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Prime Minister KP Sharma Oli has observed that the agreements made with China during his official visit were of historical value.

PM Oli, who is currently on a China visit at the invitation of his Chinese counterpart, Li Qiang, viewed that his visit was meaningful to make Nepal-China relations broader, deeper and strengthened. He said it during a reception hosted by Nepali Embassy in Beijing today.

At a time when Nepal is moving ahead with political stability for prosperity and the developed countries like China investing and cooperating with Nepal on the latter's journey to prosperity, Nepal was planning to attract a huge number of Chinese tourists in 2025, PM Oli said, adding that he was excited after the discussion with Chinese industrialists.

The present government led by two large parties in Nepal would make utmost efforts to usher in modernism and prosperity in the country.

Similarly, Foreign Minister Arzu Rana Deuba observed PM Oli's visit had reached Nepal-China relations to a new height.

Nepali Ambassador to China, Dr Krishna Prasad Oli, viewed the PM's visit to China as fruitful to strengthen mutual trust and understanding between the two countries.

Nepal and China have reached an agreement on the Belt and Road Initiative Cooperation Framework during the PM's China visit.

Prime Minister KP Sharma Oli is paying an official visit to the People’s Republic of China from December 2-5 at the cordial invitation of Li Qiang, Premier of the State Council of the People’s Republic of China.

The Prime Minister will be accompanied by his spouse Radha Shakya.

The Prime Minister is Scheduled to meet with Xi Jinping, President of the People’s Republic of China in Beijing, reads a statement issued by the Ministry of Foreign Affairs.

Prime Minister Oli will hold bilateral talks with his Chinese counterpart Li Qiang and exchange views on matters of mutual interest.

The Prime Minister will hold a meeting with Zhao Leji, Chairman of the Standing Committee of the National People’s Congress of the People’s Republic of China.

During the visit, the Prime Minister will deliver a keynote address at Peking University.

The Prime Minister will address the Nepal-China Business Forum, which is being jointly hosted by the Embassy of Nepal in Beijing, China Council for the Promotion of International Trade and Federation of Nepalese Chambers of Commerce and Industry, according to the statement.

The entourage of the Prime Minister will comprise Foreign Minister Arzu Rana Deuba, Chief Advisor to the Prime Minister Bishnu Prasad Rimal, Economic and Development Advisor to the Prime Minister Yuba Raj Khatiwada, members of the Parliament, high-ranking government officials, representatives of the private sector and media persons.

The Prime Minister and his delegation will return to Kathmandu on December 5.

Foreign Minister Arzu Rana Deuba departed for China on Thursday at the invitation of her Chinese counterpart, Wang Yi. Her visit aims to set the tone for Prime Minister KP Sharma Oli’s upcoming trip to Beijing, scheduled for December 2.

Deuba is set to meet with Wang on Sunday (November 29) to finalize the agenda for Oli’s visit. Oli’s four-day visit has drawn attention to China’s Belt and Road Initiative (BRI), which has become a focal point of national political discourse. The ruling coalition of CPN-UML and the Nepali Congress (NC) remain divided on how to approach the BRI, prompting behind-the-scenes negotiations to form a unified position ahead of the visit.

The extent of any consensus between the two parties remains unclear. A key point of contention lies in Beijing’s 2020 BRI Implementation Plan. The NC has expressed significant reservations about the document, and a task force has proposed revisions, including changes to its title. Whether Beijing will accept these modifications is uncertain. While all three major parties now agree that Nepal should not accept loans under the BRI, a critical question lingers: Does the BRI framework include provisions for grants?

Speaking with the media before her departure, Foreign Minister Deuba sought to downplay the perceived differences between the two coalition partners. “The media hype about disagreements is exaggerated. A joint task force is addressing the concerns, and much will depend on how the negotiations unfold,” she said. However, official documents suggest that grants are not part of the BRI framework. Research indicates that China has not provided grants for BRI projects, aligning with the initiative’s emphasis on shared development rather than international aid.

The BRI White Paper underscores its collaborative nature, stating that it prioritizes equal participation, voluntary engagement, and freedom from political or economic preconditions. It explicitly notes that the BRI is neither an aid program nor a geopolitical tool but a framework for joint development.

Kalyan Raj Sharma, chairperson of the Nepal-China Friendship Forum, criticized the ongoing debate over loans versus grants, calling it “inherently problematic.” He argued that the BRI is a corporate framework requiring Nepal to define its priorities. “We should focus on two aspects: small-scale project collaboration and long-term infrastructure development. Within this framework, modalities could include grants, concessional loans, or others. First, let’s finalize our vision before getting bogged down in loan-versus-grant debates,” he said.

UML leader and former Foreign Minister Pradeep Kumar Gyawali echoed this sentiment, stressing the need to align Nepal’s interests with the Chinese initiative. “Instead of determining where our priorities overlap with the BRI, our discussions have been reduced to a binary narrative of loans versus grants,” Gyawali remarked. He maintained that under the current economic climate, Nepal should avoid loans for large infrastructure projects.

Former Foreign Secretary Madhu Ram Acharya was more critical, describing Nepal’s engagement with the BRI as a “classic case of how not to negotiate.” He highlighted rushed, top-down negotiations and excessive politicization. “The BRI Implementation Plan formalizes the ‘strategic partnership’ agreed upon during President Xi Jinping’s visit in 2019. Such a comprehensive agreement should not be signed hastily or without safeguarding Nepal’s national interests,” Acharya argued.

As Oli’s visit to China approaches, the BRI remains a complex issue at the intersection of domestic politics and international diplomacy. Nepal faces the delicate task of navigating its priorities while ensuring that the collaboration benefits its development goals. Whether the visit will yield clarity on the BRI and its modalities remains to be seen, but it is clear that the framework offers opportunities—if Nepal can negotiate effectively.

A meeting of the Council of Ministers held this evening approved Prime Minister KP Sharma Oli's visit to the People's Republic of China.

Minister for Culture, Tourism and Civil Aviation Badri Prasad Pandey said that the Cabinet meeting held at the Office of the Prime Minister approved PM Oli's visit to China taking place from December 2-5.

"Agendas are being discussed about the PM's China visit. The agendas have not been finalized. Members of the PM's delegation and the PM's (China) visit have been approved," Minister Pandey said.

The private sector's presence will be significant during the visit but the government will not have any financial burden, Minister Pandey stated.  

He shared that the next meeting of the Council of Ministers will finalize the agenda of the China visit.

Foreign Minister Arzu Rana Deuba will be paying an official visit to China beginning tomorrow.

Minister Rana is scheduled to visit the People's Republic of China on 28-30 at the invitation of her Chinese counterpart Wang Yi, who is also the Member of the Political Bureau of the CPC Central Committee, Director of the Office of the Central Commission for Foreign Affairs, the Ministry of Foreign Affairs confirmed.

During the three-day visit, the Foreign Minister is scheduled to hold bilateral talks with Wang on November 29.

The two leaders will have comprehensive discussions on matters of mutual interest between the two countries including the preparation of the upcoming official visit of Prime Minister K P Sharma Oli to China.

The Foreign Minister will return to Kathmandu on November 30.

Prime Minister KP Sharma Oli is holding a discussion with the former prime ministers and former foreign ministers about his upcoming China visit.

In the meeting to be held at the Prime Minister’s Office at 11 am today, Prime Minister Oli will take suggestions from the former prime ministers and foreign ministers in order to make the visit productive, according to his secretariat.

At the invitation of China, the Prime Minister is leaving for the northern neighbor on December 2.

During his visit to China, Prime Minister Oli is also going to discuss BRI, implementation of past agreements signed between Nepal and China, ongoing projects and Nepal-China relations among others, sources claimed.

Lawmakers have been presenting differing views on whether to take loans under BRI or not.

Meanwhile, taking to Twitter, former Prime Minister Baburam Bhattarai said that he would not be able to attend the meeting of former prime ministers called by Prime Minister Oli on his forthcoming visit to China.

He, however, put forth his few thoughts.

Leader Bhattarai said, “Nepal is the oldest independent and sovereign country in South Asia and one of the oldest in the world, and hence, has every right and responsibility to assert and maintain its sovereignty, come what may.”

“Given Nepal's specific geo-strategic, geo-economic and geo-political positioning between two rising and competitive powers China and India, and closely monitored by the Super Power USA and its allies, we have to be adept in maintaining  friendly relations with all for our own national interests.”

He further said, “As we need foreign trade, capital, technology, knowhow and goodwill to kick-off our laggard economy to a developed stage at the shortest possible time, we must take advantage of whatever possibility the BRI of China offers us, as we have done with India and USA earlier.

Bhattarai said that his party, the Socialist Party of Nepal (Naya Shakti), extended best wishes to the PM and his team for the forthcoming China visit.

8:00 am, Nov 14

New Baneshwor

The tea shop was buzzing with energy, but I managed to find an open seat amid the crowd. A lively group of around ten people had already gathered, deeply engrossed in conversation on various societal issues, including the latest political developments. They were discussing the recent passing of Bimala Gauchan, a Gandaki Province Assembly member who had succumbed to dengue. Some shared personal stories, recounting how family members and friends had also fallen victim to this spreading disease.

One man remarked, “Dengue has even reached the hill districts now. Back in 1992, I spent a year in Mustang, and there wasn’t a mosquito in sight because of the cold.” Another chimed in, “With more roads connecting remote areas, dengue is spreading even to the mountains.” Predictably, the group began criticizing the government’s inability to control the outbreak in Kathmandu Valley and beyond. The mention of Manang and Mustang brought the discussion to another familiar topic. “People in Manang are incredibly wealthy. If the rest of Nepal were as prosperous, we’d be the richest country in South Asia,” someone declared.

The group briefly touched on the recent arrest of Deepak Manange, a member of the Gandaki Province Assembly, though no one seemed eager to dive into his controversies. Meanwhile, a man near the entrance, buried in a newspaper, interrupted loudly, “Every page is filled with stories of corruption, crimes, and road accidents!” This drew the group’s attention. They began talking about a recent tragic accident in Kageshwori Manohara, where one person had died in a collision involving a car driven by Prakash Bhujel, a self-styled shaman with a social media following, and a motorcycle.

The conversation shifted to shamanism. Some argued that such beliefs were outdated and harmful, while an older gentleman, likely in his seventies, shared how a shaman had treated his paralysis 30 years ago. Another participant admitted he didn’t believe in shamanism but respected those who did. They noted that Bhujel had promised to cooperate with authorities—something, one remarked, that many politicians might not be so quick to do.

After a short lull, talk shifted to Prime Minister KP Sharma Oli’s upcoming trip to China. “The Western countries will be watching his every move,” someone stated bluntly. They mentioned China’s Belt and Road Initiative (BRI) and the projects it entails but didn’t delve deeply into it. A participant speculated that Oli would likely avoid any major agreements with China, though few seemed interested in exploring the topic further.

Out of nowhere, someone brought up the rising trend of love marriages in Nepal. An older man expressed disapproval, claiming that such marriages often lead to divorce. “Eighty percent of love marriages end in separation,” he said, “inviting new societal problems.” This sparked a debate about the “right” age to marry. “Decades ago, people married at 18 or 20; now, they’re waiting until their 30s,” someone observed. Soon, the discussion broadened to cover the declining population trend in Nepal and beyond, linked to delayed marriages. Another man spoke about the growing empowerment of women in Nepali society, noting that women now play key roles in household decisions, with men ceding some of their traditional authority.

By 8:30, the group began to disperse, each heading off to start their day. As the tea shop slowly emptied, I lingered over my black tea, debating whether to order another cup or leave. Just then, two young men entered, looking like they were in their twenties. One ordered tea with milk, while the other opted for black. Curious, the one with milk asked why his friend preferred it plain. “I have gastritis,” he replied. They soon fell into a conversation about their hectic college and work schedules, complaining that they barely had time to eat properly.

In lowered voices, they shared their financial struggles. “I earn just Rs 8,000 a month, working from 11 am to 7 pm, but it barely covers rent and food,” one said, as they lamented the rising prices of tea and snacks. “I spent all my savings during Dashain and Tihar; I have nothing left now,” he added. Their conversation turned to their future plans—whether to stay in Nepal or try their luck abroad. They looked visibly worried, the uncertainty of their future weighing on them. Just then, four students entered, asking the shopkeeper for cigarettes, who politely pointed them to the designated smoking area.

Last week, I began a weekly column titled Teashop Gossip, where I’ll be capturing and sharing these vibrant exchanges that unfold in Nepal’s local tea shops. For years, these spots have been more than just places for tea—they’re forums where people from all walks of life come together to discuss the pressing issues of our time. In this column, I aim to present these conversations as they happen, preserving the raw voices, views, and insights of the people

The government has decided to accept a loan worth USD 80 million from the World Bank.

Speaking at a press conference organized to make public the decisions of the Cabinet meeting held in Singha Durbar on Monday, government spokesperson and Minister for Communications and Information Technology Rekha Sharma informed that the government has decided to accept concessional loan assistance worth USD 80 million from the World Bank.

Similarly, the meeting has decided to accept an additional grant of 8.1 million pounds sterling from the British government for the reconstruction and rehabilitation of the damaged infrastructures  and resettlement of earthquake victims in Karnali Province.

Spokesperson Sharma informed that the meeting has decided to approve the China visit of Finance Minister Barshaman Pun. He is going to the northern neighbor to participate in the high-level conference to be held on July 11-July 13.

Likewise, the meeting has decided to appoint Dr Ram Prasad Dhital as the Chairman of the Electricity Regulatory Commission and Madhusudhan Adhikari and Jhamak Prasad Sharma as the members of the Commission.

Meanwhile, the meeting has appointed Dr Rajendra Prasad Yadav as the Executive Director of the National Dairy Development Board.  

Spokesperson Sharma informed that a recommendation committee has been formed under the headship of the Secretary of the Ministry of Agriculture for the appointment of the Executive Director at the Nepal Agricultural Research Council.

Deputy Prime Minister and Minister for Foreign Affairs, Narayankaji Shrestha, returned home after concluding a nine-day visit (March 24-31, 2024) to the People’s Republic of China, upon the invitation of Chinese Foreign Minister Wang Yi. During his stay in China, he engaged in bilateral discussions with his Chinese counterpart and paid a courtesy call on Chairman of the National Committee of the Chinese People’s Political Consultative Conference (CPPCC), Wang Huning. 

His itinerary comprised high-level meetings primarily in Beijing, the capital city of China. However, beyond the diplomatic engagements, DPM Shrestha ventured to three strategically significant locations in China, vital for Nepal's interests. Concluding his engagements in Beijing, he visited Chongqing, Tibet, and Sichuan, situated in the southwestern part of China. These regions, emerging as pivotal trading hubs in southern China, hold considerable potential for bolstering bilateral trade ties with Nepal.

Upon arrival at the international airport, DPM Shrestha convened a press conference alongside senior officials from the ministry. He asserted that the visit had been ‘highly successful’ and had elevated bilateral relations to new heights. It's a common diplomatic practice for ministers returning from foreign trips to portray their visits in such positive terms, often using phrases like ‘newer heights’ to describe the outcomes. In Nepal, it has become a fashion statement.  

Despite the vague language used to describe the achievements of the visit, DPM Shrestha emphasized that the primary focus was on extending trade, fostering economic cooperation, and building trust between the two nations. In light of Shrestha's remarks and the outcomes of his visit, one significant progress emerges: the visit has played a role in restoring understanding and trust between Nepali and Chinese governments. This suggests that the meetings and events during the visit have contributed to strengthening the foundation of bilateral relations.

When KP Sharma Oli and Pushpa Kamal Dahal formed a new coalition led by leftist parties, breaking away from previous alliances under the Nepali Congress, rumors began making rounds that China may have played a significant role in this surprising political maneuver. Nepal’s volatile political landscape often gives rise to such rumors and gossip, and it was widely speculated that the formation of a leftist-led government in Nepal could only have been possible with the initiation and support of China, given its communist ideology. DPM Shrestha might have shared such comments and feedback with Chinese officials. And, he certainly clarified that the new coalition will try to address genuine concerns of neighbors without tilting to any side.   

Whether India sought to maintain the previous government or whether China supported the formation of the new alliance remains a question best left to be answered in due time. But in domestic political developments, Nepali political parties should stop dragging India and China as parties involved in the process. We should keep in mind that India and China have greater roles to play in a fast-changing global context beyond the neighborhood. It is completely an ignorance that New Delhi and Beijing always contemplate about intervening in Nepal’s internal affairs. This thought is just the byproduct of deficiency syndrome of Nepali general psyche.   

When the Millennium Challenge Corporation (MCC) entered into force last August, it was perceived as a significant setback for China, especially since the Belt and Road Initiative (BRI), signed four months prior to MCC, had not seen any tangible implementation. This development was seen as a blow to Beijing, indicating that the US had successfully advanced its project in Nepal while China had yet to materialize its plans under the BRI. Chinese leaders viewed MCC as part of the Indo-Pacific strategy, interpreting its entry into Nepal as a strategic move of the US aimed at countering China’s influence. While the signed document denies China’s claim that MCC is part of the IPS, Nepal’s stance should remain impartial vis-a-vis the strategic rivalry between the US and China. As a sovereign nation, Nepal should maintain cordial relations with both of its neighbors. 

This visit should be seen in the backdrop of growing mistrust between Nepal and China during the previous coalition. In that sense, the primary concern from the Nepali side was to openly exchange thoughts on bilateral cooperation and bridge that gap. DPM Shrestha has worked on it. “The visit has been instrumental in strengthening mutual harmony, respect and trust between Nepal and China,” he narrated.  DPM Shrestha is recognized as one of the few Nepali politicians with a deep understanding of foreign policy and international relations. He has demonstrated an ability to conduct diplomacy in a balanced manner that respects the sentiments of Nepal's neighbors. While maintaining relations with China, he must have kept in mind that his policy and action shouldn’t be perceived as unnecessarily loyal to any neighbor.  

During the discussion, he reiterated the importance of connectivity between Nepal and China requesting the opening of the 14 traditional trade routes that have remained closed since the outbreak of the Covid-19 pandemic, eliciting a positive response from China. This issue has surfaced in previous meetings as well. As soon as China opens all major routes for trade and transaction, it would be beneficial for China too. Nepal and China also agreed to establish a joint commission at the level of foreign ministers. This is a positive development. According to the report, this commission will play a crucial role in regularly reviewing various aspects of the existing friendly relations between Nepal and China, signifying a commitment to deepening bilateral ties through continuous dialogue and collaboration.

The much-awaited agreement on the implementation plan of the Belt and Road Initiative (BRI) was not finalized during the visit, though discussions were held to give a final shape to the plan and advance it toward the execution phase. This demonstrates the ongoing commitment of both the parties to work together on BRI and reflects their shared interests in enhancing connectivity and cooperation. Debate has been there about the modality of financing the projects under BRI. The Nepali side has been asking China to provide grants for some major mega projects while in the rest of the projects Nepal would be ready to accept the loans. China should consider the proposal of Nepal. Given that Nepal shares borders with two emerging economies and rising global powers, it is imperative to seize opportunities while avoiding unnecessary challenges.

Deputy Prime Minister and Minister for Foreign Affairs, Narayan Kaji Shrestha, has informed the Parliament about the achievements of his recent official visit to the People's Republic of China.

Speaking in a meeting of the House of Representatives (HoR), the lower house of the Federal Parliament, today, he said important achievements have been made on expanding the area of mutual cooperation through enhanced coordination and collaboration between the two countries.

On the occasion, DPM Shrestha said the visit has contributed to further strengthening the mutual goodwill, respect, and trust between the two countries.

The minister viewed that the historic and friendly relations between the two countries have reached new heights through this visit.

Stating that the trade and transit points with China, namely Rasuwagadhi-Kerung, Tatopani-Jhangu, Yari-Puran and Nechung-Korala have already come into operation before this, he said the Chinese side has expressed its readiness to open 14 traditional trade transits closed after the COVID pandemic.

Minister Shrestha informed that discussions have been held with the Chinese side regarding constituting a joint commission at the foreign ministers' level of both countries in order to hold high-level consultations on the various dimensions of the existing Nepal-China friendly relations. He added that both sides are positive on this. 

According to him, discussions were held during the visit also on implementation of the BRI Implementation Plan giving it the final touch.

During the visit, Minister Shrestha extended an invitation to his counterpart Wang Yi to visit Nepal at his convenient time. "Both parties have agreed for an effective implementation of Nepal-China agreements and to regularize the meetings of existing mechanisms to expedite the pace of cooperation," the Minister said.  According to him, with his visit to the northern neighbor, the mutual relations and respect between Nepal and China have reached a new height.

"The discussions held during the visit were comprehensive and open, focusing on mutual assistance and cooperation," said the minister, expressing hope that the trip contributed to further strengthening the centuries-old, multi-dimensional, and friendly relations between Nepal and China.

He briefed the House that the Chinese side is positive for ensuring trans-border pastureland for the Nepali community residing on the Nepal-China border as per the agreement reached in 2012 and electrification at some Nepali villages there.

Similarly, the Chinese side responded positively to the call of Nepal to resume the Kathmandu-Lhasa direct bus service, facilitating the exports of buff, medicinal herbs, vegetables, and fruits from Nepal to China. During the discussions, Minister Shrestha urged China to establish multi-dimensional labs in certain areas along the Nepal-China border and provide capital and technological assistance to enhance Nepal's agricultural sector productivity.

Both parties have been positive about operating the flights from Kathmandu and Pokhara to various cities in China. Likewise, both parties have expressed interest in expanding transnational roadways, air flight services, and electricity transmission lines to Nepal-China connectivity. Both parties have agreed to come up with agriculture, tourism, hydropower, and infrastructure projects and implement them.

He said he urged the Chinese government and private sector investors for their enthusiastic participation in the Nepal Investment Summit scheduled to take place on April 28-29, for their support to make the Nepal Visit Year 2025, considering investing in Nepal's diverse sectors.

DPM Shrestha had been on a visit to China from March 24 to March 31, at the invitation of Communist Party of China (CPC)'s political bureau central committee member and China's Minister for Foreign Affairs, Wang Yi.

Deputy Prime Minister and Minister for Foreign Affairs Narayan Kaji Shrestha termed his visit to China significant and fruitful.

Speaking at a press conference organized at the Tribhuvan International Airport, he expressed his belief that his visit to the northern neighbor would further strengthen the relationships between the two countries.

He said that both sides have agreed to operate more flights to different cities of China from Kathmandu and Pokhara.

Minister Shrestha further said that this would help expand the trade and people-to-people relations between the two countries and bring more Chinese tourists to Nepal.

He said that a discussion was also held on implementing the BRI projects.

The minister was of the opinion that the Chinese side was positive in providing capital and technology to increase the productivity of Nepal's agriculture sector.

Moreover, Minister Shrestha said that he has urged for more participation of Chinese investors in the Third Nepal Investment Summit to be held in Kathmandu on April 28-29.

At the invitation of Chinese Foreign Minister Wang Yi, Minister Shrestha left for China on March 25.

During the visit, he held meetings with high-level political leadership, including Chinese People's Political Consultative Conference (CPPCC) Chairperson, Wang Huning, and Foreign Minister Wang Yi in Beijing.

Matters related to different dimensions of bilateral relations between Nepal and China were discussed on the occasion.

Deputy Prime Minister Shrestha also called on Vice Minister of the Communist Party of China's Foreign Department Sun Haiyan. On the occasion, they discussed ways to deepen relations between the CPN (Maoist Centre) and the Communist Party of China.

DPM Shrestha addressed a pre-investment conference organized at the Nepali Embassy in Beijing, calling upon Chinese investors to invest in Nepal.

He also visited the southwestern city of China, Chongqing Municipality. On the occasion, Shrestha and Secretary of the Communist Party of China Zhejiang Committee Yuan Jiajun held a delegation-level meeting. On the occasion, DPM Shrestha said Nepal and China should move forward together in the journey of economic prosperity.

Similarly, DPM Shrestha also held a meeting with Wang Junzheng, party secretary of China's Xizang Autonomous Region. During the meeting, Shrestha said Nepal and China should move forward together in the journey of economic prosperity. Similarly, Deputy Prime Minister Shrestha met Wang Zhungheng, party secretary of China's Xizang Autonomous Region, and urged him to resolve the problems being faced by the people of the Nepal-China border area.

He visited the Consulate General of Nepal in Lhasa and directed them to pay attention to economic diplomacy. A delegation headed by DPM Shrestha also visited the Kailash Mansarovar area in Tibet. He also met Sichuan People's Government Governor Huang Xiaoxiang and urged him for Chinese investment in Nepal.

Deputy Prime Minister and Minister for Foreign Affairs Narayan Kaji Shrestha, who is on an official visit to China, is returning home today.

During the visit, he held meetings with high-level political leadership, including Chinese People's Political Consultative Conference (CPPCC) Chairperson, Wang Huning, and Foreign Minister Wang Yi in Beijing.

Matters related to different dimensions of bilateral relations between Nepal and China were discussed on the occasion.

Deputy Prime Minister Shrestha also called on Vice Minister of the Communist Party of China's Foreign Department Sun Haiyan. During the meeting, they discussed ways to deepen relations between the CPN (Maoist Centre) and the Communist Party of China.

DPM Shrestha addressed a pre-investment conference organized at the Nepali Embassy in Beijing, calling upon Chinese investors to invest in Nepal.

He also visited the southwestern city of China, Chongqing Municipality. On the occasion, Shrestha and Secretary of the Communist Party of China Zhejiang Committee Yuan Jiajun held a delegation-level meeting. On the occasion, DPM Shrestha said Nepal and China should move forward together in the journey of economic prosperity.

Similarly, DPM Shrestha also held a meeting with Wang Junzheng, party secretary of China's Xizang Autonomous Region. On the occasion, Shrestha said Nepal and China should move forward together in the journey of economic prosperity. Similarly, Deputy Prime Minister Shrestha met Wang Zhungheng, party secretary of China's Xizang Autonomous Region, and urged him to resolve the problems being faced by the people of the Nepal-China border area.

He visited the Consulate General of Nepal in Lhasa and directed them to pay attention to economic diplomacy. A delegation headed by DPM Shrestha also visited the Kailash Mansarovar area in Tibet. He also met Sichuan People's Government Governor Huang Xiaoxiang and urged him for Chinese investment in Nepal.

Deputy Prime Minister Shrestha had left for China on March 25 at the invitation of Chinese Foreign Minister Wang Yi. 

Prime Minister Pushpa Kamal Dahal’s recent visit to China has significant implications for Nepal’s foreign policy. This visit comes at a crucial time, coinciding with the Asian Games, and highlights Nepal’s evolving foreign policy and its intricate relationship with its northern neighbor. Due to the internal conflicts and a political opportunity resulting from the dissolution of the Parliament in July 2021, Dahal transitioned an alliance with the then NCP leader KP Sharma Oli to the Nepali Congress, signaling a noteworthy shift in Nepal’s political landscape, with far-reaching implications for foreign policy. Both domestic and international factors drive this realignment. It raises questions about Nepal’s relationships with major global players, particularly China and India, as well as its standing in the global arena and the geopolitics of South Asia.

A complex relationship

Dynamic shifts and fluctuations have marked a complex relationship between Dahal and China. At the outset of his first term as prime minister in 2008, Dahal established a strong alliance with Beijing, marked by reciprocal support. However, the course of their engagement has been far from steady. In the lead-up to the 2022 elections, Dahal formed an electoral alliance with Prime Minister KP Sharma Oli-led NCP to consolidate political power. Unfortunately, this alliance proved short-lived and ultimately resulted in a dramatic political split, strained Dahal’s relations with Oli and China, which had firmly supported the Oli-led government. This nuanced history illustrates the intricacies of Dahal’s interactions with China, showcasing the challenges and fluctuations in their relationship over the years.

A balancing act

Dahal’s recent move toward a closer alignment with the United States and India signifies Nepal’s deliberate pursuit of a balanced foreign relations strategy. His choice of India as his first official visit during his third tenure as prime minister earlier in the year demonstrates a clear intent to strengthen ties with that country. However, this diplomatic realignment is driven by the imperative to adapt to evolving global dynamics and safeguard Nepal’s sovereignty, given the complex interests of its more powerful neighbors. Rooted in Nepal’s enduring struggle for independence and its aspirations on the global stage, this commitment to a delicate equilibrium reflects the nation’s historical context. As a landlocked nation located between regional giants, Nepal’s leaders face the ongoing challenge of skillfully managing these relationships to protect their country’s interests and secure its continued independence in the international arena.

Chinese interests

China’s interests in Nepal are multifaceted and rooted in its broader geopolitical objectives. One key aspect is Nepal’s adherence to the one-China policy, which aligns with China’s core interests regarding Taiwan and Tibet. This alignment is crucial for China’s territorial integrity. Additionally, China seeks Nepal’s support in international diplomacy, development and security initiatives. Furthermore, Nepal’s involvement in the Belt and Road Initiative (BRI) theoretically offers China a pathway to expand its regional economic influence and infrastructure.  However, the nine BRI projects signed in Nepal have yet to materialize, partly due to uncertainties surrounding their funding modalities. Strengthening connectivity with Nepal is a strategic avenue for China to extend its influence into South Asia, bolstering its regional presence.

Lastly, China’s ambition to cultivate a trusted and ‘strategic’ relationship with Nepal, as articulated by President Xi Jinping during his visit to Nepal in 2019, has remained a blueprint to direct China’s engagements in Nepal. Nevertheless, Nepal faces the challenge of balancing these multifaceted interests while safeguarding its sovereignty and national interests, demanding adept negotiation skills and a nuanced approach to harmonize democratic principles with its stance on the one-China policy, reflecting a delicate nature of Nepal’s relationship with its influential northern neighbor.

A ceremonial visit

While presented as an effort to strengthen Nepal-China relations, Dahal’s recent visit to China appeared more ceremonial than substantive. Despite engaging with high-ranking Chinese officials, including President Xi Jinping, and signing 12 agreements, the visit faced limited diplomatic expectations. There was widespread anticipation for Dahal to advocate Nepal’s national interests, particularly concerning the recent contentious Chinese map affecting Nepali territory. The joint statement of the visit primarily consisted of diplomatic pleasantries and reaffirmations of historical ties, with Nepal restating its commitment to the one-China policy but failing to secure reciprocal assurances regarding its concerns. While there were some encouraging elements in the agreements, such as border point reopenings and cooperation in sectors like the BRI, connectivity networks and renewable energy projects, the absence of a much-awaited Project Implementation Plan Agreement and the failure to convert the loan for Pokhara International Airport into a grant were notable misses for Nepal. While potentially financially challenging, Dahal’s commitment to exploring the feasibility of the Jilong/Keyrung-Kathmandu Cross-Border Railway was a notable development.

Dahal’s prioritization of the Global Development Initiative (GDI) over Global Security Initiative (GSI) and Global Civilization Initiative (GCI) underscores Nepal’s cautious and balanced approach to international security matters. This stance reflects Nepal’s commitment to avoiding entanglement in major power rivalries and safeguarding its sovereignty. Nepal aims to maintain stability in a volatile region by emphasizing development over security, in line with its historical stance of neutrality and non-alignment. The visit ultimately became a standard bilateral exchange; ambitious agreements hold promise, but their impact on the ground level has been limited, reflecting their token nature. 

The way forward

As Prime Minister Dahal’s visit to China marks a pivotal moment for Nepal’s foreign policy, the nation stands at a critical juncture, given its evolving political landscape and changing alliances with regional and international powers. Navigating this landscape requires strategic diplomacy to safeguard Nepal’s sovereignty. Success hinges on the effective execution of agreements and carefully evaluating their implications, shaping Nepal’s foreign policy trajectory to align with its national interests and global aspirations while fostering confidence-building measures with China.

The author is a recent graduate with a Master’s degree in International Relations from South Asian University, New Delhi and is a junior researcher at the Centre for Social Inclusion and Federalism in Lalitpur, Nepal