Kathmandu. KATHMANDU: The Government of Nepal and the Federal Republic of Germany today signed two important agreements on financial assistance and technical assistance.

Joint Secretary at the Ministry Dhaniram Sharma and German Ambassador to Nepal Udo Volz signed the agreement on behalf of their respective governments. The MoUs aim to support Nepal’s priorities of energy, health, agriculture, governance and inclusive development.

Under the financial cooperation agreement, the German government has committed up to 20 million euros to support the Power Distribution Strengthening Program. The project will focus on upgrading and strengthening the electronic data system of Nepal.

The project will be implemented by Nepal Electricity Authority (NEA) and an agreement will be signed between Nepal Electricity Authority (NEA) and German Development Bank. The agreement should be completed within five years i.e. by September 5, 2029.

The agreement on technical cooperation is based on the long-term framework agreement signed in 1974 and revised in 2009. Under this, Germany will provide assistance in various areas, with an estimated commitment of up to 21 million euros.

In the health sector, the project will support to further upgrade the quality infrastructure in the health system, providing ongoing support for national gender equality and social inclusion strategies.

The project also aims to support programs promoting agriculture and private sector development, inclusive and climate-resilient economic development. The project will provide advisory and technical support through further studies and expert funds. The technical assistance agreement will be completed within five years i.e. by September 5, 2029.

On the occasion, Joint Secretary Sharma expressed gratitude to Germany for its continuous support. “This new commitment is made in the energy sector, sustainable economic development and health sectors of the country,” said Ambassador Volz.