Finland’s Ambassador to Nepal Jorma Suvanto signed the delegated agreement with the Ambassador of European Union to Nepal Veronica Cody for a grant of 20 million euros (equivalent to approx. NPR 2400 millions) to implement the Rural Village Water Resources Management Project, Phase III (RVWRMP III) in Far and Midwestern Regions in Nepal on 14 December. The total project cost is 60.2 million euros out of which Finland’s contribution is 15 million euros and Government of Nepal and user contribution is 25.2 Million euros.

Ministry of Federal Affairs and Local Development (MoFALD)/Department of Local Infrastructure Development and Agricultural Roads (DOLIDAR), Nepal, together with participating local authorities have been coordinating and implementing the project activities. The project started with the first phase in 2006 and the completion phase will continue until 2022.

  The project covers 10 districts in Provinces 6 and 7 and will provide the population access to water supply, energy and improve their food security, income opportunities and resilience to disasters and climate change.

 According to a press release issued by EU, the project resources will be allocated based on a holistic long term water resources management, utilization and protection plan that takes into consideration all the different water resources needs. In addition the project is working to support hygiene behavior as well as good governance at local level. The project will work closely with the elected local representatives.

The Delegation of the European Union (EU) to Nepal and the Government of Finland have been contributing to the rural development of Nepal since early 90’s. Supporting water, livelihood, food security, energy, disaster risk reduction and climate change is an important part of EU and Finland’s development policy. Clean safe drinking water supply and rural livelihood is vital for progress in all other development goals, including health, gender equality and economic growth. Finland and EU remain committed to supporting to the rural development including renewable energy, natural resources, conservation of the environment and climate change and assistance to ensure transparent and effective public finance management in Nepal also in the coming years.