Nepal asks Russia to return Nepalis fighting in Ukraine
Nepal has asked Russia to send back hundreds of Nepali nationals who were recruited to fight against Ukraine and repatriate the bodies of those who died in the conflict, Nepal’s top diplomat said Thursday.
The Russian army is estimated to have recruited more than 200 Nepali nationals to fight in Ukraine and at least 14 of them have died there, Nepal’s Foreign Minister Narayan Prakash Saud said in an interview with The Associated Press.
“We have asked Russia to immediately stop the recruitment of Nepali nationals in their army, immediately return those who are already serving in the army, repatriate the bodies of those killed, and treat and return those who were wounded in the fighting,” Saud said.
Nepal is also seeking monetary compensation from Russia for the families of those Nepali nationals who were killed in the fighting, Saud said.
Among the 14 confirmed killed Nepali nationals, Russia has said it is in possession of 12 bodies. Most Nepali people want the bodies of their deceased relatives to be cremated following religious rituals.
“We have information that five of our citizens who fought on behalf of the Russians are being held captive by the Ukraine side. We are asking the Russian side to take initiatives to get them freed,” Saud said.
Russian officials have not commented on the recruitment of foreign nationals for military service in Ukraine, but media reports have said that along with Nepal the Russian military has recruited some people from Cuba.
Russian law allows foreign nationals to enlist in its army after they sign a contract with the Defense Ministry.
In September, Cuban authorities arrested 17 people in connection with what they said was a network to recruit Cuban nationals to fight for Russia in Ukraine.
Earlier this month, Russian President Vladimir Putin signed a decree that speeds up a path to Russian citizenship for foreigners who enlist in the country’s military as Moscow tries to replenish its troops in Ukraine by various methods, including the recruitment of migrants.
Ukraine is also believed to have hired some Nepalis to fight as soldiers, but Saud said he did not have more information on this.
Nepal’s government has banned its citizens from traveling to Russia or Ukraine for employment, saying many have been recruited by the Russian army to fight in the conflict in Ukraine.
Tens of thousands of Nepalis go abroad in search of work each year and are required to get a permit from the government before leaving the country for employment.
Saud met with Russian officials on the sidelines of the Non-Aligned Movement conference in Uganda earlier this month and discussed the issues with them.
For centuries, Nepali nationals were recruited by the British army to fight as famed Gurkha soldiers and later by India when it gained independence from Britain. That arrangement was made in 1816 after signing a treaty between Nepal and Britain. AP
Germany to provide Euros 56, 000, 000 grant assistance to Nepal
Nepal and Germany on Tuesday signed financial and technical cooperation agreements on Euros 56,000,000.
Joint Secretary at the Ministry of Finance Shreekrishna Nepal and Ambassador of the Federal Republic of Germany to Nepal Dr Thomas Prinz signed the agreements on behalf of their respective governments.
The grant was the sum pledged by the Federal Republic of Germany in 2022.
The financial cooperation agreement shall support the private and public sector to expand energy transmission lines, to promote solar energy, gender equality and to improve maternal care and childcare in remote areas in Nepal, reads a statement issued by the Embassy of the Federal Republic of Germany in Kathmandu.
The technical cooperation agreement focuses to support gender equality and social inclusion in Nepal and local and provincial economic development - especially in Western Nepal (together with the European Union and Finland).
Moreover, the Agreement shall promote renewable energy and energy efficiency, strengthen quality infrastructure for sustainable economic development and support the health sector strategy in Nepal, according to the statement.
The Federal Republic of Germany has consistently contributed to Nepal’s development efforts in diverse ways over the years. It has been actively contributing to the fields of energy, health, good governance as well as aiding Nepal in meeting its Sustainable Development Goals. Through this grant, the German Government targets to further enhance its commitment and continue its valuable support to the people of Nepal.
“Our friendship with Nepal is deeply cherished. Germany has been supporting Nepal’s hydropower and energy endeavors, among others, since long. Through collaboration and support, we aim to contribute to its continued progress and prosperity,” said Ambassador Dr Thomas Prinz on the occasion, the statement reads.
The year 2023 marked the 65th anniversary of diplomatic relations between Nepal and Germany.
Nepal highlights the rise of Global South
Nepal has said that the Global South is emerging as an economic powerhouse and contributing to more than half of the world’s growth.
Addressing the third South Summit of Group 77 and China, Nepal’s Foreign Secretary Sewa Lamsal stressed on the importance of deeper cooperation in addressing the myriad of global challenges such as the Covid-19 pandemic, inequality, debt distress, conflicts, climate change, and geopolitical rivalry.
The summit brought more than 134 countries together on a single platform to enhance South-South cooperation in the areas of sustainable development, climate change, trade, and investment, among others.
Lamsal reiterated Nepal’s support to the Group of 77 and China in implementing the Sustainable Development Goals (SDGs), Paris Agreement, and other Internationally Agreed Development Goals including Doha Program of Action. She expressed Nepal’s strong commitment to fostering solidarity, harmony, and cooperation among countries of the Global South.
She highlighted that the Global South is emerging as an economic powerhouse and contributing to more than half of the world’s growth. With 134 member countries comprising over two-thirds of UN members and 80 percent of the global population, Group of 77 and China, is a strong force to be reckoned with, said Lamsal. “Together, we can deliver better and greater,” she added.
Foreign Secretary Lamsal also urged the group to play an instrumental role in decision-making and norm-setting in global development and financial architecture. She called on the member states to collaborate in making multilateralism more inclusive, innovative, and responsive to the needs of developing countries.
While calling for the fulfillment of promises and commitments made by developed countries in terms of Official Development Assistance, climate financing, and technology transfer, she underscored the importance of strengthening North-South, South-South, and Triangular Cooperation by focusing on the needs of LDCs in trade, infrastructure, and productive capacity.
Editorial: Stick to neutrality
The world is currently grappling with multiple crises, ranging from the Russia-Ukraine conflict and tense dynamics between the US and China to escalating tensions in the Middle East, economic recessions, and the pressing issue of climate change. Navigating foreign policy and international relations efficiently during such tumultuous times is challenging for every country.
As major power rivalries escalate, countries in the Global South are facing difficulties staying away from this bloc and alliance politics. Powerful countries are putting pressure on these countries to support them on global issues such as the Russia-Ukraine war and the crisis in the Middle East. In the aftermath of the Russia-Ukraine war, a noticeable shift has been seen in the Global South which is trying to adopt a policy of neutrality on various international matters. A common thread among these nations is that they do not want to engage in strategic and military competitions between two countries, but want to maintain equal economic relations with all countries.
Amid these global challenges, leaders from about 120 countries have gathered in Kampala, Uganda, for the 19th Summit of the Non-Aligned Movement (NAM), which kicked off on Monday. There is a high-level participation from Nepal in the summit under the leadership of Prime Minister Pushpa Kamal Dahal. Minister for Foreign Affairs NP Saud has already addressed the ministerial conference, highlighting non-alignment as the basis of Nepal's foreign policy. Saud has conveyed a clear message that Nepal maintains an independent and balanced foreign policy and will never join military alliances or security pacts.
The statement of the foreign minister has come at a time when there are intensive discussions on the relevance of the policy of non-alignment in contemporary geopolitics. Such discussions and points of view are misguided because the policy of non-alignment is not merely a movement that began in the 1960s; it is a principle that is still relevant. While interpretations of non-alignment may vary, its essence remains rooted in the refusal to align with one power at the expense of antagonizing others. Nepal's policy of non-alignment has not hindered its ability to forge economic cooperation with all powers.
The policy is still relevant today as powerful nations vie to pull Nepal into their orbits, pressuring it to abandon its neutral stance and support their military and strategic initiatives. Given its geographical, geopolitical, and strategic location, Nepal cannot afford to take sides. Through the policy of non-alignment, Nepal has to give a clear message: it seeks engagement on economic terms while steering clear of military and strategic entanglements. It is willing to consider economic offers devoid of strategic components. As the world grapples with complexity, we urge the government and political parties in Nepal to adhere to the principles of non-alignment.
Nepal reasserts significance of non-alignment policy
Nepal has reasserted its commitment to Non-Alignment Movement’s (NAM) objectives and principles at the Ministerial Meeting of the 19th Summit of the Non-Aligned Movement being held in Kampala, Uganda. Addressing the meeting, Foreign Minister NP Saud said the constitution of Nepal itself embraces NAM principles as a basis for its foreign policy.
“We always conduct independent, objective, balanced, and non-aligned foreign policy. We never join any military alliance and never accept to be a part of the security pact of any country,” he said, hinting at the security and strategic pacts of major powers mainly of China and the US.
Over the past few years, there has been a debate in Kathmandu about America’s Indo-Pacific Strategy and State Partnership Program, and China’s Global Security Initiatives. Minister Saud’s statement is in line with Nepal’s commitment to not joining any strategic or military alliances.
Of late, countries in the Global South, including Nepal, are facing increasing pressure from big powers, mainly the US and China, to choose their sides. Most of the time, they have stayed out of the great-power rivalry.
The NAM summit is taking place at a time when the world is confronting multiple challenges, from the ongoing Russia-Ukraine war to escalating tensions in the Middle East and China-Taiwan dispute.
“We are witnessing the worst nightmare in Gaza. We all have been bearing the brunt of the Russia-Ukraine war. To our dismay, geopolitical competition and polarization have resurfaced as defining features of our global political order,” said Saud. He stressed that NAM principles have become more significant than ever.
Over the past few months, there is a growing debate in Nepal about the revision of non-alignment policy. Some politicians and experts are of the view that in the changing context, the principle of non-alignment is becoming irrelevant. Some have proposed the policy of multi-alignment without elaborating what it entails.
Many of them provide the example of India, which is sending a low-key representation to the NAM summit. But the current government led by Prime Minister Pushpa Kamal Dahal has reasserted the importance of non-alignment policy. Dahal himself is attending the conference to demonstrate Nepal’s commitment.
Minister Saud said that NAM, as a strong bloc with 120 countries representing around 60 percent of the world’s population, holds “both majority and moral strengths to devise solutions to global problems that we face today, from conflicts to climate change; economic injustice to social inequality; the digital divide to debt distress, and hunger to disease.”
“NAM must play a pivotal role in promoting multilateralism, defending the UN Charter and international law, finding peaceful solutions to disputes, reforming the global financial architectures, creating a just global economic order for shared affluence,” he added.
Saud also said that NAM should focus on the achievement of SDGs and other Internationally Agreed Development Goals, including the Paris Agreement, in the spirit of leaving no one behind, embracing the power of technology to drive progress for all, and ensuring climate justice for vulnerable countries and regions.
“We anticipate a robust cooperation framework and renewed partnership with all our development partners and fellow members of NAM, for investment, resources, capacity-building, and technologies in the true spirit of North-South, South-South, and Triangular Cooperation,” he said.
Nepal is a founding member of the Non-Aligned Movement, which was formally established at a summit held on 1-6 Sept 1961 in Belgrade, Yugoslavia.
Nepal to export power to Bangladesh from July
Soon after signing a long-term power-trade deal with India, Nepal is preparing to export 40 MW electricity to Bangladesh from July this year, according to multiple sources.
Officials from Nepal, Bangladesh and India are working to finalize the modality of power export as soon as possible. During Prime Minister Pushpa Kamal Dahal’s New Delhi visit in May last year, India had agreed to allow Nepal to export 40 MW power to Bangladesh through its grid.
From July, Nepal will start exporting 40 MW to Bangladesh, which will pave the way for more cooperation in the coming days, said a diplomatic source. Now, three countries are working to finalize the tariff and other details to operationalize the agreement.
Nepal and Bangladesh are also working to construct a dedicated transmission line for the export of up to 5000 MW to Bangladesh. But there has been no tripartite agreement regarding the construction of a dedicated transmission line that passes through the Indian territory. Private investors from Bangladesh are keen to invest in Nepal’s hydropower sector.
The signing of a long-term power trade agreement between Nepal and India has boosted the morale of both Indian and Bangladeshi investors, said the source. With the export of electricity to Bangladesh, the dreams of regional power trade will start materializing, said the government official. Recently, Nepal signed an agreement with India for the export of 10,000 MW over the next 10 years.
Nepal-India IGSC meeting concludes
A meeting of the Nepal-India Inter-Governmental Sub-Committee (IGSC) on Trade, Transit and Cooperation to Control Unauthorized Trade concluded in Kathmandu.
The two-day meeting that ran on January 12 and 13 aimed to promote bilateral cooperation and trade relations and transit by preventing unauthorized trade. Joint Secretary at the Ministry of Industry, Commerce and Supplies, Ram Chandra Tiwari headed the Nepali delegation to the meeting that was attended by representatives from various ministries and departments.
Joint Secretary Vipul Bansal of the Ministry of Commerce and Industry, India led the Indian delegation to the meeting which witnessed the participation of representatives of Embassy of India in Kathmandu and senior government officials from India.
The meeting discussed various agendas while also exploring ways for finding a mutual market access for medicinal and ayurvedic goods.
The Indian side highlighted the significance of the Paris Convention to promote foreign direct investment. The meeting stressed on the need of strengthening unobstructed trans-national connectivity between Nepal and India including the establishment of an integrated customs point and the construction of a railway service between the two countries.
India remains a major trading partner of Nepal. The meeting is expected to contribute to further enhancing the economic and business relations between the two countries.
Nepal’s economic growth to pick up as South Asia slumps
Economic growth in South Asia is estimated to have slowed slightly to 5.7 percent in 2023, yet it remains the fastest among emerging market and developing economy regions, according to a new report published by World Bank. This is largely attributed to a robust expansion in India, which accounted for more than three-fourths of the regional output in 2023. Excluding India, however, activity was more subdued.
In India, despite some slowing, a strong performance in 2023 was driven by robust public investment growth and vibrant services activity. Merchandise exports slowed due to weak external demand, but domestic demand for consumer services and exports of business services sustained India’s economic growth, according to the report.
In Bangladesh, growth is estimated to have slowed in the fiscal year 2022/23 (July 2022 to June 2023), as activity was hampered by import restrictions and rising material and energy costs, as well as mounting external and financial pressures.
Output in Pakistan is estimated to have contracted during the FY 2022/23. Inflation remained elevated, partly reflecting large currency depreciation in early 2023. However, towards the end of 2023, Pakistan's currency exhibited signs of stabilization.
Output in Sri Lanka is also estimated to have declined in 2023, while there has been progress in sovereign debt restructuring. In Afghanistan, despite declining food prices in 2023, poverty rates remained high, exacerbated by strong earthquakes in October 2023.
Growth in South Asia is expected to edge slightly lower to a still-robust 5.6 percent pace in 2024, before firming to 5.9 percent next year. Domestic demand, including public consumption and investment, will remain major drivers of economic growth. A pickup in external demand, albeit still subdued, is also expected to contribute to growth, the report says.
In India, growth is expected to edge up to 6.4 percent in the FY2024/25 (April 2024 to March 2025) after softening to 6.3 percent in the FY2023/24. Investment is envisaged to decelerate marginally but remain robust, supported by higher public investment and improved corporate balance sheets.
In Bangladesh, growth is forecast to slow to 5.6 percent in the FY2023/24. Inflation is likely to remain elevated, weighing on private consumption. Import restrictions are expected to continue and impede private investment.
In contrast, growth is projected to pick up in Nepal, with monetary policy easing and the delayed effects of lifting import restrictions, the report says.
The report further says: “The outlook in Pakistan remains subdued for FY2023/24. Monetary policy is expected to remain tight to contain inflation, while fiscal policy is also set to be contractionary. The outlook in Sri Lanka remains uncertain, amid debt restructuring negotiations, particularly with private creditors.”
Investment related to the tourism sector will support growth in the Maldives, while the commissioning of a new hydro plant in Bhutan is expected to contribute to a pickup in growth in the next fiscal year.
The World Bank has also explored some risks as well. The report says: “Risks to the forecast remain tilted to the downside, with the most pressing concerns revolving around higher energy and food prices caused by an escalation of the conflict in the Middle East and adverse spillovers stemming from larger-than-expected increases in policy rates in advanced economies.”
In addition, elevated external and fiscal financing needs, the growing frequency and severity of extreme weather events, and sharper-than-expected growth slowdown in trading partners also pose risks to the region. Heightened uncertainty around elections in 2024 in some countries is also a downside risk in the region. However, the implementation of growth-friendly policies after elections could improve growth prospects.
A call for urgent action
Portraying a distressing situation persisting in remote corners of Nepal, Pansara (31) of Budhinanda municipality-3, Kuru (Bajura district), gave birth to her third child on the way to a health center in the first week of December last year, marking the third time that she has given birth in unsafe conditions outside a health facility.
A photojournalist managed to capture Pansara with her newborn and a health volunteer, Dharma Chadara, in the nick of time. The pictures went viral, bringing to light once again one of the several ordeals facing women in remote districts of this country, including Rukum, Rolpa, Humla, Jumla, Achham, Mugu, Bajhang, Bajura, Kalikot and Dolpa.
The situation sheds light on the numerous problems women like Pansara encounter while trying to reach health centers alone, often in the midst of labor.
Pictures of Pansara and her baby in a remote corner have evoked memories of my mother's struggle in giving birth to seven children and raising them. Per my mom, I, the fourth child, was born in the midst of a busy farming season. It so happened that mom experienced labor while digging a heap of cow dung for spreading it in the corn fields as manure. Fortunately, farm workers noticed her ordeal and took her home where I was born.
I feel sad when I get to hear that my grandma left me without seeing me because a daughter was born in her family, for the fourth time.
My three brothers were born after me in similar circumstances.
During the birth of my youngest brother, I witnessed the immense pain my mother endured, making me realize that women triumph over death while giving birth. What surprises me these days is that even during the birth of their youngest child, the seventh one, at home, my parents lacked awareness of services available at healthcare facilities.
Fortunately, we now have access to quality healthcare services, thanks to a highway. This transformation highlights the strides made in ensuring better healthcare for mothers and their newborns in our community.
In general, though, the Western region of Nepal, including Karnali and Sudurpaschim provinces, lacks easy access to healthcare facilities, thanks to apathy on the part of the state. The state, while not physically enslaved, seems intellectually constrained, prioritizing power dynamics over developmental efforts in the remotest corners of the country.
That is one of the reasons why young girls lose their lives in menstrual slums called Chhaugoth every year, while many women suffer from long-term diseases due to appalling conditions there. The recent death of two girls in menstrual slums in Achham shows that efforts to address this issue have been insufficient.
Education should focus on dismantling ingrained beliefs rather than physically demolishing structures. The emphasis should be on eliminating mental barriers rather than sheds built for menstrual seclusion.
Returning to the pressing issue of women giving birth on their way to health centers, questions arise about services provided by a municipality. How can an area designated as a municipality lack even basic health services and transportation infrastructure, including roads? Who is to blame for this sorry state of affairs if not elected officials, who prioritize their petty interests at the expense of the public.
It is time to raise awareness and demand better healthcare facilities for women in remote areas so as to save lives and prevent further suffering.
Neha Homagain: Offering accessible fertility treatments in Nepal
Indira IVF, recognized as India’s leading and reliable chain of IVF hospitals, manages a network of more than 120 specialized clinics across India. They have recently inaugurated their first international branch in Kathmandu, featuring advanced technology and skilled medical professionals. They aim to provide world-class facilities so that people in Nepal don’t have to travel abroad for fertility services. This initiative not only helps fulfill Nepalis’ parenthood aspirations but also aims to create opportunities and enhance skill development in Nepal.
Dr. Neha Homagain, 38, is a gynecologist, infertility expert and laparoscopic surgeon. She is currently the Center Head and Chief Fertility Specialist at Indira IVF based in Nepal. She is also among the few fertility experts recognized by the Nepal Medical Council. She trained at the Memorial Sloan Kettering Cancer Center in New York in the US, specializing in gynae oncology. Babita Shrestha from ApEx spoke to Homagain about her experience and roles at Indira IVF.
How has global exposure enhanced your expertise in reproductive healthcare?
The training I had in gynae oncology at Memorial Sloan Kettering Cancer Center in New York was impactful. I was not only impressed by all the facilities but also realized the significant gap between oncology and fertility. It was an eye-opener to witness patient management, care standards, and the international level of healthcare provided there. Moreover, I saw the potential for medical tourism. Memorial Sloan Kettering is known for its advanced and top-notch medical facilities and I consider myself fortunate to have had that experience.
What distinguishes Indira IVF’s approach and success?
At Indira IVF, we have world-class facilities that set the bar high. The reason for our extensive reach, with over 120 centers in India, is the top-notch approach and impressive success rate which stands at 75-80 percent. It’s because of their precision in everything from history-taking to ultrasonography and their cutting-edge labs. This IVF facility boasts the world’s best technology, like a ‘closed working chamber’ for egg fertilization. The eggs are fertilized in a closed chamber that replicates the human body conditions like temperature, carbon dioxide, pH, and oxygen, resulting in higher embryo and pregnancy quality. It’s remarkable.
Also to prevent mix-up in egg and sperm handling, Indira IVF has combined technology and science by introducing the Risk Identification (RI) system. This system triggers an alarm if it detects any mismatched samples. This ensures that errors are practically non-existent. Another interesting aspect is the use of Artificial Intelligence. Our eyes can miss tiny details but, with AI, specialists at Indira IVF can pinpoint the best embryos and grade them, ensuring the best possible outcomes.
What latest scientific breakthroughs and advancements in Assisted Reproductive Technology are in use at the Indira IVF?
Indira IVF is ahead in IVF technology. They’ve got the best services, experienced embryologists, and a big research team constantly rolling out the latest technology like the Closed Working Chamber, Intracytoplasmic Sperm Injection (ICSI), and Day Five embryo blast transfer. Speaking of embryos, there are two types, Day Three and Day Five and Indira IVF goes for Day Five due to its high success rate. They even use Laser Assisted Hatching, making tiny drills in the outer cells so that when the embryo is implanted, it can easily break out and attach to the uterus. Indira IVF is all about quality injections and has a 24/7 monitoring system.
At Indira IVF, to address issues like a low egg count, egg problems, irregular ovulation, or instances where natural pregnancy is unlikely, we employ ICSI, a more advanced version of IVF. While IVF involves placing one egg amidst many sperm for self-fertilization, ICSI takes it up by injecting a single sperm directly into one egg. This technique is particularly beneficial in cases of male infertility with a low sperm count, enabling men to have their genetic offspring.
In what ways does Indira IVF contribute to facilitating skill development in Nepal?
Through Indira Fertility Academic, a well-known fertility training center, over 400 embryologists have received training in India. For Nepal, this means that doctors or neurologists can undergo training at Indira IVF and return to contribute their expertise, bridging the manpower gap in the field in their country.
How does Indira IVF make services accessible to a wide range of people?
Our price list is set to be inclusive, welcoming everyone from different economic backgrounds whether low-income or middle-class. Our services are not just affordable but also rooted in research, making them accessible to a wide range of people. And for those with lower incomes who might struggle with the costs, we offer discounts on various facilities.
What can be done if a couple has issues in conceiving?
If a couple, despite having unprotected sex, faces difficulty in conceiving, it’s important to acknowledge it as a potential infertility issue. The crucial first step is to consult a doctor because fertility issues can be complex and affect both partners. Seeking early medical advice can allow for simpler treatments, addressing hormonal imbalances or egg-related problems but delaying consultation might result in missed opportunities.
In today’s context, modern technology provides empowerment, offering options like egg freezing. Since biological clocks and career plans aren’t always in sync, as a specialist, I recommend you freeze those eggs and sperm. When the time is right and you are with your partner of choice, you’re good to go for making healthy babies. Quality tends to drop with age, so it’s about being a step ahead.
Examining Nepal’s foreign aid policies
Nepal’s ambitious roadmap to attain middle-income status by 2030 somehow weaves foreign aid into its development fabric. Emphasizing economic growth, the plan envisions foreign aid as a key driver for infrastructure development, industrialization and financial institutions for strengthening, fostering entrepreneurship and sustainable economic progress. Education and knowledge advancement, particularly for the youth, stand as vital focal points where foreign aid plays an important role in skill development and educational initiatives. Health services, agriculture and environmental conservation also feature prominently, with foreign aid contributing to healthcare facility enhancement, modernizing agriculture and promoting sustainable practices. As Nepal strives for middle-income status, foreign aid becomes not just a financial lifeline but a strategic partner, essential for nurturing resilience, growth and a sustainable future, depending upon transparent use and an unwavering commitment to national pride.
Effectively connecting foreign aid presents a nuanced challenge that involves both diplomacy and national strategy, particularly in a context like Nepal where such resources are relatively scarce. The utilization of foreign aid demands adept diplomatic skills to negotiate favorable terms and establish strategic partnerships. Moreover, aligning foreign assistance with a coherent national strategy is crucial for ensuring that aid is directed toward projects that address the country’s specific developmental needs. In a scenario where Nepal’s diplomatic presence might be comparatively modest, leveraging foreign aid becomes not just an economic necessity but a diplomatic imperative. A well-crafted national strategy, backed by diplomatic sensitivity, can amplify the impact of foreign aid, catalyzing sustainable development and bolstering the country’s position on the global stage.
“The giver’s hand is above the receiver’s hand” and, in the current context, this quote has relevance in both cultural and strategic terms. While traditionally emphasizing the virtue of generosity, in contemporary situations, it also implies a power dynamic and the strategic use of resources. In the modern context, individuals or entities possessing resources or leverage hold a superior position, and the act of giving becomes a strategic decision.
Applying game theory, it suggests that those with the ability to provide assistance may use it strategically, aligning with their interests or objectives. The dynamics of giving and receiving, when viewed through the lens of strategic interaction, underscore the complexities and considerations involved in resource allocation and support.
In the sophisticated landscape of international relations, the individual representing Nepal on the receiving end of assistance assumes a role of profound significance. Navigating this role demands a delicate balance, where a strategic approach is crucial. It’s essential to avoid the downsides of extreme nationalism, opting instead for a measured and diplomatic conduct. This individual serves as a sharp negotiator, skillful at finding common ground without compromising Nepal’s interests. The art lies in fostering collaborative partnerships, showcasing the nation’s strengths and projecting a diplomatic image. Acting as a channel between Nepal and the international community requires intelligence in negotiations, a deep understanding of geopolitical dynamics and the ability to strategically advance the country’s interests without creating unnecessary friction on the global stage.
In the realm of game theory, the essence lies in the strategic interplay where the x-axis represents the pursuit of victories, and the y-axis signifies the tolerance for losses. Applying this concept to Nepal’s context, with its current standing on the y-axis, the nation already holds a position of relative vulnerability. The strategic imperative then becomes minimizing losses while navigating the complex international landscape. Nepal’s existing position may necessitate a strategy geared toward risk mitigation rather than aggressive victory-seeking. In situations where the odds of winning are uncertain, adopting a stance focused on limiting losses becomes pragmatic. Furthermore, given the pragmatic reality that countries extend help aligning with their own interests, crafting a strategy that involves tolerating minimal losses while securing support becomes paramount.
Indeed, expecting a level of support akin to the open-hearted generosity seen in the Satya Yuga may be unrealistic, especially in a world where personal gains often take precedence. In a scenario where self-interest governs many interactions, it becomes essential for Nepal, or any nation for that matter, to adopt a cautious approach. While acknowledging the potential for exploitation and recognizing the world’s pragmatic realities, Nepal should be strategic in its dealings. Prioritizing national interests, building alliances based on mutual benefit and being vigilant against exploitation are key components of a prudent strategy. The landscape of international relations often demands a realistic and measured approach, where expecting unwavering support without safeguarding one’s interests may prove to be a vulnerability. It’s a delicate balance between optimism and pragmatism, recognizing the potential for personal gain while striving to protect and advance one’s own national interests.
Now, as foreign aid continues to flow in for infrastructure development, it is imperative that the responsibility falls into the hands of the nation. The focus should shift toward using these funds judiciously for the nation’s own triumph, ensuring that the allocated resources genuinely benefit the citizens. In Nepal, where there may be concerns about a cultural tendency to misuse funds, it is high time for a shift in mindset. The emphasis should be on transforming the prevailing culture to one that values efficiency, accountability and sustainable development. The funds received should not only go into physical infrastructure but also contribute to a broader framework of development that aligns with the long-term interests of the nation. This shift requires not only policy changes but a comprehensive transformation in attitudes and practices, emphasizing optimal use of resources for the well-being and progress of the Nepali people.
In Nepal, the unfortunate reality persists that despite receiving aid, there is a risk of internal corruption, leading to a mismatch between expectations and actual outcomes. This challenging dynamic underscores the pressing need for systemic changes. While foreign aid is crucial for development, addressing internal issues such as corruption requires a comprehensive approach. It involves strengthening institutions, improving transparency and fostering a culture of accountability. Striking a balance between external support and internal governance reforms is essential to ensure that aid is utilized efficiently for the benefit of the nation and its people. Acknowledging and confronting the reality of corruption is a crucial step towards fostering genuine development and building trust in the effectiveness of aid utilization.
In conclusion, adopting a strategy that involves minimizing losses when receiving aid and strategically utilizing those resources for the nation’s own triumph can indeed yield positive outcomes. Nepal, faced with the challenge of corruption, should navigate this landscape with a keen focus on making smart decisions. By prioritizing efficient use of aid for tangible development, implementing rigorous oversight and fostering a culture of accountability, the nation can transform challenges into opportunities. While the road ahead may be demanding, the potential for positive impact through astute decision-making and resource utilization remains significant, paving the way for genuine development and progress.
The author is a student of economics at Patan Multiple Campus
Nepal-India relations soar high
Nepal and India inked a long-term agreement on electricity trade at a secretary-level meeting held in the presence of Minister for Energy, Water Resources and Irrigation, Shakti Bahadur Basnet, on Thursday.
Secretary at the Ministry of Energy, Water Resources and Irrigation Gopal Sigdel and India's Energy Secretary Pankaj Agrawal inked the deal during the two-day visit of India’s Foreign Minister Subrahmanyam Jaishankar, in line with an understanding reached between Prime Minister Pushpa Kamal Dahal and his Indian counterpart Narendra Modi during the former’s visit to India on May 31-June 3 for the export of 10,000 MW from Nepal in the next 10 years.
This agreement has made way for private sectors as well as government entities from Nepal and India to engage in power trade through short-term, medium-term and long-term contracts. Notably, the government of Nepal has prepared an ambitious energy development strategy, with the objective of generating 28,000 MW in the next 12 years, of which it plans to export 15,000 MW to India and other countries.
Nepal’s private sector has welcomed the energy deal with India. Earlier in the day, a delegation under India’s Energy Secretary Agrawal paid a courtesy call on Energy Minister Basnet. On the occasion, Minister Basnet expressed hope that the agreement on power trade will enhance Nepal-India relations further.
Meanwhile, the seventh meeting of Nepal-India Joint Commission concluded by reviewing the entire gamut of bilateral partnership. Minister for Foreign Affairs NP Saud and his Indian counterpart Subrahmanyam Jaishankar co-chaired the meeting, which discussed trade, connectivity, development projects.
Jaishankar held separate meetings with Prime Minister Pushpa Kamal Dahal, President Ram Chandra Paudel and other political leaders. After the meeting with PM Dahal, Jaishankar recalled the former’s “successful visit to India in June 2023 which has imparted a new momentum to our ties.”
Jaishankar said they discussed the “follow-up, including through Joint Commission”, adding that India-Nepal friendship is indeed unique and is moving from strength to strength.
The Ministry of Foreign Affairs said various aspects of Nepal-India relations were discussed under the thematic areas of economic relations, connectivity, trade and transit, power and water resources, education and culture and political matters.
Key agreements
- Long-term power trade
- Cooperation in renewable every development
- Mutual satellite
- Handover of the fifth tranche of the post-Jajarkot earthquake relief supply
- Inauguration of three cross-border transmission lines
- Agreement on high-impact community development project
- Agreement between Nepal Academy of Science and Technology and NewSpace India Limited
Editorial: A landmark energy deal
Nepal and India on Thursday signed a landmark agreement on bilateral energy cooperation, allowing seamless export of Nepal’s energy to the Indian market. As per the agreement, India will purchase up to 10,000 MW electricity in the next 10 years.
The agreement is a game-changer for Nepal’s hydropower projects because it has ensured market access for Nepal’s electricity. Earlier, international investors were reluctant to invest in Nepal’s hydropower sector due to skepticism regarding market access.
Similarly, India, Nepal and Bangladesh are working to sign a trilateral energy cooperation which paves the way for Nepal to sell electricity in Bangladesh. The energy-hungry South Asian country is struggling to fulfill its electricity demand. It has reached out to neighboring countries including Nepal with the proposition of importing electricity.
The agreement makes way for the Indian as well as international investors to invest in Nepal’s hydropower sector. Still, there are concerns over the electricity produced by the Chinese companies. India has refused to purchase electricity produced by Chinese companies or from projects with Chinese components.
The government needs to create a conducive environment for hydropower companies to speed up the construction of projects.
Hydropower investors often complain of local governments and residents obstructing work at project sites under various pretexts and demands. The federal government should take immediate measures to resolve the problems facing private companies.
There is a long-list of demands from private investors which should be resolved without any delay. Hydropower is one of the biggest assets of Nepal. The government and its concerned agencies should be serious about dealing with bureaucratic and other hurdles that have been crippling this sector.
At the same time, India should seriously consider the issues that Nepal has been raising concerning the electricity trade between the two countries.
EV imports sees significant surge
The import of electric vehicles (EVs) is experiencing a significant surge in Nepal, thanks to the government’s duty waiver on the import of environmentally friendly vehicles.
Data recently released by the Department of Customs shows that a staggering 3,675 units of electric cars, jeeps, and vans made their way into the country in the first five months of the fiscal year 2023/24. This figure is nearly triple the imports recorded during the same period in the previous fiscal year, where 1,353 EVs were brought into the country.
The surge in EV imports reflects the growing popularity and acceptance of clean and green mobility options. The country imported EVs with a combined import value of Rs 9.29bn.
Out of total imports, 2,028 cars have the capacity below 50 kWh. The import value of these cars is Rs 5.81bn. Additionally, 52 units of cars with a capacity ranging from 51 kWh to 100 kWh entered the country during the review period. These cars cost a combined Rs 262.64m. Likewise, 11 units of cars with a capacity ranging from 201 to 300 kWh were imported into the country in the review period. The total import value of these cars is Rs 77m.
While the import of passenger cars is increasing at a healthy rate, the rate of EV adoption in public transport is very low. According to the Department of Customs 134 units of microbuses with 11-14 seats with a total import value of Rs 414.4m were imported into the country during the review period. Likewise, 56 units of microbuses with 15-25 seats entered the country. The import volume of these microbuses is Rs 187.6m. The majority of these microbuses have been used in public transportation.
The government formulated Environment-friendly Vehicle and Transport Policy in 2014 setting a target of increasing the number of EVs to 20 percent of total motor vehicles in the country by 2020. While the government missed this target, recent import data shows the automotive landscape in Nepal is undergoing a transformation.
The passenger car segment is witnessing a significant growth. Nepal had 249 EV passenger cars in 2020/21, which has increased to 4,050 units in 2022/23.
The government imposes a one percent customs duty, 13 percent VAT, and five percent road tax on EVs with a capacity of up to 50 kWh. Similarly, microbuses with 11-14 seats are subject to a 13 percent VAT, 10 percent customs duty, and seven percent road tax.
Remittance inflows to surpass pre-pandemic level
Remittance inflows to Nepal in 2023 are expected to surpass pre-pandemic levels to reach $11bn in 2023. According to a new report published by the World Bank the growth of 18 percent in 2023 will come on top of remittance growth of 13 percent in 2022.
At 27 percent, Nepal continued to have the highest share of remittances relative to GDP in South Asia
The rise in remittances is partly explained by low inflation in the GCC countries, prime destinations for Nepali migrants, which boosted their ability to send remittances. In addition, the sharp deceleration in GDP growth and continuing high inflation, especially high food prices, in Nepal encouraged Nepali migrants to increase remittances, the report says.
At almost $189bn in 2023, remittance flows to South Asia once again are likely to exceed expectations, outstripping previous forecasts in Migration Development Brief 38 by $13bn. As in 2022, this remarkable increase is attributable entirely to remittance flows to India, which are expected to beat previous forecasts by $14bn and reach $125bn in 2023.
After growing at 12.2 percent in 2022, growth in remittances to South Asia is likely to decelerate to 7.2 percent in 2023. This regional average is the outcome of high growth in one half of the South Asian countries (Bangladesh, India, Nepal, and Sri Lanka) and declines in the other half (Afghanistan, Bhutan, Maldives, and Pakistan).
The report further adds that key drivers of remittance growth in 2023 are a historically tight labor market in the United States, high employment growth in Europe reflecting extensive leveraging of worker retention programs, and a dampening of inflation in high-income countries.
The slackening in remittance growth relative to 2022 is attributable to a near collapse in growth in 2023 in Saudi Arabia and Kuwait, and the halving of growth in the remaining GCC countries triggered by the drop in oil prices and production cuts in the Organization of the Petroleum Exporting Countries (OPEC). In comparison, remittances as a share of GDP ranged around 7 percent in Sri Lanka and Pakistan, and 5.2 percent in Bangladesh in 2023. In India, the share of remittances in the economy was only 3.4 percent, despite its position as the largest recipient of remittances globally, the report says.
After two years of double-digit growth, remittance flows to Nepal are projected to moderate and grow at nine percent, reaching $12bn in 2024. While economic conditions in the GCC, the main destination for migrants from Nepal, Bhutan, and Maldives, are projected to be positive, low oil prices will restrain large-scale expansion in new hires, thus curbing growth in remittances.
Remittances to Bhutan are projected to stabilize at $75m (2023 levels). In Maldives, remittances are expected to fall to the pre-pandemic level of $4m in 2024 due to mounting debt and fiscal challenges that erode migrants’ confidence and lead them to opt for informal channels of money transfer, the report says.
Government effortful to remove Nepal's air space from EU blacklist: PM Dahal
Prime Minister Pushpa Kamal Dahal has said the government was determined to make Nepal's air safety systematic.
Receiving a memorandum submitted by a delegation led by Acting Chairperson of the Rastriya Swatantra Party (RSP), Dol Prasad Aryal, Prime Minister Dahal mentioned that the government was effortful to remove Nepal's air space from the blacklist of the European Union.
On the occasion, the delegation drew the PM's attention on various issues including that the Civil Aviation Authority of Nepal (CAAN) should be serious over the issue and purchase of new aircraft should be transparent.
In response, the Prime Minister shared that he has been carrying out efforts continuously to remove Nepal's air space from EU's blacklist, and an environment of trust should be built to remove Nepal's air space from the blacklist through further reforms.
He further said, "I talked with EU's representatives on this issue. I also discussed with office-bearers of the Ministry of Culture, Tourism and Civil Aviation and CAAN time and again on this matter. Air safety has become a challenging issue for us. It can raise questions on Nepal's image in the international arena. So, I am serious on this matter."
Stating that some improvements have been made in air safety this time, the PM said although there is a belief that Nepal's air space could be removed from the blacklist due to this, it was not sufficient.
"Our improvement was not sufficient. Activities should be carried out for further improvement. Your suggestions are important. Initiatives will be taken for a result-oriented outcome after holding further discussion with the regulatory body," viewed PM Dahal.