New government in Nepal

MORE than a month after it went to the polls, Nepal finally has a new government — led by Prime Minister Pushpa Kamal Dahal ‘Prachanda’. The November 20 elections had thrown up a hung House, with five-time PM Sher Bahadur Deuba’s Nepali Congress emerging as the largest party. Deuba was the frontrunner for the PM’s post, but Maoist leader Prachanda turned the tables on him by walking out of the Nepali Congress-led alliance. Prachanda struck a deal with another former PM, KP Oli; they have reached an understanding to lead the government on a rotational basis. Last year, Prachanda had parted ways with Oli and backed Deuba for the PM’s post.

Nepal is no stranger to power struggle and political instability. It’s rare for a PM to last more than two years in office. It remains to be seen if the Prachanda-Oli duo can provide a stable government. The developments have major implications for India. Bilateral ties improved considerably during Deuba’s tenure, with PM Modi paying a visit to Lord Buddha’s birthplace Lumbini on Buddha Purnima in May this year. The signing of MoUs on cooperation in the fields of culture and education fortified age-old bonds. With Deuba no longer in power, India would have to recalibrate ties with Nepal, especially because both Prachanda and Oli have pro-China leanings. The Chinese have big stakes in the Himalayan nation — trade, energy and infrastructure development are their focus areas. Beijing, which is said to have played a key role in the unification of the parties led by Prachanda and Oli in 2018, would again be banking on the two leaders to exert greater influence on Nepal.

New Delhi needs to be proactive in reaching out to the new government in Kathmandu and engaging in dialogue to resolve festering disputes. A review of various agreements and treaties, including the 1950 India-Nepal Treaty of Peace and Friendship, is overdue. It was in 2018 that a panel consisting of representatives of both nations had recommended updating of bilateral pacts to reflect current realities. Deft diplomacy will be required to handle Oli, who had tried to provoke India with his dubious territorial claims a couple of years ago.