11-Sep-2025
Political Unrest in Nepal
Why in News?
Nepal is facing political unrest, with the resignation of its PM amid youth-led (Gen Z) protests over corruption, unemployment, inequalities, and social media restrictions, reflecting broader regional fragility.
Effect of Nepal’s Political Crisis on India
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Security Concerns |
Instability can create governance gaps, exploited by insurgents & criminals, threatening India’s internal security through smuggling, trafficking, or militant infiltration. |
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Economic Impact |
India, Nepal’s key trading partner, faces uncertainty in investments & supply chains, with China potentially stepping in. |
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Development Cooperation |
Political instability hampers India’s High Impact Community Development Projects (HICDPs) and opens space for BRI. |
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Hydropower Cooperation |
Instability can delay major hydropower projects like Arun-3, affecting India’s regional energy hub goals. |
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Defence & Security |
Political crises disrupt military ties (joint Surya Kiran exercises) and exchanges, allowing rival external factors like China to gain influence. |