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Summary:
The U.S. has resumed funding two major infrastructure projects in Nepal, which were previously put on hold after former President Trump suspended foreign development aid. The Millennium Challenge Corporation (MCC) had agreed in 2017 to provide $500 million for a power transmission line and road improvements in Nepal. After a U.S. government review, funding for these projects has been recommended to continue. The transmission line aims to boost power trade between Nepal and India, supporting regional energy security and improving Nepal's road network. Other U.S.-funded projects in fields like education and health remain stalled. The MCC grant had sparked protests in Nepal over sovereignty concerns, but the projects were approved by parliament in 2022.

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this post was submitted on 28 Jul 2025
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