A Connectivity-Driven Development Strategy for Nepal: From a Landlocked to a Land-Linked State
Transforming Nepal from a landlocked into a land-linked state, the authors argue, could be key to unlocking the country's much-awaited growth. With its strategic location between India and the People's Republic of China, a connectivity-driven development strategy could energize Nepal's lackluster post-conflict economic performance. Further, Nepal implements a multi-track approach to promoting regional cooperation and integration in connectivity with its neighbors, reinforced through participation in South Asian Association for Regional Cooperation, Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation, and South Asia Subregional Economic Cooperation. By identifying ten priority projects that could further boost Nepal's connectivity, the paper also discusses how strengthening Nepal's transport, energy, and trade links could benefit the region. However, the authors also warn against “internal threats” to Nepal's development—corruption and the country's difficult political situation.
Author: Pradumna B. Rana and Binod Karmacharya
Tags: Nepal, Economic Corridor, Regional Trade, Connectivity, Development, Economic Growth, SASEC, India, Regional Cooperation, Regional Integration, SAARC, BIMSTEC, Transport, Energy, Trade