Nepal and China have signed on the framework on Belt and Road Initiative (BRI) cooperation on Wednesday.
Foreign secretaries of the two countries have signed on the frame-work in the morning.
It could not be signed on Tuesday after China removed the word grant from the draft sent by Nepal. Nepal had forwarded a draft Friday evening proposing that China would provide grant investment on the projects to be moved forward by the Government of Nepal.
The two countries have now signed on the framework keeping aid investment, which includes both grant and loan investment, in place of grant investment.
Prime Minister (PM) and CPN-UML Chairman KP Sharma Oli and Nepali Congress (NC) President Sher Bahadur Deuba earlier had approved the draft of the framework on BRI cooperation which stated that Nepal would only accept Chinese grant.
Nepal had signed a memorandum of understanding (MoU) on BRI in 2017. Nepal and China were expected to sign the BRI Implementation Plan after that, but it had not happened until now
After PM Oli’s China visit was finalized, a taskforce was formed to discuss the modality of the BRI implementation plan. The task force comprised the prime minister’s chief advisor Bishnu Rimal, economic and development advisor Yuba Raj Khatiwada, NC General Secretary Gagan Thapa, and advocate Semanta Dahal.
The task force made changes to the implementation plan and changed its name to Framework on BRI Cooperation.
The two sides also issued a 12-point joint statement during PM Oli's visit.
Joint Statement between the People’s Republic of China and Nepal
1. At the invitation of H.E. Li Qiang, Premier of the State Council of the People’s Republic of China, Rt. Hon. K P Sharma Oli, Prime Minister of Nepal, paid an official visit to China from December 2 to 5, 2024. During the visit, Prime Minister K P Sharma Oli had a meeting with President Xi Jinping, held talks with Premier Li Qiang and met with Chairman of the Standing Committee of the National People’s Congress Zhao Leji. In a cordial and friendly atmosphere, leaders of the two countries had in-depth exchanges of views on consolidating and deepening China-Nepal relations under the new circumstances as well as international and regional issues of mutual interest, and reached extensive consensus.
2. The two sides agreed that since the establishment of diplomatic relations between China and Nepal in 1955, the bilateral relationship has enjoyed sustained, stable and healthy development. The state visit of Rt. Hon. President Mrs. Bidya Devi Bhandari to China in 2019 and exchange of other high-level visits between the two countries have contributed to strengthening the friendly bilateral relations between China and Nepal. In particular, President Xi Jinping paid a historic state visit to Nepal in 2019, during which the relationship was upgraded to a Strategic Partnership of Cooperation Featuring Ever-lasting Friendship for Development and Prosperity, taking China-Nepal relations into a new historical stage. In recent years, under the strategic and visionary guidance of the leaders of the two countries, China and Nepal have seen close exchanges at all levels and fruitful outcomes in pragmatic cooperation, bringing tangible benefits to the two peoples.
As the year 2025 marks the 70th anniversary of the establishment of diplomatic relations between China and Nepal, the two sides comprehensively discussed the ways and means to make the celebration of the anniversary a momentous one. The two sides are ready to take this opportunity to further accelerate the implementation of the important common understandings reached by the leaders of the two countries, maintain high-level exchanges, strengthen political mutual trust, and deepen and expand mutually beneficial cooperation in various fields on the basis of the Five Principles of Peaceful Coexistence and the principle of good neighborliness and friendship, so as to further grow bilateral relations to the benefit of the two countries and peoples in the spirit of a community with a shared future.
3. The two sides reaffirmed their staunch support for each other on issues involving their core interests and major concerns. Recalling the U.N. General Assembly Resolution 2758, Nepal reaffirmed its firm commitment to the one-China principle, recognizing that the Government of the People’s Republic of China is the sole legal government representing the whole of China and Taiwan is an inalienable part of China’s territory. Nepal firmly supports China’s efforts to achieve its national reunification and opposes “Taiwan independence.”
The Nepali side reiterated that Xizang affairs are internal affairs of China, and that it will never allow any separatist activities against China on Nepal’s soil.
The Chinese side reaffirmed its commitment to the principle of amity, sincerity, mutual benefit and inclusiveness and the policy of forging friendship and partnership in the neighborhood. China firmly supports Nepal in upholding its independence, sovereignty and territorial integrity, and respects and supports Nepal’s independent choice of political and social system, and development path that suit its national conditions.
4. The Nepali side warmly congratulated the Chinese side on the 75th anniversary of the founding of the People’s Republic of China, highly commended the remarkable achievements made by China in the new era, and expressed support for China’s efforts to build a great modern socialist country in all respects and achieve national rejuvenation through the Chinese path to modernization. The Chinese side spoke highly of the efforts made by the government of Nepal to maintain political stability and promote economic and social development, and wished the Nepali people an early realization of the national aspiration of “Samriddha Nepal, Sukhi Nepali” (“Prosperous Nepal, Happy Nepali”). Both sides expressed their readiness to continue close bilateral engagement between governments, political parties, legislatures and all walks of life, and conduct experience sharing on governance. The two sides appreciated the initiations taken to implement the MoU on Translation and Publication of Classics.
5. Both sides agreed to ensure timely and swift implementation of the agreements signed, consensus reached, and decisions made as well as completion of the programs, projects and activities being carried out jointly by the two countries.
The two sides agreed to strengthen the synergy of their development strategies, and pursue deeper and even more concrete high-quality Belt and Road cooperation. The two sides expressed their readiness to sign the MoU on building the Trans-Himalayan Multi-Dimensional Connectivity Network and the Framework for Belt and Road Cooperation between the two Governments as soon as possible. Both sides expressed their commitment to strengthening connectivity between the two countries in such areas as ports, roads, railways, aviation, power grids and telecommunication, to help Nepal transform from a land-locked country to a land-linked country.
The two sides agreed to jointly advance the fourth phase of the China-aided Araniko Highway maintenance project and the Hilsa-Simikot Road project, implement the second phase of the Kathmandu Ring Road Improvement Project， and welcome the signing of the Letters of Exchange for the Approval of the China-aid Project of Feasibility Study for the Tokha-Chhahare Tunnel. While promoting the project of repairing the Syaphrubesi-Rasuwagadhi Highway, both sides agreed to expedite the removal of obstacles along the highway and its subsequent construction, and share the view that these projects will enhance the level of connectivity between the two countries.
While recalling the commitment made by both sides during the state visit of H. E. President Mr. Xi Jinping to Nepal in 2019 and the official visit of Rt. Hon. Prime Minister Mr. K P Sharma Oli to China in 2018 to undertake study on the possiblity of cooperation for the development of three North-South Corridors in Nepal, namely Koshi Economic Corridor, Gandaki Economic Corridor and Karnali Economic Corridor, the two sides agreed to expedite the construction of related projects.
The two sides agreed to strengthen development of port of entry, enhance facilitation for customs clearance and two-way travel, promote bilateral economic and trade cooperation, and boost social and economic development of border areas. The two sides applauded the smooth and orderly operation of the Jilong/Keyrung-Rasuwagadhi port, the Zhangmu-Kodari port, the Pulan-Yari port and the Lizi-Nechung (Korala, Mustang) port. They welcomed the full resumption and normal operation of 14 traditional China-Nepal border trade points in 2024 that have been pivotal in promoting bilateral trade and making the livelihood of border residents of both the countries easier. Based on this, the Nepali side requested the Chinese side to consider the possibility of opening more bilateral and international ports. The Chinese side will facilitate the construction of the China-aided Inland Clearance Depot (ICD) and Integrated Check Post (ICP) at Korala, Mustang.
The two sides expressed willingness to steadily advance the feasibility study of the Jilong/Keyrung-Kathmandu Cross-Border Railway, and planned to hold the 9th Working Meeting on China-Nepal Railway Cooperation. The Chinese side will continue to help Nepal train professionals in the field of railway.
The two sides value the development of civil aviation ties between China and Nepal, and support and encourage air transport enterprises of both sides to open air routes and flights between Chinese cities and Nepali cities such as Pokhara and Lumbini in light of market demand, so as to facilitate bilateral economic and trade ties and two-way travel.
The two sides will continue to leverage the platform of the China-Nepal Energy Joint Implementation Mechanism, deepen cooperation in energy and explore exchanges in new energy. The two sides are ready to expedite the feasibility study of the China-aided Jilong/Keyrung-Rasuwagadhi-Chilime 220KV Cross-Border Power Transmission Line. The two sides agreed to continue to support the cooperation between telecommunication operators of the two countries and to carry out maintenance and expansion projects related to cross-border land cables.
The Nepali side requested the Chinese side to expedite the works of further developing Madan Bhandari University of Science and Technology, and construct a sports stadium in Damak, Jhapa and Amargadhi City Hall Complex in Dadeldhura.
6. The two sides agreed to further deepen pragmatic cooperation in such fields, inter alia, economy and trade, connectivity, infrastructure, investment, agriculture, industry, health, disaster relief and poverty alleviation to promote common development.
The two sides welcomed the signing of the MoU on Trade Promotion Cooperation, and will further strengthen trade exchanges to elevate the scale and level of two-way trade. The Chinese side reiterated its support for Chinese enterprises to invest and do business in Nepal based on market and commercial principles. Nepal reiterated its commitment to improving the business environment and providing support for Chinese enterprises to invest in Nepal. The two sides agreed to sign the Project Development Agreement of China-Nepal Friendship Industrial Park as soon as possible, in order to promote the early start of construction and operation of the industrial park.
The Nepali side expressed its appreciation to China for granting Nepal, as one of the least developed countries, zero-tariff treatment under 100 percent tariff lines. China welcomes Nepal to further expand the export of high-quality agricultural products such as Nepali haylage, plant-derived medicinal materials, and tea to China.
The two sides agreed to further deepen cooperation in agriculture, livestock and fisheries between the two countries. The two sides agreed to strengthen exchanges and cooperation in the fields of forestry, wildlife conservation and biodiversity protection, and convene the fifth meeting of the China-Nepal forestry working group at an appropriate time.
The two sides agreed to continue strengthening health and medical cooperation, and accelerate the China-aided Bone Marrow Transplant Service project at the B. P. Koirala Memorial Cancer Hospital in Nepal. The two sides will fully harness the China-aided hospitals in Nepal and support the Chinese medical team in establishing a new medical service point in Civil Service Hospital, Kathmandu. The two sides agreed to study the establishment of a new CAR-T cell laboratory, with Chinese assistance, in Civil Service Hospital, Kathmandu for the treatment of cancer patients. The two sides agreed to renew the MoU on Traditional Medicine Cooperation, establish the China-Nepal Traditional Medicine Cooperation Commission, and continue to support the China-Nepal Traditional Chinese Medicine Center in providing free medical treatment, personnel training, and medical services in Nepal.
The Nepali side expressed its appreciation to the Chinese side for providing emergency disaster relief when Nepal was hit by disaster caused by incessant, torrential rain. The Nepali side is ready to further strengthen cooperation with China in emergency management, and disaster prevention, mitigation and relief through the exchange of knowledge, information, technology and skills between the two countries. The Chinese side will continue to advance the project of technical assistance to the information platform of the National Emergency Operation Center in Nepal, and make full use of the China-aided Earthquake Monitoring Network Project. The two sides agreed to expedite the implementation of the post-earthquake reconstruction projects that had been agreed upon.
The two sides are ready to further expand exchanges and cooperation with a focus on poverty alleviation, development, livelihood improvement and rural revitalization. China is ready to help Nepal to strengthen the capacity building of personnel in relevant fields, continue to carry out poverty reduction demonstration projects, and support Nepal in improving people’s livelihood.
7. The two sides share the view that the China-Nepal border has long been demarcated, and serves as a bond of friendship and a bridge of cooperation between the two countries. The two sides agreed to undertake joint inspection of China-Nepal boundary, and work for early entry into force of the Agreement Between China and Nepal on the Boundary Management System. The two sides agreed to continue consultations on the protocol on establishing a three-tiered boundary contact system, so as to elevate the level of border management and cooperation between the two countries.
The two sides share the view that law enforcement cooperation is an important component of bilateral cooperation, and are prepared to strengthen exchanges and cooperation between their law enforcement agencies. China is willing to provide support for Nepal to the best of its capacity through capacity building, including trainings in the field of combating cyber crimes, and assistance of police supplies.
8. The two sides will further strengthen exchanges and cooperation in such areas as youth, education, culture, tourism, radio and television, online audio-visual products, and think tanks, deepen people-to-people exchanges as well as interactions at various levels including between sister cities, and further facilitate two-way travel, so as to forge closer ties between the two peoples and pass down the friendship to future generations.
China welcomes Nepal to hold promotional activities of the Nepal Visit Year 2025 in China, and will encourage more Chinese tourists to visit Nepal. Nepal will support the China Culture Center in holding various activities in Nepal, and welcomes China to hold signature events, such as China Festival and Happy Spring Festival, in Nepal. The two sides spoke positively of and will continue to support large cultural, sports and tourism activities in Nepal, such as the Kathmandu Chinese New Year Celebrations, the Pokhara International Mountain Cross Country Competition and China-Nepal Friendship Dragon-Boat Race Festival, and the Lumbini International Peace Festival. The two sides agreed to organize the Chinese Film Festival in Nepal in 2025. Both sides encourage and support sports departments and organizations of the two countries to bolster contact and conduct friendly exchanges.
The two sides will continue to harness the China Culture Center, Confucius Institutes and Confucius Classrooms in Nepal to promote China-Nepal cultural exchanges and cooperation, and support Chinese language education in Nepal. China welcomes and encourages more outstanding Nepali students to study in China.
9. The two sides share the view that the Five Principles of Peaceful Coexistence, since being put forward 70 years ago, have become basic norms of international relations and fundamental principles of international law, and played an important role in promoting world peace and advancing the cause of human progress. The vision of building a community with a shared future for mankind proposed by President Xi Jinping has enriched the Five Principles of Peaceful Coexistence and contributed solutions to improving global governance and solving the development challenges faced by humanity.
10. Nepal firmly supports and has actively participated in the Global Development Initiative proposed by China. China welcomes Nepal’s participation in the Group of Friends of the Global Development Initiative and looks forward to promoting common development visions with Nepal.
11. The two sides reaffirmed their commitment to jointly upholding the international system with the U.N. at its core, the international order underpinned by international law, and the basic norms governing international relations underpinned by the purposes and principles of the U.N. Charter. The two sides are committed to promoting a just and equitable world order and a universally beneficial and inclusive economic globalization, opposing all forms of unilateralism and protectionism, advocating true multilateralism, promoting greater democracy in international relations, and jointly safeguarding international fairness and justice and the common interests of developing countries. The two sides will strengthen coordination and cooperation within the framework of the U.N., cooperate at international and regional forums on matters of mutual interest, and work for a more just and equitable global governance.
12. The two sides expressed satisfaction with the outcomes of Rt. Hon. Prime Minister K P Sharma Oli’s official visit to China. They share the view that the visit has injected new impetus into the development of bilateral relations. Rt. Hon. Prime Minister K P Sharma Oli expressed appreciation to the Chinese government and people for their warm hospitality and friendship, and invited Chinese leaders to visit Nepal. The Chinese leaders thanked Rt. Hon. Prime Minister K P Sharma Oli for the invitation, expressed their willingness to visit Nepal at mutually convenient date, and the two sides will maintain communication via diplomatic channels.
