Prime Minister Narendra Modi and his Nepalese counterpart Sher Bahadur Deuba inaugurated a cross-border railway network, a power transmission line and launched India’s RuPay payment card in Nepal after they held wide-ranging talks. The two sides also inked four pacts to expand cooperation in areas of railways and energy while vowing to further broad-base cooperation in a range of areas. In his media statement, Modi said the friendly ties between India and Nepal are unique and such a relationship is not seen anywhere else in the world.
He said India has been and will continue to remain a firm companion in Nepal’s journey for peace, prosperity and development. Modi said the joint vision statement between the two sides on power cooperation will prove to be a blueprint for future cooperation in the sector. It was agreed on the greater participation of Indian companies in Nepal’s hydropower development plans, he said.
Deuba on his part said Nepal’s relations with India is “highly important. The Nepalese prime minister, accompanied by a high-level delegation, arrived in New Delhi on Friday on a three-day visit. It is Deuba’s first bilateral visit abroad after becoming prime minister in July last year for a fifth time following a spell of political turmoil in Kathmandu.
The open borders of India and Nepal should not be misused by unwanted elements, said PM Modi during his statement after delegation level meeting with Deuba. Both the leaders also discussed various aspects of cooperation, reviewed the progress of various projects and also discussed the blueprint for the future.
Deuba in his address said, “I truly admire your love and affection for Nepal and the Nepali people and my visit today will further enforce these sentiments.” He appreciated India’s effective management for battling Covid-19 and received first vaccine aid from India.
Train service and RuPay payment system
PM Modi and Deuba jointly inaugurated cross-border passenger train services, RuPay payment system in Nepal and signed several Memorandums of Understanding. Besides, the train services between Jainagar in India and Kurtha in Nepal, the leaders inaugurated Solu Corridor 132 KV power transmission line and sub-station in Nepal built under the Centre’s Line of Credit.
Border issues
Deuba raised the outstanding border issues between India and Nepal with PM Modi in their summit meeting and urged India to resolve the disputes through established bilateral mechanisms. Foreign secretary Harsh Shringla said after the meeting that there was a “brief discussion” on the issues and there was a “general understanding” that they needed to be addressed in a responsible manner through dialogue and without any effort to politicise it.
The summit saw India and Nepal signing four agreements to boost connectivity and energy cooperation and also inaugurating several other projects, including introduction of Rupay card in Nepal for financial connectivity. Modi and Deuba issued a vision statement for cooperation in the power sector and agreed to expedite work on the delayed Pancheshwar multipurpose dam project that was described by Modi as a game changer for the development of the region. Deuba complimented Modi for India’s “effective management” of the pandemic situation and thanked India for vaccines and other medical aid .
Nepal says there’s already a foreign secretary-level mechanism to address the border issue and that it should be activated to resolve the disputes. The Kalapani border dispute has plagued bilateral ties for the past few years, not least because of Nepal’s decision to issue a new political map, showing disputed areas in it, following India’s own new 2019 political map.
According to the joint vision statement, Nepal invited Indian companies to invest in the development, construction and operation of viable renewable power projects, including in the hydropower sector in Nepal, including storage-type projects, through mutually beneficial partnerships.
India and Nepal now have road, air and rail connectivity. Modi said he and his counterpart agreed to give priority to trade and cross-border connectivity initiatives in all respects. “The beginning of the Jayanagar-Kurtha rail line is part of this initiative. Such schemes will make a great contribution to smooth, hassle-free exchange of people between the two countries,” he said. The passenger trains will cover the 34.5 km-long Jayanagar-Kurtha stretch in an hour. It has eight stations. The section of the project that starts from Jayanagar in Bihar’s Madhubani district will be extended up to Bijalpura, which is another 17 km from Kurtha, and then to Bardibas. India has funded this project at an estimated cost of £78.7 million crore.
