More information about Nepal is available on the Nepal Page and from other Department of State publications and other sources listed at the end of this fact sheet.
U.S.-NEPAL RELATIONS
The United States recognized Nepal in 1947, and the two countries established diplomatic relations in 1948. Bilateral relations are friendly, and U.S. policy objectives center on helping Nepal build a peaceful, prosperous, resilient and democratic society. Primary U.S. objectives in Nepal include supporting a stable, democratic Nepal that respects the rule of law; promoting investor-friendly economic development; and improving disaster risk management systems.
The United States enjoys a strong and positive relationship with Nepal. Years of diplomacy, development, and military engagement have advanced U.S. interests as Nepal has evolved into a more peaceful, stable democracy with significant economic potential. Since the end of its 10-year civil war in 2006 and the devastating earthquakes of 2015, Nepal has successfully transitioned into a constitutional federal republic grounded in a constitution promulgated in 2015.
U.S. Assistance to Nepal
Officials from Nepal and the United States meet regularly at the highest diplomatic levels to discuss a variety of issues including: assistance provided by USAID, the largest bilateral donor in Nepal; Millennium Challenge Corporation (MCC) coordination and implementation; trade (including technical assistance); security and defense cooperation; and humanitarian assistance and disaster response.
To improve Nepal’s economic situation, the MCC signed, in 2017, a $500 million Compact with Nepal to expand Nepal’s electricity transmission infrastructure and improve its road maintenance regime. The Nepali government has committed another $130 million for a program total of $630 million. The Compact will build 300 kilometers (km) of high-voltage electric transmission lines, three substations, perform enhanced road maintenance on 305 km of strategic highways, and provide technical assistance to the national electric utility, the new electricity regulator, and the Department of Roads.
The United States Agency for International Development (USAID) is advancing the USG’s Indo-Pacific vision through bilateral and regional partnerships to strengthen democratic systems, foster economic growth, and improve the management of natural resources. USAID’s work in Nepal supports these objectives by promoting transparency and inclusive governance; supporting smart investment policies, regulations and practices; and advancing the sustainable management of natural resources. USAID’s efforts support Nepal’s continued development into a self-reliant and resilient partner with the aim of bolstering the security and economic prosperity of both the United States and the region. USAID remains the leading international donor agency in health and education in Nepal, creating a healthier population through strengthening Nepal Government’s health systems and improving early grade reading skills for primary school students by delivering assistance to school systems nationwide.
U.S. assistance, primarily implemented through USAID, has been critical to helping Nepal rebuild after the devastating 2015 earthquake. The United States has provided over $190 million for earthquake relief, recovery, and reconstruction. These commitments exceeded our initial pledge of $130 million made at the International Conference on Nepal’s Reconstruction in June 2015. Although significant recovery needs remain, the United States, to date, has built 36 schools and hospitals; has directly helped rebuild over 16,000 homes; trained 260,000 people in safer construction; and developed policies, systems, and controls to ensure that $8.6 billion in reconstruction results in safer structures for all. In addition to rebuilding a safer Nepal, we are helping Nepal institutionalize all lessons learned from the 2015 earthquake. USAID is also helping Nepal implement its new disaster management law, and stand up a new National Disaster Management Authority.
The United States remains committed to building Nepal’s resilience in the event of any future disaster, including the COVID-19 crisis. As of June 2020, the U.S. has provided over $7 million in assistance to Nepal in response to the pandemic. We also continue to support Nepal as it introduces federalism by working with newly elected local governments to implement their own disaster management plans-thus helping local authorities meet commitments made to their constituencies. These efforts will help Nepal on its journey to self-reliance.
The United States has also committed security assistance to Nepal, working with the Nepali Army to strengthen their peacekeeping and disaster response capabilities.
Bilateral Economic Relations
The United States and Nepal have signed a trade and investment framework agreement, providing a forum for bilateral talks to enhance trade and investment, discuss specific trade issues, and promote more comprehensive trade agreements between the two countries. In 2016, Nepal became one of few countries in the world with a single-country trade preference program with the United States. Principal U.S. exports to Nepal include agricultural products, aircraft parts, optic and medical instruments and machinery. U.S. imports from Nepal include carpets, apparel and jewelry.
Nepal’s Membership in International Organizations
Nepal and the United States belong to a number of the same international organizations, including the United Nations, International Monetary Fund, World Bank, and World Trade Organization.
Bilateral Representation
Principal embassy officials are listed in the Department’s Key Officers List.
Nepal maintains an embassy in the United States at 2730 34th Pl NW, Washington, DC 20008 (tel: 202-667-4550).
More information about Nepal is available from the Department of State and other sources, some of which are listed here:
CIA World Factbook Nepal Page
U.S. Embassy
USAID Nepal Page
History of U.S. Relations With Nepal
Office of the U.S. Trade Representative Countries Page
U.S. Census Bureau Foreign Trade Statistics
Library of Congress Country Studies
Travel Information
Millennium Challenge Corporation: Nepal
Source: U.S. Department of State, Bureau of South and Central Asian Affairs
