Aug 25, Kathmandu - Foreign Minister Shishir Khanal emphasized the need to advance Nepal-U.S. relations beyond traditional development aid, focusing instead on investment, trade, technology, and entrepreneurship. Addressing a program organized by the Center for South Asian Studies-Nepal on the 250th anniversary of American independence, Khanal expressed the Nepalese government’s commitment to redefine bilateral ties on a new economic foundation.

Khanal highlighted Nepal’s ongoing transition from an aid-dependent economy to one driven by private sector dynamism, foreign direct investment, and high-value trade. “Nepal is preparing to upgrade from an underdeveloped nation to a more advanced economy, and our bilateral relationship must reflect this transformation,” he stated.

The Foreign Minister outlined three strategic areas for deepening Nepal-U.S. economic cooperation:

1. Digital Transformation: Linking Nepal’s talented youth and IT workforce with American innovation ecosystems and capital to foster digital growth.
2. Clean Energy and Climate Resilience: Expanding collaboration in renewable hydropower, cross-border power transmission infrastructure, and the conservation of Himalayan ecological systems.
3. Diaspora Engagement: Connecting the Nepalese diaspora in the U.S. with technology transfer, trade relations, and entrepreneurship development to support Nepal’s economic transformation.

Khanal also noted that the upcoming year marks the 80th anniversary of establishing diplomatic relations between Nepal and the United States, which are rooted in shared democratic values, mutual respect, and strong people-to-people ties.

He recalled the long-standing support from the U.S., citing initiatives such as the malaria control programs of 1954, the National Malaria Eradication Program of 1958, the Peace Corps volunteers from 1962, and the Fulbright Program as examples of enduring partnership. Additionally, he highlighted the recent cooperation in infrastructure development, including clean energy transmission and road connectivity, especially following the devastating 2015 earthquake, which saw significant humanitarian and reconstruction aid from the U.S.

Khanal’s remarks underscore a strategic shift in Nepal-U.S. relations towards a future centered on economic growth, technological innovation, and sustainable development.