World Bank Approves Nearly NPR 12 Billion Loan for Greater Lumbini Project

Butwal. The World Bank has decided to provide a loan equivalent to approximately NPR 12 billion for the implementation of the 'Greater Lumbini' project, which is proposed to center around the birthplace of the Buddha and encompass Kapilvastu, Rupandehi, and West Nawalparasi.

The Government of Nepal had advanced the project with the goal of developing a broader Lumbini area, focusing on Lumbini and including Devdaha in Rupandehi, Tilaurakot in Kapilvastu, and Ramgram in West Nawalparasi.

Gyanin Rai, Senior Director of the Lumbini Development Trust, informed Ratopati that the World Bank's board meeting decided to provide a loan of 85 million US dollars, amounting to NPR 12.35 billion, for the implementation of this project.

He expressed confidence that the Ministry of Finance will soon send a proposal to the Council of Ministers for approval. He clarified that the agreement for project implementation will only take place after the Nepali government's Council of Ministers approves taking the loan.

According to Rai, after the agreement between the Government of Nepal and the World Bank, the project will be implemented through the Ministry of Urban Development and the Ministry of Tourism. A proposal was sent to the World Bank through the Ministry of Finance last year in March to secure the loan for project implementation.

• Where will the funds be invested?

This project is expected to boost infrastructure development in the Lumbini region, investment in tourism infrastructure, and local economic activities. Once the project is operational, the loan will be spent on the development of Buddha-related areas in Kapilvastu, Rupandehi, and Nawalparasi.

Dr. Haridhwaj Rai, Information Officer of the Lumbini Development Trust, told Ratopati that infrastructure works related to tourists will be carried out under the Greater Lumbini Project, which encompasses historical sites in the three districts related to the Buddha, centered around Lumbini.

Accordingly, four municipalities directly related to Lumbini and the Buddha—Lumbini Cultural Municipality and Devdaha in Rupandehi, Ramgram, and Kapilvastu Municipality—will benefit. The funds will be spent on promoting tourism sites within these four municipalities, including roads, drainage, bus parks, meditation centers for pilgrims, rest areas, cafes, information centers, and local product sales centers.

Lumbini is a UNESCO World Heritage site, and the Mayadevi Temple, the birthplace of the Buddha, the Sacred Pond, and the Ashoka Pillar are heritage sites of historical significance. Similarly, Tilaurakot in Kapilvastu is the capital of the ancient Shakya kingdom.

Furthermore, Devdaha in Rupandehi, the maternal home of Gautama Buddha, has historical and archaeological sites associated with the Buddha. The Ramgram Stupa in West Nawalparasi is considered the only stupa where the original relics of the Buddha are preserved.

Dr. Rai, the Information Officer of the Development Trust, clarified that the master plan for this has been prepared, stating that the plan is to implement the project in the first phase by focusing on these main Buddhist heritages.

Ramu Joshi, Executive Director of the Lumbini Tourism Development Council, stated that if the project is implemented, it will be a significant achievement not only for development in those four local levels but also for further tourism development in other areas. He mentioned that through multi-sectoral cooperation and international partnership, Lumbini can be established as a model area for religious tourism, cultural preservation, and sustainable economic prosperity.

Joshi added that the implementation of this project will increase the arrival of foreign tourists, making it easier to take those tourists to other destinations in the province. Homraj Bhusal, Chairman of the Lumbini Economic Research Center, stated that the implementation of this project will further vitalize the economic sector in the region and increase the income sources of the locals.

• Long-standing Effort

The Greater Lumbini concept was put forward a few years ago. The process was delayed due to reasons such as ensuring investment, implementation hurdles, and confusion among local levels. In recent years, the four local levels associated with the Buddha agreed to move this project forward.

A few months ago, a team led by Dhanpat Yadav, Mayor of Ramgram Municipality, including Dhruv Prasad Kharel, Mayor of Devdaha, and Kalpana Harijan, Acting Chief of Lumbini Cultural Municipality, along with Tara Gyawali, Chief Administrative Officer of the same municipality, submitted a joint memorandum to the World Bank representatives.

Gyanin Rai, Senior Director of the Lumbini Development Trust, stated that the efforts of the last year have been successful. He also clarified that continuous study and interaction at the expert level have been ongoing with the objective of identifying, developing, and promoting tourism destinations by securing investment sources and including additional areas.

Experts have consistently stated that this project is necessary for establishing Lumbini as a spiritual, cultural, and tourism center, while expanding overall regional infrastructure development, economic activities, and job creation.