UK announces Rs. 7.1bn support package for Nepal

Kathmandu, Aug 27

The United Kingdom has announced 45.8 million Sterling Pound (Rs. 7.12 billion) support package for Nepal to help the latter in the fight against the COVID-19.

In a virtual meeting with Minister for Finance, and Communication and Information Technology Dr. Yuba Raj Khatiwada on Thursday, State Minister of Foreign and Commonwealth Office of the United Kingdom Lord Ahmed has announced the financial assistance, said the Ministry of Finance.

The British Minister has also said that his government would like to extend support to Nepal in the areas of improving the investment climate, mitigating the impacts of climate change as well as Sagarmatha Sambad and green development.

Dr. Khatiwada appreciated the UK for its continuous support in Nepal's socio-economic development. He also lauded the proposed cooperation by the former in health, social security and infrastructure sectors in Nepal during the difficult times of coronavirus pandemic.

The UK has been supporting Nepal in the areas like economic development, post-quake reconstruction, financial access, road infrastructure and investment.

The Finance Minister had updated Ahmad about Nepal's development priority, economic status and efforts in creating the investment-friendly environment.

"We are revising the threshold for the Foreign Direct Investment (FDI) and moving ahead to sign the Double Taxation Avoidance Agreement with the UK while the laws like Public Private Partnership Act and Investment Board Act were implemented to attract more investment," he said to the British Minister.

Dr. Khatiwada also requested State Minister Ahmad to facilitate the British investors who are interested to make investment in Nepal. He urged the global community to be proactive in the conservation of biological diversity, promotion of green technology and renewable energy and save the world from the impact of climate change.

He pledged Nepal's participation in the COP26 meeting that will be held in the UK in November next year.

Earlier, State Minister Ahmad had held a virtual meeting with Minister for Foreign Affairs Pradeep Kumar Gyawali in which he expressed commitment of the UK for continued cooperation to Nepal.

The two ministers discussed about holding the next round of Nepal-UK Bilateral Consultation Mechanism (BCM) meeting virtually between the Ministry of Foreign Affairs and the Foreign and Commonwealth Office within the next few months.

While agreeing to work together on the common areas of climate action, they expressed their hope that the outcome to be produced at the Sagarmatha Sambaad next year, will help inform the wider deliberations of the COP26, said the MoFA in a statement.

The United Kingdom has looked forward to Nepal’s active participation in this global dialogue. Minister Gyawali appreciated the British initiative and assured that Nepal would continue to engage in deliberations towards reducing the effects of climate change, preserving mountain ecosystems and supporting sustainable development.

Published in The Rising Nepal daily on 28 August 2020.