ADB approves $250 million support for Nepal's COVID-19 response

The Asian Development Bank (ADB) approved a $250 million concessional loan to help the Government of Nepal fund its response to the novel coronavirus disease (COVID-19) pandemic, which includes measures to strengthen the country’s public health systems and mitigate the adverse economic and social impacts of the pandemic, particularly on the poor.

“ADB is strongly committed to supporting Nepal at this crucial time. This concessional loan will enable the government to continue its containment measures, extend its social protection program for the poor and vulnerable, and set the stage for an early economic recovery,” said ADB President Masatsugu Asakawa. “The COVID-19 pandemic continues to be a serious public health issue and will significantly impact Nepal’s overall social and economic development. ADB will work closely with the government and other development partners to help ensure a coordinated and effective response.”

ADB’s financing will also support the government in extending its social protection program to include distribution of food assistance to the poorest and vulnerable households, provision of employment support to the unemployed poor, especially women, and returning migrant workers. Subsidized lending will be extended to affected micro, small, and medium-sized enterprises, of which at least 30% are women-led, with at least half of them from disadvantaged groups.

ADB has already provided Nepal a $300,000 grant to procure medical supplies, in close collaboration with UNICEF. This grant has funded urgently needed and critical personal protective equipment to enable medical personnel to safely treat infected patients. ADB is working closely with the government and development partners to provide policy advice and develop measures to deal with the social and economic impacts of the pandemic.

Original source: ADB
Published on 26 May 2020