Kathmandu University (KU) and the Nepal Agri Business Innovation Centre (NABIC) have signed a Memorandum of Understanding (MoU) on August 12, 2025, paving the way for the proposed takeover and integration of NABIC into KU. The move aims to establish the "Kathmandu University–Nepal Agri Business Innovation Centre" (KUNABIC), an autonomous body under KU’s Department of Agriculture, School of Science, dedicated to fostering innovation and entrepreneurship in the agro-business sector.

Under the agreement, KU will conduct a detailed due diligence process, allocate resources, and prepare an integration plan, while NABIC’s management will provide full operational transparency, maintain ongoing activities, and facilitate the handover of assets and records. The formal transfer of ownership is set to begin after the current fiscal year’s closure and the completion of NABIC’s external audit, with the condition that all liabilities be cleared prior to the takeover.

Once integrated, KUNABIC is expected to become a key driver in advancing Nepal’s agricultural entrepreneurship landscape by supporting start-ups, developing innovative solutions, and expanding market opportunities for agri-business. Both parties expressed optimism that this collaboration will not only enhance academic and research excellence but also deliver tangible economic and social benefits to Nepal’s agro-sector.