The Nation · Public debt · Multilateral
Asian Development Bank
एसियाली विकास बैंक
Close second to the World Bank. Energy and transport heavy. USD-denominated.
Outstanding
USD 2.70B
as of FY 2024/25
Share of ext. debt
27%
cited
Currency
USD
FX exposure
Major loans
4
cited
How it works
ADB is Nepal's second-largest external creditor by stock and the leading lender for energy and transport megaprojects. Concessional terms — 1% interest, 32-year maturity, 8-year grace — keep service costs low. USD-denomination means appreciation of the dollar against the Nepali rupee directly raises repayment cost.
The short version
ADB is the second-biggest international lender to Nepal. It mostly finances power and roads. Its loans are cheap but in US dollars — so if the dollar gets stronger, Nepal pays more.
Typical loan terms
Concessional (1% interest, 32-year maturity, 8-year grace) for OCR; near-grant for ADF
Headline terms — individual loans may vary. Per-loan detail follows.
Major loans
2000–ongoing
USD 205M+
Tunnel and treatment plant
2014
USD 76M
Regional airport
Tanahu Hydropower Project
ongoing
USD 460M
140 MW hydropower
SASEC roads programme
ongoing
multi-tranche
East-west road upgrades
What to watch
- ·USD-denomination — exchange-rate volatility is the single biggest risk on this stock.
- ·ADB ordinary capital resources (OCR) vs Asian Development Fund (ADF) blend is shifting as Nepal moves up the income classification.
Sources · cited verbatim
Ministry of Finance Nepal — PDMO — Public Debt Bulletin — multilateral creditors
Open release checked 2025-01-15Asian Development Bank — Nepal — country lending portfolio
Open release checked 2025-01-31