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A.D.:

Nepal Samvat: 1145 KAULATHWA DWADASHI - 12

Nepal-Pakistan Relations

Overview

Nepal and the Islamic Republic of Pakistan enjoy excellent bilateral relations. The two countries established diplomatic relations on 20 March 1960. Nepal established a residential Embassy in Islamabad in 1962 and Honorary Nepali Consulate General in Karachi in 1975. The bilateral relations between the two countries are based on goodwill, mutual cooperation and friendship. Both the Governments hold similar views on many issues of common interests and work closely at various international and regional forums such as the UN, NAM, and SAARC. A Foreign Secretary level Bilateral Consultation Mechanism has been established to review the bilateral relations. The fourth round of bilateral consultations was held in Islamabad in February 2020.

Economic Relations

With the objective to promote economic cooperation between the two countries, Nepal-Pakistan Joint Economic Commission (JEC) was set up at the level of Finance Ministers in 1983. The JEC deliberates on matters relating to Trade and Commerce, Banking and Finance, Agriculture and Livestock, Energy, Health, Education, Culture, Tourism, Telecom and ICT, and civil aviation, among others. The 6th Meeting of JEC was held in Islamabad in August 2013.

Trade and Investment

Pakistani investors have entered into joint ventures in textile, hotels and banking industries in Nepal. In order to boost the bilateral trade, the two governments have signed a trade agreement in July 1982. A Joint Business Council (JBC) was established in November 1996 between the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) in order to promote bilateral trade. Similarly, Confederation of Nepalese Industries (CNI) has signed MOUs with Karachi, Islamabad and Lahore Chambers of Commerce and Industry in February 2005.

Nepal and Pakistan have great potential for bilateral trade. Nepal"s export to Pakistan primarily includes black tea, optical lenses, artificial parts of the body, plants (herbs medicines), big cardamom. Nepal"s import from Pakistan consists of machinery and parts, spices, medicines and medical equipment, and appliances etc.

​​Bilateral Trade Statistics: Value in NPR

Fiscal Year

Nepal"s Export to Pakistan

Imports from Pakistan

Trade balance

F.Y. 2019/20

45,041

3,465,426

-3,420,385

F.Y. 2020/21

155,266

509,146

-353,880

F.Y. 2021/22

113,481

600,444

-486,963

F.Y. 2022/23

66,555

427,082

-360,527

F.Y. 2023/24

38,664

562,190

-523,527

Source: -Trade & Export Promotion Centre

Tourism

Nepal and Pakistan signed the Agreement on Tourism Cooperation in February 2009. The Agreement provides for mutual cooperation in tourism and archaeology; exchanges of tourism organizations and travel and tour operators; cooperation to encourage tourists from third countries to visit their respective countries; mutual exchange of tourism information, materials and experience; production of tourism-related films and video-tapes; and joint collaboration for investment.

Tourist Arrival from Pakistan to Nepal:

S/N

Year

Tourist Arrival

1

2020

1,077

2

2021

1,086

3

2022

3,928

4

2023

4,908

5

2024

3,469

Source: - Department of Immigration, Nepal

Education and Culture

Pakistan, under the Pakistan Technical Assistance Programme (PTAP), provides annually scholarships to Nepal in Medicine, Pharmacy and Engineering. There are more than 200 Nepali students undertaking higher studies in Pakistan. Pakistan also provides long and short term trainings to the government officials of Nepal.

Nepal and Pakistan signed the Cultural Agreement in May 1970 which aims at promoting cultural relations. Nepal-Pakistan Friendship and Cultural Association is in operation in Kathmandu.