Donors driving Pokhara’s development

Currently, more than two dozen donor-funded projects are either running or in preparation across Pokhara. Most are in the stage of detailed project reports (DPRs) and feasibility studies, signaling new prospects for tourism, road access, building codes, and sanitation in the valley. According to Pokhara Metropolitan City, donor agencies have committed a total of Rs 39bn, which is five times higher than the city’s annual budget allocation.

Among the donors, the Japan International Cooperation Agency (JICA) leads in investment. It recently completed the Pokhara Drinking Water Purification Project at a cost of Rs 5.5bn and is finalizing agreements for the Wastewater Purification Project, valued at Rs 11bn. The Asian Development Bank (ADB) is implementing the Sustainable Tourism Development Project (Rs 7.5bn) and an E-Mobility Project (Rs 5bn). The World Bank is supporting the Taalchok–Begnas, Sishuwa–Shishaghat, and Baghmara–Puditaar road construction projects (Rs 3.25bn). Meanwhile, the Korean International Cooperation Agency (KOICA) and UNDP are backing the Green Employment Generation Project, together contributing Rs 2.15bn.

“Most of these projects have already signed agreements and are in progress, while a few remain in the contract process,” said Moti Raj Timilsina, spokesperson of Pokhara Metropolitan City. He also expressed gratitude to the Chinese government for its support in completing the Pokhara International Airport and the Muglin–Pokhara Road Project.

Local development activists in Pokhara often emphasize that donors have consistently shaped the city’s growth. According to Ashok Palikhey, senior social and development activist and founding chair of the Pokhara City Development Committee, today’s development initiatives are built on the foundations laid by earlier donor contributions.

The story of donor-supported development in Pokhara began in the 1960s, when the Indian Cooperation Mission constructed the Check Dam in Fewa Lake, installing 18 gates of 20 square feet each to conserve the lake. India also contributed by building the Indian Soldiers’ Board, settling camps in Rambajar, and helping establish the Regional Health Science Academy. “Had the donors not extended their helping hand, we might never have realized the core value of Pokhara’s potential,” recalls Krishna Thapa, former mayor of Pokhara in the late 1990s.

Following India, the US Agency for International Development (USAID) played a pivotal role by setting up Akashbani (telecommunications) in Ranipouwa, the foundation of Pokhara’s modern telecom system. USAID also established Rastriya Madhyamik Vidyalaya in Purano Tundikhel, the first community school in Kaski, initiated forestry education by founding the Forestry Campus in Hariyokharka, and launched the Agricultural Training Center (Krishi Bagbani) in Malepatan.

In the early 1990s, a Chinese company built the Seti River Powerhouse and associated drainage systems. Around the same time, the Asian Development Bank (ADB) began supporting Pokhara, helping establish the Pokhara City Development Committee and other key infrastructures. The World Bank contributed by setting up the Engineering College in Lamachaur, while the United Mission to Nepal (UMN), a European consortium, founded Gandaki Boarding School, known for quality education.

Since the late 1990s, JICA has remained deeply engaged in Pokhara, supporting lake conservation projects and establishing a Fishery Research Center in Begnas.