#NeighborhoodFirst is a two-way street

India and Nepal are deeply connected through natural resources, cultural heritage, and the shared philosophy of Sanatan Dharma. Their integrated people-to-people relations stand as a testament to a living culture and heritage. The significant trade and commerce through open border check posts underscore their economic relationship and its potential for growth via Indian territory.

Despite these factors defining their geo-strategic relationship, the India-Nepal dynamic hasn't seen the bold transformation observed in India-Bangladesh relations. Both Bangladesh and Nepal are set to graduate from Least Developed Country (LDC) status in 2026. Attention is now on their preparedness and ability to leverage opportunities with regional leaders like India, which is on track to become the world’s fourth-largest economy. 

The post-Covid Bangladesh showcases an economic success story, collaborating closely with India. The development of markets, demographic dividends, institutional growth, the Matarbari deep-sea port, and linking industrial value chains with North-East India are testaments to Bangladesh’s political will and strategic alignment with India, garnering support from Prime Minister Narendra Modi. This robust partnership has led to Bangladesh’s thriving supply chains, GDP growth, and overall progress.

In contrast, Nepal’s political instability hampers its potential. Since the general elections of November 2022, the government has been formed three times, with a fourth vote of confidence for the prime minister imminent. Mainstream political parties seem more focused on power struggles than on harnessing Nepal’s economic potential. A pressing concern is the exodus of Nepali youth seeking opportunities abroad, reflecting a domestic business environment marked by stagnation and lack of investment. The phenomenon of "shutter down" businesses indicates widespread disillusionment.

A critical question needs to be asked as to why there is a domestic lull, why the prime minister hasn’t called for an emergency meeting to discuss closure of businesses, up-and-running businesses fear of going bust, and young population leaving the country in droves. 

Despite these challenges, Nepal recently hosted the Third Investment Summit in Kathmandu on April 28-29, featuring over 50 countries, 800 foreign delegates, and 2200 domestic leaders. The summit began with enthusiastic statements from international diplomatic leaders and investment partners. However, domestic business leaders appeared detached, awaiting substantial reforms in domestic laws and regulations. The reliance on ordinances for partial legal amendments undermines sustainable growth and highlights the fragility of Nepal’s business ecosystem.

The Confederation of Nepalese Industries (CNI), one of the chambers of commerce, had called for amendments to 28 laws and regulations to encourage businesses and investors, but the government addressed only a part of their demand through ordinances just ahead of the summit. Ordinance-driven changes mar the momentum of sustainable growth and cannot be seen as a constructive step. 

Despite the three mainstream political leaders—Pushpa Kamal Dahal, Sher Bahadur Deuba and KP Sharma Oli—speaking in one voice about political consensus on Nepal’s readiness to receive foreign investment, the ordinance route amendments betrays the fragility of the country’s business ecosystem.

The summit did showcase success stories, notably India’s steady commitment and investment. Indian Minister Piyush Goyal’s endorsement of global investment in Nepal highlighted the potential for shared progress. Nepali leaders acknowledged India’s role in helping Nepal meet its Net Zero Commitments and assisting with clean energy exports. The potential export of clean energy to Bangladesh via India and the opening of Bangladeshi ports through North East India could be transformative for Nepal. However, realizing these opportunities requires robust connectivity, infrastructural development, a conducive business environment, and unrestricted access to resources and talent.

The question remains how Nepal’s political leadership will capitalize on the trust and strategic partnership with India to foster domestic growth and attract foreign investment. The future of Nepal’s economic and regional integration hinges on its ability to create a stable, business-friendly environment supported by both domestic and regional players.

New Nepal political map 2020 

On 25 April 2024, Nepal’s Cabinet approved printing of the new 100 rupee note with the new Nepal political map. The decision was not made public until 3 May 2024. 

Let’s relook at the recent developments relating to the India-Nepal boundary row: 

1. Nearly 98 percent of the boundary between India and Nepal has already been delineated.

2. In a unilateral move, bypassing the existing bilateral mechanism of boundary resolution with India, Nepal’s Parliament unanimously approved the new Nepal Political Map in June 2020 tabled by then KP Sharma Oli-led government.  

3. The new Nepal Map included the territories of Lipulekh, Limpiyadhura and Kalapani, the point of contention between India and Nepal.

4. When the Lower House of Nepal’s Parliament approved the new Map, India conveyed its readiness to talk and noted “that the onus is on the K P Sharma Oli government in Nepal to create a “positive and conducive atmosphere” for talks to resolve the row over Kalapani-Lipulekh region.”

5. Nepal overlooked Indian Statement of openness to talk after the Lower House approval and went ahead and tabled instead at the Upper House which then approved unanimously.

6. In the same year 2020, Nepal minted new coins Rs 1 and Rs 2 Coins with New Nepal Map. Similarly, there were news updates that the new Map was introduced in the school curriculum.

7. Repeatedly, the Indian Government expressed readiness to discuss the boundary issue under the existing bilateral framework. The results of the progress under the bilateral mechanism on this issue are not evident enough on social media.

8. In the meantime, the boundary issues did not stall both sides from pursuing the shared progress agenda.

9. During the Joint Presser of Prime Minister Dahal and Prime Minister Narendra Modi on 1 June 2023 at the time of Nepal’s Prime Minister Dahal’s visit to India, Prime Minister Modi said, “We will continue to work to take our relations to the height of the Himalayas. And in this spirit, we will resolve all the issues, be it the boundary issue or any other issue. I am happy to share that the partnership between India and Nepal has been a super hit.” The collaborative spirit also led to the mega announcement of Nepal exporting 10,000 MW to India over a period of 10 years. Such a cross-border energy trade partnership is expected to correct the trade deficit between India-Nepal and also foreseen to pave the way for Nepal’s clean energy export to Bangladesh and others in the long term.

10. In March 2024, the third time government post 2022 General Elections formed in Nepal (with five coalition partners namely CPN (Maoist Centre), NCP (UML), RSP, CPN (US), JSP under the prime ministership of Dahal. In specific, the coalition partners announce their “Minimum Policy Priority and Common Program” which includes “to further strengthen the geographical integrity, sovereignty, independence and freedom of Nepal, to advance effective diplomatic efforts to take back Nepali lands such as Limpiyadhura, Lipulekh, Kalapani, Susta, and to effectively manage the border”.

11. On 25 April, 2024, the Cabinet of Nepal Government passed the decision to print new 100 rupees notes with the new Nepal Map. The Cabinet decision was announced on 3 May 2024. 

The week in Nepal-India relations 

Let’s take a closer look at the period April 25–May 3 in Nepal-India relations:

1. The decision of the Cabinet meeting held on April 25 was made public only on May 3.

2. Some of the key events during the period April 25-May 3 included the Third Nepal Investment Summit held on April 28-29 which witnessed mega success stories on Indian Investment into Nepal; official Visit of G Murmu, the Comptroller Auditor General of India and signing of MoU with Toyam Raya, the Auditor General of Nepal on enhancing cooperation between the two Supreme Audit Institutions on May 2; and on May 3, the Chief Justice of India, DY Chandrachud arrived in Kathmandu for a 3-day visit at the invitation of Chief Justice of Nepal, Bishwambhar Prasad Shrestha.

Conclusions

In view of the above developments in India-Nepal relations, including a peek into the key week with announcements demonstrating political will, government decisions, high-level visits, success stories in multifaceted India-Nepal relations leaves me with following 10 conclusions:

1. India remains by the far the most strategic partner for Nepal, be it due to civilizational linkages, integrated People-to-People lives, largest trade partnership and importantly can help Nepal achieve its Net Zero Commitments by facilitating the export of clean energy from Nepal. India is also a key regional leader that can influence, support and navigate any global agenda for securing and safeguarding Mountain, River and Sea economies between Himalayas to Bay of Bengal. The high-level visits from Judiciary, Constitutional Agencies, Business Leaders show the spirit of collaboration and partnership as foreseen by Prime Minister Modi to take the India-Nepal relations to the “height of Himalayas” earlier at the Joint presser with Prime Minister Dahal in June 2023.

2. There is a boundary dispute between Nepal and India which calls for diplomacy and dialogue without any further delay. The Political Statements by Prime Minister Narendra Modi and Prime Minister Dahal have set the track in motion which must be followed in letter and spirit.

3. In the wake of the above, the political leadership in Nepal appears vague and unclear as to what they want by changing the goalposts year upon year with their most strategic partner. How does one reconcile the same Prime Minister Dahal at the Presser with Prime Minister Modi in June 2023 speaking of the “solid foundation built on the one hand by rich tradition of civilizational, cultural and socio-economic linkage and on the other by the firm commitment of the two counties to the time-tested principle of sovereign equality, mutual respect, understanding and cooperation”, acknowledging Indian investment in Nepal as a keynote success story at the Nepal Investment Summit on April 2024 while his cabinet then approves new Rupees 100 Banknotes with “unilateral” new Map and announces in May 2024. Is there leadership void to pursue National Issues and development agenda in Nepal? If Bangladesh can achieve both with Neighbourhood First spirit, where does Nepal default and why?

4. One may also question here how effectively did the Nepal Government evaluate India-Nepal partnership potential during the launch of “minimum policy priority and common program” in March 2024. Did Prime Minister Dahal convince his coalition partners of the understanding achieved with India and how he intends to leverage this relationship with Prime Minister Modi for the welfare of the people of Nepal. Prime Minister Dahal could have focused on seeking investment and support in technological sector, engagement with Indian Corporate as Tech Mahindra, TCS, Infosys, Wipro for the youth of Nepal, agreed for Skills related investments along the borders, sought Indian support for three AIIMS level Healthcare Institutions in Nepal (West, Centre and East) and secured a guaranteed seat with prime educational institutions as IITs/ IIMs/ors. for the top brightest students of Nepal.

5. Did Prime Minister Dahal fall for an agenda of “nationalism” for his own survival? Or did the coalition partners like former Prime Minister KP Sharma Oli, whose national appeal thrives on call for “nationalism”, dissuaded him from the development agenda for the people of Nepal? The two communist leaders of Nepal have taken each other for a ride and still continue to do so at the cost of National Interest. In the frenzy of domestic vote bank scoring and outsmarting each other, both have jeopardized the gains during their respective tenure with India which they could have leveraged for welfare of Nepali people and thus strengthened their foothold in Nepal.

6. Now let’s turn towards India—the Indian media frenzy with Nepal’s Cabinet decision of new banknotes with new Nepal map was dramatic and sensationalism driven. Their overkill of imagination can be seen with two potential conclusions, a) Nepal is hostile towards India and India-Nepal relation at its worst, b) Nepal is in China’s lap and that the communist leaders are being controlled and manipulated by China. Unless and until, the importance of domestic mileage in Nepali politics is understood and appreciated, such hasty conclusions will lead to more provocation and not resolution.

7. To begin with, one shouldn’t forget that Nepal’s Parliament already approved the New Nepal Map in 2020 and thus its implementation is an internal matter of Nepal. Nepal had already minted Nepali Coins of denomination Rs 1 and Rs 2 in 2020. Whether they decide and mint/ print 10/20/100 or more is an internal matter! The issue should have been the timely resolution after the statement of Prime Minister Modi at the Joint Presser in June 2023. Media overaction with China linkages mar dialogue and diplomacy in India as in Nepal. 

8. Indian media and Nepali media should have mentioned about the embarrassment caused to the leadership at the Judiciary and Constitutional Agencies of both India and Nepal when such a Cabinet decision was made public. (Referring to the visits of CAG Murmu and CJI DY Chandrachud to Nepal in May 2024)

9. Last but not least, while India remains focused on people-to-people and economic relations in Nepal and is also well aware of the domestic politics compulsions driving behavior of the Nepali leaders, it must therefore work with rigor to remove the irritants in matters of national consideration to Nepal. It is imperative that India is seen as more indifferent to political constitutions. The pace of developments and economic interventions from India should be driven by welfare and progress of Nepali people. Access to essentials such as electricity, onions, tea or trade and commerce related approvals shouldn’t become a one step forward and two steps back decision. It is also time to upscale the HICDP intervention to move away from school buildings to big ticket investment in skills and vocational institutes, healthcare institutions at the Province level and IIT/IIM at the capital level. It is only timely and relevant that Modi 3.0 has a reinvigorated Nepal policy that takes Nepal along in #Amritkaal and not let domestic politics compulsions of Nepal dent the spirit of Neighbourhood First

10. The two countries are duty bound to preserve and nurture their unique shared heritage of Vasudhaiva Kutumbakam where human and nature’s coexistence can be seen as a way of life in a family and society, in the decision making and governance at the State level. It is imperative for both India-Nepal to recognize their richness of Sanatan Dharma and strive together to protect and nurture its core principles of plurality and freedom of expression. Man-made political boundaries do not and cannot split the custodians of Dharma—as seen in the lives of SitaRam or Machendranath and Gorakhnath, or in the journey of Buddha.

It is time to correct the course and revive Kathmandu to Kashi understanding before it’s too late. 

The author is New Delhi-based financial, geopolitical and security analyst. Views are personal

Indo-Pacific Strategy and Nepal

The US Indo-Pacific Strategy (IPS) was a hotly debated topic in political and diplomatic circles from 2019 to 2022, though discussions have subsided somewhat since then. In Nepal, discourse on the IPS has been dominated by its security and strategic components, with support for this initiative often viewed as joining the US-led military alliance.

In a veiled reference to IPS, Nepali leaders often say that Nepal cannot and should not join any military alliances as it goes against the country’s long-standing commitment to the non-alignment policy. Bolstering Indo-Pacific security is a key part of the IPS which faced stiff opposition in Nepal after the country was mentioned in the 2019 Indo-Pacific Strategy Report by the US Department of Defense.

Additionally, some US documents claimed that Nepal had joined the State Partnership Program (SPP), prompting Nepal to reportedly request for removal from the SPP. Some SPP documents, however, still include Nepal. Nepali leaders also briefly put off the Millennium Challenge Corporation (MCC) project, stating that it was part of the IPS. Discussions on the IPS in Nepal are framed around these two issues, but the strategy encompasses much more.

For the US and international strategic community, the 2022 Indo-Pacific Strategy unveiled by the Biden administration serves as the guiding document on IPS and its execution. The Trump administration had placed the military component as the central pillar of the strategy which landed it in controversy. So, the Biden administration introduced a new Indo-Pacific Strategy (IPS), which has now entered its third year of implementation. US officials are currently occupied with compiling progress reports on a country-by-country basis. Contrary to the Trump administration’s confrontational approach toward China, the Biden administration’s IPS adopts a different stance. It consists of five pillars: promoting a free and open Indo-Pacific, fostering connections within and beyond the region, driving Indo-Pacific prosperity, enhancing Indo-Pacific security, and building regional resilience to 21st-century transnational threats.  Biden’s IPS focuses more on economic cooperation, capacity building of regional partners, and the view that US resources alone are insufficient. 

A frequently asked question in Nepal is whether the country is already a part of the IPS. This is a tricky question and the answer can be both yes and no. Those who view the IPS solely through the prism of security and military cooperation say Nepal is not involved. However, considering all components of the strategy and its implementation, Nepal can be seen as a part of the IPS. US officials and experts have often clarified that the IPS is an overarching framework outlining how the US, as a superpower, envisions the Indo-Pacific region. Nepal, being the landlocked country situated between India and China, is a high priority in the region. US officials have stated in documents that ‘Nepal can play a vital role in the Indo-Pacific region’ and that Nepal is ‘a valued partner in the Indo-Pacific’.

The broader context suggests Nepal is indeed a high priority for the US within its overarching Indo-Pacific policy. In recent years, the US has stepped up diplomatic engagements with Nepal through high-level visits. These visits have focused on increasing US development assistance to Nepal, attracting private investment, promoting democracy and human rights, curbing corruption, and boosting collaboration across sectors. At the same time, the IMF, World Bank and other financial institutions have also intensified their engagements with Nepal. The MCC compact is a case in point.

Looking at how the IPS is being implemented in Nepal through various US agencies like USAID, there are investments “to strengthen democratic institutions for good governance and human rights; foster sustainable, inclusive, transparent economic growth; and improve resilience to health and climate threats” which is the thrust of IPS.

Let’s consider some specific cases now. The first pillar of the IPS is a free and open Indo-Pacific. Targeting the first pillar, the US has been supporting Nepal across domains like governance, democratic values, security and stability. This includes working with Nepal’s media, civil society and key institutions to build capacity, as well as security cooperation with Nepali forces on disaster preparedness, humanitarian assistance, border security, and more.

US agencies are actively engaged in Nepal across other pillars of the IPS. The US closely coordinates with allies and partners, recognizing its resources alone are insufficient for the region's challenges. Hence, allies like Japan, South Korea, India, Australia, and the UK are also expanding their presence and investments aligned with their own Indo-Pacific outlooks.

While the IPS has many facets, discussions and understanding in Nepal have been narrow. Obviously, there are challenges in dealing with the strategic initiatives, but time has come to make an understanding and position about what IPS means to Nepal. In the lack of an official government position, politicians and bureaucrats face difficulties addressing IPS-related issues and projects, particularly with the US.

As Nepal desperately seeks investment across sectors, the US and its partners are exploring opportunities, alongside emerging economies eyeing Nepal. Rather than shying away or viewing the IPS solely as a military strategy, there is a need for open dialogue to build an accurate understanding. The IPS involves US engagement with Nepal on clean energy, climate change, disaster preparedness and facilitating regional power trading agreements. On energy cooperation, the US is working closely with south Asian countries including India, Bangladesh, Bhutan and Nepal. The US also played a vital role in facilitating a regional power trading agreement in South Asia. Regarding climate change, the US partners with various organizations in Nepal, particularly targeting youth engagement—an area where Nepal can greatly benefit as it already faces impacts from climate-induced disasters. Another associated issue is preparedness for disaster response and relief operations. 

There is a need to build an understanding of the IPS to provide clear thoughts and ideas on how to address these challenges. Better comprehension of the multifaceted IPS can offer Nepal significant benefits. However, there are inherent risks if Nepal fails to develop a uniform and consensus-based position on it.

Nepal’s hydropower landscape: Challenges and prospects for future growth

Hydropower, driven by the force of flowing water, stands as a renewable energy source critical for Nepal's energy security and global sustainability efforts. Nepal holds a ‘great’ potential for hydropower generation, but realizing this potential comes with its set of challenges, including infrastructural limitations, regional disparities, and the need for strategic planning and international collaboration.

Intertwined with its political history, Nepal's economic journey reflects periods of stagnation and resilience. Emerging from political transformations since the 1960s, Nepal has witnessed shifts in economic policies, trade relations, and investment climates. Despite facing challenges such as political instability and limited infrastructural development, recent years have seen a surge in foreign direct investment (FDI), signaling growing confidence in Nepal's economic prospects.

While sectors like tourism and remittance play crucial roles in Nepal's economy, the hydropower industry is emerging as a cornerstone for sustainable growth. With untapped rivers and a growing expertise in hydropower development, Nepal has the potential to reduce its reliance on imported fuels and bolster energy independence.

Progress and challenges

The landscape of Nepal's hydropower sector reflects both progress and challenges. With initiatives like the Arun-III project, the nation has made strides in expanding its energy infrastructure. However, disparities in project distribution across regions highlight the need for equitable development strategies. While the Eastern region boasts a higher concentration of operational projects, the Mid and Far-western regions lag behind, indicating the need for targeted investment and development efforts.

According to recent data from the Department of Electricity Development, Nepal currently has 142 hydropower projects integrated into the national grid, with a combined production capacity of 2603.46 MW. These projects are distributed across various districts, with Ilam standing out with 16 projects, while Dolakha leads in power generation capacity, followed by Lamjung. However, there is a notable concentration of operational projects in the Eastern region compared to the Western region. 

At present, as per information sourced from the Department of Energy Development (DOED), a total of 244 projects have obtained construction licenses, collectively possessing the potential to generate 8758.04 MW. This appears promising, aligning with market demand and the prospects for cross-border electricity trade. Notably, the Eastern and Western regions maintain prominence in the number of projects under construction. Myagdi leads with 24 projects holding a potential capacity of 797.43 MW, followed closely by Taplejung with 23 projects contributing to a cumulative capacity of 1189.9 MW. In terms of capacity, Sankhuwasaba emerges as the frontrunner, boasting a potential capacity of 1244.94 MW across 16 projects currently licensed for construction. On a positive note, Kalikot, a district in mid-western Nepal, secures the third position with a capacity of 888 MW derived from four projects.

Upon categorizing all the projects, it becomes evident that those with a capacity exceeding 100 MW are predominant, constituting a total of 3967 MW. Projects falling within the 50-100 MW range collectively contribute 1848.729 MW. Specifically, Taplejung and Myagdi each house five projects within the 50-100 MW range. Conversely, Rasuwa and Taplejung accommodate four and three projects, respectively, possessing installed capacities surpassing 100 MW. Overall, the outlook is comforting, characterized by a significant number of sizable projects in the developmental pipeline.

Total power generation capacity from existing projects of Independent Power Producers (IPPs) and Nepal Electricity Authority (NEA) is a significant contributor to Nepal's energy landscape. As of recent data, IPPs significantly outpace NEA-led projects in meeting national demand. While IPP-led projects exhibit minimal import gaps, grid interruptions pose challenges, especially during high-demand periods. However, the combined efforts of IPPs and NEA contribute to the overall energy generation capacity of Nepal, laying the foundation for economic growth and development.

Addressing the energy gap

Operational projects in Nepal's energy sector are struggling to meet peak demand, necessitating imports from neighboring India. Analysis of the fiscal year 2079-80 data reveals a concerning decline in power generation during the driest period, from Mangsir/Poush to Baisakh/Jestha. To mitigate this shortfall, imports from India spike at approximately 680 MW during Chaitra and Baisakh. However, it's worth noting that exports are more prevalent during the wet season, highlighting seasonal fluctuations in energy demand and supply.

A closer examination of the energy table indicates a widening gap between energy requirement and availability in the wet season, offering an opportunity for revenue-generating exports. Conversely, in the dry season, import costs escalate as available power diminishes, posing economic challenges for Nepal's energy sector.

The predominant cause of this gap can be attributed to the reliance on run-of-river projects, where generation hinges on river water, making it susceptible to changes from global warming and unplanned development. Addressing this requires a firm power supply throughout the year to optimize cross-border energy export returns.

Independent Power Producers (IPPs) significantly outpace NEA-led projects in meeting national demand, yet grid interruptions remain a challenge, especially during high-demand periods like winter. Unplanned grid distribution, compounded by urbanization, exacerbates this issue. Transmission losses peak during the wet-min load season at 4.22 percent for 132KV and above, dropping to 3.57 percent during the dry-peak load season.

Addressing interruptions is paramount for ensuring reliable energy sources, particularly for the potential growth of the yet inactive industrial sector, crucial for leveraging national resources. However, without consistent supply security from NEA, the market may stagnate, impacting the economy and missing out on the benefits of increased power generation.

Solely focusing on exports is deemed economically shortsighted. Enhancing energy consumption capacity and replacing outdated fossil fuel dependencies from kitchens to industries are crucial steps. Future supply prospects appear promising, with potential three-fold increases from new mega projects being considered by stakeholders. This underscores the importance of strategic planning and collaborative efforts in ensuring Nepal's sustainable and resilient energy future.

Toward a sustainable future

Nepal's energy independence and sustainable development journey requires concerted efforts from government agencies, private sector stakeholders and international partners. While cross-border energy trade agreements signify progress, a broader strategy encompassing domestic consumption, alternative energy sources and infrastructure development is imperative for long-term sustainability.

As Nepal navigates its energy landscape, leveraging its hydropower potential while addressing challenges, the nation stands at a critical juncture in shaping its energy future. With strategic planning, innovative solutions and collaborative efforts, Nepal can realize its vision of a sustainable, resilient and prosperous energy sector.

Nepal’s road safety measures in focus

Understanding road safety involves more than just following traffic rules; it signifies a profound commitment to saving lives, protecting families, supporting economic growth, and achieving Sustainable Development Goals (SDGs). This broader perspective emphasizes the positive impact that prioritizing road safety can have on the society as a whole. The sobering reality, highlighted by the World Health Organization’s Global Status Report on Road Safety 2023, indicates a slight decrease in annual road traffic deaths to 1.19m. This suggests that ongoing efforts to enhance road safety are yielding results, emphasizing the potential for significant reductions in fatalities through the application of proven measures. Notably, road crashes stand as the primary cause of death among children and young adults aged five to 29, with vulnerable road users constituting more than half of global road traffic fatalities.

Despite endeavors to improve road safety, the toll of mobility remains disproportionately high, particularly among pedestrians, cyclists, and motorcyclists in low and middle-income countries (LMICs). Road crashes not only pose a human tragedy and a major public health concern but also impose substantial socioeconomic burdens, especially on impoverished communities. Collective economic costs of road traffic fatalities and injuries in LMICs range from two to six percent of the gross domestic product (GDP). In response to this pressing reality, the UN General Assembly initiated the Decade of Action for Road Safety 2021-2030, urging governments, organizations and individuals to prioritize road safety measures.

Toward safer roads

Through awareness drives and policy reforms, Nepal is striving to cultivate a more responsible and conscientious approach to road usage. In 2022, the Ministry of Physical Infrastructure and Transport published a 

‘Nepal Road Safety Action Plan (2021-2030)’, reflecting concerted efforts to address road safety issues. Activities of the Kathmandu Valley Traffic Police Office like the ‘Traffic Awareness Special Campaign-2081’ exemplify this commitment. The focal ministry of road safety is the Ministry of Physical Infrastructure and Transport, which collaborates with various ministries such as the Ministry of Home Affairs, Ministry of Education, Science, and Technology, and the Ministry of Health and Population. Among them, the home ministry has played a pivotal role in spearheading enforcement initiatives to enhance road safety. The ‘Traffic Awareness Special Campaign-2081’, launched in April, aimed to cultivate a more civilized road culture through heightened awareness among the public. Furthermore, the ministry has announced plans for special operations geared toward enhancing the reliability and safety of public transportation.

Helmet safety and beyond

Helmet use is mandatory for both riders and pillion riders according to the Vehicle and Transport Management Act 2049 BS. Ensuring road safety involves various elements, but prioritizing low-cost, high-yield enforcement measures is crucial. Among these interventions, helmet safety stands out as paramount, especially considering that motorcycles account for over 80 percent of vehicles and pose the highest risk on the roads. The importance of wearing helmets, particularly for bikers and pillion-riders, cannot be overstated. Head trauma remains a leading cause of death in motorcycle accidents, yet quality helmets can significantly reduce the risk of fatalities by over six times and decrease the likelihood of brain injuries by up to 74 percent.

The dedication of Nepal Police in enforcing helmet safety regulations is admirable, despite resource constraints. However, effective enforcement requires strong support from various stakeholders, including the home ministry, health ministry, civil society organizations, professional networks and development partners.

Global efforts

Road safety is not solely a concern for Nepal; it’s a global imperative. According to WHO, the majority of road traffic fatalities occur in low- and middle-income countries, with the highest fatality rates observed among low-income countries, at 21 deaths per 100,000 population. This underscores the urgent need for international cooperation and solidarity. Road crashes have caused immense loss of human lives and hindered economic growth and sustainable development in Nepal. The number of casualties from road crashes has surged from 1,131 in 2008 to 2,789 in 2018, marking a staggering increase of 146.6 percent. The economic toll of road traffic injuries, with treatment costs and loss of productivity, amounts to an estimated three percent of annual GDP for many countries.

For instance, Nepal can draw valuable lessons from Thailand’s approach to post-crash care management. Under the Ministry of Interior’s National Directing Center for Road Safety, alongside the Ministry of Public Health and other road safety foundations, Thailand has implemented key activities to reduce its fatality burden, including leadership and networking, data integration and policy advocacy, and strengthening post-crash response.

Key change agents

The state of road safety in Nepal faces numerous challenges, with one of the primary issues being the limited capacity of the National Road Safety Council (NRSC) to serve as the lead agency for road safety, crucial for implementing the National Road Safety Action Plan (NRSAP 2021-2030). NRSC serves as the central coordinating body with the aim of reducing accidents and promoting safer roads nationwide. Its primary function is to foster coordination among various agencies and spearhead the implementation of safety measures. Also, the Road Safety Society Nepal, is dedicated to fostering a safe driving culture across the country. As a national nonprofit organization, it plays a vital role in facilitating the development of effective road safety practices through a range of initiatives. However, there is a pressing need for further innovative and participatory engagements to amplify its impact.

Encouragingly, private sector entities like Pathao and InDrive, tech startups revolutionizing transportation in Nepal, have begun integrating helmet safety into their policies and services. While these efforts are worthy, there is room for improvement. These companies have the opportunity to lead by example and prioritize passenger safety, particularly through the consistent use of helmets.

Views are personal