Restructuring                                                                      Status: Draft
Restructuring Type:
Last modified on date : 12/12/2011

1. Basic Information
Project ID & Name                          P071291: NP: Fincl Sector Technical Assistance
Country                                    Nepal
Task Team Leader                           Sabin Raj Shrestha
Sector Manager/Director
Country Director
Original Board Approval Date               12/19/2002
Original Closing Date:                     06/30/2007
Current Closing Date                       12/31/2011
Proposed Closing Date [if applicable]
EA Category                                C-Not Required
Revised EA Category
EA Completion Date
Revised EA Completion Date


2. Revised Financing Plan (US$m)
Source                                                   Original                 Revised
BORR                                                           4.10                      3.18
DFID                                                          10.00                      7.33
IDA                                                           16.00                     10.28
Total                                                         30.10                     20.79


3. Borrower
          Organization                     Department                         Location


4. Implementing Agency
           Organization                    Department                        Location


5. Disbursement Estimates (US$m)
Actual amount disbursed as of 12/13/2011                                                    9.54
         Fiscal Year                            Annual                       Cumulative
2011                                                     0.00                               9.54
                                                     Total                                  9.54




                                           ii
6. Policy Exceptions and Safeguard Policies
Does the restructured project require any exceptions to Bank policies?                                 N


Does the restructured projects trigger any new safeguard policies? If yes, please select               N
from the checklist below and update ISDS accordingly before submitting the package.




7a. Project Development Objectives/Outcomes
Original/Current Project Development Objectives/Outcomes
The overarching objective of the Reform Program in the Financial Sector is to support the renewed efforts
of His Majesty's Government of Nepal (HMGN) to improve the sector in order to bring macroeconomic
stability and promote private-sector-led economic growth. Specifically, the Project focuses on :       (a)
helping to restructure and re-engineer the Central Bank (Nepal Rastra Bank - NRB), so that it can
effectively perform its key central banking functions;     (b) commencing commercial banking reform in
the two large ailing commercial banks that dominate the sector (Rastriya Banijya Bank (RBB) and Nepal
Bank Limited (NBL)) -- by introducing stronger bank management that protects the financial integrity of
the two banks and would take on a conservator role to prepare the banks for the next steps of restructuring;
and     (c) supporting a better environment for financial sector reform in areas such as enhanced credit
information, better financial news reporting, and better training for staff in financial institutions.



7b. Revised Project Development Objectives/Outcomes [if applicable]




                                                iii