Nepal-Australia Relations

Nepal- Australia Bilateral Relationship

The diplomatic relationship between Nepal and Australia was established in 1960. Since then, the relations between the two countries have always been marked by friendship and mutual understanding resulting in the steady growth in bilateral contacts and economic and technical cooperation between the two countries.

Australia’s relations with Nepal have been built on development assistance and people-to-people links through tourism and education. According to a recent Australian government report, there are approximately 36,490 people of Nepalese ancestry living in Australia. Many of these people are international students, who comprise of approximately 35% of the Nepalese-Australian community.  The number of private students has increased rapidly, and the Australian Government funds a scholarship program for Nepalese students who wish to study in Australia. Australia has maintained strong tourist ties with Nepal, with 25,300 Australian tourists visiting Nepal between 2014 and 2015. There are also many active Nepal-Australia Friendship societies in Nepal and Australia. The relationship between Australia and Nepal has recently been strengthening due to increased migration, development assistance, and tourism between the nations, which has allowed for a deeper bond between Australia and Nepal.

Many possibilities exist for increased relations between Australia and Nepal in the areas of hydropower, tourism, and infrastructure development, as well as the delivery of education services. Relations in these industries would be mutually beneficial and a positive step forward in the bilateral relationship between Australia and Nepal.

Nepal – Australia Economic and Technical Cooperation

Nepal was included in Australia’s development cooperation program in 1979 following the establishment of diplomatic relations. Over the years, the Australian Government and private sector have contributed to the economic and social development of Nepal through assistance in the fields of health, education, forestry, hydroelectricity, training human resources, rural development, volunteer service, strengthening governance and peace-building, among others.

Nepal exports clothing, floor covering, carpet, cotton dress, paintings and pastels to Australia and imports refined petroleum and vegetables. Two-way merchandise trade between 2014 and 2015 totaled $54.8 million, with exports to Nepal valued at $24 million.

As of 2014, Australia had invested in 32 different industries, service sectors and other fields, producing NRs of $31million.

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