Editorial»
Tall challenge
NOV 21 - The approval by the World Bank of 70 million US dollars for Nepal to implement its poverty reduction programme is to be
welcomed even though there are many a slip between the cup and the lip. A large number of Nepalis still live under the absolute poverty line – the bank and the government could be underestimating the figure which could be as high as 40 percent – and any programme designed to help them lead a decent life is not only to be welcomed but also supported. The loan, which is to be paid back unless the big donors prefer to write it off, is under its Poverty Reduction Support Credit set up soon after the economic storm in South-East Asia that played havoc with the economies there, including those of Thailand and Malaysia. They were till then showing strong growth and macroeconomic stability.
The International Monetary Fund has similar programmes though aimed at the macroeconomic reforms level. The World Bank (WB) loan will go towards the government’s poverty alleviation programme that then Finance Minister Dr. Ram Sharan Mahat initiated under the Sher Bahadur Deuba government. The government programme till now has remained nothing more than an ill-funded programme that came in handy for the political leaders to publicise during their public meetings. The WB loan is the first real term fund that will go into the government’s poverty alleviation programme and presumably help in attracting more funds, including those from the government and bilateral donors, into it.
Some of the countries which, it was hoped, would contribute meaningfully to this programme, have shown their scepticism because of what they term “democratic vacuum”. This combined with the ongoing armed Maoist insurgency poses a real challenge to any development programme, particularly the poverty alleviation programme that must address the people on the ground. The Maoist challenge is real and could derail any down-to-earth programmes in rural areas for the Maoists see such programmes as a direct threat to their ideological hold. The poverty alleviation programme, thus, could still be on hot grounds even after the question of “democracy in vacuum” phase is settled. But it is a programme that must be scrupulously and honestly implemented if the really needy people in rural and remote areas are to benefit and come out of the vicious poverty circle. People whether they work in governmental or to non-governmental organisations must be very honest and dedicated in order to bring the programme to fruition.
Poverty is a disease that forces the people to change their way they think, they behave, they worship and they live. The government’s poverty alleviation programme should generate enough fund through its own and donor resources to make it realistic and sustainable. This is the only way by which the WB loan can be put to good use in helping to reduce poverty in the country. While the programme is implemented, it is also essential that credible surveys are conducted to find out if the poverty alleviation programmes are effective really in reducing poverty among the people. This is a tall challenge that must be faced squarely.Posted on: 2003-11-20 10:22

















