Nepal-China sign agreement for economic cooperation and investment promotion

Kathmandu, Aug. 15: Nepal and China Tuesday signed three agreements on enhancing economic and technical cooperation, promoting Chinese investment in Nepal, and on petroleum exploration.

The two countries signed the Agreement on Economic and Technical Cooperation, Framework Agreement on Promotion of Investment Economic Cooperation, and Letters of Exchange for Oil and Gas Resources Exploration in Nepal.

Chinese Vice-Minister of Commerce and Deputy China International Trade Representative Yu Jianhua and Finance Secretary Shanta Raj Subedi signed the agreements on behalf of China and Nepal respectively at the official meeting held in Kathmandu.  

Chinese Vice-Premier Wang Yang, Deputy Prime Minister and Minister for Federal Affairs and Local Development Bijaya Kumar Gachhadar and DPM and Minister for Foreign Affairs Krishna Bahadur Mahara were present on the occasion.

Gachhadar and Wang led the Nepali and Chinese delegations respectively.

The Ministry of Foreign Affairs (MoFA) said in a statement that both sides had substantive discussions on enhancing bilateral cooperation in trade, tourism, investment, infrastructure development, energy, cross-border connectivity and people-to-people relations.

According to sources, China was positive about opening the Tatopani border point.

“Both sides agreed to enhance the functions and facilitates at the Nepal-China border ports. In the context of the bilateral agreement signed today on utilisation of the reconstruction grant of the Chinese government in the restoration of the border bridges and Tatopani port, the Nepali side reiterated its request to the Chinese side for the early opening of the Tatopani-Zhangmu border port,” read the statement.

The two neighbours have also agreed on joint cooperation and collaboration in promoting Nepal’s tourism in China this year under ‘Nepal Tourism Promotion Year in China’ announced by the Chinese government.

Similarly, they have agreed to hold regular meetings of established bilateral mechanisms, including the Joint Economic and Trade Committee.

Both sides laid emphasis on the importance of exchanging high level visits for further strengthening the existing bilateral relations.

Wang announced the support of US$ 1 million in humanitarian assistance to Nepal which will be used for helping the flood-affected people.

DPM Gachhadar hosted a luncheon in honour of the visiting Vice-Premier and his delegation.

Wang had arrived in Kathmandu on Monday on a 4-day official visit at the invitation of the Government of Nepal.

He is scheduled to call on President Bidya Devi Bhandari and Prime Minister Sher Bahadur Deuba on Wednesday.

He will also meet senior leaders of the major political parties.

Wang will visit the National Ayurveda Research and Training Centre in Kirtipur. The centre was built with Chinese assistance.

He is scheduled to return to Beijing on August 17.