Himal Press 
KATHMANDU: The Millennium Challenge Account-Nepal (MCA-Nepal) has welcomed the decision of the United States Government allowing the continued implementation of the MCC Nepal Compact under the previously approved specific exception to the pause on US foreign assistance.
“MCA-Nepal is working closely with the Millennium Challenge Corporation (MCC) to implement Compact activities, which include completing the pending procurements, including the 297 km transmission line construction works and road maintenance works, among others,” MCA Nepal said in a statement on Thursday. ” MCA-Nepal is also continuing with the implementation of three substations and an 18 km cross-border transmission line works that were already in progress prior to the foreign aid review.”
The $500 million MCC Compact, signed in 2017 and operational since mid-2023, is one of the largest US grant investments in Nepal’s infrastructure sector. It aims to strengthen Nepal’s energy and transport sectors, reduce electricity losses and boost cross-border power trade.
MCA-Nepal welcomed the U.S. decision and reaffirmed its commitment to timely and effective delivery of the compact’s projects in partnership with MCC.
“MCA-Nepal remains committed to delivering these high-impact infrastructure projects to enhance Nepal’s energy and transportation sectors and appreciates MCC’s continued partnership on this compact,” it added in the statement.
