<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221114111124/637217bd9c7e80680e0baa03jpeg.jpg" alt="" width="1802" height="1160"/><figcaption>On 25 June 2021, China inaugurated a 435km section of the Lhasa-Nyingchi Electrified High-speed Rail. The ‘bullet train’ will have a top speed of 160 km/h and bring Chengdu closer to the Nepal border when completed in 2025. Photo: Xinhuanet</figcaption></figure>Nearly a decade since China adopted the Belt and Road Initiative (BRI) and five years after Nepal signed it, the connectivity project is trying to rebrand itself.The $1 trillion program focused on trade, development and connectivity is financed largely by Chinese banks and SOEs.The Green Finance and Development Center of Fudan University says a total of <a href="https://www.sciencedirect.com/science/article/pii/S004016252100740X#bib0154">$755 billion has been spent</a> on BRI projects of which more than 65% has gone into energy and transportation.In 2013, President Xi envisioned the BRI as<a href="https://press-files.anu.edu.au/downloads/press/n9514/pdf/book.pdf"> an aspirational world</a> of peaceful connectivity and friendship — one that is free from conflict. Yet, over the years, its success has also drawn widespread criticism questioning its sustainability.Chinese infrastructure projects in BRI include energy, transportation and real estate require construction inputs — like steel, cement and glass that remain oversupplied in China.For example, the utilisation capacity of the total production of steel and oil refining in China had gone down by <a href="https://onlinelibrary.wiley.com/doi/10.1111/1758-5899.12439">10% from 80 to 70</a>% between 2008 to 2015, signaling bad loans for the banks due to overproduction and negative effects on its overall economy.BRI projects allowed the Chinese government to take steps to ensure that the vast majority of the <a href="http://www.axel-dreher.de/Dreher%20et%20al._Aid_China_Growth.pdf">construction inputs will be sourced</a> from China to offset its industrial overproduction. This allows a large volume of trade to be in China’s favour while creating a huge trade imbalance between China and recipient countries.In 2021, China’s <a href="http://country.eiu.com/article.aspx?articleid=250850808">trade surplus with BRI countries</a> had reached $199.2 billion. For some countries like Italy which saw a rise of exports by 63% in 2021, others like Nepal <a href="https://kathmandupost.com/money/2022/02/05/nepal-s-trade-with-china-going-through-rough-patch">had a trade deficit of Rs232.9 billion</a>, when total exports was only Rs1 billion.One thing has remained clear: while Chinese exports will continue to grow until the BRI projects are completed, countries at the receiving end must bet on export competitive projects that can reduce the trade deficit and ensure sustainability.Secondly, the Chinese <a href="https://madeinchinajournal.com/2021/12/01/builders-from-china-from-third-world-solidarity-to-globalised-state-capitalism/">consider themselves</a> ‘builders’ rather than ‘financers’ projecting their capacity to build projects under the BRI. It is no surprise that China dominates international project contracting. By 2018, <a href="https://www.enr.com/toplists/2019-Top-250-International-Contractors-1">75</a> of the world’s top 250 international contracting firms were Chinese.Most BRI projects have been funded by large state-owned banks of China and implemented by Chinese international contractors and SOEs, at times they have been subject to reproach due to poor labour relations including a lack of awareness of local rules and regulations, and especially on the hiring of Chinese labourers in large numbers instead of locals.Maria Carrai, Professor of China Studies at NYU Shanghai argues in favour of  <a href="https://d1wqtxts1xzle7.cloudfront.net/65743046/WD_1_s2.0_S0305750X20305167_main-with-cover-page-v2.pdf?Expires=1651327708&amp;Signature=OG1O4XNvHSblwIsYUfrb5blQwbiy0b~SuXiq9aKfw-STjlYGahGVTKHwgN7DXOm3WDAerWqfKY0iHspunM2n9IAGOfzYkuZCryKq8eq0PPgvLwdQG6Ufl3HoizzJTEQAHgj3x627V3359aWAyCxLSa-H6SYYTD2VxbkPQpV2vpOrNQ2YzX886Y0NK0t-s9WCt6Lf7ZlMy2evz54aewwDQJvS3Ki-P2ybBibKxQ5mNtJBd1xZYEe19UvN15ZLL3rmNXTCus2QW6mO6BflTSeGGcPbMsOiD-e-977Qh7KUg46GKxIvGJ8houVVqpvyq7-OoDY3nVJVjAgi3NPhOU0yVQ__&amp;Key-Pair-Id=APKAJLOHF5GGSLRBV4ZA">local adaptive governance</a> because the success of BRI projects relies on effective communication of its social responsibilities to recipient countries with their local governments and making sure that working with the contractors or SOEs can enhance good governance.The Addis - Djibouti SGR railway operation and maintenance <a href="https://qz.com/africa/1634659/ethiopia-kenya-struggle-with-chinese-debt-over-sgr-railways/">were awarded to construction contractors with no actual railway operation experience</a> resulting in a lack of adequate technical capabilities to complete the project.Yet, the major challenge is still that Chinese BRI projects are heavily invested in countries that have historically demonstrated poor and weak governance, lack of transparency and are vulnerable to political shocks and instabilities.Since the start of the BRI in 2013, more than 80% of total Chinese foreign assistance <a href="https://www.cgdev.org/blog/three-key-shifts-development-cooperation-chinas-2021-white-paper">has gone to low-income countries</a>, and for some like Angola, and Montenegro the BRI loans continue to risk having an <a href="https://www.cgdev.org/sites/default/files/examining-debt-implications-belt-and-road-initiative-policy-perspective.pdf">unfavorable degree of dependency</a> on China as its prime creditor.Despite this, BRI in itself has gradually undergone reform over the years. From its lofty and vague ambition in early 2016 that did not indicate its focus, we now know its priority areas.President Xi during the 2nd Belt and Road Forum in 2019 <a href="https://www.business-humanrights.org/de/blog/chinas-white-paper-and-the-bri-can-we-expect-china-to-deliver-on-the-sdgs/">called for cleaner, greener, high-quality infrastructure projects</a> that are “sustainable, affordable, inclusive and accessible”.Chinese-backed projects have previously been under heavy scrutiny due to a lack of transparency and growing debt burden. A 2021 white paper on Belt and Road highlights the need for high-quality sustainable projects and the 2022 MOFCOM’s ‘Guidelines for ecological environment protection of foreign investment cooperation’ stresses the need for Chinese investments to meet international standards of environmentally sustainable projects.In 2021 China declared to <a href="https://greenfdc.org/wp-content/uploads/2021/07/21_07_22_BRI-Investment-Report-H1-2021.pdf">not to invest in coal-power plants</a> and also to cut funding for loss-making projects. Regulatory scrutiny has forced Chinese contractors under BRI to significantly up their game, which means we will see it focusing on smaller and fewer projects of higher quality, particularly in areas of the green and sustainable energy sector.It has been five years since Nepal signed the MoU but has so far seen little in terms of the impact. The BRI projects use the <a href="http://www.edcnepal.org/wp-content/uploads/2018/11/DAY-4-LECTURE-5-NHDP_Hydropower-Financing-Traditional-Project-Finance-EPC-and-EPC-F_2018-11-29_FINAL.pdf">Engineering, Procurement, Construction and Financing (EPC-F)</a> used in infrastructure projects and are particularly preferred in developing countries where debt markets are less mature and there may be wide variations in the availability and cost of debt financing.The EPC contractor will be responsible to finance a large portion of the project and the government has to provide a sovereign guarantee to safeguard lenders’ interests and provide payment security guarantees on behalf of off-taker, usually government-owned entities.This has generated controversy for the huge risk involved to the host country. The selection process tends to be restrictive to a particular country or set of manufacturers, in this case only to Chinese contractors.For example, only a few weeks back the government of Nepal <a href="https://myrepublica.nagariknetwork.com/news/china-miffed-with-deuba-govt-s-decision-to-deny-chinese-company-to-develop-budhi-gandaki-hydro-project/">revoked the license</a> issued to the Chinese state-owned China Gezhouba Group Corporation (CGGC) for the development of the Budi Gandaki Hydropower Project under the EPCF modality with a total cost of around <a href="https://www.hindustantimes.com/world-news/nepal-refuses-china-s-offer-to-fund-multi-billion-dollar-power-project/story-cfRJPHSKJkn2gqyon7anUL.html">$2.73 billion.</a>After the 2017 BRI agreement, for the first time, Nepal developed a project under the EPC financing modality of $88 million financed by China and with MoU between Nepal’s People’s Energy and China’s Chongqing Water Turbine Works Co. Ltd.The agreement was to develop a 48.8 MW Khimti-2 hydropower project on the border of the Ramechhap and Dolakha districts in Province 3. However, the project suffered a major setback: 500 Chinese workers were prevented from coming back to Nepal due to the Covid-19 outbreak. Similarly, the EPCF model requires the contractors to be present in the project while the main construction takes place.The high-interest rates associated with BRI loans with a relatively short payback period is another drawback for Nepal which prefers grants. Furthermore, in BRI projects there is a right to bid reserved exclusively for Chinese firms, but the Nepali side demands to be open to all.Back then the BRI used to run projects on an ad-hoc basis but by 2022 it has undertaken various reforms to properly guide sustainable infrastructure development.Because the BRI is enshrined into the CCP’s constitution, there is no question regarding its sustainability, but as BRI puts its focus on environmentally friendly infrastructures, countries like Nepal should prioritise projects that can yield better results and help strengthen Sino-Nepal relations.Abiral Khatri is with the NIFRA bank and is a research scholar based previously at Erasmus University Rotterdam, IIM Bangalore and Renmin University of China. Raunab Singh Khatri is the co-founder of The Araniko Project and is a Yenching Scholar in Chinese studies at Peking University.

original

674x448

610x380

500x500

400x266

400x240

400x203

301x200

1250x600

1084x550

BRI enters the tenth year

<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108101144/636a25309c7e80680e0439b5jpeg.jpg" alt="" width="716" height="1000"/><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108101144/636a25329c7e80680e0439b6jpeg.jpg" alt="" width="657" height="1000">Nothing has exposed the ideological chasm between the ex-UML and ex-Maoist components of the ruling Nepal Communist Party (NCP) more than the two widely divergent statements issued on Venezuela this week.Who would have thought that the Bolivarian Republic of Venezuela would loom so large in exposing fissures in a government of a country on the other side of the world with which the Federal Democratic Republic of Nepal has no real strategic interests.Read also:<a href="https://www.nepalitimes.com/?p=20802&amp;preview=true" target="_blank" rel="noopener">Nepal now has to balance not just India and China, but also the West</a>, Bhairaja Pandey<a style="background-color: #ffffff; font-size: 15px; letter-spacing: 0.01em;" href="https://www.nepalitimes.com/?p=20801&amp;preview=true" target="_blank" rel="noopener">Eminently beneficial for India and Nepal</a>, Ajit Baral<a href="https://www.nepalitimes.com/here-now/hitching-our-wagon/" target="_blank" rel="noopener">Hitching our wagon</a>The Co-chair of the NCP and prime minister-in-waiting Pushpa Kamal Dahal fired off a statement in full support of the glorious revolutionary comrades under Nicolas Maduro, and denounced US intervention.It has to be said that the US has indeed come across, as it has in the past, as a global bully throwing its weight around with sanctions and threats against a poor and badly-governed country. When will America learn to pick someone its size?But Dahal made a boo-boo by aligning his party, and by association Nepal, needlessly in a power struggle reminiscent of the Cold War.There were two problems with the NCP statement. First was the timing: why would Dahal want to issue it while his party co-chair Prime Minister K P Oli was in Davos trying hard to make a good impression on foreign investors?Oli had admitted before he left that his job was to convince the international community and multinational companies that his government was ‘Communist’ only in name, and that Nepal was open for business. Even if Oli had been only partially successful in removing the stigma, Dahal’s communique firmly identified Nepal as an adherent of an obsolete ideology and a relic of the past.The only explanation we can give to this juvenile behaviour is that Dahal has a sad case of FOMO. By launching a heat-seeking missile aimed at no one in particular, Dahal may also have been trying to re-establish his rather frayed Communist credentials. But the unnecessarily strong language denouncing American 'imperialism' which was creating 'chaos and violence’ was inappropriate, undiplomatic and counterproductive.Oli looked uncharacteristically flummoxed when asked about Dahal's missive when he returned from Davos. The statement also came less than a month after Foreign Minister Pradeep Gyawali’s meeting with US Secretary of State Mike Pompeo in Washington DC during which the two discussed implementation of America’s $500 million assistance through the Millennium Challenge Corporation (MCC) Nepal Compact for road and power connectivity.The two are also understood to have discussed America’s <a href="https://www.nepalitimes.com/editorial/between-two-oceans/" target="_blank" rel="noopener">Indo-Pacific Strategy</a> which, together with the MCC, are seen as a counter by China as a challenge to its Belt Road Initiative (BRI) which Nepal has signed on to. Gyawali trod a tightrope to balance the geostrategic interests of the two global powers, and clarified that Nepal was not going to join any US-led alliance in the Indo-Pacific.The renaming of the US Pacific Command into Indo-Pacific Command last year, designating India as a <a href="http://archive.nepalitimes.com/regular-columns/del-ktm /obor-or-not-obor-china-india,1051" target="_blank" rel="noopener">Major Defence Partner</a>, the joint Malabar 2017 exercise in the Indian Ocean involving the navies of India, Japan and the US, the revival of the Quad Alliance of Japan, Australia, the US and India as an effort to 'contain' China, are all indications that Sino-US competition is heating up in the region.Asian countries may be nervous about <a href="https://www.nepalitimes.com/editorial/what-china-really-wants/" target="_blank" rel="noopener">China’s growing economic and political clout</a>, but Beijing feels it is being encircled by America and its allies. Still, many Southeast and South Asian countries do not want to be forced to choose between America and China.Which is what makes Dahal’s statement on Venezuela so damaging for Nepal at a time when the Foreign Ministry is trying to steer a <a href="https://archive.nepalitimes.com/article/editorial/Equidistance-or-asymmetry-nepal-geopolitics,3850" target="_blank" rel="noopener">neutral course</a> that would benefit Nepal’s trade, investment and infrastructure. The Ministry's damage control this week was with a much more balanced statement saying Nepal respected the democratic will of the people of Venezuela, and opposed foreign interference.During the war, as Chairman Prachanda Dahal famously paraphrased King Prithvi Narayan Shah to say that Nepal was “a dynamite between two boulders”. It seems he has not outgrown his penchant for hyperbole.There was a time when Nepal just had to worry about balancing its giant northern and southern neighbours, but the world is now multi-polar and getting to be a much more complicated place. Our neighbours are drawn into a global power struggle, and being <a href="http://archive.nepalitimes.com/article/nation/the-triangular-relationship,3332" target="_blank" rel="noopener">a yam between three boulders</a>, Nepal has to be careful about how <a href="http://archive.nepalitimes.com/article/nation/a-trump-world-us-nepal,3359" target="_blank" rel="noopener">America’s increasingly erratic behaviour </a>will affect its precarious equidistance between India and China.A place to start would be to forge a united and coherent foreign policy strategy that prevents outside powers from using one or other party or faction in Nepal to push their strategic agenda.<h2>10 years ago this week</h2>Just as issue of Nepali Times deals with Nepal’s geopolitical dilemma, ten years ago in <a href="http://archive.nepalitimes.com/issue/436" target="_blank" rel="noopener">issue #436 of 30 January - 5 February  2009</a> Prashant Jha <a href="http://archive.nepalitimes.com/news.php?id=15620" target="_blank" rel="noopener">reported from New Delhi</a> about how India had a ‘wait-and-watch’ policy towards the newly-elected Maoist government led by Prime Minister Pushpa Kamal Dahal. Excerpt:'India is getting increasingly concerned about the slide in Nepal, but doesn't think it warrants a policy shift just yet. Indian officials admit that they are unhappy with the Maoists: "They have not delivered on their promises,"one official told us, "their commitment to democracy seems doubtful. They are warming up to China. Not good signs."            But sources insist India continues to support the peace and constitution writing process and will not destabilise the present arrangement. "It will be good if non-Maoist actors add pressure on the Maoists. But we will not back any effort to topple the government right now," one senior official told Nepali Times.’<a href="http://archive.nepalitimes.com/issue/436"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108101144/636a25359c7e80680e0439b7jpeg.jpg" alt="" width="510" height="815"></a>

A YAM BETWEEN 3 BOULDERS

Energy is a critical ingredient for prosperity, and can be a catalyst for deeper regional integration. Energy security is a critical issue for <a href="http://archive.nepalitimes.com/regular-columns/image/Cycling-Kathmandu-Lhasa,396">South Asia</a>, which is home to nearly one-fourth of the world’s population and where economies are growing by an average of nearly 7% each year.But South Asia’s GDP per capita is less than one-third of the global average, and per capita energy consumption is far below the rest of the world, hinting at unmet need in spite of increasing economic growth, industrialisation, an increasing population, and accelerating urbanisation. All of these changes increase the <a href="http://article/nation/nepal-india-thermal-power,3570" data-wplink-url-error="true">demand for electricity</a>.There have been several positive developments in energy cooperation: the 2014 SAARC Framework Agreement on Energy Cooperation and the Power Trade Agreement between India and Nepal. Bilateral frameworks between India and Bangladesh, as well as India and Bhutan, have also been strengthened. Currently, around 2,300MW of power are traded in this BBIN sub-region.These demonstrate win-win benefits for all South Asian countries. For example, Bhutan’s surplus hydropower exports to India account for 25% of its GDP. Bangladesh began importing 500MW of power from India in 2013, helping it reduce load-shedding by 70% and generate annual savings of around $500 million. India also gains by earning revenue from electricity exports.A 2015 World Bank study found that regional electricity cooperation in South Asia could lead to savings of $19 billion per year over the next 25 years. A 2017 study by the USAID-funded South Asia Regional Initiative for Energy Integration (SARI/EI) showed that accelerated power trade between India and Nepal could increase Nepal’s GDP by over $120 billion in the next 30 years.Energy cooperation is therefore not just about increasing integration but also an essential building block for regional prosperity. The US government actively supports regional energy integration in South Asia. We are committed to fostering connections from Central Asia to Southeast Asia, and everywhere in between – through increased physical infrastructure, coordinated regulatory and trade institutions, and human and digital connectivity.<a href="http://archive.nepalitimes.com/regular-columns/image/Chief-of-Indian-Army-Staff-General-Dalbir-Singh-in-Kathmandu,987">Regional integration</a> is not just good for South Asia, it is good for the world, including the United States. A more stable, prosperous, and integrated South Asia is more likely when countries of the region are linked through trade agreements and have greater physical infrastructure connections. Our activities include technical training on power contracts, procurement, regulation, and electricity system modeling as well as physical infrastructure – such as the planned 300 km of electricity transmission lines in MCC’s Nepal Compact.International experience has shown that most cross-border power trade begins with bilateral interactions which provide a foundation for multilateral arrangements and transactions. South Asia is moving along this path, and the next step is to coordinate regional energy regulations and policies by:Building strong and effective regulatory regimesDesigning competitive market pricing mechanismsDeveloping solid contracts and agreementsSetting up dispute resolution mechanisms, andSupporting a technical regional coordination agency to facilitate regional planning and development.The United States looks forward to working with both the public and private sector, as well as multilateral organiations, to em-power South Asia. Pun intended.Alaina B. Teplitz is the United States Ambassador to Nepal. This Guest Editorial is adapted from her speech to the 6th SAARC Business Leaders Conclave in Kathmandu on 17 March.Read also:<a href="https://www.nepalitimes.com/editorial/shared-futures/">Shared futures</a>, EditorialDifferent regionalisms,  Kanak Mani Dixit<a href="http://archive.nepalitimes.com/regular-columns/image/photo-exhibition,402">Forget SAARC</a> ,  Pradumna B Rana<a href="http://archive.nepalitimes.com/regular-columns/image/Cycling-Kathmandu-Lhasa,396">Reimagining South Asia</a>,  Anurag Acharya

Em-powering South Asia

Mention the acronym <a href="http://archive.nepalitimes.com/regular-columns/image/Chief-of-Indian-Army-Staff-General-Dalbir-Singh-in-Kathmandu,987">SAARC</a> and eyes glaze over, people stop reading editorials like these and they turn the page – as some of you probably already have. The South <a href="http://archive.nepalitimes.com/regular-columns/image/photo-exhibition,402">Asian Association for Regional Cooperation</a> has been a regional talk shop ever since it was set up more than 40 years ago, unable to fulfill many of the promises it made about co-prosperity, cooperation, poverty alleviation, energy self-sufficiency, and environmental protection.Unlike ASEAN or the EU, SAARC is hobbled by its asymmetry. One member state has 1,000 times more people than the two smallest countries in the grouping. That gravitational pull, and India’s aversion to multilateralism in dealing with neighbours (combined with a chronic lack of political will among those neighbours to make SAARC work) has hobbled the organisation. There is cynicism about SAARC, even officials from member states publicly poke fun at it. But, like the United Nations, SAARC can only be as effective as its members want it to be.Sub-regional groupings like <a href="http://archive.nepalitimes.com/article/nation/connecting-Bangladesh-China-India-Nepal,2966">BIMSTEC</a> (Bangladesh, India, Sri Lanka, Thailand, Myanmar Economic Cooperation) and the Bay of Bengal Initiative are somewhat more tangible. There are also Track 2 think-tanks and private sector initiatives to get the SAARC juggernaut to roll.The 6th SAARC Business Conclave this week in Kathmandu was one such exercise where, besides the usual lament about unfulfilled aspirations, there was networking and useful sharing of ideas. As in all such SAARC-related events, the elephant in the room was India, and the need to balance its size with its status as an equal member state.However, the dragon in the room was China. How can these economic behemoths be hitched to pull in the same direction, and take South Asia along? So far, Beijing's foray into trade, investment and connectivity in South Asia have been bilateral, but its Belt Road Initiative hopes to go regional with the possible extension of the <a href="http://archive.nepalitimes.com/article/nation/Tibet-train-Nepal,3102">Qinghai-Tibet railway through the Himalayan Range</a>, and across Nepal to India.SAARC has been held hostage by politics, specifically the strained relations between its two biggest members, for far too long. Trade, investment in energy, river sharing and better connectivity within South Asia could help bind the countries more closely, and build on existing bilateral agreements, as US Ambassador Alaina B. Teplitz argues in this week’s <a href="https://www.nepalitimes.com/opinion/guest-editorial/em-powering-south-asia/">Guest Editorial</a>.It is incongruous that intra-SAARC trade constitutes only 5% of the international trade of countries in the region. Of all international investment in the region only 7% is between SAARC members. It is absurd that in this day and age the world’s most deprived region should not be working together to raise the living standard of its people.Read also:<a href="https://www.nepalitimes.com/opinion/guest-editorial/em-powering-south-asia/">Em-powering South Asia,</a> Alaina B. Teplitz<a href="http://archive.nepalitimes.com/regular-columns/image/Chief-of-Indian-Army-Staff-General-Dalbir-Singh-in-Kathmandu,987">Different regionalisms</a>,  Kanak Mani Dixit<a href="http://archive.nepalitimes.com/regular-columns/image/photo-exhibition,402">Forget SAARC</a> ,  Pradumna B Rana<a href="http://archive.nepalitimes.com/regular-columns/image/Cycling-Kathmandu-Lhasa,396">Reimagining South Asia</a> ,  Anurag Acharya

Shared futures

Fenerbahçe Beko won the Turkish Airlines EuroLeague finals in Abu Dhabi, held 23-25 May, defeating Monaco 81-70 in the final. Olympiacos, who defeated Panathinaikos 97-93, finished the series in third place. The Most Valuable Player (MVP) of the final match, Nigel Hayes-Davis from Fenerbahçe Beko, received a prize of 1,000,000 Miles&amp;Smiles from Turkish Airlines’ Chief Commercial Officer Ahmet Olmuştur. The carrier has been the title sponsor of the Turkish Airlines EuroLeague, a top tier tournament, since 2010.

Turkish Basketball

Thousands of Nepali students dreaming of an American education have been forced to look elsewhere as the Trump administration’s visa restrictions make their future uncertain.
The US was long considered a top destination for higher studies, making Nepal the 10th biggest country of origin for international students in America.&nbsp;
However, that number has seen a significant decline with the total for Nepali students now at 16,482. Some 8,000 Nepali students obtained no-objection certificates to study in the US from the Ministry of Education in the past year.&nbsp;
India, Australia, Canada, South Korea, United Kingdom and Japan are the other popular destinations for Nepali students. There are no clear numbers for Nepalis going to India, but a slight decline was noted this year after the deaths of two female students.
The US State Department has issued a circular to its embassies not to issue new visas to applicants until further notice. US Secretary of State Marco Rubio in the directive stated that the department planned to expand the screening of applicants' social media.&nbsp;
While new applicants are barred including those applying for visitor visas, students with scheduled interviews are allowed to proceed.
“Many of our students are affected by the new restrictions, but those who had applied for student visas earlier have got interview dates,” one Kathmandu-based college counsellor told us.
Meanwhile, even foreign students with spotless records already in the US have not been spared, as visa scrutiny intensifies under the new policy. In a move that underscores the growing sense of insecurity, many US colleges advised international students to carry their passports and documents at all times, even when traveling locally.
“Me and my friends did not go home this summer because we were not sure we would be allowed back, so we just went to Niagara Falls,” said a Nepali undergrad in Ohio, who like many interviewed for this report did not want her name used for fear of repercussion.
<div class="embed-block"><iframe title="MORE NO OBJECTIONS" aria-label="Column Chart" id="datawrapper-chart-a7y6L" src="https://datawrapper.dwcdn.net/a7y6L/1/" scrolling="no" frameborder="0" style="width: 0; min-width: 100% !important; border: none;" height="600" data-external="1"></iframe><script type="text/javascript">!function(){"use strict";window.addEventListener("message",(function(a){if(void 0!==a.data["datawrapper-height"]){var e=document.querySelectorAll("iframe");for(var t in a.data["datawrapper-height"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data["datawrapper-height"][t]+"px";r.style.height=d}}}))}(); </script></div>
Nepali students have adopted a cautious stance, with many choosing not to return home during summer vacation due to fear of visa revocations as well as travel bans. Meanwhile, over 7,000 Nepalis with Temporary Protected Status (TPS) will have to come back to Nepal by 5 August or face deportation. Thirty-seven were flown back to Kathmandu on Omni Air last week.
“The US is one of the most sought-after destinations for higher education, and the ban will definitely impact bright students,” says Narottam Aryal of the King’s College in Kathmandu.
Indeed, Nepali undergraduates admitted into Ivy League colleges for the 2025 academic year have been asked to look for alternatives. The entire Fulbright Foreign Scholarships Board resigned on Wednesday citing interference from the Trump administration on the selection of this year’s cohort. Some Nepali students already on Fulbright scholarships have noted disruptions, delays and even cancellation of stipends.&nbsp;
The student visa restrictions were initially just for foreign students admitted to Harvard University, but it was later extended to all Chinese students and now to all students. Universities like Columbia which actively recruit foreign students, face sharp enrolment declines, threatening their financial stability and diversity.
An Indian female PhD candidate at Columbia University had her visa revoked by the US State Department, and said she was targeted on the basis of her social media posts on Israeli military attacks in Gaza. Social media vetting of political activism has raised concerns about privacy and freedom of expression in a country where such rights were a given.
Many students have been informed via email that their visas have been revoked for getting speeding or parking tickets, but even others with no criminal record have been affected. The fear of deportation looms large amongst international students, including those from Nepal.&nbsp;
For most Nepalis who migrate to the US for education, the journey is a high-stakes investment. They come largely from middle-class families, often rely on a patchwork of scholarships, work-study programs, loans, or even the sale of family assets to afford fees.
Most Nepali students pursue STEM subjects which offer extended Optional Practical Training (OPT) periods that help fund their education. But with the US backsliding on education and humanitarian matters, countries like the UK and Canada are becoming more attractive despite their own recent stricter controls on student visas.&nbsp;
The UK universities saw a 63% rise in Nepali students’ admissions in 2024. Japan is another popular destination with 64,816 Nepali students enrolled as of 2024.
<div class="embed-block"><iframe title="WHERE WE WENT" aria-label="Map" id="datawrapper-chart-yUABv" src="https://datawrapper.dwcdn.net/yUABv/3/" scrolling="no" frameborder="0" style="width: 0; min-width: 100% !important; border: none;" height="500" data-external="1"></iframe><script type="text/javascript">!function(){"use strict";window.addEventListener("message",(function(a){if(void 0!==a.data["datawrapper-height"]){var e=document.querySelectorAll("iframe");for(var t in a.data["datawrapper-height"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data["datawrapper-height"][t]+"px";r.style.height=d}}}))}(); </script></div>
Already, China, Hong Kong and Malaysia are poised to benefit from the increased scrutiny of US student visas. Several Hong Kong universities are offering unconditional admission to affected students, while Malaysian institutions are targeting previously US-bound Asian students. China and India have 330,000 and 280,000 students respectively in America, but the numbers for China have seen a sharp drop in the past year.
Elsewhere, branch campuses of American institutions such as NYU in Abu Dhabi, Georgetown in Dubai and Northwestern in Doha are getting more admission applications, and universities in the Gulf region are expanding infrastructure to accommodate those who would otherwise have gone to the US.&nbsp;
Even educational institutions in Nepal are hopeful that the US visa restrictions can be an opportunity to at least keep Nepali undergrads in Nepal, and also attract foreign students from the region.&nbsp;
“Many students might choose to complete their undergraduate degree here in Nepal and then move abroad for their Master’s degree later,” says Aryal of King’s College. “There was a need for quality higher education in Nepal anyway in terms of innovation and opportunities, so this could be the time to reduce our dependence on other countries.”
Nepal’s strategic position between India and China makes it sensitive to US policy shifts. India, a key ally, is also under US scrutiny for potential student travel restrictions. Chinese universities are already offering more scholarships to Nepali talent to capitalise on the US retreat.
American universities have challenged student visa restrictions in the courts. A federal court in Boston revoked the blanket ban on Harvard, and the State Department has ordered the resumption of processing student and exchange visitor visas.&nbsp;
Some are still hoping that President Trump will backtrack on the student visa restrictions, just like he has done with many of his more drastic executive orders.
Even so, the visa see-saw and longer-term uncertainties about living in the United States and its education system means students across the world are making alternative plans.
Says Aryal: “Policies of foreign countries change according to their needs, so excessive dependence was never a good idea. We should work to create different opportunities and choices of higher education within Nepal, so students are retained.” &nbsp;

America no longer prime destination for Nepali students

While Nepal was hosting the Sagarmatha Sambaad international climate conference in Kathmandu this month, on Mt Everest it was pretty much business as usual.&nbsp; The signs of climate breakdown are all there: a river now runs through Base Camp in summer, the Khumbu Icefall is more unstable, and there are more &nbsp;frequent avalanches. When expeditions arrived in March, the mountains were bare: it had not snowed since September, but then blizzards dumped unseasonal snow in May. And despite climate worries, such is the pull of Himalayan mountaineering that the Everest Industry showed no signs of slowdown. More than 600 international climbers and their Nepali guides had made it to the summit of the world’s highest mountain. At one point there were an estimated 2,000 people in the tent city on the Khumbu Glacier. All the ropes and ladders on the Icefall came down on Thursday, marking the official end of the spring climbing season, and just in time to avoid a monsoon cyclone approaching from the Bay of Bengal. It has been an action-packed season. One factor could be that Everest fees will go up from September: each foreign climber needs to pay a $15,000 royalty, up from the present $11,000. The cost for a Nepali climber on the South Col route will also go up: from Rs75,000 to Rs150,000.&nbsp; The fee to climb Everest in autumn is $7,500 (up from $5,500), but most climbers still prefer spring. Winter permit fee (December-February) is only $3,750 per person and the mountain is now also open for monsoon (June-August) climbs, when the fee is ever lower at $2,750. The revised rule also makes it mandatory for every two climbers on an 8,000m peak to hire one Nepali mountain guide.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025053004050_67f856fe52714e4bdcf21ae7d45c6f18c82117b9d0a5f73ed1efa04c96de1046.jpg" data-media-id="editor_0" data-image-id="2025053004050_67f856fe52714e4bdcf21ae7d45c6f18c82117b9d0a5f73ed1efa04c96de1046" data-rendition-name="original" width="931" height="732" loading="lazy" alt="The Everest Industry graph 1"> </figure>  In addition, climbers also have to pay for porters and guides, equipment, Base Camp costs, Ice Fall and fixed rope team fees, so climbing Everest does not come cheap. But such is the draw of climbing the world’s highest peak that some say the increased fees will not diminish the crowds next year. The government has tried to spread expeditions out to other seasons and other 8,000ers, but with not much success. Earlier this year, Nepal unilaterally increased the number of 8,000m peaks to 14 by adding six more sub-summits to broaden the choice for climbers. Added were: Yalung Kang (8,505m), Yalung Kang West (8,077m) &nbsp;Kangchenjunga Central (8,473m), Kangchenjunga South (8,476m), Lhotse Middle (8,410m) and Lhotse Shar (8,400m).&nbsp; The announcement could go against the accepted topographic criteria that a stand alone peak has to be at least 300m higher than an adjoining prominence, and at more than 3km isolation from it. The UIAA (Union Internationale des Associations d'Alpinisme) still recognises only 14 mountains as eight-thousanders, and only eight of those are in Nepal, or on the border with China. Nepal’s revised mountaineering regulations also increased the insurance coverage of high-altitude workers to protect porters and high altitude guides who usually take more risks on the mountains. Rescue teams and clean-up campaigners to collect trash and remove bodies of dead climbers up to Camp IV of Mt Everest do not need permits.&nbsp; The Sagarmatha Pollution Control Committee is now using drones to fly down trash in 20kg sacks. Each climber is also required to bring down at least 6kg of waste and not just their own, but this rule is erratically enforced. With five fatalities on Everest and Lhotse, Spring 2025 had a historically low death toll. Another five climbers died on Annapurna, Kangchenjunga and Makalu.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025053004050_38681de22f0fefb6faa12b01755566d09c5064d0ff84e12ccc7b5d68ea9ba38a.jpg" data-media-id="editor_1" data-image-id="2025053004050_38681de22f0fefb6faa12b01755566d09c5064d0ff84e12ccc7b5d68ea9ba38a" data-rendition-name="original" width="665" height="740" loading="lazy" alt="The Everest industry graph 2"> </figure>  Journalist Ben Ayers who ran the Everest Live social media channel from Everest Base Camp with daily updates credited the low death rate to dramatic rescues of climbers from the ‘Death Zone’ by their Nepali guides and longline helievacs — the visuals all uploaded on YouTube.&nbsp; “Ironically, this perception of safety is bringing more and more inexperienced climbers to the mountain, and they need more rescues,” Ayers said in one of his dispatches.&nbsp; American expedition chronicler and summiteer Alan Arnette suspects there is a lot of under-reporting given that the jet stream and storms were lashing Everest even till late in the season. He told us: “I heard a lot about frostbite and rescues that were not made public. It’s become practically impossible to cover the details on Everest. All the teams report nice news, and they don’t talk about bad stuff to avoid hurting businesses.” Although trash on Nepal’s mountains makes headlines, what does not receive as much attention is the climate impact of so many expeditions. The Sagarmatha Sambaad conference sidestepped this issue, which is ironic given that the impact of climate breakdown is most evident on Himalayan peaks and their glaciers.&nbsp; <h2>Need for Speed</h2> The big stories this year have been about speed-running from their home cities to the top of Everest. Ukrainian entrepreneur Andrew Ushakov flew out of JFK on 15 May at 10:15AM Nepal time, and was on the summit 3 days, 23 hours, and 7 minutes later on 19 May at 9:22AM.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250601080640_1c5cc6fc991307861768f07037ed9d30930fb20f35dbb57dc31c9a92a9e1a885.jpg" data-media-id="editor_2" data-image-id="20250601080640_1c5cc6fc991307861768f07037ed9d30930fb20f35dbb57dc31c9a92a9e1a885" data-rendition-name="original" width="1440" height="1800" loading="lazy" alt="The Everest Industry"> <figcaption>Andrew Ushakov at the summt. Photo: ELITE EXPED</figcaption> </figure>  “I could never find the time for the traditional 40-50 days of acclimatisation,” Ushakov explained matter-of-factly. His ‘Everest Sea-to-Summit’ climb was possible because he spent 400 hours in hypoxic sleep tents over the past four years in New York. However, Ushakov did use ropes already fixed, hired four Nepali guides, helicoptered to Base Camp, and used much more oxygen than an average climber. And after the climb, Ushakov was arrested at Kathmandu airport for being in possession of $20,000 of undeclared cash and spent a night in jail and fined $60,000.&nbsp; The other speedsters were Garth Miller, Alastair Cairns, Anthony Stazicker, and Kev Godlington, all former British Army commandos. They left London and summited five days later on 21 May, and flew right back. They also used hypoxic tents to simulate the thin air high on Everest.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250601080644_90c8dd5cc07b4b43f2989b1dc0c0650ab80f10ebb06680c25a6909c519957bd8.jpg" data-media-id="editor_3" data-image-id="20250601080644_90c8dd5cc07b4b43f2989b1dc0c0650ab80f10ebb06680c25a6909c519957bd8" data-rendition-name="original" width="810" height="668" loading="lazy" alt="The Everest Industry "> <figcaption>All four members of the Furtenbach team at the summit. Photo: Sandro Gromen-Hayes</figcaption> </figure>  But more controversial was their use of xenon gas therapy in a German hospital to ramp up the production of oxygen-carrying haemoglobins in their blood. Xenon is banned by the World Anti-Doping Agency for being performance enhancing in sports. Expedition leader Lukas Furtenbach said this rule does not apply to mountaineering, as it is not a regulated sport like swimming. Nepal has no rules about xenon, but the Department of Tourism said it was launching an ‘investigation’ to decide on future policy since it is difficult to ban xenon, but allow oxygen. The controversy has also divided the mountaineering community, with some climbers saying they just want to maximise their chances of survival. Spending less time on the mountain could make climbing safer by reducing avalanche risk. It would also mean less trash on the mountains, but it would reduce the income of Nepal’s expedition industry. It is also unclear how much of the success was due to xenon therapy and whether the ex-special forces were already in good physical shape.&nbsp; The need for speed hides the fact that climbing in the Himalaya is dangerous business, and climbers cannot sprint to the top just by huffing xenon. But ultra-fast climbs could be charged more, and the revenue generated can be used to establish state-of-the-art rescue operations, and increase pay and insurance for guides. Two other speed chasers this season were Swiss-Ecuadorian Karl Egloff and American Tyler Andrews, both on Everest without oxygen. Andrews choppered to Base Camp to catch a weather window, but turned back from 8,500m due to high winds. Heavy snow and wind also forced Egloff to descend from 7,000m. Slow and steady climbers like Anja Blacha from Germany did make it to the summit without oxygen, while Kami Rita Sherpa broke his own record with his 31st Everest summit as he led a 26-strong Indian Army group. There were 468 permits issued for foreign climbers from 48 expeditions to Everest this spring. Nepal’s other eight-thousanders together had only 17 expeditions. Nepal has more than 1,000 peaks above 6,000m, and has opened only 476 of them for climbing.&nbsp;

The Everest Industry

While Nepal marked <a href="https://nepalitimes.com/news/mt-everest-pvt-ltd">Mt Everest</a> Day on 29 May, on the other side of the planet in the US state of Colorado dozens of Nepalis who have climbed the world’s highest peak multiple times were busy working as chefs and Uber drivers. Among them is Nima Doma Sherpa, who climbed Mt Everest in 2019 after her husband Tshering Wangchu was among 16 crushed by an avalanche on <a href="https://nepalitimes.com/banner/on-thin-ice-in-the-khumbu">the Khumbu Icefall</a> five years earlier. A large serac broke off the West Shoulder of <a href="https://nepalitimes.com/news/the-everest-industry">Mt Everest </a>and fell directly on a group of <a href="https://nepalitimes.com/opinion/more-porters-sick-on-everest-trail">porters and guides</a> making their way up the Icefall at 5,800m. Their bodies were flown by helicopter to Khumjung where Tshering Wangchu was born. He was excited about climbing Mt Everest for the first time.&nbsp; In Khumjung, Nima Doma felt like her own life had also ended. This was the kind of news Sherpa wives, mothers and sisters dreaded every <a href="https://nepalitimes.com/here-now/peak-climbing-season-2025-s4abrxny">mountaineering season</a>. She stayed home for more than two years grieving, but ultimately gathered up all her emotional strength to take care of her 6-year-old son and 3-year-old daughter. Nima had grown up in Khumjung hearing <a href="https://nepalitimes.com/review/stories-of-nepal-s-summiteers">tales of adventure on the mountains </a>from their father, Ang Chubi Sherpa who had climbed Everest in 1993. He used to bring her and her sisters and brother European chocolates after every expedition, and used to tell them that the chocolate bars grew on the mountains. “It was only after we got older did we realise that he told us that chocolates grew in the mountains so we would not worry about him putting himself in harm's way,” Nima Doma recalled with a faraway look at her home in Boulder this week. Nima went to the school that <a href="https://archive.nepalitimes.com/article/Nepali-Times-Buzz/commemorating-edmund-hillary-in-nepal,4145">Edmund Hillary</a> opened in Khumjung till Grade 8, and then dropped out to help in the kitchen and <a href="https://nepalitimes.com/here-now/when-yaks-go-so-does-culture">tend yaks</a>. She was married off to Tshering Wangchu, who was also a high altitude guide. When Tshering went on expeditions, Nima also started working as a porter from Namche to Base Camp. It was perhaps her father’s tales of mountains of chocolates that had always attracted her to <a href="https://nepalitimes.com/here-now/knowing-our-mountains-43v4iyvo">the peaks</a>. After her husband was killed ten years ago this month, being a widow with children was not easy for Nima Doma. But she was not alone: there were at least 200 single mothers in <a href="https://nepalitimes.com/here-now/khumbu-since-1950-jaww4qn0">the Khumbu</a>, and 20 of them just in Khumjung whose husbands had been killed in <a href="https://archive.nepalitimes.com/article/nation/tragic-start-to-himalayan-spring-nepal,3695">mountaineering accidents</a>. Some were not even 20 years old, and had children growing up without fathers. But there were also women in the 50s whose husbands had been killed in the 1980s. Nima found sponsors for her children’s education, and moved to Kathmandu. In the capital, Sherpa widows used to meet to help each other. Some of them had joined the Nepal Mountaineering Association (NMA) training for rock and ice climbing. “I decided that it was no use sitting home and crying anymore, after meeting other single mothers I felt less alone,” remembers Nima, who joined the Juniper Foundation and enrolled in an NMA training camp in Manang. There she climbed Chulu East (6,584m) and met Furadiki Sherpa, whose rope-fixing husband had also been <a href="https://nepalitimes.com/news/on-mt-everest-s-70th-records-and-fatalities">killed on Everest</a> in 2013. They set themselves the goal of climbing Everest one day, and started a fund-raising drive.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250530090544_621be0724b9182c8e3594b2c562a71ec32ac01d985a71d0cf31646de9d51e15a.png" data-media-id="editor_12" data-image-id="20250530090544_621be0724b9182c8e3594b2c562a71ec32ac01d985a71d0cf31646de9d51e15a" data-rendition-name="original" width="2678" height="1274" loading="lazy" alt="Everest summiteers find new life in the US"> </figure>  “We decided we had to overcome society’s stigma of <a href="https://archive.nepalitimes.com/article/nation/widows-personal-happiness-comes-last-in-face-of-social-financial-hardships,1855">widowhood</a> and prove that <a href="https://nepalitimes.com/here-now/remembering-junko-tabei">women could also climb mountains</a>,” Nima said, adding that she was inspired by Nepal’s first woman Everest summiteer Pasang Lhamu Sherpa, who died during her descent in 1993. Nima Doma and Furdiki climbed the technically-difficult Ama Dablam (6,812m) and then arrived at Everest Base Camp in April 2019 as part of their Two Widows Expedition with the motto, ‘So Can We’. While climbing up the Icefall Nima passed the spot where her husband had been killed. It was a jumble of constantly-shifting ice blocks bigger than houses. She closed her eyes and said a prayer. “I remember thinking, this is so difficult and dangerous. This is what my husband had to do to support our family,” Nima Doma said. “I was determined to fulfil my husband’s dream of climbing Chomolungma, and to prove to ourselves that we two women could do it.” It was 23 May 2019 when <a href="https://www.reuters.com/article/world/two-sherpa-widows-scale-everest-and-smash-stigma-idUSKCN1SU0MV/" target="_blank">Nima and Furdiki stepped on the summit</a> and looked over into Tibet, and down at Tengboche Monastery to the south.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250530090544_6b822582b5d88ba5e972db084f184690b40653c6efd9901b2dd082ffba2a263b.png" data-media-id="editor_16" data-image-id="20250530090544_6b822582b5d88ba5e972db084f184690b40653c6efd9901b2dd082ffba2a263b" data-rendition-name="original" width="2700" height="1522" loading="lazy" alt="Everest summiteers find new life in the US"> </figure>  Nima Doma hugged Furdiki, took off her mask and wept. But for the first time in five years, it was not from grief but relief — relief for being free of all the sadness and sacrifices and for fulfilling her husband’s dream. They had found <a href="https://nepalitimes.com/here-now/life-after-death">life after death</a>. “I felt this immense joy to be on top of the world, it was indescribable,” Nima Doma said, “I have wept only twice in my life. Once when my husband died, and once there on top of Everest.” The tears had frozen on Nima Doma’s cheeks, as she and Furdiki headed back down the mountain.

belt-road-initiative