SATV, Kathmandu, July 25: The government of Nepal and the Republic of Korea on Friday signed two Memorandums of Understanding (MoUs) worth USD 11.8 million in grant assistance to strengthen agricultural value chains and improve public access to legal information services.
Ghanshyam Upadhyaya, Secretary of the Ministry of Finance, government of Nepal and Taeyoung Park, Ambassador of the Republic of Korea to Nepal, have signed the MoU amidst a function at the Ministry of Finance.
The two projects, to be implemented through Korea International Cooperation Agency (KOICA) and relevant partner institutions, will support agricultural value chain development and improved public access to legal information in Nepal. The government of the Republic of Korea, through KOICA and agricultural innovation bodies, has significantly prioritised agricultural development, food security, and value chain enhancement in Nepal.
The larger initiative, titled 'Value Chain Development for Fruits and Vegetables Project, Phase II in Nepal,' has been allocated USD 10 million in grant assistance for implementation between 2025 and 2031. The project aims to support agricultural value chain development and sustainably increase the incomes of smallholder farmers in six districts of Lumbini Province, including Banke, Dang, Kapilvastu, Rupandehi, Palpa and Gulmi.
The initiative will be implemented by KOICA in partnership with the Ministry of Agriculture, Forests and Environment, the provincial ministry, and the Directorate of Agriculture Development. Phase II aims to boost smallholder farmers' incomes by improving support systems, introducing market demand-based production strategies, and disseminating field-applicable post-harvest technologies.
Alongside, the 'Project for Establishing Nepal Law Information Pilot System' will receive USD 1.8 million in grant assistance to establish a centralised and user-friendly digital platform for managing and accessing Nepal's legislative records.
Implemented in partnership with the Ministry of Law, Justice and Parliamentary Affairs, the Ministry of Government Legislation of the Republic of Korea, and the Korea Law Information Service, the project will support business process improvements, database development, essential IT infrastructure, and capacity building to enable sustainable system operation by Nepali authorities. Speaking at the signing ceremony, Finance Secretary Upadhyaya expressed appreciation for South Korea’s continued development assistance in Nepal.
He said that Korea’s development cooperation has always been supportive and relevant in achieving Nepal’s national development initiatives.
Ambassador Park said that both of these projects represent a comprehensive transfer of Korean expertise.
Through KOICA, Korea will be dispatching highly qualified Korean experts to collaborate side-by-side with their Nepali counterparts.
The government of Korea has long championed this approach through targeted capacity-building initiatives by inviting senior officials and working-level practitioners. Korea has transitioned from a recipient of foreign aid into a top-tier economic and global development leader.
These two projects reflect the enduring partnership between Korea and Nepal and shared commitment to Nepal’s sustainable development.
He expressed confidence that the friendship and cooperation between the two countries would continue to deepen and expand in the years ahead with newly formed administrations and leadership in Nepal. KOICA Country Director Mooheon Kong said that the second phase of the fruit and vegetable value chain project would build upon the existing partnership in Lumbini Province and contribute to sustainable income growth for smallholder farmers.
He said that the Nepal Law Information Pilot System would improve public access to legal information and strengthen the institutional foundation for digital legal services.
Since 1991, the government of the Republic of Korea, through KOICA, has been a key development partner of Nepal, supporting various sectors such as health, education, agriculture, vocational training, rural development, and digital transformation.
KOICA has provided approximately USD 235 million in assistance to Nepal to date. KOICA continues to work with government officials, civil society, academia, the private sector, and development partners to support Nepal’s sustainable development priorities.
