EU provides 50m euros

The European Union (EU) has provided Nepal government with about Rs six billion (50 million euros) as first tranche of the Nepal-EU Action for Recovery and Reconstruction (NEARR) budget support programme. This delivers on the pledge made by EU Commissioner Neven Mimica in June 2015 during his visit to the country for International Conference on Nepal’s Reconstruction to substantially support start-up phase of recovery, as per a media release issued by Delegation of the EU to Nepal today. As reconstruction efforts are now being rolled out, scaled up funding is needed to accelerate the momentum to rebuild. The amount is an important contribution through the treasury during start-up phase of Post Disaster Recovery Framework (PDRF). In a second phase, later in the year, the EU is committed to inject  another Rs six billion, provided important progress is made in accelerating reconstruction through PDRF implementation, including transfer of the first tranche of the housing grant to at least 200,000 households, the release says. ‘’All stakeholders now need to rigorously focus determination, skills and energy on implementing PDRF to rebuild houses, schools and other infrastructure. This is the moment to create more resilient, inclusive and prosperous communities in an accountable, transparent and sensitive way, and to inject more dynamism into the economy,” the release has quoted EU Ambassador Rensje Teerink as saying on the occasion. The NEARR action is based on an agreement with the government signed in April 2016 and constitutes the EU’s main response to the rehabilitation and reconstruction needs. NEARR combines Rs 12 billion (100 million euros) budget support with Rs 600 million (five million euros) complementary measures. The budget support helps the government with resources to ease the fiscal pressure caused by the earthquakes. To measure progress, the EU and Nepal government have agreed on a set of indicators to be achieved for the disbursement of the second tranche of Rs six billion. “We will closely monitor the progress achieved prior to disbursing our future contribution,’’ Ambassador Teerink further said, as per the release. Source: The Himalayan Times