India has announced a credit line of 1 billion dollar for Nepal's infrastructure development and energy projects including increase of number of scholarship to its students. Earlier india had provided 250 million rupees line of credit through the EXIM Bank of India.
Besides, India has provided 69 million rupees to procure and distribute Iodised salt in the rural areas of Nepal. A Memorandum of Understanding to this effect was signed in the presence of visiting Indian Prime Minister Narendra Modi and Prime Minister Sushil Koirala.
The MOU aims to address the health problems faced by Nepali people due to Iodine deficiency in far-flung area in the country.
The two governments also signed MOUs regarding the amendment of Terms of Reference of Pancheshwor Multipurpose Project on the Mahakali river as well as for the cooperation between two national broadcasting channels-Nepal Television and Doordarshan.
Prime Minister Narendra Modi and his Nepalese counterpart Sushil Koirala, exchanged views on political developments in their respective countries.
Prime Minister Koirala mentioned the ongoing peace process in Nepal and stated that drafting of new constitution was the Government's top most priority. He added that Nepal would be an inclusive society as a federal democratic republic.
He thanked the Government of India for its support to Nepal's peace process. He also informed Nepal's plan to graduate from LDC status by 2022 and expected India's cooperation in this endeavour. Mr. Modi expressed his willingness to extend all possible support to Nepal's peace process and its development.
Following the meeting, the two Prime Ministers held delegation-level talks in which the two sides reviewed the overall state of bilateral relations and cooperation between Nepal and India. They expressed satisfaction at the reactivation of Nepal-India Joint Commission with its 3rd meeting in Kathmandu recently, and directed their respective authorities to take up the implementation of the decisions taken during the Joint Commission meeting.
The two delegations discussed a wide range of issues between the two sides, including political cooperation, trade and transit, development cooperation, water resources, earlier treaties and agreements including the 1950 Treaty of Peace and Friendship, mutual security, and boundary issues. Mr Modi said India stands ready to resolve boundary issues and take measures to narrow Nepal's trade deficit.
He urged Nepal to capitalize the huge opportunities available in India as a huge market for the Nepalese products.
The two Prime Ministers underscored the importance of building trust between the two countries and move forward with a new vision.
At the conclusion of the bilateral talks, both Prime ministers singed the commemorative cover to be published by the Nepal Philatelic Bureau to mark the historic high-profile Indian visit to Nepal.
