Nepal, China sign three pacts to boost energy, economic ties

China and Nepal have signed three pacts to further boost their ties in power, energy and economic sectors. The agreements signed cover oil and gas resources exploration, economic and technological cooperation and promotion of investment.
These agreements were signed after visiting Chinese Vice-Premier Wang Yang held discussions with Nepal’s Deputy Prime Ministers Bijaya Kumar Gachhadar and Krishna Bahadur Mahara.

Key Facts

The agreements cover three different domains viz. (i) economic and technological cooperation, (ii) framework agreement on promotion of investment and economic cooperation and (iii) China-aid oil and gas resources survey project.
These pacts also include a feasibility study for excavating natural gas and petroleum in mountain areas and plains of Terai region of the Himalayan country. They will help to make significant contributions in Nepal’s socio- economic transformation.
Both countries also agreed to establish hydropower projects and transmission lines and take steps for technological development in Nepal, which suffers from acute shortage of electricity. China also agreed to upgrade 114-kilometre Araniko highway- an old route connecting two countries, which was damaged and subsequently closed after the massive 2015 Nepal earthquake.

Month: Current Affairs - August, 2017