LOAN AGREEMENT FOR WATER AND SANITATION PROJECT OF CHARIKOT, DOLAKHA

The Executive Director of Town Development Fund – Mr. Maniram Singh Mahat, Mayor of Bhimeshwor Municipality- Mr. Bharat K.C. and the chairperson of Charikot Water Users and Sanitation Committee (WUSC) Dolakha- Mr. Ram Krishna K.C. signed a loan agreement of NRs. 179,558,750.00 for “Charikot Town Water Supply and Sanitation Project” under the Urban Water Supply and Sanitation Project (UWSSP) on 29th March 2019 (BS 2075/12/15) at the office of Town Development Fund, Kathmandu. The total loan amount is the 25.00% of the contract cost of NRs. 718,235,000.00. The rest 75% will be provided by the Government of Nepal through Urban Water Supply and Sanitation Project (UWSSP). The 5% upfront cash contribution requirement of UWSSP has been waved by GoN as Dolakha is located under earthquake affected district. Hence the grant portion has been increased from 70% to 75%. However, 2% upfront cash shall be collected by WUSC before the loan agreement as an operation and maintenance fund.

The project service area covers the whole area of Ward No. 1 to 10 and partial area of ward No. 12 and 13 of the Bhimeshwor Municipality with 24 hours continuous supply of potable water, as recommended by Nepal Drinking Water Quality Standard (NDWQS) guidelines. The project will directly benefit the population of 22,756.00 living in 3,842 households now, fulfilling the water demand.