The US embassy in Kathmandu said on Sunday that the decision by Nepal Parliament to follow through on its signed commitment and ratify the Millennium Challenge Corporation-Nepal Compact will mean more jobs for the Nepali people, a reliable supply of electricity, and lower transportation costs.

After years of lingering and months of politicking over the American grant, the ruling alliance of Nepali Congress, CPN (Maoist Centre) and CPN (Unified Socialist) finally endorsed the MCC compact from the lower house of Parliament on Sunday.

“The decision whether to ratify the $500 million-dollar Millennium Challenge Corporation (MCC) Nepal Compact has always rested with the Government of Nepal as a sovereign democratic nation,” the US embassy in Kathmandu said in a statement.

“The Nepali government will now be able to continue to work towards implementing the five-year program.”

The statement said MCC compacts have helped many countries alleviate poverty in the nearly 20 years since the inception of the MCC. It said the MCC has been partnering with developing countries that are committed to economic freedom, investing in their citizens, and good governance, including promoting democratic principles and combating corruption.

“The Government of Nepal signed the MCC agreement in 2017 after determining its goals to modernise Nepal’s energy and transportation sectors with the hope of helping more than 23 million Nepalis,” it said.

The US has also expressed its commitment to continuing supporting Nepal and its democratic values and long-term economic prosperity.

This year marks the 75th year of diplomatic relations between Nepal and the United States.