Offering due attention to the country\u2019s energy potential, the World Bank approved its first-ever loan-based support worth USD 100 million to Nepal energy sector.<\/p>\n
The grant under the Nepal Energy Sector Development Policy Credit program intends to support the country\u2019s energy sector in effective implementation of related regulatory, policies and institutional measures. <\/p>\n
The fund is going to play a key role in strengthening financial viability of the Nepal Electricity Authority (NEA) through the establishment of a regulatory framework that eases electricity trade and restructures NEA encouraging the private sector participation.<\/p>\n
\u201cThe proposed credit aims to support the restructuring and market reform of the electricity sector to improve governance and performance of electricity institutions, eventually enhancing quality and efficiency in services,\u201d World Bank Country Manager for Nepal Faris Hadad-Zervos<\/span> said in a statement.<\/p><\/blockquote>\n
The World Bank\u2019s move gains significance in view of the fact that Nepal<\/a> is heavily dependent on electricity imports despite its high hydropower potential, to address the power shortage domestically.<\/p>\n