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October 16: The European Union (EU) has provided the Government of Nepal with a grant of 40 million euros (NRs 4.8 billion) for reconstruction.
Issuing a press statement on Monday, the EU said this is the second tranche of the 105 million euro support for Nepal-EU Action for Recovery and Reconstruction (NEARR) programme and follows an earlier disbursement of 50 million euros made in July 2016.
The statement said that the grant was released against a set of performance indicators and provides the means to accelerate reconstruction efforts.
“Budget support uses country owned-mechanisms to give money directly; it reduces transaction costs, strengthens government systems and fosters self-reliance,” reads the statement.
The EU also congratulated the Nepali authorities and all stakeholders involved for the progress made so far in advancing reconstruction under the coordinating role of the National Reconstruction Authority (NRA).
“It is important that the current momentum be maintained and indeed increased in the time ahead so as to "build back better" for the benefit of the Nepali people including the most vulnerable," said EU Ambassador designate Veronica Cody.
The EU expressed its belief that the decentralization under way in Nepal will provide opportunities to involve the newly elected local governments in accelerating reconstruction.
“Since the education sector was the public sector most severely affected by the earthquakes it is vital that specific attention is paid to rebuild safer schools as quickly as possible,” the statement said.
The EU said it will remain engaged to contribute to these tasks through measures which are complementary to the NEARR programme – notably the NEARR Technical Assistance Facility and the accountability initiative with Transparency International Nepal – as well as through the ongoing policy dialogue and a new budget support programme in the education sector.
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