Manila, June 29: The Manila-based Asian Development Bank (ADB) on Thursday said it has approved a $50 million loan to help Nepal improve its domestic and international trade. In the fiscal year 2022, the ADB said trade and industry contributed 14.1 per cent to Nepal's gross domestic product (GDP), reports Xinhua news agency.

The Manila-based lender said the Nepal government is pushing to increase the contribution of trade to GDP by improving the trade and export promotion environment and strengthening the supply chain of primary products. Essential to this is the improvement of customs and logistics systems and services such as efficient transport, transit arrangements, and border procedures. Nepal Govt Bans Import of Luxurious Items Until Mid-July 2022 as Economic Crisis Deepens.

According to the ADB, the program will help implement the current Customs Reform and Modernization Plan by improving customs processes through introducing digital technologies, such as electronic payments of customs duties and fees and electronic submission of export documents. It will establish an online customs valuation database and reduce export documentation to facilitate customs clearance.

The program will also expand Nepal's trade facilitation efforts to the logistics sector to promote more efficient movement of goods among producers, distributors, sellers, and buyers. Activities supported include the integration of logistics infrastructure to facilitate multimodal transport and last-mile connectivity and the establishment of a one-stop logistics information portal. World News | Nepal Aims for Economic Growth, Stability Through Combination of Fiscal and Monetary Policies.

"The development of the trade and industry sector will boost competitiveness and help steer the country toward sustainable economic growth," said ADB South Asia Department's Director of Regional Cooperation and Operations Coordination Thiam Hee Ng, adding that improved trade facilitation can boost exports and help address Nepal's balance of payment.

(The above story first appeared on LatestLY on Jun 29, 2023 03:59 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).