Chinese ambassador to Nepal Wu Chuntai and Finance Secretary Suman Sharma inked the agreement under Economic and Technical Cooperation between the two countries at a function at the Finance Ministry.
Chinese Foreign Minister Wang Yi had pledged to increase the grant assistance to RMB 800 million from the current RMB 150 million during his official visit to Nepal in December last year.
According to a statement issued by the Finance Ministry the main objective of this grant assistance is to support Nepal’s economic development by implementing the mutually agreed development projects covering various sectors including infrastructure development.
“This cooperation will be utilized in the development programs as agreed by both countries,” the statement said. The project will be implemented in continuous basis from Fiscal year 2015/2016.
On the occasion, the Chinese ambassador said that China provided the grant assistance to Nepal as it attaches a great importance to its relationship with Nepal.
“China always wishes stability, peace and economic progress in Nepal,” Wu said.
“We are celebrating the 60th anniversary of China-Nepal diplomatic relationship establishment this year, I hope that this assistance will further enhance bilateral ties between the two countries,” he said.
Referring that Nepal became a founding member of the Asian Infrastructure and Investment Bank and also it became a part of Silko Road Economic Belt last year, the Chinese ambassador expressed hope that these two developments have boosted mutual cooperation between China and Nepal.
“With the joint efforts of Nepal and China on economic cooperation as well as cooperation on other areas, Nepal will be able to achieve sustainable economic growth, peace and stability,” Ambassador Wu said.
On the occasion, Finance Secretary Sharma thanked the Chinese government and the people for providing support in Nepal’s economic development. “This is the largest amount of support extended by the Chinese government to Nepal and this reflects the closest, friendly and cordial relations between the two countries,” Sharma said.