KATHMANDU – Nepal and Australia have signed the Trade and Investment Framework Agreement (TIFA).
The signing event occurred in the margins of the Seventh Indian Ocean Conference, held in Perth, Australia, from February 9–10.
Australia’s Minister for Foreign Affairs, Senator Penny Wong, and Nepal’s counterpart Minister for Foreign Affairs, Narayan Prakash Saud, witnessed the signing of the Australia-Nepal Trade and Investment Framework Arrangement (TIFA).
Tim Watts MP, Australia’s Assistant Minister for Foreign Affairs, and Ambassador of Nepal to Australia, Kailash Raj Pokharel, signed the TIFA, which seeks to deepen economic relations and promote expanded trade between Australia and Nepal, according to the Australian Embassy in Nepal.
Australia and Nepal enjoy strong bilateral relations, including in trade and investment. Australia is Nepal’s sixth-largest foreign investment partner and an international destination of choice for higher education and vocational training for Nepali students.
Australia is supporting Nepal’s tourism industry recovery. Almost 39,000 Australians visited Nepal in 2023, making Australia’s fifth largest source of foreign tourists. Nepal’s export of services to Australia jumped from $78 million to $160 million in 2022–23, led by strong growth in travel services to Nepal.
Flourishing people-to-people links between the two countries have created a solid foundation for growing, mutually beneficial economic relations. The Nepali diaspora community numbers more than 150,000 and is well placed to further develop bilateral economic and commercial opportunities. Sectors such as tourism and hospitality, Nepal’s emerging information and communications technology sector, and agribusiness show particular promise.
The TIFA represents an important milestone as Australia and Nepal celebrate 64 years of bilateral relations in February 2024.