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[🇧🇩] Nepal---A bosom Friend of Bangladesh
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G Bangladesh Defense

Dhaka, Kathmandu set 3-month deadline to finalise PTA

FE REPORT

Published :
Jan 16, 2026 10:28
Updated :
Jan 16, 2026 10:28

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Bangladesh and Nepal have agreed to finalise the draft text, rules of origin and product lists of the proposed preferential trade agreement (PTA) within the next three months, aiming to inject fresh momentum into bilateral trade, according to a press statement.

The decision was taken at the 8th Commerce Secretary-level Meeting (CSLM) held at InterContinental Dhaka on January 13-14.

The Bangladesh delegation was led by Commerce Secretary Mahbubur Rahman, while the Nepalese side was headed by Commerce Secretary Dr Ram Prasad Ghimire.

Finalising the PTA emerged as a central focus of the two-day talks, with both sides stressing the urgency of completing the "request list" and "offer list" of products.

Bangladesh proposed a phased approach to implementation, suggesting that the PTA be launched initially with a limited number of products and gradually expanded based on outcomes and readiness.

To keep negotiations on track, the two countries agreed to convene a meeting of the Trade Negotiating Committee (TNC) within the next 90 days to complete the remaining technical work, including finalising the draft PTA text, rules of origin and product schedules.

Beyond the PTA, the meeting covered a wide range of trade facilitation and connectivity issues aimed at easing bottlenecks and lowering the cost of doing business.

The two sides held detailed discussions on reducing tariff, para-tariff and non-tariff barriers (NTBs) to facilitate smoother bilateral trade flows.

Both commerce secretaries underscored the need for faster development of port infrastructure, expansion of railway connectivity and simplification of customs procedures to make transit arrangements more efficient and predictable.

Simplifying cross-border payment systems was also highlighted as a priority to ensure secure, reliable and seamless transactions for traders in both countries.

The talks placed significant emphasis on the potential for Bangladesh-Nepal-India trilateral cooperation, particularly in energy cooperation and transit connectivity, to strengthen regional integration and trade.

Recognising the importance of people-to-people links, the two sides agreed to streamline visa procedures, including business visas, professional visas for workers and their families, and tourism visas, to boost trade, investment and tourism.

The meeting also agreed to strengthen cooperation on sanitary and phytosanitary (SPS) measures and technical barriers to trade (TBT) through closer coordination between relevant agencies, harmonisation of standards and simplified testing procedures.

As both countries prepare for graduation from least developed country (LDC) status, they agreed to exchange experiences to ensure sustainable post-graduation development, while enhancing MSME cooperation and B2B engagement through regular trade fairs and exhibitions.

The meeting concluded with an agreement to hold the 9th Commerce Secretary-level Meeting in Nepal at a mutually convenient time.​
 
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Kathmandu court holds US-Bangla Airlines liable for unlimited compensation: report
Staff Correspondent 30 January, 2026, 00:04

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A Nepal court has recently ruled that Bangladeshi carrier US-Bangla Airlines is subject to unlimited liability for passengers killed in the 2018 crash at Kathmandu airport, said a report published by The Kathmandu Post on Wednesday.

The Kathmandu court ordered US-Bangla Airlines to pay full compensation to the victims’ families — a total of $2.74 million, or Rs378.60 million, to 17 affected families.

This marks the first time in Nepal’s aviation history that a court has delivered a ruling in favour of air crash victims by holding an airline liable beyond internationally prescribed limits.

On March 12, 2018, a scheduled US-Bangla flight from Dhaka to Kathmandu went off course while landing at Kathmandu’s Tribhuvan International Airport carrying 71 passengers and crew.

The 76-seat Bombardier Q400 aircraft burst into flames on impact, killing 51 of the 71 people on board, as per the report of the Kathmandu-based newspaper The Kathmandu Post.

Among the dead were 22 Nepalis, 28 Bangladeshis and one Chinese national. The incident remains the deadliest aviation disaster involving a Bangladeshi airline and the most fatal crash involving a Bombardier Dash 8 Q400 aircraft.

The ruling was issued by Judge Diwakar Bhatta on July 20, 2025, in a case filed by the families of 16 deceased passengers and one survivor. The full text of the verdict was made public on January 20.

The Kathmandu District Court ruled that passengers had a primary right to receive compensation under the airline’s limited liability as provided under the Convention for the Unification of Certain Rules Relating to International Carriage by Air (Warsaw Convention) 1929 and the Warsaw Convention as amended at The Hague in 1955. Article 22 of the Convention sets the baseline for limited liability.

However, the court further ruled that the carrier was subject to unlimited liability under Article 25 of the Warsaw Convention, as amended, after confirming that the crash occurred due to negligent and reckless acts of the pilot and the flight officer. The court held that the circumstances of the accident could not be treated as falling solely within the scope of limited liability.

‘Considering the nature and circumstances of the accident, the airline incurs unlimited liability for such negligent or reckless conduct,’ the verdict states.

Nepal has recorded 70 air crashes over the past seven decades, resulting in about 964 deaths, most attributed to gross negligence. Yet until now, no airline had been held financially accountable in court.

After a seven-year legal battle, the court concluded that the airline bore gross negligence for failing to operate an airworthy aircraft in accordance with required standards.

US-Bangla Airlines had argued that the plaintiffs had already received $20,000 on April 4, 2019, under Article 22 of the Warsaw Convention, without admission of liability.

The airline argued that Nepali law limits compensation to $20,000 under the Warsaw Convention and that Nepali courts lacked jurisdiction since the flight’s final destination was Dhaka.

The court rejected these arguments, stating that the plaintiffs, as relatives of the deceased and Nepali citizens, had locus standi [a disputed matter cannot be allowed to interfere in the judicial proceedings].

At the time of the crash, US-Bangla Airlines had insurance coverage of $107 million. This included $7 million for the aircraft and $100 million for passenger liabilities, underwritten by two local Bangladeshi insurers — Sena Kalyan Insurance Company and Sadharan Bima Corporation.​
 
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Dhaka, Kathmandu reaffirm commitment to work closely to advance shared interests

UNB
Published :
Feb 18, 2026 23:28
Updated :
Feb 18, 2026 23:28

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Visiting Nepalese Minister for Foreign Affairs Bala Nanda Sharma on Wednesday met Foreign Minister Dr Khalilur Rahman and both Ministers reaffirmed their commitment to work closely across bilateral, regional, and multilateral platforms, advancing the shared interests of the two countries and peoples.

The Nepalese Foreign Minister congratulated his Bangladesh counterpart on his appointment as the Foreign Minister of the government of Bangladesh.

Minister of State for Foreign Affairs of Bangladesh Shama Obaed Islam, Foreign Secretary Asad Alam Siam, and Director General Israt Jahan were also present in the meeting.

Foreign Minister Sharma was accompanied by Ambassador Ghanshyam Bhandari, Joint Secretary Gahendra Rajbhandari, Deputy Chief of Mission Lalita Silwal, and Under Secretary Madhusudan Bhattarai.

In the meeting held in the evening in Dhaka, the two Foreign Ministers reviewed the longstanding relationship between Nepal and Bangladesh, anchored in good neighbourliness, shared aspirations, and deep cultural connections.

They deliberated on ways to strengthen bilateral ties, with a focus on economic partnership.

In particular, the discussion highlighted the significant untapped potential in areas such as trade, energy, connectivity, and tourism.​
 
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