India and Nepal have agreed to review, adjust and update the Treaty of Peace and Friendship of 1950 to reflect the current realties. The decision was taken at the meeting of the Indo-Nepal Joint Commission co-chaired by External Affairs Minister Sushma Swaraj and her Nepalese counterpart Mahendra Bahadur Pandey in Kathmandu yesterday. The Joint Commission, which met after a gap of 23 years, asked Foreign Secretaries to make necessary recommendations. It also directed Nepal-India Boundary Working Group to commence field works at the earliest.

In a joint statement yesterday evening, the two sides said the meeting reviewed the entire gamut of Nepal-India relations and affirmed that the Joint Commission will make an important contribution to strengthen the raditionally warm and close ties between the two countries. The statement said, Nepal reiterated its support for India's candidature for permanent membership of the UN Security Council.

The two ministers noted Nepal's trade deficit with India and agreed to take effective measures to address the problem.

Both sides stressed the need to complete necessary formalities to implement the Bilateral Investment Protection
and Promotion Agreement,

Visiting External Affairs Minister Minister Sushma Swaraj met Nepal's top leaders including President Ram Baran Yadav and Prime Minister Sushil Koirala. Swaraj also met UCPN-Maoist chief and Leader of Opposition Prachanda. The Nepalese leaders said the historic opportunity in taking bilateral ties with India to the next level must be seized by both the countries.

Describing Swaraj’s meetings with Nepalese leaders as very fruitful and satisfying, the Spokesperson in the Ministry of External Affairs Syed Akbaruddin said her principal message during all the engagements was to emphasise that the new government in India is very keen to impart renewed momentum to the multifaceted bilateral ties.