Context
Nepal’s Prime Minister Sher Bahadur Debua is visiting India. This visit comes after four years and is the first for Mr. Debua abroad.
Relevance
GS-II: Bilateral, Regional and Global Groupings and Agreements involving India and/or affecting India’s interests.
Dimensions of the Article
- Issues with India-Nepal ties
- Complicated Geopolitics
- Priorities for India and Nepal
- A new Nepal
- Way Forward
Issues with India-Nepal ties
- Kalapani Border dispute.
- India’s refusal to accept Rs 7 Cr. Demonetized monetary bills.
- Unknown fate of the report submitted by the Eminent Person’s Group.
- Mistrust between India and Nepal over plane hijacking 20 years ago which leads to pre-boarding security checks.
Complicated Geopolitics
- Nepal wants to make the best use of its geographical location that is between India and China.
- China sees Nepal as a pressurizing tactic over India and does not want Nepal to engage actively with the US.
- US recently granted $500 Million grant to Nepal under the Millennium Challenge Corporation, which is being seen as a step to counter rising Chinese influence.
- India does not want to see an outside power in Nepal which is clear from the fact where it offered alternatives to MCC.
- China has made it clear the Nepal can engage with India exclusively.
Priorities for India and Nepal
- Power Trade Agreement can be used to build trust with Nepal.
- Buying power from Nepal would save India from the hefty investments, environmental damage and maintenance.
- Trade and Transit agreements should be rethought where goods and payments can move through electronic platforms.
- Bilateral Investment Promotion and Protection Agreement (BIPPA) needs more attention from Nepal where they should pave for Indian investors.
A New Nepal
- Mr. Debua needs to make his intentions of engagement with India clear.
- However, India needs to accept the New Nepal where it will engage with both China and U.S to further its interests.
Way Forward
India and Nepal share a common history, cultural links and geographical proximity which should be leveraged to further their relationship. India needs to build trust among Nepal people where they must not see India as a bully. We can only hope to see the relationship of ‘Roti and Beti’ getting better with the steps in the right direction.
Source – The Hindu