Kathmandu. KATHMANDU: The Asian Development Bank (ADB) has approved policy-based loan equivalent to USD 50 million to support Nepal’s customs administration, trade promotion and job creation.

The loan was provided under the second sub-program of the South Asia Subregional Economic Cooperation (SASEC) Customs and Logistics Improvement Programme. This will build on the efforts already made to improve customs procedures and develop the logistics sector of the country.

The program will modernize the customs system through the use of digital technology, risk-based inspection and simplified procedures. In addition, the logistics sector will be strengthened through better infrastructure planning, regulatory structure and coordination. These reforms are expected to reduce trade costs, make cross-border trade more predictable, enhance supply chain efficiency and facilitate easier movement of goods and strengthen integration with regional value chains.

“Efficient customs and logistics systems are critical to Nepal’s economic transformation and integration with regional markets,” said Arnaud Kouchois, ADB Country Director for Nepal. “By making cross-border trade faster, predictable and cost-effective, the programme will strengthen business environment, enhance competitiveness, attract investment and create quality jobs.” ’