Kathmandu: Nepal and India have signed three significant agreements aimed at strengthening bilateral cooperation in digital payments, post-earthquake reconstruction, and artificial intelligence (AI). The agreements were announced during a bilateral meeting held in New Delhi between senior officials of the two countries, according to the Nepali Embassy in India.

One of the major developments is the formal launch of a person-to-person (P2P) cross-border digital payment service. The service is being implemented under an agreement signed in 2023 between Nepal Clearing House Limited (NCHL) and India's National Payments Corporation of India (NPCI). The system is expected to make it easier for citizens of both countries to transfer funds digitally across the border.

The new payment mechanism is expected to benefit travelers, students, workers, and businesses engaged in cross-border activities. While Indian visitors have already been able to use digital payment services in Nepal, the new arrangement will also facilitate digital transactions for Nepali citizens in India.

The two countries also announced the formal handover of 84 reconstruction projects completed in Nepal with Indian financial and technical assistance. Of these, 72 projects are related to the health sector, while the remaining 12 focus on the restoration and preservation of cultural heritage sites.

In the technology sector, a Memorandum of Understanding (MoU) was exchanged between the Engineering Center for Digital Public Infrastructure and Artificial Intelligence under Kathmandu University and India’s Digital India Bhashini Division. The collaboration aims to develop a national digital infrastructure for a voice-first language translation platform and promote multilingual digital services powered by artificial intelligence.

During his visit, Nepal’s foreign affairs leadership emphasized the importance of moving bilateral relations into a new phase of cooperation. The government expressed its intention to strengthen partnerships with India in areas such as connectivity, energy, trade, technology, and digital innovation, while working toward a more forward-looking and collaborative relationship between the two neighboring countries.