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वि.सं:

नेपाल संवत: ११४५ चिल्लागा एकादशी - २६

नेपाल अमेरिका सम्बन्ध

Diplomatic Relations

Nepal and the United States of America (US) established the diplomatic relations on 25 April 1947. The US is the second country, after the UK, with which Nepal established diplomatic relations. Nepal established its Embassy in Washington D.C. on 3 February 1958. On 6 August 1959, the Embassy of the United States of America in Kathmandu was opened. Nepal also established its Consulate General in New York city on 9 October 2014. Likewise, Nepal has also appointed honorary consuls and consuls general in various US cities.

Exchange of Visits

There are number of high-level exchanges between Nepal and the US which has helped further strengthen the bilateral relations. Some latest and prominent visits between Nepal and the US are as follows:

From Nepal side

From the US side

Development Cooperation

The USA is one of the first countries to extend development assistance to Nepal. The development cooperation dates back to 1951(by signing an agreement) when it supported Nepal with its Point Four Program. USAID Nepal is the development assistance arm of the US Mission to Nepal. Nepal has greatly benefited from the financial and technical assistance extended by the United States to help drive Nepal"s socio-economic development.

Various sectors such as transport, communication, public health, family planning, malaria eradication, agriculture, forestry, energy etc. have come to benefit from the development assistance from USA spanning more than seven decades. The United States cooperation is also geared towards the institutionalization of peace and democracy as well as protection and promotion of human rights in accordance with its country strategy document.

USAID cooperation package of $659 million was signed in 2022 for five years (2022-2027) with a significant amount directed towards expanding access to quality education for children, marginalized youth and early grade students.

Assistance in Reconstruction post-earthquake -2015

The United States has provided over $190 million for earthquake relief, recovery, and reconstruction.

The US had lent generous support in the area of post-quake reconstruction. Heritages and public infrastructures like schools and hospitals have been reconstructed with US support.

Some examples of US-assisted projects are: Gaddi Baithak in Hanumandhoka, Barhabise Health Care Center, support for reconstruction of schools and temples, and Kaiser Mahal.

US Assistance during Covid-19

A total of $122 million was supported to Nepal during Covid to help Nepal tackle spread of Covid-19. These supports were in forms of vaccines, technical and human resource support and equipment and supplies for Nepal"s COVID-19 response through USAID and Department of Defense.

Millennium Challenge Corporation

In September 2017, the U.S. Government"s Millennium Challenge Corporation (MCC) signed a $500 million compact with the Government of Nepal. The compact aims to maintain road quality, increase the availability and reliability of electricity, and facilitate cross-border electricity trade between Nepal and India—helping to spur investments, accelerate economic growth, and reduce poverty.

A $197 million contribution from the Government of Nepal in support of the compact—the largest up-front partner country contribution in MCC"s history—will enable even greater impact and benefits for the Nepali people.

An additional amount of $50 million has been approved in December 2024 by the MCC Board.

Trade/Investment

The US is one of the important trading partners of Nepal. It is also the biggest source of hard currency for Nepal primarily from the export of carpets, dog foods, felt products, glass etc. as well as from tourist incomes.

Memorandum of Understanding between the United States Patent and Trademark Office (USPTO) and The Ministry of Industry, Commerce and Supplies of the Government of Nepal on Bilateral Cooperation in Intellectual Property was signed on March 18, 2024 (2080/12/05).

Trade Facilitation and trade enforcement Act 2015 of USA provides duty and quota free access to US market for 77 Nepali products which will expire on 31 December 2025.

Nepal-USA Trade:

Value in NRs. "000

Fiscal Year

Export

Import

Balance

2022/23

19571422

19424896

146526

2021/22

17992059

50050518

-32058459

2020/21

13793534

19501416

-5707881

(Source: Department of Customs, Nepal)

Investment: The US is one of the top source countries of FDI in Nepal creating thousands of jobs. The US"s FDI stock in Nepal as of mid-July 2022 (Rs. Million) is as follows:

Rank

Paid Up

Reserves

Loans

Total

Share in Total (%)

9

2,591.3

3,727.0

2,096.5

8,414.8

3.2

(Source: NRB)

Establishment of BCM:

A Memorandum of Understanding was signed between the Ministry of Foreign Affairs of Nepal and the Department of State of the United States of America on the establishment of a Bilateral Consultation Mechanism (BCM) on 30 September 2024 at the US Department of State, Washington DC. Minister for Foreign Affairs of Nepal Dr. Arzu Rana Deuba and Acting Under Secretary of State of the United States Mr. John Bass signed the MOU from their respective sides. The Foreign Minister was on a visit to the US to attend the 79th United Nations General Assembly.

Parliamentary engagement

The Bipartisan Congressional Nepal caucus was registered on 16 June 2023 as the Congressional Member Organization (CMO) of the US House of Representatives for the 118th Congress. Currently, the caucus has 16 members, with Rep. Joe Neguse and Rep. Mike Carey as Co-chairs.

Likewise, Nepal-US Parliamentary Friendship Group has been formed in the Federal Parliament of Nepal in December 2024.

Education, Culture, people to people contacts

The US has become one of the most popular destinations for higher education for Nepali Students in recent years. The presence of over 4,00,000 Nepalis in the US, including the 2,50,000 Naturalized US citizens of Nepali origin, is the main conduit of Nepal-US cultural relations. Nepal is one of the leading places of origin for international students coming to the United States.

The Peace Corps Volunteers, beginning 1962, started to arrive in Nepal when Nepal had initiated its planned development and had shortages of technical manpower. In recent years, Peace Corps Volunteers are more focused in the areas of education and food security.

Tourism

The US is one of the largest sources of visitors in Nepal. The number of visitors has been increasing each year, except for the year 2015, 2020-21 for the reason of the earthquakes and COVID respectively. The number of tourist arrival from the US to Nepal in the past years is as follows:

Year

2017

2018

2019

2020

2021

2022

2023

Arrivals

79,146

91,895

93,218

17,767

22,853

77,085

1,00,355

Source: Nepal Tourism Statistics, MOCIT

Europe and the Americas Division

Ministry of Foreign Affairs

As of January 2025