World Bank provides USD 155.7 mln to Nepal for road networks, food enhancement projects

The World Bank on Wednesday provided over USD 155 million in financial assistance to Nepal to invest in strategic road networks and food and nutrition enhancement projects.

The first project comprising a credit of USD 133 million will be mobilised in the country's strategic roads network, comprising of around 12,142 km of national highways, feeder roads and other roads of national importance.

The second project in the form of a grant of USD 22.7 million will contribute to the government's capacity to deliver agriculture extension services at the decentralised levels and to diversify income opportunities for the rural poor, the Finance Ministry said in a statement.

"These two projects are expected to ensure better livelihoods, access, and trade opportunities for thousands of Nepalis," Finance Minister Yuba Raj Khatiwada said.

The first credit will finance improvement and maintenance programme targeting around 477 bridges along Nepal's strategic roads network.

Similarly, the multi-donor Global Agriculture and Food Security Programme (GAFSP) will provide a USD 22.7 million grant to support the Food and Nutrition Enhancement Project.

The project aims to improve the health and livelihoods of around 65,000 direct beneficiaries, of which 65 per cent will target women.

"We are deepening our collaboration with Nepal through the development and sustainability of key strategic bridges and enhancing food security and nutrition," said Hartwig Schafer, Vice President of World Bank for South Asia Region.

"These contribute greatly to Nepal's development by addressing the need for connectivity, human capital development and shared prosperity," Schafer said.

Two separate agreements were signed to this effect by Finance Secretary Rajan Khanal and the World Bank Country Director for Bangladesh, Nepal and Bhutan, Qimiao Fan, in Kathmandu on Thursday.