India has offered Nepal an aid package following a meeting between the prime ministers of the two countries, BBC Online reports Thursday.
The visit to Delhi by Nepalese Prime Minister GP Koirala is his first abroad since he took office after protests led the king to end palace rule.
Analysts say the aid package, dubbed the “Himalayan Marshall Plan”, will be worth millions of dollars. Much of the aid money pledged by India will go towards infrastructure and development projects.
India is one of Nepal’s key military and economic donors. But it suspended military assistance when King Gyanendra assumed direct control last year.
By choosing India for his first visit after assuming power, Mr Koirala has sent a clear message that India continues to hold a special place in Nepals list of priorities. The visit extends beyond symbolism, because at a time of historic change in Nepal, Kathmandu is looking towards Delhi for all possible assistance.