Nepal, Germany sign financial and technical cooperation agreements
KATHMANDU: The Government of Nepal and the Federal Republic of Germany today signed two agreements on financial and technical cooperation.
Ministry of Finance (MoF) Joint Secretary Dhani Ram Sharma signed on behalf of Nepal, while German Ambassador to Nepal Udo Volz signed on behalf of Germany at a ceremony held at the ministry in Singha Durbar, Kathmandu.
Under the financial cooperation agreement, Germany has pledged up to €20 million for the Power Distribution Strengthening Programme, which will upgrade and reinforce Nepal’s electricity distribution system. The project will be implemented by the Nepal Electricity Authority (NEA) in partnership with KfW Development Bank and must be completed by September 5, 2029.
The technical cooperation agreement, based on a long-term framework first signed in 1974 and revised in 2009, commits up to €21 million to support Nepal’s priorities in health, agriculture, governance and inclusive development. It provides continued backing for the National Gender Equality and Social Inclusion Strategy in the health sector, further strengthening health infrastructure, and for programmes promoting agricultural and private-sector growth and climate-resilient economic development. Advisory and technical assistance will be delivered through targeted studies and an expert fund, with implementation also due by September 5, 2029.
Speaking at the signing ceremony, Joint Secretary Sharma expressed gratitude for Germany’s continued support. Ambassador Volz said the new commitments have deepened cooperation with Nepal and its people in the energy, sustainable economic development and health sectors.
(With inputs from RSS)
