India-Nepal Treaty of Peace and Friendship

  • Signed in 1950
  • It is a bilateral pact between the Government of Nepal and Government of India inked at Kathmandu on July 31, 1950.
  • The treaty permits free movement of people and goods between the two countries and a close relationship and collaboration on matters of defence and foreign affairs. 
  • The treaty has 10 articles and envisages for eternal peace and friendship between the two nations.
  • According to Articles 6 and 7 of the treaty, the two countries agree to grant, on reciprocal basis, to citizens of one country in territories of other, same privileges in matter of residence, ownership of property, participation in trade and commerce, movement and other privileges of similar nature.
  • This enables the Nepali and Indian nationals to move freely across border without passport or visa, live and work in either country and own property or do trade or business in either country.
  • There is a significant number of Nepalis (in millions) living, owning property and working or doing business in India as beneficial aspect of treaty for Nepal. Similarly, many Indians live, own property and do business in Nepal.
  • Why in news?
    • Current inclination of Nepal towards China at the cost of India’s friendship.
    • Meeting on Eminent Persons Group (EPG) on India-Nepal relations concluded.

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