Approach:

Introduction: Describe in brief about mutual unique ties.

Body: Mentioning multiple facets of the India-Nepal relationship, describe challenges. Briefly mention the steps of the Indian government recently to tackle challenges and strengthen ties.

Conclusion: Further measures to boost ties.

Answer:

India enjoys a unique Roti Beti ka Rishta with Nepal supported by an open border whose foundation was laid with the Treaty of Peace and Friendship 1950 which accorded national treatment to each other’s citizens in economic matters.

Multifaceted aspects of ties:

1) Political Ties-Strong ties with earlier monarchy (Rana rulers). India mediated a “12-point understanding” in 2005 between Maoists and other political leaders who joined to overthrow the monarchy and usher in a democracy there.

2) Defence ties- Traditional ties through Gurkha soldiers serving our Army.  Indian support in the modernisation of the Nepalese Army with training.  Joint exercise called Surya Kiran is also held.

3) Economic relations- India is the largest trading partner as it provides land transit to landlocked Nepalese territory.

• Largest investment accounting for 30 per cent of total foreign investments in Nepal and multiple Indian ventures in sectors like financial services, power, tourism etc.
• New partnership in agriculture in 2018 to focus on research, education and development for the majority of populations.

4) Educational Scholarships to students, Nepalese students prefer to study in India.

5) River water cooperation in the Ganges basin such as the Kosi water treaty, 1954 to manage

flooding by constructing a barrage.

• Bilateral mechanism,2008 to discuss issues of water cooperation, hydropower along with Power Trade Agreement for electricity trade, 2014.

6) Cultural- multiple efforts like MoUs between Doordarshan-Nepal TV, the twinning of sister cities like Kathmandu and Varanasi etc.

Challenges in bilateral ties:

1) Rising Chinese influence:

• Closeness of Communist parties with K P Sharma Oli having an anti-India (Nationalist) stance for electoral benefits sweeping 2018 polls.
• Deeper infrastructure and economic partnerships such as mutual rail agreement, military exercise pact called Sagarmatha friendship etc.

2) Small Nation syndrome of Nepal with insecurities due to their traditional dependence on India. Concerns of Nepal with India-

• Interference in domestic matters and pressure tactics such as the alleged blockade of 2015 in protest of the constitution limiting seats for the Madhesi people.
• Indian investors and businessmen in Nepal limit opportunities for the domestic population.

3) Economic concerns- Trade imbalance with India enjoying surplus, incomplete hydropower projects from the Indian side like the Pancheshwar project.

4) Kalapani territorial dispute- Unilateral action of Constitutional amendment 2020 depicted Kalapani Limpyadhura Lipulekh triangle in their territory disrespecting historical evidence.

To tackle such concerns India recently has extended assistance to focus on the infrastructure creation-cross border rail links like the Jayanagar Bardibas link, the establishment of Integrated Check Posts such as Bhairahawa Nepalganj, energy cooperation through Motihari Amlekhganj Pipeline, focus on mutual religious tourism are some examples.

The Indian PM has emphasised on 5Ts such as the “Tradition, Trade, Tourism, Technology and Transport “formula for Nepal. India needs to further invest in key growth areas of Nepal and timely completion of pending hydropower projects. Proud Nepali people need to be treated with respect to placate insecurities and strengthen relationships.