FNCCI and VCCI agree to deepen economic cooperation as diplomatic relations hit 50-year milestone

KATHMANDU: Nepal and Vietnam have intensified economic engagement as the two countries marked the 50th anniversary of diplomatic relations. In a high-level business dialogue held Thursday in Hanoi, private-sector leaders from both nations explored opportunities to expand bilateral trade, investment, and sectoral cooperation. The meeting brought together the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and the Vietnam Chamber of Commerce and Industry (VCCI), laying the foundation for deeper institutional collaboration.

The Nepali delegation highlighted Nepal’s growing potential in tourism, hydropower, agriculture, specialty exports, manufacturing, and cross-border trade, urging Vietnamese investors to enter Nepal’s evolving investment landscape. The dialogue comes at a time when regional economies in Asia are intensifying commercial diplomacy to counter global economic headwinds.

FNCCI President Urges Expanded Partnership

Addressing Vietnamese business leaders, FNCCI President Chandra Prasad Dhakal underscored the need to scale up economic cooperation beyond traditional diplomacy.

“Diplomatic relations between our two countries have completed 50 years. Now the time has come to advance our economic partnership. There is immense potential for collaboration,” Dhakal said.

He emphasized Nepal’s export potential in handicrafts, tea, coffee, herbs, and niche agro-products, asserting that Vietnam can become a significant market for these goods. At the same time, he noted that Nepal can absorb Vietnamese products such as electronics, agro-commodities, seafood, and light manufacturing goods, creating complementary value chains between the two economies.

Dhakal added that Nepal’s environment for foreign direct investment (FDI) has progressively improved, citing reforms in licensing, customs, taxation, and legal protection frameworks.

“FDI conditions are improving. Laws are becoming investment-friendly. Administrative reforms are moving forward, and the government is alert regarding foreign investment protection,” he said.

He invited the Vietnamese delegation to attend FNCCI’s upcoming Annual General Meeting in Nepal to observe the country’s business climate firsthand.

VCCI Highlights Fresh Potential for Trade and Investment

Nguyen Quang Vinh, Deputy Executive President of the Vietnam Chamber of Commerce and Industry, welcomed the Nepali delegation and reaffirmed Vietnam’s commitment to enhancing economic cooperation.

“There has not been significant cooperation in trade and investment so far. However, the potential is enormous, and we are keen to expand partnership with Nepal,” he said.

Vinh stressed the need to build strong institutional ties between FNCCI and VCCI to unlock opportunities in trade diversification, joint ventures, technology exchange, MSME collaboration, agriculture, manufacturing, and services.

Nepal’s Ambassador Calls for Strategic ASEAN–South Asia Economic Linkages

Nepal’s Ambassador to Thailand and Vietnam (concurrently accredited), Dhana Bahadur Oli, highlighted global economic uncertainty and noted that Nepal and Vietnam must deepen cooperation to capitalize on emerging opportunities.

He urged Vietnamese businesses to explore investment possibilities in Nepal’s priority sectors, including energy, infrastructure, agro-processing, tourism, and industry. Ambassador Oli emphasized that the 50-year diplomatic milestone should translate into concrete economic progress.

Private-Sector Delegation Strengthens Outreach

Senior office-bearers and executive members of FNCCI participated in the dialogue, reflecting growing private-sector interest in forging ties with ASEAN economies. Industry experts note that Vietnam’s rapid economic growth, technology ecosystem, and manufacturing competitiveness could provide Nepal with new avenues for trade diversification and investment partnerships.

The event in Hanoi is expected to pave the way for formal cooperation between FNCCI and VCCI, particularly in areas such as:

With global supply chains shifting and South–East Asia emerging as a manufacturing hub, Nepal’s private sector sees Vietnam as a strategic partner for economic expansion.