19-Dec-2022: Bilateral Mechanism for Flood Mitigation with Nepal

Several trans-boundary tributaries of Ganga basin system like Sarda, Ghaghra, Rapti, Gandak, Burhi Gandak, Bagmati, Kamla, Kosi, etc. originate from Nepal. India has been consistently cooperating with Nepal for deriving mutual benefits like drinking water, power, irrigation, flood control from these rivers through various bilateral agreement and treaties. The related issues are discussed in the existing India-Nepal bilateral three tier mechanism comprising of (i) Joint Ministerial Level Commission on Water Resources (JMCWR), (ii) Joint Committee on Water Resources (JCWR) and (iii) Joint Standing Technical Committee (JSTC).

Currently, the Flood Forecasting & Early Warning System on rivers flowing from Nepal to India is in place. Government of India is having regular dialogue with the Government of Nepal at various levels to mitigate floods caused by rivers coming from Nepal.

As a non-structural measure of flood management, flood forecasts are formulated and issued for rivers common to Nepal and India, namely Sharda, Ghaghra, Rapti, Gandak, Burhi-Gandak, Bagmati, Kamala, Kosi and Mahananda using meteorological and hydro-meteorological data available through the website of Department of Hydrology & Meteorology, Government of Nepal. These data are updated on hourly basis during monsoon season and are utilised directly in the 24 hour flood forecasts being formulated by Divisional Flood Control Rooms of Central Water Commission in Lucknow and Patna.

Government of India has been regularly interacting with the Government of Nepal for construction of dams on these rivers for mutual benefit of the two countries which includes flood control. Pancheshwar Development Authority (PDA) has been set up jointly by India and Nepal for execution, operation and maintenance of the Pancheshwar Multi-purpose Project on river Sharda. Survey and investigation work, including preparation of DPRs, of Sapta Kosi High Dam Project and Sun Kosi Storage-cum- Diversion scheme in the Sapta Kosi basin in Nepal has been undertaken jointly by India and Nepal.

31-Aug-2022: Cabinet approves signing of an MoU between India and Nepal in the field of biodiversity conservation

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has approved the proposal of the Ministry of Environment, Forest and Climate Change for signing an MoU with the Government of Nepal on biodiversity conservation, with a view to strengthen and enhance the coordination and cooperation in the field of forests, wildlife, environment, biodiversity conservation and climate change, including restoration of corridors and interlinking areas and share knowledge and best practices, between the two countries.

The MoU would help in promoting cooperation between the Parties in the field of forests, wildlife, environment, biodiversity conservation and climate change, including restoration of corridors and interlinking areas and sharing knowledge and best practices.

21-Jun-2022: 12th Joint Working Group (JWG) on Border Management between India and Nepal held on 15-16 June in New Delhi

The 12th India-Nepal Joint Working Group (JWG), which discusses several issues related to Border Management and security matters, was held in New Delhi on 15-16 June. The Indian Delegation was led by Joint Secretary (Border Management) in the Ministry of Home Affairs and the Nepali side was led by the Joint Secretary, Ministry of Home Affairs, Nepal, during the two-day talks.

The two sides reviewed the decisions taken in the last JWG  held on February 10 -11, 2015 in Pokhara, Nepal. They also deliberated on issues related to trans-border criminal activities, strengthening of border infrastructure, empowerment and capacity building of various security related institutions, preventing/curbing terrorist and criminal activities amongst others. The Joint Working Group reviewed the Border District Coordination Committee (BDCC) meetings held earlier and also the progress made on the signing of the Mutual Legal Assistance Treaty, Extradition Treaty and other outstanding MoUs to be signed between the two sides.

The Nepalese delegation extended an invitation to the Indian delegation for the next JWG to be held in Nepal next year.

8-Jun-2022: India and Nepal agree to finalize soon the new MoU for agricultural cooperation

The visiting Minister of Agriculture and Livestock Development of Nepal, Shri Mahendra Rai Yadav, held a meeting with the Union Minister of Agriculture and Farmers Welfare, Shri Narendra Singh Tomar here today. During the meeting, Shri Tomar assured all possible cooperation from India's side to Nepal. Also, the two countries agreed to expeditiously finalize a new Memorandum of Understanding (MoU) for agricultural cooperation so that rapid progress can be made on various bilateral agricultural issues.

Welcoming the Nepalese delegation to the bilateral meeting, Shri Tomar said that India and Nepal enjoy close and friendly relations, which are clearly manifested in the age-old historical and cultural ties, open borders and close people-to-people contacts. Shri Tomar spoke of strengthening cooperation with Nepal in all fields including agriculture and informed that India has made great progress in the field of research and development in agriculture and allied sectors. Shri Tomar said that Nepal can learn from the Indian agricultural system, whenever required.

The Nepalese Minister thanked Shri Tomar and reiterated the cordial and friendly relations between the two countries. He requested the Agriculture Minister Shri Tomar to extend cooperation in the field of agriculture technology, Murrah buffalo breed, resolution of quarantine issues at border points and supply of animal vaccines etc. Shri Tomar assured the Nepal delegation of early resolution of the issues raised by them. Complimenting the Nepalese Minister and other delegates for visiting India, Shri Tomar solicited Nepal's support for India's candidature of the Presidency of the International Fund for Agricultural Development (IFAD).

16-May-2022: List of MoUs/Agreements signed and exchanged during Prime Minister's visit to Lumbini, Nepal

31-Mar-2022: Agreement To build bridges

Government of India has been taking up issues related to India-Nepal cooperation in the water resources with Government of Nepal through bilateral mechanisms which include the Joint Committee on Kosi and Gandak Projects (JCKGP), Joint Committee on Inundation and Flood Management (JCIFM) and the Joint Committee on Water Resources (JCWR).

Major outcomes in the field of bilateral water cooperation are -

A "Treaty concerning the Integrated Development of the Mahakali River, including Sarada Barrage, Tanakpur Barrage and Pancheshwar Project" was signed in February 1996. Under this Treaty, India and Nepal have agreed to implement the Pancheshwar Multi-purpose Project as an integrated project.

A Joint Project Office (JPO-SKSKI) was constituted in 2004 with the mandate to prepare the Detailed Project Report (DPR) for Saptakoshi High Dam Multipurpose Project and Sunkoshi Storage-cum-Diversion Scheme in Nepal.

An India-Nepal Agreement on Kosi Project was signed in 1954 and amended in 1966, for building, operation and maintenance of Kosi barrage and associated structures. Further both countries signed an agreement on Gandak Project in 1959 and amended in 1964, for building, operation and maintenance of Gandak barrage and associated structures. Kosi barrage and Gandak barrage are already built and operational.

Projects to minimize the risk of inundation while also providing benefits on irrigation and power generation are on the bilateral agenda of issues for discussion and cooperation with Nepal. These include, inter-alia, the river training works in Kamala, Bagmati and Lalbakeya rivers which have been completed with Indian assistance in form of grants.

6-Jan-2022: Cabinet approves MoU between India and Nepal for construction of bridge over Mahakali River at Dharchula (India) – Dharchula (Nepal)

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, today has approved the Memorandum of Understanding (MoU) between India and Nepal for construction of bridge over Mahakali River at Dharchula (India)- Dharchula (Nepal).

With the signing of MoU, diplomatic relation between the two countries will further improve.

Background: As close neighbours, India and Nepal share unique ties of friendship and cooperation characterized by an open border and deep-rooted people-to-people contacts of kinship and culture.  Both India and Nepal have been working together on different regional forums i.e. SAARC, BIMSTEC as well as global fora.

11-Nov-2021: Nepal to establish its own National Defence University on the lines of NDC, says Nepal Army Chief

Army Chief of Nepal General Prabhu Ram Sharma who has been conferred with the Honorary rank of ‘General’ of the Indian Army unveiled his portrait on the ‘Wall of Honour’ and was presented with the ‘Scroll of Honour on November 11, 2021 at National Defence College (NDC) in New Delhi. Prominent alumni of the NDC, who have risen to the highest ranks in their respective countries are honoured with the special recognition. General Sharma belongs to the 53rd NDC Course.

In his address, General Sharma lauded the NDC for commitment to the highest standards of professional and academic insights and shaping him to become an able candidate to this honour. He also mentioned that Nepali Army is embarking on the journey to establish its own National Defence University and the areas of cooperation have been extended even further.

Earlier, as part of outreach programme, Defence Secretary Dr Ajay Kumar inaugurated NDC alumni web portal and released inaugural issue of NDC Alumni newsletter at the institution. This will provide an excellent opportunity for the alumni to connect, share and engage with the NDC and thereby strengthen the relationships with friendly foreign countries.

2-Nov-2021: Prime Minister’s meeting with Prime Minister of Nepal on the sidelines of COP26 in Glasgow, UK

Prime Minister Shri Narendra Modi met Prime Minister of Nepal Rt. Hon. Mr. Sher Bahadur Deuba in Glasgow on the sidelines of COP26 Summit in Glasgow, United Kingdom on 2nd November 2021.

Both leaders discussed ways to further strengthen bilateral cooperation including in the context of ongoing efforts against the COVID-19 pandemic. The two leaders noted the excellent cooperation between India and Nepal during the pandemic particularly through the supply of vaccines, medicines and medical equipment from India to Nepal as well as by ensuring the free flow of goods across the borders. Both leaders also agreed to work closely towards post-pandemic recovery.

This was the first meeting of Prime Minister Modi with Prime Minister Deuba after the telephone conversation between them in July this year when Mr. Deuba assumed office as the Prime Minister of Nepal.

9-Jul-2021: Rail Cargo movement between India and Nepal gets a big boost.

Rail Transportation between India & Nepal got a major boost today with coming into force of authorization to all cargo train operators to utilize the Indian railway network to carry all containers bound for Nepal whether  bilateral freight between Indian and Nepal or third country freight from Indian ports to Nepal. This liberalization will allow market forces to come up in the rail freight segment in Nepal, and is likely to increase efficiency and cost- competitiveness, eventually benefiting the Nepalese consumer.

These cargo train Operators include public and private container trains Operators, automobile freight train operators, special freight train operators or any other operator authorized by Indian Railways .

It comes into effect from 09.07.2021 after the formal exchange of Note Verbales and signed copies of Letter of Exchange between officials of India & Nepal.

After this LoE, all kinds of cargoes in all categories of wagons that can carry freight on Indian Railways network within India can also carry freight to and from Nepal.

Move will reduce transportation costs for automobiles and certain other products whose carriage takes place in special wagons.

Wagons owned by Nepal Railway Company  will also be authorized to carry Nepal-bound freight (inbound and outbound on Kolkata/Haldia to Biratnagar/Birganj routes) over the Indian Railways network as per IR standards and procedures.

The signing of this LoE marks another milestone in India’s efforts to enhance regional connectivity under the “Neighbourhood First”  policy.

From the Indian side, the ceremony was led by Shri Sanjay Kumar Mohanty, Member (Operations and Business Development), Ministry of Railways. From the Nepalese side, it was led by Shri Dinesh Bhattarai, Secretary, Ministry of Commerce, Industry and Supplies, Also present were representatives from Ministry of Railways, Embassy of India, Kathmandu, Northern Division, Ministry of External Affairs, India and South Asia Division of Nepalese Ministry of Foreign Affairs.

Background of Rail Services Agreement (RSA) – 2004 and LoE.

1. The Rail Services Agreement was executed on 21.05.2004 between Ministry of Railways, Government of India and Ministry of Industry, Commerce & Supplies (now Ministry of Commerce), His Majesty’s Government of Nepal (now Govt. of Nepal) for introduction of freight train services between these two countries to and from Birgunj (Nepal) via Raxaul (India).   This is an agreement which guides movement between India and Nepal by rail.  The rationale for this Agreement is that there was no rail movement prior to this between the two countries and hence a framework was required for operational and commercial aspects and procedure for customs clearances for rail bound cargo.  Since then large various developments have taken place which require changes to the Rail Services Agreement.
2. There is a provision in Article 1.4 of the RSA that “the Agreement shall be reviewed every five years and may be modified by the Contracting Parties by mutual consent.
3. For effecting amendments in the relevant Articles to RSA, Letters of Exchange (LoE) are signed from both sides.    In the past, there have been amendments to RSA through LoE on three occasions.  First such amendment to RSA-2004 was effected through Letter of Exchange (LoE) signed on 21st May, 2004. Second LoE was signed on 17th December, 2008 at the time of introduction of bilateral cargo between the two countries which required introduction of new customs procedure and Third LoE was signed on 19/20.02.2016 enabling rail transit traffic to/from Vishakhapatnam Port in addition to existing provision of rail transportation through Kolkata/Haldia Port.

It may be noted that  the current LoE has been finalized and signed on 28th June, 2021 by Govt. of Nepal which was acknowledged by Ministry of Railways (Govt. of India) by signing the LoE on 29.06.2021.  It comes into effect from 09.07.2021 after the formal exchange of Note Verbales and signed copies of LoE.

30-Jun-2021: Cabinet approves MoU between India and Nepal in the field of Health Research

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi was apprised of a Memorandum of Understanding (MOU) signed between Indian Council of Medical Research (ICMR), India and the Nepal Health Research Council (NHRC), Nepal in 17 November 2020 and 4 January 2021 respectively.

The objectives of this MOU are collaboration on joint research activities of mutual interest such as cross-border health issues, Ayurveda/traditional medicine  and medicinal plants, climate change and health, non-communicable diseases, mental Health, Population based cancer registry, tropical diseases (Vector borne diseases such as Dengue, Chikungunya, malaria, JE etc.), Influenza, Clinical Trial Registry, health research ethics, Capacity building through exchange of knowledge, skills tools and fellows and Collaboration for adoption of tools, guidelines, protocols and best practices related to health research.

Each Party shall fund the components of the research approved under this MoU to be conducted in their country or may apply jointly for third party funding. For the exchange of scientists under approved collaborative projects, the sending Party shall bear the cost of travel of visiting scientists whereas the receiving Party will provide the accommodation and living expenses of the scientist/researcher. Commitment of funds for workshops/meetings and research projects may be decided from time to time as per the funds available at that time. Arrangements to implement and execute all these activities shall be agreed to by the Parties prior to commencement of the activity.

16-Jan-2021: Indo Nepal Rail connectivity gets a vital boost

The section Jayanagar-Kurtha, 34.90 Km is a part of Jaynagar-Bijalpura-Bardibas rail (68.72 KM) project which has entirely been funded by Government of India.   As first phase of this project, the rail line from Jayanagar in Madhubani district, Bihar has been connected to Kurtha in Nepal and will be extended up to Bijalpura by March 2021. Government of India has spent nearly Rs 550 Crores for the section up to Bijalpura which is further 17 km from Kurtha. After Bijalpura, new line will be constructed till Bardibas after Government of Nepal hands over land for the project.

Jayanagar is 4 Km from the India-Nepal border.  This route has Janakpur, the famous pilgrim centre in Nepal which is 29 Kms from Jayanagar.  This project is being undertaken by IRCON and all rail engineering and infrastructure works are complete.  To operate rail service on this route, 2 sets of 1600 HP DEMU passenger rakes have been supplied by Konkan Rail Corporation Limited (KRCL).  These 2 DEMU rakes have 2 AC coaches each apart from non-AC coaches.  These 2 rakes were handed over to Nepal on 18th September, 2020.  This will be the first Broad Gauge passenger rail service in Nepal. Prior to this till 2014 a narrow gauge service was running between Jayanagar and Janakpur operated by Nepal.  Indian Railways is extending full cooperation to Nepal in running the BG service by sharing the know-how and operations and maintenance processes with Nepal Railway Company as well as imparting training to officials from Nepal.  A draft Standard Operating Procedure (SOP) for starting passenger train operations in the section has been prepared and shared with Nepal Railways by Government of India.  KRCL is being considered by Nepal Railway Company to run the operations and Maintenance (O&M) of this line till such time Nepal Railway Company is able to do this itself.  Both Nepal and India are working together to start rail service between Jayanagar and Kurtha and it is hoped that after finishing the necessary technical and operational requirements, this service will be commenced soon.

16-Jan-2021: Meeting between Raksha Mantri Shri Rajnath Singh and Foreign Minister of Nepal Mr. Pradeep Kumar Gyawali

The Foreign Minister of Nepal Mr. Pradeep Kumar Gyawali called on Raksha Mantri Shri Rajnath Singh in New Delhi today. The Foreign Minister is in India for the 6th India-Nepal Joint Commission Meeting. During his interaction with the Raksha Mantri, the Foreign Minister conveyed his greetings from the leadership of Nepal, and expressed his desire to deepen the bilateral relations. He also expressed thanks for all the assistance provided by India. Shri Rajnath Singh reciprocated the sentiment and emphasised that India-Nepal relations are underpinned by unique people-to-people linkages.

The Raksha Mantri conveyed his personal connect, long association with leadership and special regard for the people of Nepal. Both the dignitaries expressed their satisfaction at the excellent military-to-military cooperation. Raksha Mantri stated that India is ready to provide Humanitarian assistance & Disaster Relief (HADR) training & capacity building of Nepal.

Nepal Foreign Minister congratulated India on success in developing the Covid vaccine and expressed confidence that the pandemic will be soon overcome.

Raksha Mantri stated that India is looking forward for further deepening and strengthening the special relationship between India and Nepal.

27-Nov-2020: Foreign Secretary’s Visit to Nepal

Foreign Secretary Harsh Vardhan Shringla delivers Distinguished Lecture at event hosted by AIDIA; inaugurates four development projects completed with Indian assistance in Gorkha and Manang Districts.

On the second and final day of his official visit to Nepal, Foreign Secretary Harsh Vardhan Shringla addressed a limited gathering of leading civil society members on India-Nepal relations at an event hosted by the Asian Institute of Diplomacy and International Affairs (AIDIA) in Kathmandu. His speech laid out the foundational multi-dimensional strength of the ties between the two countries and the vision for taking it forward.

In the afternoon, Foreign Secretary Harsh Vardhan Shringla travelled to Gorkha and inaugurated three schools constructed with Indian reconstruction assistance viz. Shree Mahalaxmi, Shree Ratnalaxmi and Shree Tara Secondary Schools, in the presence of Mr. Ram Krishna Sapkota, Secretary, National Reconstruction Authority of Nepal.

There are about 1600 students in these three schools who now have the advantage of the newly constructed earthquake resilient school buildings. These schools are part of 71 educational institutes across nine districts being built under Government of India grant assistance of US $ 50 million for reconstruction in the education sector. The nine beneficiary districts are Gorkha, Nuwakot, Sindhupalchowk, Ramechhap, Dolakha, Kavrepalanchowk, Dhading and Kathmandu.

Speaking on the occasion, Foreign Secretary emphasized that education is the best investment in the future of the country and its people. Since 2003, Government of India has built nearly 270 educational campuses across Nepal under High Impact Community Development Projects scheme, complementing the efforts of Government of Nepal in this area. Shri Shringla encouraged Nepali students to take advantage of over 3000 scholarships being provided by Government of India to contribute in the development of their country and to further strengthen India-Nepal partnership.

As part of its post-earthquake assistance to Nepal, Government of India has substantially fulfilled its commitment in the housing sector with over 46,500 houses handed over to beneficiaries in Gorkha and Nuwakot districts. India is also working with Government of Nepal on reconstruction of 147 health posts and hospitals in ten districts of Nepal under a grant of US $ 50 million and 28 cultural heritage sites in 8 districts of Nepal under another grant of US $ 50 million.

In his last engagement before leaving Nepal that also signifies the diverse bilateral development and cultural cooperation, Foreign Secretary Harsh Vardhan Shringla virtually inaugurated the Tashop (Tare) Gompa monastery constructed at Shree Kharka village in Manang district. The event was attended by Shri Yadav Prasad Koirala, Secretary, Ministry of Culture, Tourism and Civil Aviation, Government of Nepal and Rev. Acharya Lama Norbu Sherpa, President of Nepal Buddhist Federation along with the representatives of Khangsar Sewa Samiti. Foreign Secretary conveyed his pleasure at the Government of India's role in restoring this ancient monastery in the Manang district and in contributing to the preservation of the rich Buddhist heritage of this Himalayan region. The restoration of Monastery was taken up as a High Impact Community Development Project under grant assistance on the request of the local Khangsar village and authorities.

20-May-2020: Nepal’s new map claims territories of India

Kathmandu has unveiled a new political map that claims Kalapani, Limpiyadhura and Lipulekh of Uttarakhand as part of its sovereign territory.

Both India and Nepal claim Kalapani as an integral part of their territory – India as part of Uttarakhand’s Pithoragarh district and Nepal as part of Dharchula district. India recently inaugurated a road section in Pithoragarh district in Uttarakhand.

Nepal expressed regret after the Defence Minister inaugurated the link road and objected to the road as Lipulekh, through which the link passes, is considered by Nepal as part of its own territory. The Lipulekh pass is a far western point near Kalapani, a disputed border area between Nepal and India.

Nepali diplomatic sources maintain that the region of Kalapani and the contiguous areas to the east of the river Kali and Susta on the Uttar Pradesh-Bihar border are the only parts of the nearly 1,800-km boundary that remain unresolved. The area of Susta near Gorakhpur can also be noted in the new map. Kathmandu says India has encroached upon this area and wants New Delhi to evacuate its population from the location.

Kalapani is a 372 sq km area at the China-Nepal-India tri-junction. The source of river Mahakali is at the heart of the dispute between the countries. The 1816 Treaty of Sugauli, signed between British India and Nepal, defined river Mahakali as the western border of Nepal. River Mahakali has several tributaries, all of which merge at Kalapani. India claims that the river begins in Kalapani as this is where all its tributaries merge. But Nepal claims that it begins from Lipu Lekh Pass, the origin of most of its tributaries.

Nepal has laid claim to all areas east of the Lipu Gad — the rivulet that joins the river Kali on its border, a tri-junction with India and China.

The origin of the dispute goes back to the early 19th century; politically it emerged as a contentious issue between India and Nepal after the two countries signed the Treaty of Mahakali in 1996. The two countries had formed the Joint Technical Boundary Committee in 1981 to resolve the dispute. Though the committee managed to resolve a large part of the dispute, they failed to reach a final settlement. Eventually, the issue was referred to the foreign secretaries of the two countries and they have been trying to find a resolution to the dispute. Strategically, Lipulekh pass in Kalapani serves as an important vantage point for India to keep an eye on Chinese movements. Since 1962, Kalapani has been manned by the Indo-Tibetan Border Police (ITBP).

India has reacted to the latest development saying that this unilateral act is not based on historical facts and evidence. It is contrary to the bilateral understanding to resolve the outstanding boundary issues through diplomatic dialogue and such artificial enlargement of territorial claims will not be accepted by India.

23-Jun-2019: Nepalese nationals must have visa to enter India via Pakistan, China

Nepalese nationals must have visa if they are entering India from Pakistan, China, Hong Kong and Macau.

Similarly, Nepalese nationals travelling to Gulf countries, including Saudi Arabia, Qatar, Kuwait, Oman, Bahrain and Lebanon, are required to acquire No Objection Certificate (NOC) from the respective Nepalese Embassies.

To get the NOC, a traveller is required to submit an application to the respective embassy along with relevant documents, including employment permit.

The notice said a citizen of Nepal must have a visa for India if the he or she is entering India from China, Macau, Hong Kong and Pakistan.

There are 4 million Nepalese working and studying in India, according to the Nepal foreign ministry.

9-Nov-2018: First India-Nepal passenger train on broad gauge likely to begin from December

The first passenger train to run on broad gauge between India and Nepal is likely to run from December this year. The train will run from Jayanagar in Bihar to Kurtha in Dhanusa district in Janakpur Zone of south-eastern Nepal, which is a 34 km stretch.

An immigration check-post is likely to be established at Jayanagar station manned by either the Bureau of Immigration or the state government. No visa will be required for Indian and Nepalese nationals crossing the border through this stretch, according to reports.

The Nepalese authorities have informed the railways that the section will be opened with four trips and will ply in eight to 16 hour shifts. The Nepalese authorities have informed the railways that the section will be opened with four trips and will ply in eight to 16 hour shifts. While the first train is to be a passenger train, the Nepalese have stated that they want to run both passenger and freight trains on this section. Nepal will take rolling stock — rakes, coaches and others — on lease from India for the purpose, state reports. The ministry of external affairs have had several inter-ministerial meetings with the railways, government of Nepal and other stakeholders on this. More meetings to finalise logistics are likely to take place.

The move is being seen as part of efforts to counter China's plans to forge rail links with Nepal. After Beijing decided to extend its railway network up to Kathmandu, New Delhi proposed the construction of new railway links during Prime Minister K P Sharma Oli's recent visit to India.

Nepal and India have plans for four cross-border railway links, including one to link Raxaul to Kathmandu. The Rs 5.5-billion (Nepalese Rs 8.8 billion) project is divided into three phases. The first includes construction of a 34-km segment between Jayanagar and Kurtha, the second comprises construction of an 18-km segment from Kurtha to Bhangaha in Mahottari district, and the third comprises construction of a 17-km segment from Bhangaha to Bardibas. Of the total length, only three kilometres is in Indian territory.

31-Aug-2018: Preliminary Engineering-cum-Traffic Survey of Raxaul (India) -Kathmandu (Nepal) rail line

Prime Minister of India Narendra Modi and Prime Minister of Nepal K.P. Sharma Oli witnessed the exchange of a Memorandum of Understanding between the Government of India and the Government of Nepal regarding preliminary engineering-cum-traffic survey of the broad gauge line between Raxaul (India) and Kathmandu (Nepal).

On April 7, 2018, the two Governments had issued a joint statement on expanding rail linkages, agreeing to construct a new electrified rail line, with India’s financial support, connecting the border city of Raxaul in India to Kathmandu in Nepal. As a first step, it was agreed that the Government of India, in consultation with the Government of Nepal, would carry out preparatory survey work within one year, and the two sides would finalize the implementation and funding modalities of the project based on the Detailed Project Report.

Konkan Railway Corporation Ltd. has been entrusted to conduct a preliminary engineering-cum-traffic survey of the new rail line in consultation with the Government of Nepal.

The Raxaul-Kathmandu rail line is expected to expand connectivity by enhancing people-to-people linkages between the two countries and promoting economic growth and development.

12-Jan-2018: With new Chinese link, Nepal ends India's internet monopoly

Nepal has partnered with China to offer internet services to its citizens ending India’s decades-long monopoly of the cyber connectivity network.

For years, Nepal depended on Indian telecom companies, such as Bharti Airtel and Tata Communications Ltd, for access to the worldwide web, which made connections vulnerable to network failures.

Nepal Telecom and China Telecom Global launched their services after they wrapped up the laying of optical fiber cables between Kerung in China and Rasuwagadi in Nepal, about 50 km (30 miles) north of Kathmandu.

This will give Nepal an alternative to India for cyber connectivity and ensure uninterrupted connections.

Both Asian giants China and India have been jostling to increase their influence in Nepal by ramping up investments in roads and hydropower projects in the impoverished country.

In 2016, Beijing agreed to allow Nepal to use its ports to trade goods with third countries, ending the latter’s sole dependence on India for overland trade.

Nepal last year joined the Belt and Road Initiative, which is China’s effort to develop a modern “Silk Road” connecting Asia with Europe, Middle East and Africa by road, railway, sea and air. As part of the initiative, Nepali officials say they are in talks with Beijing over the extension of the Chinese railway network into Nepal from Tibet.

23-Aug-2017: Cabinet approves MoU between India and Nepal on Drug Demand Reduction and Prevention of Illicit Trafficking in Narcotic Drugs and Psychotropic Substances and precursor chemicals and related matters

The Union Cabinet has given its approval for signing of a Memorandum of Understanding (MoU) between India and Nepal on Drug Demand Reduction and Prevention of Illicit Trafficking in Narcotic Drugs and Psychotropic Substances and precursor chemicals and related matters.

The MoU lists out the areas of cooperation on drug matters between the two countries. It also indicates the mechanism of information exchange and the competent authorities in the two countries who are responsible for the implementation of the MoU and exchange of any information.

Cooperation on drug matters is expected to curb the illicit traffic of narcotic drugs, psychotropic substances and precursor chemicals in the two countries.

The MoU provides that the Parties shall endeavour to:

1. develop mutual cooperation with a view to effectively resolving the issue of illicit traffic in narcotic drugs, psychotropic substances and their precursors, cooperate in drug demand reduction through prevention, awareness, education and community based programmes, treatment and rehabilitation; and
2. exchange information of operational, technical and general nature in drug matters, exchange literature on their existing laws, rules, procedures, best practices and methods of curbing illicit trafficking in narcotic drugs, psychotropic substances and their precursors and any further amendments to the existing legislation.

Background: India has always supported global efforts to counter drug trafficking and is party to several multilateral and bilateral initiatives in this regard as also United Nations (UN) led initiatives. In accordance with the spirit of UN Conventions on Narcotic Drugs, effort is made to enter into Bilateral Agreements/MoUs with neighbouring countries and the countries which have a direct bearing on the drug situation prevailing in our country. Such Bilateral Agreements/ MoUs have already been executed with various countries. The proposed MoU with Nepal is another such MoU which shall be entered for the purpose of bilateral cooperation on drug matters.

25-Jan-2017: Nepal recognises employment in India as foreign

Nepal has formally recognised migration of its countrymen to India for employment purpose as “foreign employment” and bring them under the insurance coverage for the first time.

After the government’s recognition, Nepali migrant workers in India will be entitled to receive insurance coverage up to $12,812 for critical illness and life insurance.

6-Jan-2017: RBI to provide 1 billion Rupees to Nepal

The Reserve Bank of India (RBI) has agreed to provide Rs 1 billion to the Nepal Rastra Bank (NRB) after its request that the country was facing a shortage of INR 100 denomination banknotes.