Bilateral relations
Diplomatic relations between Nepal and the Federal Republic of Germany were established on 4 April 1958. Since then the relations between Nepal and Germany have been growing on the foothold of friendship, mutual understanding and cooperation. Both the countries have established residential Embassies in each other’s capital cities. Nepal established its Embassy on 05 July 1965. The Federal Republic of Germany has its Embassy in Kathmandu since 1963. Various programs were organized in Germany and Nepal to celebrate the 60th year anniversary of the establishment of diplomatic relations between these two countries in 2018.
Exchange of visits
Exchange of visits at various levels has contributed to strengthening the close and cordial relations between the two countries. Since the restoration of democracy in 2006, high-level visits have become more frequent.
From the Nepali side
- Foreign Secretary Mr. Shanker Bairagi visited Germany on 29 June-1 July 2018 and had bilateral meeting with Minister of State for Foreign Affairs H.E. Mr. Niels Annen.
- Minister for commerce and Supplies Mr. Lekh Raj Bhatta visited Berlin on 28 February 2012 In connection with the Nepal Investment Year 2012.
- Foreign Minister Mr. Upendra Yadav visited Germany in March 2009 leading a delegation.
- Prime Ministers Late Girija Prasad Koirala (in Feb 1995 and September 2000), Late Man Mohan Adhikari (in April 1995) and Mr. Madhav Kumar Nepal (as Deputy Prime Minister and Minister for Defence and Foreign Affairs in Feb 1995), and other high dignitaries of Nepal visited Germany.
- Late King Birendra and late Queen Aishwarya paid State Visit to Germany in October 1986.
From the German side
- First lady of Germany Mrs. Elke Budenbender visited Nepal in her capacity as patron of UNICEF in the first week of February 2020. During her visit, she met with the Rt. Honorable President Mrs. Bidya Devi Bhandari and Honorable Mr. Pradeep Kumar Gyawali, Minister of Foreign Affairs.
- A Germany Parliamentary Delegation, led by Mr. Tobias Pfluger paid an official visit to Nepal from 1-5 March 2019. During the visit, the delegation called on the Right Honourable President of Nepal Bidya Devi Bhandari, Rt. Honorable Prime Minister Mr. K.P. Sharma Oli and Honorable Minister for Foreign Affairs Mr. Pradeep Kumar Gyawali.
- Vice President of German Parliament Mrs. Claudia Roth visited Nepal in April 2017. During her visit, she paid a courtesy call to the President Rt. Hon. Mrs. Bidya Devi Bhandari.
- A German delegation headed by Ms Gudrun Kopp, the State Secretary to the German Federal Minister for Economic Cooperation and Development visited Nepal on 5-12 March 2012.
Development cooperation
Germany is one of the major donors for Nepal’s development efforts. Germany began its development cooperation to Nepal in 1961 with the technical assistance for the establishment of a Technical Training Institute at Thapathali. Germany also constructed Middle Marsyangdi Hydroelectric Project.
The latest round of Nepal-German Negotiations on Bilateral Development Cooperation was held on 19-20 September 2018 in Berlin. Energy, transmission lines and infrastructure development have been the major areas of German cooperation. Recently, Germany has decided to provide Technical Cooperation to support the Government’s initiatives to fight COVID-19.
Scientific and Academic Cooperation
A cultural agreement between Nepal and Germany was signed in 1992. Projects to restore cultural sites of Nepal, including in the cities of Patan and Bhaktapur, and German archaeologists’ important research work have been helpful in this area. A project of the University of Hamburg to catalogue Nepali (Tibetan and Newari) manuscripts was completed in 2002. Heidelberg University has its own local office in the country. Scholarships are being offered for long-term training programs in Germany, contributing to human resource development of Nepal. Goethe Centre offers German language courses. In addition, German has been taught for many years at Tribhuvan University.
Cooperation in the aftermath of Earthquake 2015
Following the earthquakes in 2015, the Federal Foreign Office of Germany provided immediate relief equivalent to EUR 3.5 Million (plus EUR 1 million also from BMZ) through various channels, especially the INGOs. The German Government pledged the support of EUR 30 million for reconstruction works to be spent under the declared priority sectors, mainly in health sector. It is estimated that around EUR 120 million was mobilized by the NGO and private sector to support the earthquake affected people.
Trade and Investment
Germany is Nepal’s major export trading country especially for carpets and textile products. Nepal’s main imports from Germany are machinery and industrial products. An investment protection agreement has been in place since October 1986. Founded in 1990, the Nepal-German Chamber of Commerce and Industry (NGCCI) in Kathmandu promote bilateral trade relations.Besides carpet, export to Germany from Nepal include handicraft, silver jewellery, garments, leather, wooden and bamboo goods, lentils, tea, essential oils from herb and aromatic plants. Nepal imports mainly industrial raw materials, chemicals, machinery equipment and parts, electric and electronic goods, vehicles etc. from Germany.
| Year | Export | Import | Total Trade | Trade Balance |
| 2014 | 33432024 | 56425312 | 89857336 | -22993288 |
| 2015 | 29895377 | 89514560 | 119409937 | -59619183 |
| 2016 | 29414081 | 41826175 | 71240256 | -12412094 |
| 2017 | 29207698 | 52067495 | 81275193 | -22859797 |
| 2018 | 29341489 | 71145963 | 100487452 | -41804474 |
| 2019 | 9991623 | 31092287 | 41083910 | -21100664 |
(Source: Trade and Export Promotion Centre, Amount in US$)
Investment and Technology Transfer
Germany has shown interest in collaborating with the Government of Nepal in security printing and management of Gautam Buddha International Airport.
Investment from Germany in Nepal from the beginning to July 2020:
| No. of Projects | Total Project Cost (Rs. In millions) | Total Fixed Cost (Rs. In millions) | Total Working Capital (Rs. In millions) | Total Amount of Foreign Investment (Rs. In millions) | No. of Employment |
| 115 | 2,932.93 | 2,603.33 | 319.03 | 1,441.72 | 4848 |
Agreements
- Bilateral Consultation Mechanism (BCM) in July 2019
- Investment Protection Agreement in October 1986
Tourism
Germany has been one of the major sources of tourist for Nepal, which is corroborated by following figures.
| Year | 2015 | 2016 | 2017 | 2018 | 2019 |
| Number | 12,216 | 23,812 | 29,918 | 36,879 | 36,641 |
Europe and the Americas Division
Ministry of Foreign Affairs
August 2020