USAID announces $58.5 million support to Nepal

 Kathmandu, Feb. 7

The USAID has announced to provide up to US$58.5 million (Rs. 7.72 billion at current exchange rates) to advance democratic progress in Nepal, subject to the availability of funds.

US$ 40.2 million of this announcement is pat of the $659 million development objective agreement announced in 2022, informed the Embassy of the USA in Nepal in a statement on Tuesday. Administrator of the USAID, Samantha Power has announced the support at a programme in Lalitpur. She is in a two-day office visit to Nepal.

This is another high-level visit from the USA to Nepal since the Undersecretary of State for Political Affairs, Victoria Nuland visited the country in January end.

The investments announced on Tuesday include up to $20 million to strengthen inclusive democracy and prosperity in Nepal by supporting provincial and local governments to deliver public services in a more fiscally transparent and accountable manner.

Likewise, it also includez up to $18.5 million to support independent civil society organizations and media led by and for women, youth, and marginalised communities to advance community needs, fundamental freedoms, and accountability.

USAID said that it will work with these civil society organisations as they build their skills, credibility, and techniques for engaging with the government and public effectively. USAID will also partner with the media to support efforts to improve public access to credible information and more diverse narratives that will enhance social trust in the media.

The embassy said that following elections in 2022, Nepal has an opportunity to strengthen federalism, advance the inclusion of women and marginalised communities, empower its young people, and demonstrate that democracy can deliver for its citizens, and pledged to be a partner in this effort.

"USAID’s investments will help Nepal cement its democratic gains and usher in greater prosperity and resilience for the Nepali people by strengthening public financial management, independent civil society and media, democratic processes and institutions, rule of law, and private sector development," read the statement. USAID will also continue to help Nepal combat human trafficking. 

Meanwhile, the USAID also said that it looks forward to working in partnership with relevant Nepali government institutions to align our assistance with government priorities, including those in Nepal’s recently released common minimum programme.

Earlier on Tuesday, Power held a high-level meeting with Minister for Foreign Affairs Dr. Bimala Rai Paudyal.

According to the Ministry of Foreign Affairs, various topics of interest between Nepal and America such as the implementation of the Millennium Challenge Corporation's Nepal Compact programme, and US assistance to be provided to Nepal after being upgraded from the Least Developed Country (LDC) were discussed during the meeting held at the ministry on Tuesday.

During the meeting, Power expressed her commitment to further increase the support to Nepal provided by the American government.

Highlighting Nepal’s strong commitments on climate change, the Foreign Minister also shared Nepal’s view on the need of a clear roadmap and ambitious goal on climate finance.

FM Dr. Paudyal also had delivered an opening remark at the event on 'Deepening US-Nepal Democratic Partnership' as a guest speaker together with the USAID Administrator. In her remarks, the Foreign Minister highlighted the continued efforts made in the consolidation of Nepal’s democratic processes. 

Power is scheduled to meet Prime Minister Pushpa Kamal Dahal Prachanda on Wednesday. 

 Published in The Rising Nepal daily on 8 February 2023.