WASHINGTON – The World Bank’s Board of Executive Directors today approved a $150 million development policy credit to support Nepal’s resilient recovery from the COVID-19 pandemic, protect the most vulnerable, and support sustainable growth.
“Amid
the economic and social impacts of the pandemic, our priority is to provide immediate
relief to affected populations and support Nepal’s green, resilient, and
inclusive recovery,” stated Faris Hadad-Zervos, World Bank Country
Director for Maldives, Nepal, and Sri Lanka.
The Nepal
Programmatic Fiscal Policy for Growth, Recovery and Resilience will help
strengthen Nepal’s institutions and regulations, including its tax and customs system, debt
management, and public capital spending. It will also support the immediate
health response and help modernize
social protection programs, build access to capital and digital solutions for
the private sector, and lay a regulatory foundation for a green
recovery.
“This
development policy credit supports the government of Nepal’s efforts to address the social and economic impacts of COVID-19 and overcome structural
constraints to a resilient economic recovery,” stated Kene Ezemenari, Senior Economist and the
World Bank’s Task Team Leader for the program.
The World Bank, one of the largest sources of
funding and knowledge for developing countries, is taking broad, fast
action to help developing countries respond to the health, social
and economic impacts of COVID-19. This includes $12
billion to help low- and middle-income countries purchase and
distribute COVID-19 vaccines, tests, and treatments, and strengthen vaccination
systems. The financing builds on
the broader World Bank
Group COVID-19 response, which is helping more than 100 countries
strengthen health systems, support the poorest households, and create
supportive conditions to maintain livelihoods and jobs for those hit hardest.
