Nepal: Foreign Minister Rejects China's Claim Of Building Pokhara Airport Under Belt And Road Initiative

Nepal Foreign Minister NP Saud on Tuesday rejected the claim of an airport being built under the Belt and Road Initiative made by the Chinese Ambassador to Nepal.

FM Saud was addressing the International Relations and Tourism Committee and stated that the claim made by the Chinese Ambassador is false and the BRI project hasn't been put into action in Nepal. He added that Nepal has signed the pact but no tangible plans or initiatives have been implemented as of yet.

The Chinese Ambassador has claimed that the Pokhara International Airport was built under the BRI framework more than once now.

China released a statement earlier this week claiming that the Pokhara International Airport is its flagship project in Nepal under the Belt and Road Initiative (BRI). The diplomatic circles in Nepal found themselves in confusion since. 

While Nepal Prime Minister Pushpa Kamal Dahal was inaugurating the new airport, China made the claim that the project was under BRI, reportedly.

Chinese Ambassador to Nepal Chen Song on June 22, took to Twitter and wrote, "Warm congratulation to Wechat Pay Cross-board Payment Service Inauguration in Nepal. A new step forward in financial connectivity, one of the five "connectivities" under #BRI initiative."

According to the reports, NP Saud clarified the situation while addressing the House of Representatives Earlier, he reportedly said, "The project implementation plan of the BRI is at a stage of discussion between Nepal and China. Not a single project in Nepal under the BRI has been executed. The project implementation plan of the BRI is still under consideration."

Nepal and China relations have now stood at a confused state as the two countries have different ideas regarding the projects under BRI and reportedly the foreign policy experts have claimed that it will not be beneficial for Nepal. 

What is the Belt and Road Initiative?

Nepal and China signed a memorandum of understanding on One Belt One Road later known as BRI, a flagship initiative of Chinese President Xi Jinping, on May 12, 2017.

The agreement aims to facilitate transit transport, logistics, transport network security and related infrastructure development through joint study and promote cross-border projects including railway, road, civil aviation, power grid, information and communication.

The BRI was proposed by President Jinping in 2013 and it aims to link Southeast Asia, Central Asia, the Gulf region, Africa and Europe with a network of land and sea routes. The USD 60 billion China-Pakistan Economic Corridor (CPEC) is the flagship project of the BRI.

According to the reports, the Nepal government signed a USD 215 million soft loan agreement with China in 2016, for building a new airport in Pokhara and there was no mention of BRI in it. The two countries have not agreed upon the decision if the projects in Nepal under the initiative would be loan-based or grant-based.

Reports also suggest that the then-Chinese ambassador to Nepal Hou Yanqi on April 22 had said that the BRI will include both grants and commercial loans as Nepal has been asking for grants from China and Yanqi also said that many projects by China in Nepal fall under the BRI.