Nepal, India to sign more than three MoU
KATHMANDU: Foreign Minister Sujata Koirala is leaving for India tomorrow for a three-day official visit.
During her visit, FM Koirala is scheduled to meet leaders of political parties in New Delhi and senior members of the business community in Mumbai.
Speaking with The Himalayan Times about her India visit, minister Koirala Said that her visit was a goodwill visit. “Besides, talks on bilateral interests and concerns will also be held.”
Her visit is regarded as a preparation of Prime Minister Madhav Kumar Nepal’s India visit that is scheduled for August 18.
According to a source at Foreign Ministry, during the time of the PM Nepal’s visit, Nepal and India will sign more than three Memorandum of Understanding (MoU).
The first MoU is related to the Trade and Transit Treaty 1996 that needs to be renewed on every five years. Nepal and India have reached a new agreement that treaty would be renewed every seven years. Moreover, both the countries have agreed to change some provision in the treaty. Ministry of Finance has been working on the draft of this MoU.
Likewise, both countries will also make a deal on another MoU related to bilateral investment protection and promotion. It aims at fostering foreign investment in both countries. Foreign investors in both the countries are facing problems such as labour issues, security and tax. After signing of this MoU, it is believed that the investors will be encouraged to investment in Nepal, the source said.
Likewise, another MoU is related to the taxation. Both countries will sign the MoU on avoidance of double taxation. This MoU will give relief to those investors who are investing and paying taxes in both countries.
Madhan Kumar Bhattarai, spokesperson at Ministry of Foreign Affairs informed that they were consulting with ministers about the issues of India visit. PM Nepal, along with ministers, high-ranking government officers, industrialists and journalists, will embark on his maiden India visit after assuming his office in May.