Archive · 25 Dec 2025
India-Nepal Trade Expected to Double by 2030
India and Nepal are very important trading partners.
India buys and sells a lot of things to and from Nepal.
Right now, they trade about USD 8.7 billion worth of goods every year.
India sells things like oil, machines, and medicine to Nepal, and Nepal sells electricity and farm products to India.
Experts think this trade will double by 2030.
India also invests a lot in Nepal, especially in things like power plants and banks.
This helps Nepal grow and makes both countries stronger economically.
Nepal has a lot of potential for making electricity from water, and they are starting to sell more of this to India.
This helps Nepal earn money and helps India use cleaner energy.
Bilateral trade between India and Nepal reached USD 8.7 billion in FY 2024–25, with India being Nepal's largest trading partner.
India's exports to Nepal include petroleum products, machinery, vehicles, pharmaceuticals, food items, and construction materials.
Nepal's exports to India include electricity, agricultural products, iron and steel items, and manufactured goods.
Indian companies account for 30–35% of Nepal's total FDI stock, with investments spanning hydropower, manufacturing, banking, and more.
Nepal's hydropower potential is over 40,000 MW, with plans to export up to 10,000 MW of electricity to India over the next decade.
- Who
- India and Nepal
- What
- Bilateral trade and investment
- When
- Next five years (by 2030)
- Where
- India and Nepal
- Why
- Strengthening business linkages and sustained investment flows
- Total Bilateral Trade (FY 2024–25)
- USD 8.7 billion
- India's Exports to Nepal
- USD 7.4 billion
- Nepal's Exports to India
- USD 1.3 billion
- Indian FDI in Nepal
- USD 750–800 million
- Nepal's Hydropower Potential
- Over 40,000 MW
- Nepal's Electricity Exports (FY 2024–25)
- NPR 17–18 billion (USD 130 million)
- Projected Nepal's Electricity Exports to India
- Up to 10,000 MW over the next decade