The win-win situation for India and China lies in respecting the ‘buffer-status of Nepal’ which will also ensure political stability in Nepal.

India needs to chalk out a new paradigm of engagement with the emerging Nepal in which economic and border management issues are prioritised over political issues.

India should clarify through actions and words that it has no intention of interfering in Nepal, that it respects Nepal’s sovereignty and that it is ready to work with any dispensation in Nepal for furthering mutual security and economic concerns.

Though tensions between India and Nepal over a few disputed pockets along the border have persisted for more than three decades, the first half of 2009 witnessed an increase in the frequency of border disputes. An obvious fallout of the disputes was the drumming up of anti-India feelings in Nepal and tension in bilateral relations.

The year 2008 has witnessed yet another disastrous flood in North Bihar. Floods in Bihar have been almost an annual phenomenon. Though the capacity of the river flow was well below the danger line this time around, the situation was in fact aggravated by a breach in the Eastern embankment. Estimates indicate that around thirty lakh people have been displaced and their livelihoods devastated in sixteen districts of north-eastern Bihar. At the same time, around 50,000 people have been affected in Sunsari district of Nepal.

“[China] feels that the Himalayas alone in this nuclear age are not enough to guarantee its national security, especially in view of Tibet’s strategic location. [It], therefore, ideally wants a China of small, preferably pro-Chinese, neighbours on the cis-Himalayan region separating the two Asian giants.”

- Dawa Norbu