The United States provided Nepal with assistance worth $160 million (Rs 16 billion) in 2016 to improve health, education, environment, agriculture, earthquake reconstruction and governance.

According to the US Embassy in Kathmandu, approximately $133 million of these funds are managed by several US departments and agencies operating in Nepal, including the US Agency for International Development (USAID), the Millennium Challenge Corporation (MCC).

In addition, $27 million was provided through the US Department of Defense to enhance Nepal’s disaster response and strengthen its ability to participate in United Nations Peacekeeping Operations globally, the embassy said in a statement. The US provided $41 million in support of Nepal’s high priority earthquake reconstruction activities.

“This amount is above and beyond the $130 million in immediate post-earthquake assistance pledged and provided in 2015 for relief, recovery, reconstruction and preparedness efforts,” the statement added. “This assistance will help to rebuild schools and hospitals and provide training and technical assistance for construction professionals and homeowners on earthquake-resistant homes.”

The funding will also be used to improve water supply, sanitation, and hygiene conditions in the most earthquake-affected districts, said the statement. In addition, the US through the Department of Defense, extended $18 million to Nepal in 2016 to provide fixed-wing aircraft to the Nepal Army to assist with disaster response efforts.

Similarly, the US government’s MCC provided $10 million in July 2016 to evaluate projects for funding in the electricity transmission and road transport sectors. The final size of a next phase, multi-year assistance “Compact” between the MCC and the 

government of Nepal, will be decided later this year, it stated. 

Ninety-five percent of US assistance in Nepal is awarded to international and local organisations through competitive processes and is regularly subject to financial and performance audits, read the statement. 

“The  MCC procurements are done through international competitive bidding with no preference to local or US firms.”

This year marks the 70th anniversary of the bilateral relationship between the US and Nepal with events and programmes planned throughout the next 12 months in partnership with the Government of Nepal, civil society, and the private sector.