India Announces INR 8 Billion Grant for Nepal in FY 2026/27
The Government of India has announced a grant of INR 8 billion (approximately NPR 12.8 billion) for Nepal for the upcoming fiscal year 2026/27. The allocation was formally included in India’s Union Budget 2026–27, presented by Finance Minister Nirmala Sitharaman in the federal parliament on Sunday.
The grant amount is higher than what was proposed in the previous year’s budget. India had provided Nepal with a grant of INR 7 billion in the fiscal year 2024–25, while the grant stood at INR 6.57 billion in the fiscal year 2023–24. The assistance has been extended under India’s “Neighbourhood First” policy.
The grant is expected to further strengthen long-term cooperation between the two countries, particularly in Nepal’s development efforts, including infrastructure, health, education, and emergency relief sectors.
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