China seeks to boost trans-Himalayan project amid contest to win over Nepal

Chen Xiaodong, chairman of China’s CIDCA aid agency, Nepal’s Prime Minister Sharma Oli to discuss Nepal-China ties and infrastructure projects. Photo: Handout

China hopes to speed up work on a trans-Himalayan network project to connect it with Nepal , a development that may raise concerns from regional rival India.

“[We] should implement more projects in areas such as agriculture, new energy, health and education to promote Nepal’s economic and social development and improve people’s livelihoods,” Chen was quoted as saying in a statement on the agency’s social media account on Wednesday.

Chen’s visit, which ended on Tuesday, comes as China has managed to repair ties with its regional rival India following a border clash in 2020.

But the two Asian giants are competing to win over partners such as Nepal for influence in the region.

Landlocked Nepal sits between India and China, with India traditionally seen as Nepal’s main ally because of their shared culture and proximity.

However, Nepal has drawn closer to China in recent years because of Beijing’s infrastructure investment. China has in recent years boosted economic interactions with the Himalayan nation by pumping millions of dollars into projects, ranging from roads to hydropower plants.