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Kathmandu Wednesday August 29, 2001 Bhadra 13, 2058.
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‘Lack of infrastructure hindrance to development of hilly
region’
Post Report
KATHMANDU, Aug 28 – Finance Minister Dr. Ram Sharan Mahat has said that
lack of basic infrastructure, right policy and proper planning, in addition to inadequate
market access, has hindered the development of the mountainous and hilly regions of Nepal.
"However, the social indicators are improving faster than that of the
rest of the areas," Dr. Mahat said. He added that the hilly regions have untapped
potential because of the rich agro-forestry and bio-diversity vis-à-vis the rest of the
Asian sub-continent.
Dr Mahat was speaking at the inaugural session of a national seminar on
"A study on Rural Hill Potential and Rural Service Delivery Systems" jointly
organized by the National Planning Commission (NPC), International Fund for Agriculture
Development (IFAD) and the German agency GTZ.
The workshop was organized to discuss upon the findings of a recent study
conducted by SAPPROS. The study was a part of two studies conducted by SAPPROS, one being
the Terai Options funded by the World Bank and the other being the Hill Options funded by
IFAD.
Dr Mahat stressed the role of various agencies in the accelerated development
of the hilly regions. He expressed happiness over the shift in the perception of the donor
communities who are now focusing on improving the rural living standards.
"The agencies are more efficient and cost-effective as compared to the
government. The government as a service provider is poor," he said.
Furthermore, Dr. Mahat emphasized upon the need for higher investment in hill
infrastructure. However, considering the expanse of area that needs to be catered to, he
said that low cost technology and participative approach to management is a must for
sustainable development in the hilly regions.
"Nepal’s development challenges are unique. Hence, unique ways must
be sought for development," said Dr Mahat.
On the same occasion, Hari Shankar Tripathi, member of the NPC, reiterated
that the basic objective of the government is poverty alleviation that is well reflected
in the Ninth Plan, which ends next year.
"Since the Nepalese rural areas have a disproportionately high levels of
poverty, there is a need for a sustainable poverty alleviation endeavors in these
regions," he said. "The need to tap the potential that exists in these
areas."
So far, faulty policies and inappropriate institutional arrangements were
responsible for restricting the development of the hilly regions, he said.
Similarly, Srikrishna Upadhyay, executive chairman of SAPPROS, highlighted
the findings of the study. He said that there are great potentials in hills and mountains
of Nepal based upon local comparative advantage, which if properly exploited could aid in
the reduction of worst forms of poverty.
Upadhyay also said that there is a tremendous possibility of producing high
value crops such as off season vegetables, fruits, herbs, plantation crops, livestock and
the development of micro-enterprises in the hilly and mountainous regions.
Finally, he informed that on the service delivery front, the finding of the
study is depressing. Weak institutional arrangement, faulty policies and poor service
delivery needs to be rectified.
Representatives from the different donor communities, non-governmental
organizations and various government officials are taking part in the two-day seminar that
begun Tuesday.
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