Nepal established diplomatic relations with the Republic of Guatemala on 8 August 2006. The Ambassador of Nepal for the USA serves as the non-residential Ambassador for the Republic of Guatemala. The Ambassador of Guatemala in New Delhi serves as the non-resident Ambassador of Guatemala for Nepal. The relations with Guatemala is cordial based on goodwill and friendship. Both the countries share similar views on many international issues. Nepal upholds the primacy of multilateralism and multilateral decision making process like Guatemala.
At present, investment, development cooperation and other sectors of economic relations are almost non-existent. However, there are prospects to explore possible areas of cooperation at bilateral and multilateral levels, including climate change and as well as tourism cooperation.
There have been contacts and cooperation between the two countries in the United Nations, international organizations, international conference and meetings. Both Nepal and the Republic of Guatemala are member of the Non-Aligned Movement and the Group of 77. The two countries share common views on a number of international issues.
The size of interactions on trade, investment and tourism between Nepal and Guatemala is moderate at the moment. Some of the commodities exported by Nepal are coloring materials, carpets and textiles, work of art, etc. Commodities imported by Nepal are cardamom (small), medical or surgical instruments etc. Trade volume between the two countries for the last few years is shown in the table below:
As of July 2019, one project under the investment of the Republic of Guatemala is in operation with an investment of Rs. 2.50 million which has created 84 jobs in Nepal.