Nepal - China bilateral economic cooperation and its impact to Nepal

Nepal and China have been enjoying good neighborly respects and benefit since the establishment of diplomatic relations on August 1, 1955. Both countries respect the spirit of real friendship and mutual support. Nepal has formally committed to One-China policy and committed not to allow its soil to use against China. Two countries have enjoyed and fruitful bilateral relations characterized by amity and goodwill, equally and harmony and mutual support and cooperation. They pursuit of social and economic development by exchanging cooperation in trade, tourism, investment and connectivity, building human capital and infrastructure and deepening people to people relations is at the center of Nepal-China bilateral relations. There are enormous possibilities for further promoting socio-economic transformation and raising the living standard of the people through cooperation and joint collaboration in various areas of mutual interest. Cooperation under the Belt and Road Initiative (BRI) is of great significance for Nepal and China. This paper has been conducted to examine the economic impact of bilateral economic cooperation of Nepal and China. The economic impact of bilateral economic cooperation of Nepal with China has been analyzed in terms of Chinese economic assistance, FDI inflows of Nepal from China, trade of Nepal with China and tourist arrivals from China. Descriptive and analytical research design has been applied to analysis the data by using simple statistical tools. The results show that there have been positive influences on Nepalese economy with bilateral economic cooperation of China.