CESIF

Stalled Road to North: A Case of BRI in Nepal

by CESIF Nepal
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After 2015, there was a widespread perception of Nepal’s turn to North. The strengthening of bilateral engagements and signing of several agreements between Nepal and China signaled the same, but this wasn’t entirely accurate. After the disturbances in Nepal’s Southern border in 2015, Nepal realized the need to diversify its trade and transit routes and seek alternative connectivity through the northern frontier. Amid great anticipation and enthusiasm, Nepal signed the Transit Transport Agreement with China in 2016 and the Memorandum of Understanding (MoU) on China’s flagship Belt and Road Initiative (BRI) in 2017. However, the BRI MoU was kept secret by both parties for five years until a media outlet in Nepal released it in 2022. The release of the MoU brought it under public scrutiny and led to concerns being raised about some of the contentious provisions. This report delves deeper into the complexities surrounding Nepal’s BRI engagement. It sets the context by analyzing China’s intensified engagements in Nepal after 2015, particularly through the leftist forces. It then explores Nepal’s initial motivations and political and public perceptions around its decision to join BRI.

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CESIF Nepal

CESIF Nepal