BILATERAL RELATIONS

Political Relations

Nepal and the Sultanate of Oman established their diplomatic relations on January 21, 1977. The relations between the two countries have always remained cordial and friendly. Mutual trust, respect, understanding and cooperation form the strong basis of bilateral relations.  Prior to the opening up of residential embassy in Muscat, the Embassy of Nepal in Riyadh was concurrently accredited to the Sultanate.

The Government of Nepal opened its embassy in Muscat, the Sultanate of Oman on September 1, 2013. New chancery of the Embassy of Nepal in Muscat was formally inaugurated by H.H. Mohammad Salim Ali Al-Said, Chief of Protocol Department on November 20, 2013 at Diplomatic area of Shatti Al-Qurum and started full-fledged functioning along with Consular services. The then Foreign Secretary of Nepal Mr. Arjun Bahadur Thapa later inaugurated the Embassy at its premises on December 25, 2013. At the establishment, the Embassy was headed by Charge’ d’Affaires. Now the embassy has been upgraded to the ambassador level. H.E. Sarmila Parajuli Dhakal has been appointed as the first Ambassador of Nepal to the Sultanate of Oman. The establishment of the new embassy has unlocked new potentials of cooperation between the two countries in the areas of tourism, trade and investment, as well as in further expanding employment opportunities for Nepali nationals in Oman.

Nepal and the Sultanate of Oman share similar views on several global agenda and issues. Both countries are the members of the United Nations, Non-Aligned Movement (NAM), G-77, and many other international forums. They have been working together and also playing an active role in these forums for the promotion of international peace and security, collective progress, prosperity and wellbeing of global citizens.

Exchange of Visits

Exchange of visits and interactions from time to time and at different levels between the leaders from both countries have contributed to foster goodwill and understanding between the two countries. This also provides great opportunities for both countries to broaden and deepen their bonds of friendship and ties that have been subsisting so happily for several years.

  • The Right Honourable Mr. Sher Bahadur Deuba, Prime Minister of Nepal paid an Official Visit to the Sultanate of Oman between 25-28 September 2017. The Rt. Hon’ble Prime Minister was accompanied by Hon’ble Mr. Krishna Bahadur Mahara, Deputy Prime Minister and Minister for Foreign Affairs; Hon’ble Mr. Farmullah Mansoor, Minister for Labour and Employment; Hon’ble Ms. Asha Koirala, Minister for Women, Children and Social Welfare; Dr. Dinesh Bhattarai, Foreign Affairs Advisor to the Prime Minister and Mr. Shanker Das Bairagi, Foreign Secretary, among others. MOU on Bilateral Consultation Mechanism between the Foreign Ministries of both countries was signed on 27 September 2017 during the visit. The mechanism provides the platform for enhancing bilateral relations and sharing views on ways and means for further strengthening bilateral ties.
  • Mr. Bhim Rawal, former Deputy Prime Minister, Minister of Defence, Home Affairs and vice-chairman of CPN (UML), MP, was in a three-day private visit in Oman from 23 to 25 February 2017.
  • E. Mr. Min Bahadur Shrestha, Vice Chairman of National Planning Commission and Mr. Lal Shankar Ghimire, Joint Secretary of NPC were in 3 days official visit in Oman from 27- 29 November 2016. They participated in Tanfeed program of the Government of the Sultanate of Oman.
  • Mr. Bal Krishna Khand, the then Minister for Defence, was in transit in Oman on 29 October 2016 while returning to Nepal from France.
  • Mr. Mahendra Bahadur Pandey, the then Minister for Foreign Affairs, was in transit in Oman on 24th October 2014 while returning to Nepal from Pakistan after extending invitation of 18th SAARC Summit.
  • A six-Member Nepalese delegation led by Mr. Jay Narayan Acharya, Under Secretary, Office of Prime Minister and Council of Ministries visited Oman from 26-30 July 2014.
  • Suresh Man Shrestha, the then Secretary of the Ministry of Culture, Tourism and Civil Aviation paid a three days official visit to Oman. During his visit, a memorandum of Understanding (MOU) on Air services was signed on 28 December 2014 which increased the flight frequency between two countries up to twenty-one flight a week, which was seven flights a week according to the earlier MOU signed on 2 December 1997.
  • Arjun Bahadur Thapa, the then Foreign Secretary accompanied by Mr. Kali Prasad Pokharel, the then Chief of Protocol and Mr. Buddhi Khadka, Joint Secretary of Labour Ministry paid an official visit to the Sultanate of Oman on 23-26 December 2013. During the visit, Mr. Arjun Bahadur Thapa inaugurated newly opened Embassy at its premises.
  • At the invitation of the Government of the Sultanate of Oman, an official delegation led by the then Minister for Foreign Affairs H.E. Mr. Ranadhir Subba had represented Nepal at 15th National Day of Oman in November 1985.
  • Late King Birendra and Queen Aishwarya paid visit to Oman in 1986.

Economic Relations

Since both countries are endowed with abundant natural resources, there exists tremendous scope for promoting further cooperation between the two countries in the fields of investment, trade, tourism and human resource utilization. Nepal could be a destination country for tourism, trade and investment opportunity for Omani nationals. Both Nepal and Oman should further strengthen their economic ties in the domain of having their competitive strength.

Virtually there is no investment in Nepal from Omani nationals. However, Nepal could become a destination of choice for them for investment opportunity in Nepal. Nepal has adopted liberal economic policies since the early 1990s. Those policies are in need of timely amendment in the context of rapid pace of globalization and regionalism. The Government of Nepal is in the process of making timely adjustment in various rules and regulations relating to business and investment climate in order to ensure an investment-friendly environment in the country and accelerate the momentum of economic transformation. Necessary changes are, therefore, being made in the foreign direct investment policies, procedures, laws and regulations. There are no legal and practical barriers to hinder investment proceeds.

The trade between Nepal and Oman is negligible and is in favor of the Sultanate of Oman. Nepal imported mainly Organic Compound, Plate Sheet, Film, Foil, Strip of Plastic, Motor Car and Parts of Accessories of Motor Vehicle. Nepal exported mainly carpets, knotted of wool or fine animal hair. According to Trade and Export Promotion Center, Nepal exported items of USD 30,449 and imported of USD 3,620,836 (data from Jan 2014 to June 2016). There is need of enhancing trade relations in the interest of both Countries. If explored and pursued, Nepalese tea, yarchagumba, silajit, vegetables, honey, handicrafts, carpet, pasmina, seem to be viable and profitable export items to Oman. In order to explore the possibility of trade between the two countries and establish trade linkages, frequent regular meetings and discussion between the two Chambers of Commerce and Industries as well as between businessmen of the two countries may prove useful.

It would be in the interest of both countries to explore and expand the areas of co-operation in trade, investment, services, and infrastructure development with each other.

Tourism

Tourism is an important area where both countries need to cooperate for mutual benefit. So far, there is a small inflow of Omani nationals and expatriates to Nepal. Nepal could provide best alternative ambience for Omani tourists to spend their holidays away from the bustle of modernity. There is indeed a great potential for attracting Omani tourists through dissemination and publicity of natural beauty, culture and hospitable Nepalese people. Nepal can be destination of choice for Omanis. The embassy need to be provided with enough resources to effectively play its role in this regard. The Ministry may advise the concerned government authorities, including Tourism Promotion Board, to produce tourism promotion materials in Arabic Language, which might help promoting Nepal in whole Arabic Region.

Labour Diplomacy

As part of economic diplomacy, the Government of Nepal has adopted the policy of sending Nepali nationals for overseas employment with honor and dignity. Pursuant to this policy, Nepali people are increasingly going abroad for employment purposes. The sultanate of Oman has become one of the most preferred destinations for employment opportunities for Nepali workers. The flow of Nepali people to Oman is increasing year by year. It is estimated that the Sultanate has been currently employing around 16,000 Nepali workers.

Dedication to work, loyalty, sincerity and integrity are some attributes of Nepalese workers that have enabled them to earn the trust and goodwill of the people and the Government of the Sultanate of Oman. The prospect of employment in Oman is ever growing following the massive construction of infrastructures and real estates and their modernization in Oman. 

Special Relations to be noted with high priority: 

After the massive earthquake of 25 April 2015, Oman appointed H.E. Mr. Farhad as a special envoy to Nepal to coordinate rescue and relief activities for a month. The Government of Sultanate of Oman sent 40 trained personnel for after-quake rescue operation in Nepal immediately after 25 April 2015 when the disastrous quake hit Nepal. The Sultanate also offered a substantive scale of relief materials to the quake-hit people. Oman Charitable Organization sent medicines and other materials to Nepal for the needy people. The embassy, with the help of Nepalese community in Oman collected nearly 1,35,00,000 NRS as relief for the earthquake victims and sent to the Prime Minister’s Disaster Relief Fund.

MOUs between Nepal and Oman

  • MOU on Bilateral Consultations, 27 September 2017
  • MOU on Air services, 28 December 2014

Pending MOUs/Agreement

  • Memorandum of Understanding (MoU) in the field of “Labour and Training”
  • Agreement for the “Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income”
  • Agreement on “Visa Exemption for Diplomatic and Official/Service Passports”