September 16, 2005
 The Government of Japan approves utilization of Counterpart Fund of Non-Project Grant
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The Government of Japan has, based on the request made by His Majesty's Government of Nepal, recently approved the utilization of the Counterpart Fund for five hundred million, four hundred and thirty one thousand Nepalese Rupees (NRs. 500,431,000) under the Non-Project Grant Aid in Japan's Fiscal Year (JFY) 2002 for implementing the following nine projects.
In the Education Sector, the Government of Japan has approved the project for a Dalit Scholarship for Primary School Children amounting to NRs.105,000,000. This project will be implemented by the District Education Offices under the Department of Education to provide scholarships for about 210,000 Dalit children, which is 36% of the total Dalit children in 38 disadvantaged districts, thus contributing to increasing the enrollment in primary schools towards achieving the goal of the "Education for All".
In the Drinking Water Sector, a water supply project consisting of nine different sites in three districts (Sarlahi, Nawarparasi, and Rupandehi), amounting to NRs. 38,300,000 has been approved. The Project will be implemented by the Department of Water Supply and Sewerage (DWSS), Ministry of Physical Planning and Works, in order to provide basic water supply services to approximately 140,000 local people in the target area. This project will thus contribute to reducing water borne diseases, improving hygiene and sanitary condition, and decreasing the time women and children spend fetching water.
In the Water Induced Disaster Management Sector, the Government of Japan has approved two projects, amounting to NRs. 134,845,000 for the rehabilitation of the Muguling-Narayanghat Highway and Sindhuli Road (Bardibas-Sindhulimadi Section) affected by landslides, debris flows and floods. Taking into consideration the negative impact on transportation, communication and the economy of the country, there is an urgent need for the rehabilitation of these roads with significant collaboration among the concerned agencies of His Majesty's Government of Nepal taking measures for the prevention of large-scale water induced disasters. The Department of Water Induced Disaster Prevention (DWIDP), Ministry of Water Resources, will implement these projects in close collaboration with the Department of Roads (DOR), Ministry of Physical Planning and Works, mitigating disasters along the roads resulting in smooth vehicular movement.
In the Transport Sector including Local Infrastructure Development, the Government of Japan has approved four projects, amounting to NRs.162,286,000. Two projects will be implemented by the DOR in order to upgrade and maintain major roads including the Sindhuli Road (Bardibas - Sindhulimadi Section). The Department of Rural Infrastructure Development and Agriculture Road (DOLIDAR), Ministry of Local Development and District Development Committees (DDCs) will implement the other two projects for the construction of six bridges in six districts, and the maintenance and rehabilitation of 155 suspension bridges on the trails in 52 districts, contributing to improving accessibility in rural areas.
In the Power Sector, the Dhankuta Rural Electrification Project, amounting to NRs. 60,000,000 has been approved. Nepal Electricity Authority (NEA) will implement this Project in order to distribute power to about 30,000 local people of 4,840 households in five Village Development Committees (VDCs). The Project will contribute to promoting rural economy such as tourism and local industries, as well as achieving an increase in electric coverage from 40% to 55% among the total population.
As of JFY 2004, during the period of continuous three fiscal years, the Government of Japan has extended a total amount of Yen 3.3 billion to His Majesty's Government of Nepal under the Non Project Grant Aid Assistance. This has been given as foreign currency support to mitigate economic difficulties, including indebtedness.
Considering the aspirations of the people of Nepal, the Government of Japan has been responding to Nepal's requests to address social inequalities and to achieve sustainable socio-economic development for poverty alleviation, which will ultimately facilitate peace building and human security. The Government of Japan hopes that Nepal will recover peace and stability as soon as possible on the basis of multiparty democracy and constitutional monarchy.
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