Strong in development partnerships, connectivity and priority areas.
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Nepal and India have reached an understanding on three issues. Various understandings were reached during the delegation-level talks held in New Delhi between Foreign Minister Shishir Khanal, who is on a visit to India, and his Indian counterpart S. Jaishankar.
According to the Nepali Embassy in Delhi, an agreement has been reached to operationalize cross-border electronic payment transactions as per the agreement signed between Nepal Clearing House Limited (NCHL) and the National Payments Corporation of India (NPCI) in June 2023 (Jesh 2080). In Jesh 2080, an agreement was signed between NCHL and NPCI's international arm NPCI International Payments Limited (NIPL) to launch cross-border digital payment and remittance services in Delhi.
Based on the same agreement, the cross-border QR payment system was launched between Nepal and India in Falgun 2080. It was widely discussed that this indicated the establishment of seamless digital financial relations between the two neighboring countries. Since then, Indian tourists, students and patients visiting Nepal have been able to pay by scanning the QR code with their mobile phones.
But Nepalis visiting India have not yet got that facility. Now, Nepalis will also be able to use the QR service in India.
More than two years after the payment system was formally launched, the reciprocal service has not been started despite repeated assurances from Nepal's banks, payment service operators and the central bank that they are technically ready. According to Nepali officials, the delay was due to the desire for its launch to be through a high-level official announcement. Both countries, especially India's NPCI, wanted to launch it during a prime minister-level visit as a sign of diplomatic goodwill. But such a visit had not taken place for a long time and there were no immediate plans. The earlier understanding was materialized during Minister Khanal's visit.
On Saturday itself, 72 health and 12 cultural projects reconstructed with India's help after the earthquake were handed over. India had provided 1 billion US dollars in grants and loans for reconstruction after the 2072 BS earthquake.
Kathmandu University School of Engineering's 'Center for Digital Public Infrastructure and Artificial Intelligence' and 'Digital India Bhashini Division' have also signed an agreement to jointly build a national digital infrastructure for the 'Voice First' platform for language translation.
The Nepali Embassy in Delhi stated that during the meeting, Khanal and Jaishankar held extensive discussions on various dimensions of bilateral relations. 'The discussions covered issues such as trade and economic cooperation, cross-border connectivity, energy partnership, water resource management and promoting people-to-people relations through sports,' a statement issued by the embassy said. 'Both sides reiterated their commitment to strengthening sustainable partnerships.'
According to the embassy, discussions were held on reviewing the progress of ongoing bilateral projects and expediting them. 'Regional and international issues of mutual interest, including cooperation in multilateral forums, were also discussed,' the statement said. The embassy said that both sides also agreed to further strengthen and broaden bilateral relations by strengthening partnerships in development, connectivity and priority areas.
At the beginning of the meeting, both foreign ministers shared their views on the priorities and features of bilateral relations. Jaishankar reiterated India's commitment to work with Nepal for mutual progress, prosperity and well-being. He mentioned that India has ensured fuel supply to Nepal even during the West Asia crisis. Jaishankar said that he wants to cooperate with Nepal in areas such as artificial intelligence, startups, information technology and renewable energy.
Minister Khanal said that India is Nepal's most important partner and Nepal has given India a high priority. He said that relations with India are most important in times of crisis and thanked India for supplying fuel and chemical fertilizers during the wars in West Asia.
Khanal also said that the upcoming high-level visit will open a new chapter in the relationship. He did not provide details of such a high-level visit. “We have no old burdens,” Khanal said. “We are determined to build a truly transformative relationship with our most important partner, India.”
