US offers Rs 1.1 billion for Nepal’s peace process

September 21, 2006
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The United States has pledged up to US$ 15 million (Rs 1.1 billion) in small grants and short-term technical assistance to Nepal to support the ongoing peace process.

The assistance will be delivered over the next two years through the USAID’s Office of Transition Initiatives (OTI), a press statement released by the US Embassy in Kathmandu said Thursday.

The Nepal government and the USAID, the official US assistance arm, had signed a Memorandum of Understanding on September 15, authorising the assistance.

“This new assistance program responds to Nepal’s current political situation and the opportunity it presents to foster a positive transition in the country. USAID/OTI plans to initiate a fast, flexible program to bolster the peace process, strengthen governance mechanisms, and support positive, non-violent community engagement in Nepal’s political, social and economic future,” the release said, adding that these activities would augment existing programs by USAID/Nepal, part of the US Mission to Nepal, to energise and strengthen peace and democracy.

According to the US Embassy, the objective of the assistance are increasing access to information and diversify public debate on issues critical to the peace process and democratic norms and increasing engagement among government, civil society, and communities to support government responsiveness to its diverse constituents.

This is the biggest single assistance pledged by the US government to Nepal in recent times.