Prime Minister Nguyen Xuan Phuc and his Nepali counterpart K.P. Sharma Oli at the World Economic Forum 2019. (Photo: VNA)
Since establishing diplomatic relations in 1975, the two sides have regularly increased exchanges in diverse areas, from politics to trade. In particular, the establishment of the Nepal - Vietnam Chamber of Commerce and Industry and the appointment of the first Vietnamese honorable consul to Nepal, have contributed to increasing trade, investment, culture and tourism activities between the two countries.
Accordingly, the two-way trade turnover reached USD40-41 million in 2016 and 2018, and USD97 million in 2017. Vietnam exported mainly pepper, plastic, bottled beverage, chemical products, computers, electronic products, rubber, rice, automobile devices, textile and garment products and frozen products to Nepal, while importing textile and garment materials, leather and footwear from this country.
In tourism, the number of Vietnamese tourists to Nepal is expected to be on the rise.
According to Vu Tien Loc, President of the Vietnam Chamber of Commerce and Industry (VCCI), Vietnam and Nepal share a good relationship and have great potential for development, especially in economics; however, the cooperation does not fit potential.
Therefore, Vietnamese Ambassador to India, Nepal and Bhutan Pham Sanh Chau, in presenting Party General Secretary and President Nguyen Phu Trong’s credentials to the Nepali President in March, showed his hope that the two sides would soon sign a memorandum of understanding on visa exemption for diplomatic and official passport holders; set up political consultancy mechanism and other cooperation mechanisms in economics, trade, investment, culture, tourism and aviation to create a legal foundation and a firm premise for further practical and effective cooperation.
Nepal is calling investment into 2,000 areas in transport, agriculture, tourism, mining, education, healthcare and hydro-electronics.
Additionally, Nepal’s investment law was revised in 2019 to attract more foreign investment, which is a favorable condition for Vietnamese businesses to increase investment and business in Nepal.
Culture and tourism are also considered potential cooperation areas between the two counties as they share similarities in beliefs and culture. A new international airport will be built in Nepal in the near future to promote trade and tourism cooperation./.