
By Deepak Joshi Pokhrel
Pushpa Kamal Dahal, aka Prachanda, became the Prime Minister of Nepal for the third time on December 25, 2022, with the backing of 169 members of the parliament. Right from the day one, he had many challenges on home turf, be it unpredictable coalition partners or the opposition. However, the key among them is its foreign policy mainly with the US, China and India.
Our immediate and friendly neighbor, India, has always been keeping a close tab on Nepal especially when it comes to Nepal’s foreign policy. New Delhi has always remained mindful of the fact that Nepal’s geopolitical location is very important to it. However, over the years, Nepal’s growing inclination beyond the Himalayas has become a headache for India which has traditionally enjoyed its clout.
Nepal-India relations soured and reached the lowest when New Delhi imposed an unofficial economic embargo in 2015 citing political dissatisfaction. This move saddened the Nepalese who were already struggling to cope with challenges resulting from a catastrophic earthquake that wreaked havoc in 14 districts of Nepal. Since then, there has been a love-hate relationship between two friendly nations.
It is generally believed that New Delhi realized that it was a blunder to impose an economic sanction on Nepal which compelled it to look towards its northern neighbor. Narendra Modi invited Prachanda in his oath-taking ceremony as Prime Minister for the third consecutive time just recently. Many political junkies see this as an attempt to resuscitate the relations that once existed.
While the relations between Nepal and India were declining, Nepal reached out to China showing its keen interest in strengthening its relationship with Beijing. To this end, Nepal joined the BRI in 2017 with hopes of transforming its infrastructure and boosting its economy. Belt and Road Initiative (BRI) launched by China in 2013, is an ambitious global development strategy aimed at enhancing connectivity and cooperation among multiple countries across Asia, Europe, and Africa.
Diverse views emerged in the aftermath of joining the BRI. Some said that it is an unwise move as it could end in a debt-trap. Others welcome the move saying this would pave the avenues for transforming Nepal from socio-economic and political aspects. However, what is very strange is that even six years after joining the BRI, we have not been able to clarify our position.
Like China and India, the US has been closely observing the political activities of Nepal for its own interest. The US has been the sole dominating power politically and economically across the globe. However, its dominance has been challenged by the rapid economic growth of China in the recent past. While it was losing grip in South Asia, the US has been leaving no stone unturned to re-control the economic and political influence in South Asian nations.
In September 2017, the U.S. Government’s Millennium Challenge Corporation (MCC) signed a $500 million compact with the Government of Nepal. The MCC Nepal Compact marks a new chapter in the U.S.-Nepal partnership and is designed to increase the availability of electricity and lower the cost of transportation in Nepal. However, there were mixed reactions of the people over the MCC. Some argued that the MCC will make Nepal another Afghanistan while others supported it saying that it lays the foundation for the rapid economic development of Nepal.
When we assess our overall development, we will find that these three nations have played a central role. In fact, China and America in the recent past have intensified their efforts to bring Nepal under their radar for their respective interest.
Just a few days ago, China’s Vice Foreign Minister Sun Weidong wrapped up his three-day visit to Kathmandu where he participated in the 16th round of the Nepal-China diplomatic consultation meeting. In the aftermath of the visit, some lawmakers demanded the government clarify Nepal’s positions on the Chinese BRI and the Millennium Challenge Corporation Nepal Compact of the United States. According to media reports, lawmakers mostly from the Nepali Congress have raised questions, asking the government to present the BRI framework agreement to the House and initiate discussion over it. They have also called for a broad national consensus on its implementation.
It is generally believed that the Nepali Congress, under the instruction of some external forces, are hell-bent on preventing the implementation of BRI. The former foreign minister and Nepali Congress leader NP Saud even said that Nepal cannot afford loans to build projects under BRI. His intentions are loud and clear
On the other hand, the media reports say that those pro-Chinese people do not want to see the MCC materialize. According to them, it will make Nepal another Afghanistan triggering internal conflict. It is an open secret that Beijing, through its BRI projects, is trying to expand its sphere of influence in Nepal, where Washington wants to re-claim its political and economic influence in Nepal.
Amidst this paradoxical stage, our incumbent prime minister has been struggling to strike a balance between mainly China and America at present. As we are transforming socio-economic and politically, we need both nations and India too. They have remained our partners in development. Their support and contribution have helped us to fight the repressive forces and usher into a democratic republican set-up.
This is an established fact that in a rapidly changing global order, our prime minister can neither become the darling of one nation ignoring the other nor upset one nation to please the other. This calls for diplomatic tacit and we hope we display diplomatic maturity and maintain cordial relations with them. Beijing, Washington and New Delhi are equally important for us given our geopolitical location.
The views expressed in this article are the author’s own and do not necessarily reflect People’s Review’s editorial stance.







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