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Focus on economic ties as Nepal PM Prachanda visits India

The Maoist leader to visit Mahakaal temple in Ujjain

Nepal's Prime Minister Prachanda | Reuters

It has taken six months, but Nepal’s Prime Minister Pushpa Kamal Dahal better known as Prachanda has kept to tradition and chosen New Delhi to make his first foreign visit. It has been a politically turbulent few months in the Himalayan country and with an economic crisis looming large, Prachanda may be under pressure to mention the border dispute, but is likely to focus on economic ties.

“An atmosphere of trust will be created to resolve this longstanding issue,” he said addressing the Parliament ahead of the visit. On a four-day visit, Prachanda will also visit the Mahakaal temple in Ujjain. This move by a Maoist leader who was responsible for the battle to end monarchy as well as to declare the country secular rather than Hindu, is interesting. It is symbolic of a bonds that go beyond Buddhism. With there being sensitivity around Buddha, it may be Prachanda’s way, as some Nepalese commentators have suggested, a way of displaying common ground—one that may be more pleasing to India. It is no secret that the RSS has been very interested in the Hindu connection with Nepal.

But the visit will go beyond the symbolism. On the cards is expected energy cooperation. This is an area that is likely to be a game-changer between the two countries. Hydropower is an important area of cooperation between the two countries and Prachanda will be keen to get more investment from India. Already ahead of his visit, a 669 MW hydropower project known as Lower Arun Hydro Project was announced. A joint venture with Himachal Pradesh government, this would be the biggest hydroproject between the two countries once implemented.

“During my visit, I will discuss with the Indian side various aspects of bilateral relations such as trade, transmission, energy cooperation, irrigation, air route, roads, and other connectivity projects,” said the prime minister to Parliament in Monday.

Prachanda will also hold extensive talks with Prime Minister Modi on diverse areas of the bilateral partnership between the two countries, according to a statement put out by the Ministry of External Affairs.  Connectivity is also expected to be an important aspect. The two prime ministers will remotely inaugurate the railway yard in Biratnagar, the Jaynagar-Janakpur railway that has been expanded up to Bijalpura, and the integrated check posts in Biratnagar and Nepalgunj, according to reports.

Nepal will also be hoping that India will help facilitate energy cooperation with Bangladesh. So far there has been little movement.

 “This time, I will hold concrete talks to secure the deal that would allow us to export our electricity to Bangladesh,” he said in Parliament. Whether that happens remains to be seen. But with domestic situation in Nepal being still fragile, Prachanda who has now tied up with the Nepali Congress, having ditched K.P Oli, will be hoping that this trip will help boost his image in the country.