The Government of the Federal Republic of Germany has agreed to provide a grant assistance of Euro 16.1 million (approximately Rs. 1 Arba 38 crore 51 lakh) to His Majesty's Government of Nepal.

Among the grant assistance of Euro 16.1 million, Euro 12.6 million is an additional assistance to meet the financing gap for the Middle Marsyangdi Hydroelectric Project, 3.0 million for carrying out Basic Health Programme and 0.5 million for the Neighborhood Support Programme.

Agreement to this effect was signed at the Ministry of Finance today by Mr. Bhanu Prasad Acharya, Secretary, Ministry of Finance on behalf of His Majesty's Government of Nepal, and His Excellency Ambassador Mr. Franz Erwin Ring, on behalf of the Government of the Federal Republic of Germany.

His Majesty's Government of Nepal has expressed its sincere appreciation and thanks to the Government of the Federal Republic of Germany for their understanding and continued cooperation in the Socio-economic Development of Nepal.