This report analyzes Nepal’s trade and investment relations with its two major neighbors, India and China. It reviews the current trade patterns, investment trends, and policy frameworks shaping economic cooperation. The study identifies key challenges such as trade imbalance, low export capacity, and infrastructural limitations. It also highlights opportunities in sectors like hydropower, tourism, and manufacturing. The report provides practical recommendations to improve connectivity, enhance trade facilitation, attract foreign investment, and strengthen economic diplomacy. Overall, it aims to support Nepal’s economic growth through better integration with regional economies.