Nepal Can Serve as a Bridge Between China and South Asia: Khanal
Dragon Media Correspondent
Foreign Minister Shishir Khanal has said Nepal can play the role of a dynamic bridge in expanding economic, trade and people-to-people cooperation between China and South Asia.
Addressing an international conference in Lalitpur on Friday titled “China and South Asia in a Multipolar World: China–India–Nepal Trilateral Relations in an Evolving Regional Order,” Khanal said Nepal has been independently strengthening its relations with both China and India on the basis of sovereign equality, mutual respect, shared interests and sensitivity to each other’s legitimate concerns.
He said Asia’s rapid economic transformation has created unprecedented opportunities for shared prosperity, emphasizing that cooperation remains the most reliable path toward sustainable development and long-term prosperity.
“Asia’s transformation has created unprecedented opportunities for shared prosperity. Cooperation is the surest path toward sustainable development and long-term prosperity,” Khanal said.
According to the foreign minister, the continued economic rise of China and India is creating new opportunities for Nepal and other neighboring countries in trade expansion, investment, infrastructure and connectivity, tourism and broader economic cooperation.
Khanal said economic diplomacy has become a central priority of Nepal’s foreign policy, with improving the living standards of Nepali citizens as its fundamental objective.
“Our foreign policy is linked to improving people’s quality of life. Its core purpose is to create opportunities in trade, investment, employment, entrepreneurship, tourism, technology, innovation and sustainable development,” he said.
Khanal noted that despite South Asia’s enormous economic potential, regional economic integration has not advanced to the expected level. He said the region could achieve substantial economic benefits by strengthening connectivity, facilitating trade, increasing investment flows and improving supply chains.
“The success of our cooperation should not be measured by how many agreements we sign, but by how many opportunities we are able to create for our citizens,” he said.
The foreign minister said the government has placed economic transformation among its national priorities, with particular emphasis on quality investment, infrastructure development, export promotion, tourism, clean energy, digital transformation, innovation and private-sector development.
“Economic diplomacy has today become a central priority of our foreign policy. Nepal is ready to cooperate with all friendly countries for sustainable, inclusive and resilient development,” Khanal said.
He described Nepal’s location between two of the world’s largest and fastest-growing economies, China and India, not merely as a geographical challenge but as a major economic opportunity.
Khanal said the government aspires to transform Nepal from a landlocked country into a vibrant and dynamic bridge connecting China with South Asia.
“Our aspiration is to transform Nepal from a landlocked country into a living and dynamic bridge connecting China and South Asia,” he said.
He noted that Nepal has more than 42,000 megawatts of economically viable hydropower potential, rich biodiversity, abundant water resources, fertile agricultural land and growing opportunities in the digital economy.
Khanal also highlighted Nepal’s cultural and spiritual assets, including Lumbini as the birthplace of Lord Buddha, the spiritual legacy associated with Guru Padmasambhava, Mount Everest and the country’s UNESCO-listed heritage sites, saying these strengthen Nepal’s international cultural influence and soft power.
The foreign minister stressed the need to deepen regional cooperation in energy security, climate change, digital transformation, research, innovation and people-to-people relations.
He also called for stronger cooperation among universities, research institutions and policy research centers.
Emphasizing the importance of partnerships based on trust, mutual respect and shared interests in an increasingly multipolar world, Khanal said Nepal remains committed to playing a constructive and positive role in that direction.
“Asia’s future will not be determined only by the size of its economies or the speed of technological advancement. It will also be shaped by the quality of the partnerships we build and the trust we place in one another,” he said.
The conference was jointly organized by the Nepal Institute for International Cooperation and Engagement and the Center for South Asian Studies at Fudan University, China.
