ABSTRACT

Like in other South Asian countries, China’s engagements with Nepal have increased manifold, mainly after the latter witnessed major political changes, including the formal end of a decade-long Maoist insurgency and the abolition of the 240-year-old institution of monarchy in 2008. Lately, China seems to have used its Belt and Road Initiatives (BRI) as an important foreign policy tool to increase its influence and engagements in Nepal as well as other countries in the region. While China seems to have taken Nepal as a gateway to South Asia, Nepal sees this as an opportunity to diversify its near-total dependence on India. Nepal is currently negotiating with China to bring in investment in various mega infrastructure projects, despite some displeasure from India, the US and Japan.