The Nepal Wekly | June 27, 2021
Nepal government on Sunday signed an agreement with the World Bank (WB) to receive a concessional loan amounting to US $ 150 million for resilient recovery from the COVID-19 pandemic, protect the most vulnerable, and support sustainable growth.
Finance Secretary Sishir Kumar Dhungana and the WB Country Director for the Maldives, Nepal, and Sri Lanka, Faris Hadad-Zervos inarked the agreement to this effect. After signing the agreement Secretary Dhungana said the project will help Nepal build back better and greener through reforms to the tax and customs systems, public investment management, environmental regulations and debt management. “The proposed budgetary support will be utilized in the physical infrastructural projects and economic recovery sectors according to the requirement and priorities of the Government of Nepal,” he pointed out.
According to the WB, the financing will be provided to the Government of Nepal through budgetary support. It is the first credit in its type targeted for Fiscal Policy for Growth, Recovery and Resilience Development Policy that will support reforms aimed at protecting the most vulnerable and supporting business growth.
“The financial assistance will help speed up the ongoing large development projects to create jobs, accelerate markets, and support green recovery,” according to the Finance Ministry.
“This project will help the country achieve sustained growth during and after the COVID-19 pandemic that is inclusive, job-creating and environmentally sustainable,” states a press release issued by the WB Country Director.