Rs 1000 cr economic package for Nepal, oil pipeline included

New Delhi, June 9 (UNI) To help Nepal revive its shattered economy, India today announced a Rs 1,000 crore package to expedite progress on long-term mega infrastructure projects in areas such as roads, railway linkages, construction of oil pipeline, special economic zone and airports upgradation.

India will immediately extend a one-time grant of Rs 100 crore to the budget of the Nepal government, enhance its 'Aid to Nepal' budget for the current fiscal from Rs 65 crore to Rs 150 crore annually and waive the dues outstanding as on date of the Nepal government on account of defence purchases, a joint statement issued at the end of Nepalese Prime Minister Girija Prasad Koirala's four-day official visit said.

The statement said India will also offer a soft credit line of 100 million dollars for the execution of infrastructure development projects prioritised by the Nepalese government, grant exemption to all exports of Nepalese goods from four per cent additional customs duty and arrange immediate supply of 25,000 tonnes of fertilisers at subsidised prices.

It also agreed to double the number of scholarships for Nepalese students, including girls, accelerate the release of all funds under the Duty Refund Procedure Scheme, and asked the Indian Oil Corporation to work out with Nepal Oil Corporation the modalities for rescheduling the dues owed to it on account of oil supplies, a spokesman of the External Affairs Ministry said.

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