KATHMANDU: The World Bank (WB) has decided to provide US$ 48.31 million to Nepal under the additional financing for the Social Safety Nets Project. The assistance is the continuation of the 2008-2010 project, which ends in September.

According to the Ministry of Local Development (MoLD), WB has decided to provide US$ 25.21 million as loan and US$ 23.1 million as grants. “The fund will be used for 30 months,” said MoLD spokesperson Dinesh Kumar Thapaliya. “We had technical discussion with WB today. We have also finalised implementing modality,” Thapaliya said.

A steering committee including representatives from the National Planning Commission, MoLD, Ministry of Agriculture, Ministry of Finance, Ministry of Health and Ministry of Supplies will be formed to devise policies and review them. The committee will also plan, implement and monitor the programmes and activities. “A coordination committee headed by the joint secretary at MoLD will be formed to manage the flow of funds, audit and carry out monitoring. It will work in coordination with the steering committee,” said Thapaliya.

The programmes will be integrated with the District Development Committees to maintain transparency to check irregularities.

In view of the controversy that flared up last year over the reports that World Food Programme distributed rotten food in the rural areas, the government has also decided to adopt a transparent policy in food distribution and check food quality in a regular basis.

Food distribution will be in priority in 21 districts, which are suffering from acute food crisis. Five other such districts will be given second priority.

Thapaliya said that a pilot project on social security project encompassing allowances for widows and elderly in 10 districts will be launched.

According to MoLD, the grants would be spent on social security, agriculture and infrastructure development. “We will focus on capacity building for distributing social security funds, promoting local productions, agriculture including fertilisers, seeds and support for transportation in the districts hit by food crisis and developing roads, irrigation and drinking water projects there,” he said.

“After finalising the details, we will take the issue up with the higher level including the Ministry of Law,” said Dhan Bahadur Shrestha, under-secretary at MoLD. “An agreement will be signed soon.”