Nepal : China cuts down India's Influence

Discussion in 'Subcontinent & Central Asia' started by Singh, Apr 23, 2009.

  1. RPK

    RPK Indyakudimahan Senior Member

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    India, Nepal to review 1950 treaty

    India and Nepal are expected to discuss cross-border terrorism, better commerce links and review of the 1950 friendship treaty during the three-day visit, that began Monday, of Nepalese Foreign Minister Sujata Koirala. Nepal’s new Prime Minister Madhav Kumar Nepal will follow Koirala to New Delhi on August 18.



    Koirala is expected to meet External Affairs Minister S M Krishna, Finance Minister Pranab Mukherjee, Home Minister P Chidambaram, Defence Minister A K Anthony and Commerce Minister Anand Sharma. She may also call on Prime Minister Manmohan Singh.



    “The focus of the visit will be on enhancing trade relations and increasing Indian investment in Nepal,” Koirala said.
     
  2. Daredevil

    Daredevil On Vacation! Administrator

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    Maoists More Belligerent After Full Central committee Meeting

    Maoists More Belligerent After Full Central committee Meeting

    By Dr. S.Chandrasekharan

    It looks that the Maoists have taken a serious decision to continue and intensify the present agitation on "civilian supremacy" in the just ended full central committee meeting of three weeks of deliberations.

    Full details of the decisions are not yet known and the Maoists as usual have not been forthcoming on the discussions and the decisions but some trends are seen.

    Hisila Yami in her article of 5th August described the meeting as the most important meeting they have had after the famous Chunbang meeting of middle 2005 when the party decided to stop the military struggle and try joining the political mainstream.

    In that meeting Prachanda emerged stronger in his party and was able to convince the majority of the members to find an alternative to the military struggle as the party had already reached the "offensive stage" and could not have gone further ahead in their struggle.

    In the current meeting being described as important as the one in 2005, Prachanda does not appear to have strengthened his position and the party is now poised to take a harder line in the coming months. Hisila Yami described the present meeting as another "two line struggle" in which the party is supposed to have become stronger when it went through the process of "thesis, anti thesis and synthesis." What is more important, there is an admission that there were differences with one side taking the view that the party is sliding to the right, indulging in a luxurious lifestyle, creating inequalities within rank and file and minimising the importance of ideology while the other group favoured restructuring of the State, another form of struggle which may look rightist or reformist but in fact a struggle to restructure the monolithic state into federalism based on region, ethnic heritage, language etc.

    One can guess the composition and leaders of the two groups. For the present Prachanda of the second group has succeeded but I suspect that he has given in a great deal to maintain the unity and his own position in the party. On the ground it would mean mobilisation of the masses on some issue or other, more intensified confrontation and agitation. For them mobilisation would always strengthen and not weaken the party. For them the differences have resulted in the party becoming "mature and responsible" (?)

    On 3rd August, C.P. Gajurel, a senior politburo and standing committee member announced a series of protests for the "sake of civilian supremacy" which according to him is in grave danger. He said that their struggle will not hinder the peace process nor will it affect the constitution making process and in typical Maoists lingo he said that their struggle is supposed to consolidate both the processes! When the assembly is not being allowed to function for days together, when the supervisory committee on PLA integration/rehabilitation has not made any progress over the simple issue of representation, when street protests particularly in the Singa Durbar are intensified, how can the members including some from the Maoists in the committees convene and make any recommendations? To me it looks that the peace process will never be allowed to be completed for some time to come and for this the Maoists primarily as also the other two main parties are to blame

    .Following the obstruction of the house from 7th, other affiliated units like the ANNISU -R have announced protest programmes. One senior member of the Maoists Amik Sherchan went to the extent of calling the President as "anti Nationalist."! The Students’ Union of the Maoists got on to a trivial issue of abolition of the "Proficiency certificates" of Tribuvan University. On 12th, the agitation became violent and a government vehicle was torched near Lainchaur in Kathmandu..

    On the question of civilian supremacy which arose over the sacking of Gen. Katuwal- the issue has lost its relevance with the retirement of the Chief effective from the 10th of next month. As is the tradition, the Chief has already gone on a month’s leave and his successor has been named. What is needed now is a clear understanding of the powers of the President and Prime Minister and perhaps even the Army act may have to be amended. If need be, though not necessary, and as a face-saving formula, the issue can be discussed in the house. But will the Maoists stop at that and allow the present government to function when their intention is to somehow carry on the agitation on some issue or other?

    On their part, the Maoists have also conveyed through intermediaries that they would be "flexible" in both integration and constitution making process. But how can any one believe them, when they have not adhered to their promises of returning the properties or disbanding the YCL. The committee meant to oversee the return of the properties, after six months of work has reported that the Maoists have not returned the properties of 33,000 families in 72 districts!

    Foreign Minister’s Visit:

    In connection with the forthcoming visit of Prime Minister Madhav Nepal on the 18th, Foreign Minster Sujatha Koirala was in Delhi for four days. She had talks with the Indian Foreign Minister S.M. Krishna, Finance Minster Pranab Mukherji and the Commerce Minster Anand Sharma. She sought India’s help in

    * in promoting overall economic development.

    * Indian investments in Nepal

    * Facilitate bilateral trade.

    Better management of border and boundary disputes figured in the talks. According to Sujatha Koirala, the Indian side had agreed to build a road across Terai, power transmission, control and management of Bagmati River, facilitating Nepal’s international trade through Bangladesh, reducing trade deficit etc

    On trade with Bangladesh, when both countries are short of wheat and dhal, Nepal recently exported 2 lakh tons of wheat and one lakh ton of Masoor Dhal. Where did they get these from? Nepal’s commerce and supplies ministry should not become a "supply ministry."

    The Indian side is said to have raised the issue of fake Indian currency being pumped into India from Nepal. The fake currencies originate from Pakistan!

    Prime Minster Madhav Nepal due to visit India, has described his official five day visit as a "good will" visit and that no major pact will be inked on utilising water resources. I think the Indian side should have by now realised that no major agreement of utilising or sharing of water resources with Nepal is possible in the near future and in any long term planning for energy sufficiency in India, the power potential of Nepal should not be taken into consideration at all.

    But the water issue in Nepal has become political not now but from the days of monarchy.. Except for one wise individual Kanak Mani Dixit, no one realises that more than the power or the money, regulation of the water resources which are causing immense damage to both sides of the border every year repeatedly has to be taken seriously by both sides and deal with it seriousoly without carrying on the old baggage in the interest of both the countries.
     
  3. Rage

    Rage DFI TEAM Stars and Ambassadors

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    Nepali FM's India visit successful: ministry

    www.chinaview.cn 2009-08-14 20:21:18


    KATHMANDU, Aug. 14 (Xinhua) -- The Ministry of Foreign Affairs on Friday said that Nepali Foreign Minister Sujata Koirala's 5-dayofficial goodwill visit to India was successful.

    The ministry said that the visit was successful in setting the grounds for the official visit of Prime Minister Madhav Kumar Nepal who will leave Nepal for India next week.

    "The visit has contributed to fostering further cooperative and friendly relations between Nepal and India," minister Koirala said at a press meet at Tribhuvan International Airport.

    Koirla said that the renewed contacts at higher level between two countries are important to promote deeper understanding and mutual trust.

    During her visit, she called on Indian prime minister Manmohan Singh, had a separate meetings with Indian Minister for Finance Pranab Mukherjee, Minister for Commerce and Industries Anand Sharma, Minister for Defence A. K. Antony and Minister for Home Affairs P. Chidmbaram among other political leaders, according to the ministry.

    At the meetings, matters pertaining to economic cooperation, enhancement of sustainable trade between Nepal and India and other issues of mutual interest were discussed.

    According to local media, she will be joining prime minister M.K. Nepal's team who is going to visit India from Aug. 18.


    http://news.xinhuanet.com/english/2009-08/14/content_11883291.htm
     
  4. RPK

    RPK Indyakudimahan Senior Member

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    Nepal to seek India's help to build historic museum- Politics/Nation-News-The Economic Times

    KATHMANDU: Nepal will seek India's support to build a grand museum in Kathmandu that would reflect its politics, history, culture as well its
    struggle to transform itself from a monarchy to a democratic republic.

    Prime Minister Madhav Kumar Nepal who is leaving on an official visit to India on Tuesday told PTI that Nepal is going to build three museums, Narayanhiti Palace Museum, People's Movement Museum and an ethnic museum representing the cultural diversity of the country.

    "We would like India to support in building one of these museums," he said.

    India's support was crucial for the success of the People's Movement of April 2006 which restored multi party democracy and abolished the 240-year-old monarchy last year.

    Thousands of Nepalese and foreign travellers visit the Narayanhiti Palace daily where the 2001 royal massacre took place that killed the entire family members of King Birendra. The centuries-old palace will be developed as a history museum, Nepal said.

    Nepal formally abolished monarchy through an overwhelming majority vote in the first meeting of the Constituent Assembly on May 28, 2008 and turned the country into a federal democratic republic.
     
  5. RPK

    RPK Indyakudimahan Senior Member

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    Nepal PM to encourage Pancheshwor proj during India visit

    Kathmandu: Ahead of his maiden official visit to India, Prime Minister Madhav Kumar Nepal has said he will push forward the Pancheshwor multipurpose project as the electricity generated from it will be seven times cheaper than the normal hydropower projects in power-starved Nepal.


    "The cost of the project is seven times cheaper than ordinary power projects, therefore, this project including the preparation of the Detailed Project Report must be expedited," he told in an interview at his official residence here ahead of his departure for New Delhi on a five-day visit.

    The Pancheshwor project was part of the Mahakali Integrated Treaty signed between Nepal's Premier Sher Bahadur Deuba and then Indian Prime Minister P V Narasimha Rao in 1996 and CPN-UML, which was the main opposition at that time, also endorsed the decision reaching a national consensus.

    However, the project could not be taken forward due to political instability in Nepal. Shortly after that the Maoists launched a decade long armed struggle to topple monarchy.

    After Maoists came to power through the peace process ending the decade long conflict, the first Prime Minister of Republic of Nepal Prachanda also expressed willingness to expedite the project when he visited India last year.

    He even proposed to construct power projects to generate 10,000 MW power within the next 10 years by implementing various projects including the 6,000 MW Panchshwor and 3,200 MW Koshi high dam Projects.
     
  6. RPK

    RPK Indyakudimahan Senior Member

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    Prachanda warns Nepal against finalising Pancheswor project :: Samay Live

    Kathmandu: As Prime Minister Madhav Kumar Nepal begins a crucial visit to New Delhi, Maoists supremo Prachanda today warned him against finalising a deal on the controversial Pancheswor multi-purpose hydropower project, which tops the agenda for discussion during the tour.

    Pushpa Kamal Dahal 'Prachanda', the chairman of the Unified CPN (Maoist), said that the Pancheswor project should not be finalised during Nepal's visit as there were flaws on the issue of water sharing and power generation agreement.

    There are some flaws in the areas of water sharing and power generation linked to the project from the early days, underlined Prachanda, the first Maoist's prime minister who suddenly resigned on May 4 after President Ram Baran Yadav reinstated the Army Chief dismissed by him.

    No issues should be settled until things get resolved on water sharing and electricity front, he was quoted as saying by the Kantipur TV channel in Doha on his way to Kathmandu after concluding his 10-day visit to Europe.

    Prachanda is set to return to Kathmandu today as Prime Minster Nepal begins his five-day visit to New Delhi where he is expected to discuss a host of issues, including an extradition treaty, the review of the 1950 Peace and Friendship Treaty, Bhutanese refugee problem, Nepal's peace process and matters relating to security and border with his Indian counterpart Manmohan Singh.

    Prime Minister Nepal has said that even as the project will not be finalised during the visit, he will try to push forward with the talks on the issue.
     
  7. youngindian

    youngindian Senior Member Senior Member

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    India, Nepal to discuss peace process, new friendship treaty

    August 18th, 2009 SindhToday

    New Delhi, Aug 18 (IANS) Amid the drifting peace process in Nepal, Prime Minister Madhav Kumar Nepal Tuesday began a five-day visit to India – his first to the country since he assumed office nearly three months ago.

    Nepal’s visit is primarily a goodwill trip that is aimed at keeping the traditionally strong relationship with India — tested after the Maoist victory in polls last year — on an even keel.

    A host of bilateral issues, including the proposed revision of the friendship and trade treaties and the finalisation of a revised extradition treaty, will figure prominently in the discussions between the two sides.

    Prime Minister Manmohan Singh will hold talks with his Nepalese counterpart Wednesday evening. The talks will focus on sustaining the floundering peace process in Nepal.

    Some economic and energy pacts may be signed after the talks, official sources said.

    Nepal will also meet President Pratibha Patil, the ruling United Progressive Alliance chief Sonia Gandhi, External Affairs Minister S.M. Krishna, Finance Minister Pranab Mukherjee and Home Minister P. Chidambaram.

    Nepal’s itinerary includes an interactive meeting with captains of business and industry Wednesday and a speech on the state of India-Nepal relations the next day.

    India is expected to convey its concerns over the drifting peace process in the Himalayan state after Maoist leader Prachanda resigned as the prime minister nearly three months ago, plunging the country into prolonged political instability.

    New Delhi supports broadest possible political consensus in Nepal for the framing of a new constitution, which has been hit by political feuds between rival parties and factions in the political establishment.

    Issues relating to trade and investment, water resources, border management, hydroelectric projects and developmental cooperation between the two countries will also figure in the discussions.

    The Indian side is expected to stress the need for a new extradition treaty that could be useful in arresting criminals who cross the border and in curbing other cross-border criminal activities.

    The visit will provide “a useful opportunity to both sides to discuss issues of mutual interest and ways to further strengthen and expand the close bilateral ties that exist between India and Nepal”, India’s external affairs ministry said in a statement to mark Nepal’s visit.

    Nepal took over office May 25 after his predecessor, Maoist chief Pushpa Kamal Dahal Prachanda, resigned following a controversy over the dismissal of the Nepal Army chief.

    The new prime minister’s visit was preceded by that of Foreign Minister Sujata Koirala last week.

    India, Nepal to discuss peace process, new friendship treaty | Sindh Today - Online News
     
  8. Ray

    Ray The Chairman Defence Professionals Moderator

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    Peace will be a problem since there is that freak Prachananda!
     
  9. RPK

    RPK Indyakudimahan Senior Member

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    Hydro power sector, security to top Indo-Nepal talks


    Co-operation in hydro power sector, security and the 1950 friendship treaty will be high on the agenda of visiting Nepal Prime Minister Madhav Kumar Nepal`s talks with the Indian leaders today.

    On his first visit after taking charge as Prime Minister, Nepal, will hold delegation-level talks with Prime Minister Manmohan Singh, besides meeting external affairs minister S M Krishna.

    The Nepalese Prime Minister, who is leading a 64-member delegation, is accompanied by finance, tourism, commerce, industry and energy ministers. The officials of the two countries are also expected to discuss ways to expedite preparation of the controversial Pancheshwor multipurpose hyower project and feasibility study report of the 240 megawatt Naumure hydro power project gifted by India.

    Ahead of the visit, Nepal`s Maoist leader Prachanda upped his ante against Pancheswor project warning the prime minister against finalising a deal on Pancheswor project. Other important issues expected to figure in the talks include trade, investment, extradition treaty, Bhutanese refugee problem and the peace process in Nepal. Prime Minister Madhav Kumar Nepal arrived at New Delhi on Tuesday on a five day visit.
     
  10. RPK

    RPK Indyakudimahan Senior Member

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    Nepal PM seeks to win back India Inc confidence

    New Delhi,Aug 19 (PTI) Nepalese Prime Minister Madhav Kumar Nepal today rolled out a red carpet to the Indian industry, assuring entrepreneurs of a "feel-at-home" environment in his country.

    Political events in Nepal since May this year had shaken confidence of Indian entrepreneurs in the neighbouring country after attacks by militant trade unions on a few firms, including a well-known fast moving consumer goods firm.

    "The Prime Minister's Office will make sure that you feel at home and obstacles are removed. You will get a high level of attention from the government. I will personally make sure that the foreign investment is given due priority," Nepal told captains of Indian industry at a luncheon meeting.

    Nepal cited investment opportunities in hydro power, roads, bridges, infrastructure, construction, tourism, agro-processing and financial services
     
  11. RPK

    RPK Indyakudimahan Senior Member

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    India attempts to match Chinese influence in Nepal- Politics/Nation-News-The Economic Times

    NEW DELHI: In a bid to support Nepal’s beleaguered peace process and check China’s growing influence, India has decided to pump in crores of rupees
    into the neighbouring nation’s infrastructure.

    On the day Nepal’s Prime Minister Madhav Kumar Nepal started his five-day visit to India, the government at a high-level meeting took a decision to fund three large infrastructure projects, which will increase border connectivity and increase trade between the two countries.

    The government quickly pushed through funding for the projects, which include the Integrated Customs Posts project and road and rail projects, to show that India is serious in its efforts to help Nepal through the transitional period.

    With the development mantra in mind, the government, which is keen to upgrade the border infrastructure,will put in around Rs 200 crore to set up the first two state-of-the-art integrated customs point along the border at Raxaul-Birganj and Jogbani-Biratnagar.

    The decision to set up Integrated Check Posts along the border was taken some time back but will now see actual implementation on the ground. The idea is to set up the ICPs so that trade between the two countries becomes smoother, cutting down on current procedural delays at the border. After the first two sites are set up, the two countries will then look at setting up ICPs at Sunauli-Bhairahawa and Nepalgunj-Nepalgunj points.

    Apart from the customs project, the government has also taken the plunge to fund the first phase of the Terai road project at a cost of around Rs 700 crore and set up two rail links worth Rs 700 crore. The Terai road project looks at upgrading around 1,500 km of roads in the Terai region with the first phase covering 657 km of road. Additionally India will also fund a Nepal Police Academy worth Rs 300 crore in what is a capacity building exercise.

    These infrastructure projects have been at the conceptual stage for the last couple of years but have not gotten off the ground for one reason or another. By funding road and rail projects worth crores, India hopes to start a new era of cooperation and send a strong message of support to Nepal and its government, which has been struggling to push forward the peace process in the face of Maoist opposition.

    Sources pointed out that India’s interest lies only in a stable Nepal. On Wednesday, Prime Minister Manmohan Singh held talks with Mr Nepal and discussed the entire gamut of bilateral ties from economic cooperation to the status of the peace process.

    India’s current push for Nepal’s infrastructure also comes in the backdrop of China’s continuing efforts in Nepal. China is currently helping Nepal build a cross border road linking Nepal to the Tibetan Autonomous Area to improve trade and tourism.

    China is also a major donor and has put in vast amounts of money into Nepal in various sectors including hydropower, health and even information technology.
     
  12. youngindian

    youngindian Senior Member Senior Member

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    PM visit: India to provide NRs 32b

    Kantipur Report
    NEW DELHI, Aug 20 - Visiting Prime Minister Madhav Kumar Nepal met Indian Minister for Finance Pranab Mukherjee on Thursday morning.
    During the meeting, Mukherjee informed the Indian government has decided to provide financial assistance of NRs 32 billion for the establishment of police booths, development of highways, unified security posts in Biratnagar and Birginj, railway link, among others.

    He expressed his belief that the assistance will further enhance the country that has been heading towards reestablishing financial structure.

    Following his visit with the Finance Minister, the Prime Minister met Indian Minister for Home Affairs P. Chidambaram and held discussion on controlling criminal activities in the entry points.

    On the occasion, Indian Home Minister Chidambaram said India will provide needed assistance to control it.

    He also stressed on the need for moving ahead through cooperation among the security personnel from both the countries for strengthening security.

    Also today, Prime Minister Nepals is scheduled to meet former Prime Minister Inder Kumar Gajural to hold discussion on bilateral relationship, Prime Minister's press advisor Bishnu Rijal informed.Earlier, Prime Minister Nepal held an interaction with mediapersons at Hotel Oberoi here.
    He reiterated the constitution will be drafted and peace process will be taken to a logical conclusion within a slated time.

    He said both the works will be done on time forging consensus with political parties.

    The Prime Minister stated various committees are working for drafting new constitution and that the Army Integration Special Committee will finalise the integration and rehabilitation.

    He reiterated his commitment to take peace process to a logical end by making the Unified CPN (Maoist) join the government.

    On a query on whether former King Gyanendra will be active if constitution is not drafted on time, Prime Minister Nepal said, "There is no chance of royal regime returning in the country. If he wants to be in politics, he should come for competition for the post of President or Prime Minister."

    Clarifying that no activities against India have been taking place in the Nepali land, Prime Minister Nepal assured that such thing will not be done in the future as well.

    In another query on whether he became the Prime Minister with the blessings from the Indian government, Nepal said the UML-led government has been formed with the support from the political parties as per the general public's desire.

    Prime Minister Nepal arrived in New Delhi on Tuesday for his first maiden India trip.

    eKantipur.com - Nepal's No.1 News Portal
     
  13. RPK

    RPK Indyakudimahan Senior Member

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    India to give Nepal Rs.20 bn for infrastructure projects

    India has pledged assistance of Rs.20 billion to Nepal for infrastructure projects, Finance Minister Pranab Mukherjee told visiting Nepali Prime Minister Madhav Kumar Nepal.

    The Nepali prime minister arrived Monday on a five-day visit to India - his first to the country since assuming office three months ago. He met Prime Minister Manmohan Singh Tuesday and held detailed discussions with him.


    Thursday morning, Finance Minister Mukherjee called on Nepal at his suite in Delhi's Oberoi Hotel.


    According to officials, Mukherjee told him that a package of Rs.20 billion worth of financial assistance will be announced to mark the Nepali premier's visit.


    This assistance will basically be a new fund allocation for existing rail and road projects which were stalled. This will also cover beefing up of border infrastructure, including constructing integrated border check-posts.


    Commerce and Industry Minister Anand Sharma met his Nepalese counterpart Rajendra Mahato here Wednesday to take forward the proposed Treaty of Trade and Agreement of Cooperation.


    Nepal also made a strong pitch for a revised trade treaty and stressed that attracting Indian investment in key areas like roads, infrastructure, energy, education and health topped priority of his government.


    'We are promoting an investment-friendly environment and a liberal trade policy,' Nepal told Indian business leaders at a function Tuesday.


    India is a major investor in Nepal, with over 400 projects and accounting for about 44 percent of Nepal's foreign investment.


    Bilateral trade has jumped from $209.5 million in 1995-96 to over $2 billion this year.
     
  14. RPK

    RPK Indyakudimahan Senior Member

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    Maoists in army: Nepal cautioned

    India has asked Nepal to be cautious about integrating Maoist combatants into the Nepal Army.



    The suggestion — “it may not be wise to do anything that will adversely affect the professionalism as well as apolitical and neutral character of the Nepal Army” — apparently came when visiting Nepal Prime Minister Madhav Kumar Nepal apprised his Indian counterpart Manmohan Singh that integration and management of the Maoist combatants was the biggest challenge to successfully accomplishing the peace process and completing the Constitution writing before the May 2010 deadline. The two Prime Ministers met for a 75-minute exclusive meeting before ministers and officials from both sides joined in on Wednesday night.



    “We will fully honour the Comprehensive Peace Agreement regarding Maoist combatants,” the Nepal PM told a group of journalists on Thursday. “They are to be integrated into society. We may integrate them into civil police, border security force, industrial security force, para-military group and even Nepal Army, if necessary. But let a concrete proposal come to us.”


    The Nepal Prime Minister, who rounds off his five-day official visit to Delhi on Saturday, said he came here not for ‘physical support’, but for securing goodwill from India. “I am fully satisfied with the goodwill and hospitality extended to us.”



    Madhav Nepal was supposed to have been keen on signing some agreements. But India is learnt to have advised him that it can be done when Nepal feels comfortable enough, indicating that fragmentation of Nepali politics, Maoists’ warning against signing any treaty and last-minute withdrawal of Foreign Minister Sujata Koirala from the PM’s entourage contributed to India’s hesitation.
    The Indian side also brought up the issue of “use of Nepal territory for anti-India activities, including distribution of counterfeit Indian currency to India”. “We will not allow our territory to be used against any of our neighbours — be it India or China — and we will firmly act if we get any information or evidence regarding such activities,” the Nepal PM said.
     
  15. RPK

    RPK Indyakudimahan Senior Member

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    'Be cautious with this neighbour' - dnaindia.com

    India cannot be directly blamed for the mess in Nepal, but the sad truth is South Block's policy has gone terribly wrong.

    Much of this has to do with Delhi's suspicion and distrust of Maoists, propelled by fear of growing Chinese influence in India's backyard.

    By appearing to back the army in its standoff with Maoist PM Prachanda, India exposed its preference for army chief Gen Rookmangud Katawal.

    But without Maoists on board, the important work of drafting the Republican constitution cannot proceed.

    Unless there is a rapprochement between all stakeholders in the Himalayan kingdom, it will further slide into chaos. That will be even more dangerous for India.

    When foreign minister Sujata Koirala was here last week, she pointed out that China was pouring in enormous funds for infrastructure projects in Nepal.

    Madhav also tried on Wednesday to persuade Indian business houses to invest in his country. He will travel to Mumbai on Friday with the message. But businessmen are reluctant because of constant strikes and attacks on Indians in Nepal.

    Though no agreements have been signed, Delhi is readying major financial assistance to Nepal. It will put in around Rs200 crore to set up two integrated customs points along the border. It is also considering investing Rs1,400 crore in road and rail projects in Nepal.

    But at the moment Nepal needs more than just funding. It needs rapprochement between Maoists and political parties. "India should think of its long-term aims in Nepal. Stability is important," former ambassador to Kathmandu KV Rajan said, adding, "Delhi should concentrate on ensuring stability in Nepal, instead strategic interests." He implied that India should not get into an anti-Maoist mode because of fears of Chinese influence.

    India's clumsy handling of the crisis in Nepal made it an easy target. Both Maoists and the general public were critical of Delhi.

    "Finger-pointingis a given in Nepal," another former envoy Deb Mukherjee said, adding, "India needs to be careful at every step."
     
  16. Pintu

    Pintu New Member

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    India, Nepal agree to review 1950 treaty - India - NEWS - The Times of India

    India, Nepal agree to review 1950 treaty
    TNN 23 August 2009, 03:22am IST

    NEW DELHI:India and Nepal have agreed to review the 1950 Treaty of Peace and Friendship, which has been the subject of considerable criticism in the Himalayan republic.

    According to a joint statement issued by the foreign ministry on Saturday on the completion of four-day visit by Nepal PM Madhav Kumar Nepal, the two countries also agreed to review other bilateral agreements "with a view to further strengthening the bilateral relationship''.

    Earlier in the day, the two countries completed negotiations and initialed the revised Treaty of Trade and Agreement of Cooperation to Control Unauthorized Trade, which would contribute to further enhancing bilateral trade.

    The trade treaty, which has been negotiated for the last two years, aims at enlarging the scope of the existing institutional framework, under which India gives duty-free access to its market to goods manufactured in Nepal.

    Madhav Nepal and PM Manmohan Singh discussed security concerns relating to the open border between the two countries. The Nepalese side assured that it would not allow its territory to be used for any activity against India and the Indian side also gave the same assurance to Nepal.

    "It was agreed that the Bilateral Consultative Group on Security Issues and the home secretaries of the two countries will meet within two months to enhance bilateral cooperation to effectively address all issues concerning security, including cross-border crime, and establishing effective communication links between and along the bordering districts to further facilitate the exchange of information,'' said the official spokesperson.

    "The two sides agreed to consider steps to further facilitate cross-border arrangements in order to resolve border related issues and to assist local populations in the border areas on both sides. The two sides also stressed on the need for strengthening the legal framework, in order to counter their common cross border security challenges,'' he added.
     
  17. IBRIS

    IBRIS Senior Member Senior Member

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    India, Nepal firm up political, trade ties

    NEW DELHI: After a five-day official visit, Madhav Kumar Nepal left India on Saturday, secure in the knowledge that the growing dissonance inside and outside his coalition government in Nepal will not affect the Indian commitment to underwrite his leadership in the difficult months that lie ahead. For the moment, at least.

    India remains concerned about divisions between Mr. Nepal and the Koiralas — the first family of his principal coalition partner, the Nepali Congress — and within the Prime Minister’s own Unified Marxists-Leninists. But on the principal faultline that divides Nepali politics — the Maoists vs. the UML-NC combine — New Delhi reiterated its strong support for the latter, weighing in behind the coalition’s tough new stand against integration of Maoist combatants into the Nepal Army. Even though the message on integration was not conveyed in so many words, Mr. Nepal and his advisers took the Indian insistence on the need to preserve the “professional character” of the Nepali Army to mean precisely that. On his part, Mr. Nepal went out of his way to assure his hosts that his country would not be used against India in any way.

    Apart from the political significance of the visit, India and Nepal on Saturday initialled the revised Treaty of Trade and Agreement of Cooperation to Control Unauthorised Trade, which will contribute to further enhancing bilateral trade. At present, India accounts for 70 per cent of Nepal’s external trade and about 44 per cent of foreign direct investment.

    India has also promised to beef up Nepal’s road and rail links in the underdeveloped Terai region and agreed to the utilisation of the Visakhapatnam port for the movement of transit traffic to and from Nepal. It will also favourably consider the request for usage of an additional sea port on its western coast. India will invest Rs. 1,485 crore in strengthening Nepal’s rail and road linkages in the Terai region.

    Further trade promotion measures will be examined by the Commerce Secretary-level Inter-Governmental Committee, which has been asked to meet in two months. In a joint statement issued following the visit of the Nepali Prime Minister, which concluded on Saturday, both countries agreed to wrap up a new Agreement on Avoidance of Double Taxation and sign it at an early date.

    Taking note of the concerns expressed by Indian businessmen, Nepal said it would foster an investor-friendly and enabling business environment and was ready to sign a Bilateral Investment Promotion and Protection Agreement.

    On the security side, given the open border, each side said it would not allow its territory to be used for any activity against the other country. The Bilateral Consultative Group on Security Issues and the Home Secretaries will meet within two months to address all security-related issues. India agreed to Nepal’s request for building a Police Academy at an estimated cost of Rs.320 crore, besides doubling the number of slots for training government of Nepal officials, including police personnel.

    The Hindu : Front Page : India, Nepal firm up political, trade ties
     
  18. purplemarco

    purplemarco New Member

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  19. Antimony

    Antimony Regular Member

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    Excerpt from the article:
    How will this not be a political headache on the Nepalese side?
     
  20. RPK

    RPK Indyakudimahan Senior Member

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    The Telegraph - Calcutta (Kolkata) | Business | Funds boost for Nepal infrastructure
    New Delhi, Aug. 23: India will invest in infrastructure facilities in Nepal to boost bilateral ties. The countries have also agreed on a broader trade agreement, under which steps will be taken to control the illegal entry of goods from a third country.

    The trade treaty, which was being negotiated for two years, is meant to replace the agreements of 1991 and 1996 that give goods manufactured in Nepal a duty-free access in India.

    “The two sides completed the negotiations and initiated the revised Treaty of Trade and Agreement of Cooperation to Control Unauthorised Trade, which will enhance bilateral trade,” according to joint statement issued at the conclusion of the visit of Nepalese Prime Minister Madhav Kumar Nepal during which he held talks with counterpart Manmohan Singh.

    India will invest Rs 1,485 crore to beef up Nepal’s road and rail links in the underdeveloped Terai region. The Vishakhapatnam port will also be allowed to be used for the movement of transit traffic to and from the Himalayan neighbour. Nepal’s request for using an additional port on the west coast will be favourably considered as well.

    The statement said a new agreement on avoiding double taxation and investment protection would be signed soon to address the concerns of businessmen.

    At present, India accounts for 70 per cent of Nepal’s external trade and about 44 per cent of foreign direct investment. Trade between the two countries stood at $1.9 billion in 2008-09 and is expected to reach $3 billion this fiscal. Nepal has also requested India to consider removing the ban on the export of essential commodities. To improve rail connectivity, two cross-border links, including the Jogbani-Biratnagar route, will be built with Indian assistance at an estimated cost of Rs 680 crore.

    Kathmandu plans to generate 25,000MW of hydroelectricity over the next 20 years. The two countries have agreed to expedite the construction of the Dhalkebar-Muzaffarpur 400KV cross-border transmission line for which the modalities are to be developed
     

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