“Asian Development Bank has agreed to provide US Dollar 150 million which is equivalent to approximately 16.92 billion Nepalese Rupees as development assistance for two projects. One of these projects consists concessional loan of 130 million US dollar for Urban Water Supply and Sanitation (Sector) Project and the other projects consists additional loan financing of 20 million US dollar for SASEC Power System Expansion Project.
The loan proceeds under Urban Water Supply and Sanitation (Sector) project will support to expand access to community-managed water supply and sanitation in 20 municipalities through improving water supply and sanitation infrastructure and strengthening capacity of relevant institutions and communities. The additional loan financing for SASEC Power System Expansion Project supports to increase power transmission capacity, improve distribution network, increase mini grid–based renewable energy systems in off-grid areas, develop capacity of Nepal Electricity Authority and Alternative Energy Promotion Centre and develop a utility-scale solar photovoltaic project.
The financing agreements for both projects are jointly signed today by Dr. Rajan Khanal, Secretary, Ministry of Finance on the behalf of Government of Nepal and Mr. Mukhtor Khamudkhanov, Country Director, Nepal Resident Mission, on behalf of Asian Development Bank. The project agreements for Urban Water Supply and Sanitation (Sector) project and SASEC power System Expansion Project are signed by Mr. Maniram Singh Mahat, Executive Director, Town Development Fund and Mr. Monoj Silwal, officiating Deputy Executive Director, Nepal Electricity Authority respectively. On behalf of Asian Development Bank, both project agreements are signed by Mr. Mukhtor Khamudkhnov, Country Director, Asian Development Bank, Nepal Resident Mission.
The Government of Nepal has expressed its sincere appreciation to the Asian Development Bank for the loan and grant assistance and for continued support in the Socio-economic development of Nepal”.
Ministry of Finance
Singha Durbar, Kathmandu
2018 November, 2018