4. Guiding principles and objectives

4.1 Foreign aid policy is basically an integral part of the country's development policies and priorities. Unless these two are closely integrated with each other, the effectiveness and efficiency of development activities will be adversely affected. Foreign aid is received from different donor organizations and each organization has its own beliefs, policies, procedures and practices. If the various sources of foreign aid cannot be harmonized with each other, a country like Nepal will have to face many serious problems in this regard. Although significant progress has been made in bringing uniformity to the different policies and procedures of the donors, there are still many issues that need to be improved. Nepal cannot afford the parallel aid system created from fragmented projects and programs. It is hoped that the policies to be included in it will mainly improve the solution of existing problems. In addition to this, it is also necessary to ensure coordination between all kinds of policies to involve civil society organizations in development activities. There are many cultural differences between Nepal and charities. What is right in one country may not be right in another country. As an underdeveloped country, Nepal lacks both institutional arrangements and human resources. Therefore, it is important to pay special attention to the major challenges faced by the implementing authorities in addition to these institutional deficiencies when adopting the methods of implementing projects and programs. An attempt has been made to cover these problems in a realistic manner in the policies included in this document. Guiding principles

4.3 The objectives and priorities mentioned here in relation to foreign aid are based on the following five basic principles: First, foreign aid is a priority for the country to alleviate poverty.It is necessary to be directed towards achieving the objective. This includes achieving economic growth by increasing the productive capacity of the economy as well as supporting important social infrastructure needs. In addition, in terms of promoting, expanding and sustaining the development process, it also includes matters that provide support to make the most of the basic infrastructures that have been built so far. Second, the role of foreign aid should not be seen only in the context of supporting a specific project. Since sectoral policies are an integral part of economic policies and projects and activities carried out with the support of one of the donors should be related to sectoral policies, they should be viewed at the macro-economy and sectoral level. Thirdly, the foreign aid policy will be an integral part of the overall policy of mobilizing resources for development. Fourthly, the foreign aid policy will ensure more transparency in the level of availability and use of government development aid and in both the government and external sectors. Fifth, although the quantity and quality of foreign aid will be increased in the short-term and medium-term, efforts will be made to achieve self-reliance in resource mobilization by increasing the mobilization of local resources in the long-term.

Objectives

4.4 Foreign Aid The government of Nepal believes that the policy should be guided by a long-term perspective, but the short-term needs of the country should not be neglected. In the long term, foreign aid should be effectively integrated into Nepal's overall resource mobilization and it should contribute to the country's development efforts, especially in achieving the goal of poverty alleviation. This is also important for the short term. But as mentioned below, the structure of aid should be guided by paying attention to some other issues. Support development activities carried out in aidTo ensure that operations are carried out in accordance with the priorities determined at the state level. Once the foreign aid-driven projects and national priorities are aligned, the foreign aid-driven activities will be an integral part of the overall development process. To promote appropriate and comprehensive policies and practices in terms of project selection design, management, review, monitoring and evaluation in both Nepal and the donor side.
(c) To increase the contribution of development activities to poverty alleviation by ensuring distributive equality and achieving a high economic growth rate. For this, the relationship between civil society and the private sector should be improved, complementarity should be established between foreign aid policy and other development policies, and foreign aid should be used efficiently in areas such as governance, gender issues and the environment.
(d) To make necessary arrangements for the development of equal partnership between Nepal charity organizations. For this purpose, the concept of dialogue and management of development partnership seen globally will be operationalized at the national level. 4.6 Short-term and medium-term policies necessary for the diagnosis of the immediate problems in the economy and the obstacles in the effective use of foreign resources will be presented in the next section. In the next section, policies to guide foreign aid in the long term will be presented.