of our work, but particularly in democracy and governance, we try and think about all the different players in this space: the government, NGOs, the media, all the things that you need to be vibrant in a healthy democracy. 

​​​​​​The first Agricultural University in Nepal was probably established with US assistance. But these days the entire corn belt of Nepal is going to the dogs, going to the monkeys rather. Any plan to revive Nepal’s farming sector?

Agriculture is, as you’ve noted, an area of our longstanding interest and expertise. We have a number of large agriculture programs, and then also ones that support specific, small entrepreneurs. We think about agriculture inputs, we think about fertilizer, we think about how to have people work the land and understand the land they’re on. For example, we funded something called the soil map, so people know what kind of soil they’re working on, which is the first of its kind, and I had certainly never seen one. We are thinking a lot about how to make individual farmers more productive, how to make this system work together, about regulations you need for import and export. And then there’s some individual businesses that we support, we support a poultry farm, for example, to help them market. We support tea so we can help market Nepali tea. So it’s not just going to Darjeeling, but it’s coming out of Nepal.

USAID focuses efforts into keeping agriculture money here in Nepal by helping to set up processing facilities for raw products. In November we launched a spice processing facility that will employ 55 people and produce more than 30 spice products, increasing their value over just exporting raw spices to be processed elsewhere.

So we think a lot about agriculture. There’s a lot of potential there for economic growth in Nepal.      

Something about Feed the Future. Can you just enlighten us about it?

That was all Feed the Future, I should have said that at the beginning. All of our agriculture programs are under what we call Feed the Future. And that’s exactly the idea. I’ve always liked the name of that program, that we need to improve agriculture to feed the future. And that’s literally feeding, well, sort of literally in terms of food growth, but also it’s a huge driver of economic growth. And Nepal does need to start exporting, of course, in agriculture, not just moving from subsistence agriculture, but in terms of more sales, because that will help with economic growth. A lot of potential there.

​​​​​Adding to this question, how do you see it integrate with food security in Nepal?

We think about it in everything we do, one making sure that we’re being inclusive. So we’re thinking through all the different groups of farmers. Of course, there’s a lot of women farmers, people that are marginalized. So thinking through food security, thinking through seasonal means and different agricultural inputs, and that is, I would say, at the base of what we do. And then beyond that, thinking about how food can be taken to market and sold. Of course, that’s a different type of security, but it provides income and then it is ultimately exported.

Does this program also involve preservation of indigenous crops? A lot of indigenous crops are disappearing due to climate change and that’s a huge loss to entire humanity…..

I know that we work to preserve crops that are native to Nepal, and we work really hard to make sure we’re inclusive and working with indigenous groups, working with women, working with marginalized communities. As part of that work, we would work with indigenous crops. I don’t know that we have specific programs focusing on indigenous crops, but we make sure that we’re being inclusive of everyone in all of our programming. That’s really a central tenet of the work that we do.

As part of that effort, the US Embassy organized an “Indigenous Women Leaders in Climate” panel discussion at the embassy in August 2024.

The event brought together women leaders from various organizations to share their expertise and experiences in promoting indigenous-led research and education.

The panel discussion focused on how climate change affects vulnerable communities, leading to significant consequences like migration and the emergence of ghost towns. They also discussed how intergenerational knowledge plays a crucial role in adapting to these changes and preserving cultural heritage.

Before I arrived, in September 2023, Kyle Whyte, a US Science Envoy and one of America’s foremost experts on indigenous knowledge and climate justice visited Nepal. He led the International Conference and Workshop on Indigenous-Led Research and Education in Nepal with the focus of promoting discourse and understanding of indigenous-led research and education and its important role in conservation and strengthening climate resilience. So the US Government is doing a lot across the board to promote inclusivity on multiple fronts.

How can the US help Nepal, a country with minimal carbon footprint, cope with shocks associated with climate change? 

So there are a few things to think about on this front.  One is, you know, disaster reduction and risk management. So thinking through if there are shocks, how do we manage them? Another thing is, when we’re thinking about agricultural inputs, everything that we do, we want it to be as climate resistant as possible, so you’re not focusing just on one crop and then having other negative impacts. Those are the two big ways, and then helping people prepare individually for climate shocks and prepare for disaster. You know, any disasters that may come.

What are the initiatives that you are taking for the economic empowerment of youth, women and marginalized groups, especially in rural areas? 

The first thing we do is make sure that those groups are included. You could go to an area and just talk to the kind of leaders of an area, or the elite folks, and leave behind the youth and the women in the marginalized group. So we start from the beginning by making sure they’re included in any programming. If we look at the data, we see where poverty rates are highest, where literacy rates are highest, where you have lower economic growth, where you have kids who are out of school, where you have higher mortality rates, and those tend to also be marginalized groups, and so working, working with them. And so it’s a program of inclusion, always and always, making sure we’re talking to, listening to everyone while designing programs. 

Do you have some specific training and job opportunities for those groups?

We tend to try and offer our training opportunities to everyone, including kids at risk. And maybe a good example is a great adolescent and reproductive health program that focuses on young women who are at risk of dropping out of school and marrying early. We have specific training to get them back to school in a safe environment and then support them in other ways. We also have a program to try and help people understand the benefits of delaying marriage. The program is targeted at girls, particularly those at risk of marrying early or dropping out of school early. So it’s dependent on the needs of the community and each area in which we’re working.

What specific intervention has the US yet implemented to accomplish educational goals in Nepal, including access to quality education?

I love that question, because I used to be a teacher.

I was a teacher when I was a Peace Corps volunteer in Madagascar. Girls’ access to education is so important for them, but also for equality and for the future of Nepal. So let me mention a few. One is this. You know, when girls reach puberty, sometimes they tend to drop out of school, so figuring out ways in which they can come back to school. So we’ve set up these separate classrooms within schools to help them come back. So if they are behind a bit, they need to catch up. They can. They can work in those classrooms. Another one is reducing child and early marriage, which, of course, has a tendency to bring girls out of school. And then we have a whole program focused on equity and inclusion, equity and inclusion that specifically looks at the municipal level and how we can make sure that kids are in school. Some of that is making sure that schools have resources, so that we give block grants to the districts and the schools to make sure that there’s enough space, because sometimes kids don’t go to school because there are no books at school, or there are no teachers. So thinking through that, and then a lot of community level work with parents and teachers to make sure that kids are coming to school. Nepal has a pretty high enrollment rate. Lots of kids go to school, but learning outcomes need to catch up. We don’t want just kids in school, we want them to be learning.

Do you see any possibility of tectonic shifts in policies once a new administration takes over in the United States?

We’re in the last weeks of our current administration. There have been 12 presidential administrations since USAID was formed in 1961 and this will be my fifth transition working at USAID. It’s really a hallmark of American democracy, this peaceful transition of power…. I think new administrations always have new policy priorities, but at its core, the work of USAID has stayed the same over these past 12 administrations, and so I think that core will stay the same, and I’m sure there will be different priorities, and we’ll work with the new administration, with the government of Nepal and the Nepali people to figure out how those best align here.