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Foreign Minister Arzu Rana Deuba has expressed her hope that joint partnership and connectivity in various sectors between Nepal and India would lay the foundation for shared prosperity between the two nations.

Inaugurating the Nepal-India Strategic Dialogue in Kathmandu today, she underscored the need to speed up cooperation in trade, transit and investment between the two countries and advance economic partnership through connectivity.

 “I look forward to a future where ginger from Nepali farmers reaches the Mumbai market within 24 hours and an Indian tourist reaches Pokhara on an evening flight after finishing a morning meeting in Delhi. This kind of proximity should be the basis for economic prosperity for the citizens of the two countries.”

Citing the ago-old Nepal-India relations, built on shared values, culture and emotions and people-to-people contacts, she said enhancing cooperation and connectivity would help shape a prosperous future for both countries.

She stressed the need for investing in roads, railways, waterways, air routes, and digital infrastructure to increase mutual connectivity. “A seamless connectivity between the two countries will not only support regional and global supply chains, but also enhance transit trade and border economies. This will benefit the citizens of both countries.”

Stating that the current global economic scenario is shifting towards a knowledge-based economy, services and digital platforms, Minister Rana stressed the need for both countries to jointly focus their efforts on digital economy, technology and innovation, modern education system, skill development and creative economy.

Highlighting the energy sector as a notable example of cooperation between the two neighbors, she said that Nepal’s vast hydropower potential will provide a clean, renewable energy source, which she said will be useful for the future generations.

She added India's commitments to importing 10,000 MW of electricity from Nepal in the coming decade reflects Nepal-India cooperation in the energy sector. "The two countries have further strengthened cooperation in the power sector, including developing transmission interconnections, grid connectivity and power exchange, and cross-border power trade."

Minister Rana proposed collaboration between India's expertise in digital innovation and Nepal's young and tech-savvy population. "We should promote tech hubs, start-ups and digital innovation platforms in mutual cooperation and let our youth work together, use technology and move forward on the path of prosperity."

Calling for joint efforts to tackle shared challenges posed by climate change especially amid rapid technological advancements and shifting geopolitical dynamics, she expressed gratitude to the Government of India for its cooperation and support for successfully organising the "Sagarmatha Sambaad" recently in Nepal.

Reiterating Nepal's commitment to a future of peace, stability and prosperity through partnerships with its neighbors and international friends, the minister underscored that such dialogues are vital for deepening Nepal-India relations, promoting the exchange of ideas, and strengthening the people-to-people relations.

An International Monetary Fund (IMF) team led by Sarwat Jahan concluded a two-week visit to Nepal on June 10, reaching a staff-level agreement with Nepali authorities on the policies and reforms needed to complete the sixth review under the Extended Credit Facility (ECF).

The agreement, which remains subject to approval by the IMF’s Executive Board, would unlock approximately $42.7m in financial assistance. This will bring Nepal’s total disbursement under the ECF to about $331.8m out of an approved $394.75m.

In a statement at the end of the mission, Jahan noted that Nepal has made “satisfactory” progress on its ECF-supported reform agenda, despite some delays in child welfare grant targets. Key completed or near-complete reforms include the finalization of a tax expenditure report, revised National Project Bank guidelines, and a roadmap following a Loan Portfolio Review (LPR). Progress has also been made on amending the Nepal Rastra Bank (NRB) Act, incorporating recommendations from previous IMF assessments.

The IMF mission observed that Nepal’s economy is gradually recovering, supported by improvements in construction, manufacturing, hydropower, and agriculture. GDP growth for 2024/25 is projected to exceed four percent, while inflation eased to 3.4 percent in April following a post-flood spike. The country’s external position has strengthened thanks to rising exports, remittances, and tourism.

However, financial sector vulnerabilities persist. Non-performing loans (NPLs) rose to 5.2 percent in April 2025, impacting bank capital, and concerns remain about the health of savings and credit cooperatives (SACCOs).

Looking ahead, the IMF projects stronger growth in 2025/26 with inflation likely to remain within the central bank’s target range. Yet risks—including weak capital project execution, global uncertainties, and policy disruptions—remain.

The upcoming fiscal year’s budget is broadly aligned with IMF goals to ensure fiscal discipline, boost capital spending, promote private investment, and expand social programs such as the public school midday meal initiative.

The IMF emphasized the need for a cautious approach to establishing an Asset Management Company and highlighted the importance of strengthening the insolvency framework and debt recovery systems. It also praised Nepal’s progress on improving its legal framework for anti-money laundering and counter-terrorism financing.

During the visit, the IMF team held meetings with Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel, National Planning Commission Vice-chairperson Shiva Raj Adhikari, Nepal Rastra Bank Governor Biswo Poudel, and other high-level officials, as well as stakeholders from the private sector and development partners. “We are grateful to the Nepali authorities for their hospitality and for open and constructive discussions,” Jahan concluded.

China has included Indonesia in its 240-hour visa-free transit policy, raising the number of eligible countries to fifty-five, the National Immigration Administration announced Thursday.

Indonesian passengers can now transit through sixty designated ports in twenty-four provincial-level regions and stay in China for up to ten days without a visa, as long as they are on their way to a third location, Xinhua reported.

The move aims to enhance international travel and promote cross-border exchanges.

Residents of Dakle village in Amargadhi Municipality-8 are finally relieved after water taps were installed in every household, ending years of acute drinking water shortages. According to Hansha Bahadur Thapa, Chief of the Drinking Water and Sanitation Division Office, around Rs 250m has been spent on providing drinking water to these villages since the fiscal year 2019/20.

In the current fiscal year, every house in the village has at least one tap, installed at a cost of Rs 1.6m. Since last year, 80 households have received water connections. The Division Office stated that once the ongoing work is completed this fiscal year, the community will have sufficient drinking water.

Under the Dadeldhura Lift Drinking Water Project–Ugratara, water is being pumped using solar energy from a source located 750 meters below the village. The project spans two kilometers and began in 2020 with an initial investment of Rs 3.6m. According to Shyam Sanki, Chairperson of the Consumers’ Committee, the project’s funding has increased to Rs 2.5m this year. He added that only the construction of the watchman’s building remains and that the drinking water supply has been fully restored.

Dakle village, which comprises around 100 households, previously relied on just two to four shared taps. Under the ‘One House, One Tap’ scheme, the Division Office is investing Rs 15m in the current fiscal year 2024/25 alone.

Previously, under the Pokhara Drinking Water Scheme in Amargadhi-7, residents had to walk over 30 minutes to fetch water—carrying 50-liter containers from two public taps near the Ugratara Temple, the temple’s own tap, or a community tap. “We had to walk even farther during dry seasons, as nearby wells would dry up, forcing us to fetch water from neighboring villages,” said Nar Bahadur Sanki, Chairperson of Amargadhi-8. “But since last year, that problem has been solved with tap connections in every home.”

Similarly, in Kade village, located in Amargadhi-3 of the Doti area, a tap has been installed in each of the 90 households under the Ghatal Kalakhaya Drinking Water Scheme. The project, completed this fiscal year at a cost of Rs 2m, has brought significant improvements.

“There were only 10 taps in the village earlier,” said Ganesh Seti, Chairperson of the Consumers’ Committee. “Five to ten families would have to queue at a single tap to collect water for drinking, livestock, and sanitation. Now, with taps in every house, access to water has become much easier for everyone.”

The Australian government has reaffirmed its commitment to AUKUS, a trilateral security pact with the United States and the United Kingdom focused on defense technology sharing, including nuclear-powered submarines.

The US Department of Defense has initiated a review of the agreement to ensure that it aligns with US President Trump's goals. Australian Defence Minister Richard Marles called the review as "natural" and expressed confidence in the submarine contract, according to Xinhua.

During a recent meeting, US Defense Secretary Pete Hegseth urged Australia to raise defense spending to 3.5 percent of GDP, which Prime Minister Albanese declined.

The price of gold has increased by Rs 1, 600 per tola in the domestic market on Thursday.

According to the Federation of Nepal Gold and Silver Dealers’ Association, the precious yellow metal is being traded at Rs 192, 900 per tola today. It was traded at Rs 191, 300 per tola on Wednesday.

Similarly, the silver is being traded at Rs 2, 150 per tola today.

The East-West Highway has been obstructed after a flood swept away 'diversion' at Dumkibas in Nawalparasi (Bardghat Susta East) district.

Vehicular movement along the highway was obstructed after the flood washed away the diversion this morning, Deputy Superintendent of Police at District Police Office, Madhu Nepal said.  

He said that there is nothing to do immediately for resuming transportation as the flood is continuing.

With the diversion being washed away, the alternate route of Hongsi Gate towards Sardi has been brought into operation for light and passenger-ferrying vehicles.

Meanwhile, according to Shiva Khanal, Information Officer of the Butwal-Narayanghat road expansion project, the new bridge has been completed.

The plan is to operate the bridge from the last week of June, he said.

A Chinese-backed militia is protecting new rare earth mines in eastern Myanmar, according to four people familiar with the matter, as Beijing moves to secure control of the minerals it is wielding as a bargaining chip in its trade war with Washington, Reuters reported.

China has a near-monopoly over the processing of heavy rare earths into magnets that power critical goods like wind turbines, medical devices and electric vehicles. But Beijing is heavily reliant on Myanmar for the rare earth metals and oxides needed to produce them: the war-torn country was the source of nearly half those imports in the first four months of this year, Chinese customs data show.

Beijing's access to fresh stockpiles of minerals like dysprosium and terbium has been throttled recently after a major mining belt in Myanmar's north was taken over by an armed group battling the Southeast Asian country's junta, which Beijing supports, according to Reuters.