India to provide 8.5 bn for infrastructure in Nepal

Kathmandu, June 28: India today signed a Memorandum of Understanding with Nepal to provide Rs 8.5 billion for infrastructure development in the Terai region here.

The massive increase in the physical connectivity through this ambitious project is expected to have a catalytic impact on the overall socio-economic development of the region, according to the Indian embassy here.

India's cooperation in the development of Nepal's infrastructure, specially in transport, has included the building of roads, airfields as well as railways since 1951.

Some major roads built with Indian cooperation including the first road from Bhainse to Thankot, most of the section of Mahendra Rajmarg (East West Highway), which is the lifeline of Nepalese economy, Tribhuvan Raj Path, Karawa-Lumbini Road, Kathmandu-Trishuli Road, Balaju Road, Tripureshwor-Thankot Road, Dakshinkali Road, Janakpur Town Road and Sidhartha Rajmarg and airports in the Nepalese capital Biratnagar, Pokhara, Simra, Janakpur and Bhairawa.

India's economic cooperation programme in Nepal focuses on three key sectors -- health, education and infrastructure.

As many as 139 projects are currently at various stages of implementation in 61 districts of Nepal at a cost of Nepali Rupees 1800 crores, the release added.

India provided a package of NRs 1500 crores which was announced during the recent visit to the country by Nepalese Prime Minister Girija Prasad Koirala.

During the visit, Prime Minister Manmohan Singh said India was ready to help accelerate the economic recovery of Nepal, the release added.

UNI

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