Nepal Granted $21.6 Million Climate Fund For Trisuli Valley Flood Recovery

Nepal has secured provisional approval for a $21.6 million grant from the UN Loss and Damage Fund following the Trisuli Valley flood disaster on 26 August 2026. The approval by the Fund for Responding to Loss and Damage comes two months after the catastrophe occurred. Despite the financial support, negotiators noted that the approved amount accounts for approximately 0.4 percent of the total estimated cost required for long-term recovery and reconstruction. The allocated funding carries specific conditions for its release and utilisation. Manjeet Dhakal, lead adviser to the LDC Chair on climate change, stated that the international community would not meet all demands outright, though he emphasised that the fund was created specifically to handle disasters of this nature. He pointed out that scientific findings, including data linking the severe rainfall to global warming, clearly support the basis for climate assistance. To access and deploy the grant efficiently, the Nepalese government must now formalise its strategy. Dhakal urged officials to utilise the government's rapid assessment reports of the flood damage to construct a comprehensive proposal. This plan will detail how the resources will be directed toward effective rehabilitation and reconstruction across the affected Trisuli Valley region.