Nepal and India share a deep connection through geography, culture, religion, and civilization, presenting numerous opportunities for collaboration and mutual benefit. However, it has become customary for Nepalese leaders, particularly those from the communist faction, to adopt a confrontational stance, emphasizing sentimental issues related to borders, treaties, and agreements.

Given the multitude of challenges facing Nepal across various sectors, the support and cooperation of India are essential for effective resolution. To achieve this, Nepalese political leaders must engage in credible, responsible, and measured diplomacy to address the existing outstanding issues.

It is inherent for nations to exhibit differences. In the case of neighboring countries such as Nepal and India, which are intertwined through geography, culture, religion, and civilization, there exist numerous shared interests that can foster unity.

When disputes arise between these two nations, they are typically resolved through discreet diplomatic efforts that consider the significance and backing of the involved parties. Following a successful visit by Nepalese Foreign Minister Dr. Arzu Rana Deuba, an agreement was reached with Dr. S. Jaishankar, India's Foreign Secretary, to address the contentious bilateral matters through quiet negotiations.

After a month of cautious discourse regarding Nepal-India relations, Prime Minister Oli has now brought the agenda of the EPG report to the forefront during a book release event at his official residence in Baluwatar. While unveiling a book authored by Suryanath Upadhyay, Prime Minister Oli remarked that the EPG was developed with the guidance of both himself and Indian Prime Minister Modi, expressing hope that Prime Minister Modi would soon endorse the report.

Prime Minister Oli expressed his optimism regarding the timely acceptance of the Nepal-India Eminent Persons Group (EPG) report by the Indian Prime Minister.

He emphasized that both he and Prime Minister Modi are representatives elected by their respective citizens, which enables them to comprehend each other's concerns effectively. Prime Minister Oli further stated that the challenges faced by Nepal and India could be resolved through ongoing dialogue characterized by open-mindedness and tolerance.

He remarked, "The likelihood of delivering the EPG report is significant." He added, "The Nepalese side is prepared to share the report, and I believe the Indian side is also now inclined to accept it." He noted, "We have not yet had the chance to receive and present the EPG report. The Nepalese side does not face any time constraints regarding the receipt of the report. It is possible that the Indian side will coordinate a suitable time for its reception. Once the report is received, it will facilitate discussions on the outstanding issues between our two nations."

He indicated that there are existing issues between Nepal and India, and in his proposal to address these concerns, an Eminent Persons Group (EPG) has been established with the consent of both Prime Ministers. Prime Minister Oli contended that the term geopolitics should not be employed to justify self-serving actions, emphasizing that it is not part of Nepali culture to oppose the nation's leader while residing abroad. He remarked that previously, foreign relations were maintained and influenced by the nation's strength.

Following the Second World War, it became essential for a country to advocate for its national interests in a fair and just manner, in alignment with various international treaties and agreements. He stressed that a unilateral approach should not be adopted when managing shared resources; rather, it should be based on consensus and bilateral discussions.

He further noted that the government is focused on promoting good governance with the nation and its citizens at the forefront. From the 1950s to the 1990s, communist parties campaigned against the 1950 Nepal-India treaty, Gurkha recruitment, and territorial encroachments in Susta and other regions.

Following the political transformation of 1990, the issues surrounding Tanakpur, Mahakali, and the long-standing dispute over Kalapani, which has persisted since the 1814 Nepal-British India Treaty, gained prominence. In the wake of the monarchy's dissolution, the Eminent Persons Group (EPG) report, prepared by a committee appointed by the UML, has emerged as a significant topic of discussion.

Concerning the current situation, the decision to introduce new banknotes depicting the contested territory has ignited renewed tensions with India, and Prime Minister Oli's comments regarding the EPG report are expected to exacerbate relations further.

As the new administration unveils ambitious initiatives aimed at revitalizing the economy, creating jobs, and enhancing agricultural exports, it is crucial for Nepal to foster support from India, necessitating amicable relations. Following her recent trip to India, Foreign Minister Dr. Rana expressed optimism about the evolving friendship between Nepal and India. Nevertheless, these recent decisions may lead to increased mistrust and skepticism.

Mint, a prominent online news outlet in India, reports that Nepal's recent actions may provoke tensions with India. In a surprising development, Nepal's central bank has authorized the issuance of 100 rupee notes featuring a revised map that incorporates regions claimed by both nations. India has unequivocally asserted its claim over these territories.

In May 2020, the government of Nepal, under the leadership of K P Sharma Oli, introduced a new political map that included the areas of Lipulekh, Kalapani, and Limpiyadhura as part of its territory.

This map received formal approval from the Nepalese parliament, leading to the replacement of the previous map in all official documents, despite India's objections. India continues to assert that Lipulekh, Kalapani, and Limpiyadhura are rightfully its own, and the ongoing territorial dispute remains a significant source of friction between the two countries.

“Harping a nine-year-old EPG report serves merely as a hollow expression of nationalism; however, failing to capitalize on investments in Nepal for initiatives such as IITs, AIIMS, enhancing supply chains for agricultural products, and expanding tourism and connectivity infrastructure beyond Kathmandu is a shortcoming of leadership. Additionally, creating opportunities for Nepali startups with Indian investors and facilitating Indian tech companies in Nepal to generate numerous jobs should be prioritized. While nationalistic rhetoric may attract attention, it does not address the fundamental needs of the populace. It is imperative for both nations to undertake substantial efforts towards a meaningful, impactful, and time-sensitive strategy to improve Nepal-India relations, "stated Navita Srikant, New Delhi based International Development specialist and observer of Nepal India relations.

"The relationship between Nepal and India is fundamentally rooted in shared civilization, culture, and mutual dependence on common resources. This interconnection fosters direct interactions among people and has significant environmental implications. Consequently, both nations share aspirations for growth, necessitating cooperation to effectively utilize these shared resources and address natural disasters. Political leaders should prioritize strategies that promote growth in Nepal while capitalizing on the opportunities presented by a rising India. Key areas such as education, skill development, employment, health infrastructure, sectoral expansion, favorable tariffs and quotas, market access, and technological progress will be discussed in joint bilateral meetings. For instance, in 2018, Prime Minister Modi announced a Rs 100 crore package for the development of Janakpur; however, Nepal has struggled to formulate a plan to effectively utilize these funds for several years. Statements related to the Eminent Persons Group (EPG) can no longer serve as a means to secure electoral support, as they often mask the shortcomings of the government.," said Srikant.

Nevertheless, Nepali specialists hold a contrasting perspective. Suryanath Upadhyaya, a member of the EPG appointed by CPN-UML, stated that Nepal must submit the report unilaterally if the Indian Prime Minister declines to acknowledge it officially. "Since the report has been developed by experts from both nations, it is the responsibility of the Indian government to accept it."

Although India has not issued any formal statement, Indian media outlets, citing various governmental sources, have characterized the recent actions of CPN-UML leader Oli as a betrayal of India in favor of China. "In May 2020, the government of Nepal, under the leadership of K P Sharma Oli, introduced a new political map that incorporated the territories of Lipulekh, Kalapani, and Limpiyadhura. This new map received formal approval from the Nepalese parliament, and the previous map was replaced in all official documents, despite India's objections," reports The First Post online.

India asserts that the territories of Lipulekh, Kalapani, and Limpiyadhura are rightfully its own. This ongoing territorial dispute continues to be a significant issue between the two neighboring countries, as reported by Mint.

The Nepal Rastra Bank (NRB), which serves as the central bank of Nepal, is in the process of producing new currency notes that will feature the updated map, incorporating the contested regions with India. NRB spokesperson Dilli Ram Pokharel announced that the production of the new 100-rupee notes has commenced, with an anticipated completion and issuance timeline of six months to one year. These banknotes will illustrate Kalapani, Lipulekh, and Limpiyadhura as integral parts of Nepal's territory.

The decision to create and circulate these updated banknotes was made by the cabinet of Nepal, under the leadership of then Prime Minister Pushpa Kamal Dahal 'Prachanda', on May 3, which included the new map reflecting the aforementioned areas as part of Nepal.

Nepal shares a border exceeding 1,850 kilometers with five Indian states: Sikkim, West Bengal, Bihar, Uttar Pradesh, and Uttarakhand. In recent discussions, Indian Foreign Secretary Dr. S. Jaishankar expressed that Nepal's unilateral actions are unacceptable to India, emphasizing that such actions cannot alter the existing realities on the Indian side. If the political leadership in Nepal endeavors to promote diplomacy and address bilateral matters, it could lead to significant repercussions. Positioned between two major powers, Nepalese political leaders must exercise diplomacy with caution and precision to safeguard the nation's interests.

The CPN-UML and its leaders, including KP Sharma Oli, engage in political maneuvering, often employing anti-India rhetoric to assert their nationalist credentials. Oli's recent remarks and new initiatives reflect this trend.

In light of the economic downturn, rising unemployment, and various social issues confronting Nepal, the political leadership often resorts to leveraging emotionally charged topics such as border disputes. By promoting a nationalistic and anti-India narrative, Nepal has missed out on crucial opportunities for economic progress that could have been fostered through cooperation with India. Establishing a friendly relationship with India is vital for Nepal's prosperity and development.

To facilitate this, it is necessary for Nepal to maintain ongoing discussions at various levels. Nevertheless, by bringing contentious issues to the forefront, Prime Minister Oli is obstructing the pathway to negotiations with India. Although Oli's message may seem to resonate with nationalistic sentiments, it ultimately yields adverse effects that undermine Nepal's interests.