Nepal signed MoU with China to ease fuel crisis

Oct 29, 2015 13:31 IST

Nepal on 28 October 2015 signed a Memorandum of Understanding (MoU) with China in order to ease fuel crisis in the country by importing all kinds of fuel. The MoU was signed between Nepal Oil Corporation (NOC) and China National United Oil Corporation (PetroChina) in Beijing.

This will be the first time that China is commercially supplying petroleum to Nepal. Moreover, China has also agreed to donate 1.3 million litres of petrol to Nepal earlier.

With this, the long-held monopoly of India in supplying fuel to Nepal ended. Annually, Nepal used to buy around 1.3 billion dollars of gasoline from the Indian Oil Corporation (IOC).


Nepal completely relied on India for its trade due to favourable geographic conditions which eased the transportation links with India compared to the mountainous terrain of the northern routes bordering China.

But the movement of cargo has slowed to a crawl in recent weeks, with hundreds of protesters blocking a bridge crossing in the town of Birgunj, around 90km south of Kathmandu since 24 September 2015. Scores of trucks have been stranded at a key India-Nepal border for more than a month.

Now get latest Current Affairs on mobile, Download # 1  Current Affairs App

Quick Digest

Who: Nepal

What: Signed MoU with China

When: 28 October 2015

Why: To ease fuel crisis

Is this article important for exams ? Yes4 People Agreed
Read more Current Affairs on: Nepal , MoU , China , ease fuel crisis , Nepal Oil Corporation , PetroChina

Register to get FREE updates

    All Fields Mandatory
  • (Ex:9123456789)
  • Please Select Your Interest
  • Please specify

  • ajax-loader
  • A verifcation code has been sent to
    your mobile number

    Please enter the verification code below

This website uses cookie or similar technologies, to enhance your browsing experience and provide personalised recommendations. By continuing to use our website, you agree to our Privacy Policy and Cookie Policy. OK