Nepal reset

Nepal reset

News:

1.Nepal decided to stay away from multilateral Military Exercise (MILEX – 2018) proposed during BIMSTEC Summit.

Important Facts:

2.Multilateral exercise was proposed by Indian PM during BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation) summit in Kathmandu last month.
3.Nepal’s denial to participate in MILEX signals its reluctance , towards its  security role as decided during BIMSTEC summit.

4.India has raised the concern after Nepal gave assent to participate in a 12-day long exercise with China scheduled this month.
5.It has been argued, the response provided by India during adoption of New Nepali constitution and supporting Madhesi demand, provided an edge to China over India.
6.India has done exceptionally well on foreign policy front despite having issues with economic policies.
7.However, this could be an opportunity for China to increase its footprint in Nepal in its economic sphere.
8.Beijing may  also offer the big projects that India wouldn’t be able to match.
9.What India needs to do:

• Should warn Nepal about the danger of falling into the China’s debt trap.
  Expedite hydro-power development projects in Nepal which is at stand still since long, such as Pancheswar, Arun III and Upper Karnali.
• Bring Indian private sectors in infrastructure development rather than depending on public sector undertaking.
• Take concrete steps to shape BBIN (Bangladesh-Bhutan-India-Nepal framework) motor vehicle agreement.

10.Need of the  hour for India is to offer alternative to Chinese projects.