Kathmandu, March 11 (IANS): Indian Ambassador to Nepal Ranjit Rae inaugurated the newly- constructed college block of B.P. Koirala Institute of Health Sciences (BPKIHS) at Dharan in eastern Nepal Tuesday.

Constructed with Indian assistance of Nepali Rs.109.7 million (over $1.1 million), it is the biggest hospital-cum-medical college outside the Kathmandu Valley. The hospital provides medical care to patients of not only eastern Nepal but also to those from all over Nepal and some parts of India too.

The new college block will provide additional infrastructure to BPKIHS to meet the increased demand for MBBS and postgraduate seats, said a statement issued by the Indian embassy.

The Indian government is also providing Nepali Rs.16 million per annum to BPKIHS for five years towards hiring Indian faculty from reputed institutes for introducing super- specialty courses and or any other programme specifically for promoting ties and exchanges with India.

The institute is awarding MBBS and postgraduate degrees in medical sciences thereby helping make Nepal self-reliant in the health sector.

Speaking on the occasion, Ambassador Rae reiterated India's commitment to extend all possible assistance to the people of Nepal in their endeavour for peace, development and prosperity.

He underlined the importance of educational and health infrastructure at the grassroots level for Nepal's overall development and expressed the hope that the new college block constructed with Indian assistance would be able to make a contribution in that direction.

The India-Nepal Economic Programme has an outlay of over Nepali Rs.65 billion with more than 475 large and small development projects completed or currently being implemented in almost all the districts of Nepal. These development projects, mainly in the sectors of education, health and infrastructure development, have been undertaken in response to local needs, and in partnership with the Nepal government.