Nepal being a poor landlocked country with a fragile and unstable political system, major external powers providing aid and assistance to Nepal tend to carry an influence on domestic politics, foreign policy, and the socio-economic agenda of the government. These powers have divergent interests and do not coordinate their policies towards Nepal. While some external forces like the United States and China have hidden political and strategic interests, some others like the European Union are engaged in humanitarian issues.
China’s Inroads into Nepal: India’s Concerns
The political crisis that triggered off in Nepal with Prime Minster Prachanda’s resignation yet again indicates not only the trials and tribulations of a fledgling democratic process but also points to the geopolitical vulnerability of the country sandwiched as it is between the two Asian giants. While India considers Nepal a part of its sphere of influence, it is increasingly being challenged by China’s inroads into Nepal. In fact, the growing Nepal-China nexus should be seen in the context of India-China power competition in Asia.