AIR- Spotlight: India-Nepal Bilateral Ties | Current Affairs & Hindu Analysis: Daily, Weekly & Monthly - UPSC PDF Download

Introduction

Foreign Minister Jaishankar's recent two-day visit to Nepal, where he co-chaired the 7th Nepal-India Joint Commission meeting with his Nepalese counterpart and oversaw the signing of numerous agreements spanning agriculture, road construction, defence, energy, and various other sectors, underscores India's steadfast commitment to its neighborhood policy, with Nepal being a foremost priority partner.

India-Nepal Relations:

• Nepal holds a significant position as a priority partner for India, particularly within the context of India's "neighborhood first" foreign policy, a stance evident since 2014.

Trade and Economy:

• India stands as Nepal's largest trade partner and the primary source of foreign investments, while also facilitating transit for the majority of Nepal's third-country trade.
• Indian businesses actively participate in manufacturing, services (banking, insurance, dry port operations), the power sector, and tourism industries within Nepal.

Connectivity:

• Given Nepal's landlocked geography, it shares borders with India on three sides, with limited vehicular access to Tibet on the remaining side.
• Both countries have collaborated on various connectivity projects to bolster people-to-people linkages and spur economic growth.
• Memorandums of Understanding have been inked for projects like laying electric rail tracks connecting Kathmandu with Raxaul in India.
• India aims to develop inland waterways to facilitate cargo movement, extending access to sea routes for Nepal, symbolically linking Sagarmatha (Mount Everest) with Sagar (Indian Ocean).

Development Assistance:

• India provides significant development assistance to Nepal, focusing on grassroots infrastructure development, healthcare, water resources, education, rural, and community development initiatives.

Defence Cooperation:

• Bilateral defence cooperation entails modernizing the Nepalese Army through equipment provision and training.
• The recruitment of personnel for the Gorkha Regiments of the Indian Army partly occurs from Nepal's hill districts.
• Since 2011, India and Nepal have conducted annual joint military exercises known as Surya Kiran.

Cultural Exchanges:

• Efforts have been made to foster people-to-people contacts in art, culture, academia, and media, with agreements like the twinning of Kathmandu-Varanasi, Lumbini-Bodhgaya, and Janakpur-Ayodhya cities.

Humanitarian Assistance:

• Nepal, situated in a geologically sensitive area, often faces natural disasters like earthquakes and floods, making it a significant recipient of India's humanitarian aid.

Indian Community:

• A substantial Indian community resides in Nepal, comprising businessmen, traders, healthcare professionals, engineers, laborers (including seasonal or migratory workers in the construction sector).

Multilateral Partnerships:

• India and Nepal actively engage in various multilateral forums such as BBIN (Bangladesh, Bhutan, India, Nepal), BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation), NAM, and SAARC (South Asian Association for Regional Cooperation), among others.

Way forward

Border Issue:

• Both nations have resolved approximately 98% of their shared border, with over 8,500 boundary pillars erected to denote agreed-upon demarcations.
• Given the overlapping claims on certain territories, it's imperative for both countries to engage in dialogue to address this issue.

Updating the 1950 Treaty of Peace and Friendship:

• India should acknowledge Nepal's aspirations, recognizing its young population's desire for opportunities beyond the open border and its ambition to transform from a "land-locked" to a "land-linked" nation with a merchant navy.
• Emphasizing people-to-people interdependence, civil society engagement, and commercial interactions can foster stronger ties.
• India's focus should extend to innovation and technology transfer, educational institutions, migration management, and capacity-building initiatives.
• Timely completion of infrastructure projects, such as the long-pending Pancheswar project, is essential.
• Leveraging Nepal's expertise in climate change could benefit India's ecological management efforts in hilly and mountainous regions.
• Effective implementation of pending projects, including integrated check posts (ICPs), railway connections, postal road networks, and petroleum pipelines, will enhance connectivity and promote inclusive development.

Boundary Dispute Resolution:

• Diplomatic negotiations under the framework of international law on trans-boundary water disputes should guide efforts to resolve the boundary dispute with Nepal, drawing insights from India's successful resolution of similar disputes with Bangladesh.

Respect for Nepal's Internal Affairs:

• India should maintain a policy of non-interference in Nepal's internal affairs while offering constructive guidance toward a more inclusive democracy, fostering friendship and mutual respect.

Strategic Relevance and Comprehensive Policy:

• Recognizing Nepal's strategic significance to India's security, ensuring Nepal's stability and security is crucial.
• India must develop a comprehensive and long-term policy toward Nepal, moving beyond a purely security-focused approach and refraining from viewing bilateral relations through a zero-sum lens vis-à-vis China.

Advancing Multifaceted Relationships:

• India should prioritize building multifaceted relationships with Nepal, emphasizing mutual benefits and cooperation across various sectors for the advancement of both nations.