Nepal will espouse neutral foreign policy: PM Oli

Kathmandu, Apr. 7

Prime Minister KP Sharma Oli said that Nepal will adopt neutral stance on regional and international issues, including the relations with India and China.

"We are not pro-Beijing or pro-Delhi but follow the philosophy of 'Friendship with all, enmity with none'. So, we should propagate peace in time of conflict between or among our neighbours," said PM Oli while addressing the inaugural session of the 'Himalayan Dialogue' organised by Foreign Affairs Media in Kathmandu on Monday.

According to him, neutrality is the best way and Nepal will not join any military alliance.

PM Oli also stated that the geopolitical issues shouldn't be used to cover one's weakness.

"But we must not make any mistakes in geopolitical issues. Relevant issues should be raised at the relevant regional and global platforms in order to find solutions," he maintained. "It's a delicate element, so it must be handled carefully."

PM Oli stressed that in a world where ideals are weakening and selfish interests are taking precedence, Nepal must contribute from its side to global peace and humanitarian interests while keeping national interests in mind.

"We should not use geopolitics as an excuse to cover our own weaknesses and highlighted the need to move forward with national interest in mind while being geopolitically aware," he said.

According to him, it doesn’t mean abandoning just national interests and principles tied to international accountability. "We should not engage in flip-flop politics aimed at favouring one neighbour more than another. We do not join any military alliances. We are on the side of peace,” he said.

 

NC-UML alliance for prosperity

Prime Minister Oli said that alliance between the two largest competitors, Nepali Congress and CPN (UML), is the biggest step towards the effort in fulfilling the national need and interest for development and prosperity.

"Cooperation has gained importance instead of competition," said PM Oli while adding that the country needs to stand firmly on our policies of international engagement and affairs.

Meanwhile, referring to the ongoing teachers' protests, he said that there is no need of protest to get valid demands fulfilled. "I have suggested the teachers to come forward to the government with their pertinent demands. I will take necessary steps to address their concerns through dialogue," he said.

Likewise, making comments on the recent political developments, PM Oli said that coming to Parliament after taking an oath under the constitution and then declaring refusal to accept it is a sign of a severe lack of integrity.

He added that this shows the transitional period in Nepal is likely to prolong. “There’s always a tendency to go along with the gust of wind. If people come forward with genuine demands, we are ready to listen. No one needs to suffer on the streets,” he added.

 

Pursue multi-engagement strategy

Speaking on the occasion, former Foreign Secretary and ambassador Madhu Raman Acharya said that Nepal must pursue multi-engagement strategies to seize opportunities. He emphasised that the country should not remain dependent on a limited number of nations. Rather than fearing geopolitical tensions, he argued, Nepal should shape its foreign policy according to its own interests.

“There is potential to benefit from the lower tariffs the United States is offering Nepal. In the past, Nepal was able to increase palm oil exports to India due to India’s tax policies. Now, the U.S. offers a similar opportunity through reduced tariffs,” said Acharya. “However, opportunities don’t present themselves automatically—they must be seized in time. That’s why it’s crucial to act promptly and strategically.”

Former Finance and Foreign Minister, Dr. Prakash Sharan Mahat, said that national consensus and national commitment is needed to define, process and attain the national interest and work at the international level to realise it.

According to former Defense Minister and leader of the Nepali Congress, Dr. Minendra Rijal, biased discussions on the issues like Millennium Challenge Corporation's project in Nepal, Belt and Road Initiative (BRI) and PM's visit to India will do more harm to the country and its international affairs.

Chief advisor to Prime Minister Oli and Deputy General Secretary of the CPN (UML), Bishnu Rimal, said that the world is moving down from unipolar but has not yet become bi-polar which has created tussles and confusions at the global level.

"Global aspirations of China and India have been drastically going up which can play as the motivators of realignment," he stated.

Needs for economic diplomacy

Similarly, Chandra Prasad Dhakal, President of the Federation of Nepalese Chambers of Commerce and Industries (FNCCI) said that private sector wants the government to implement programmes and initiatives to expand the market, enhance branding of Nepali products and boost export.

"However, we are ever ready for advocacy to attract investment, tourists and create market for Nepali products. But the government must support us by approving such advocacies. It will enhance the credibility of Nepali private sector," he said.

Dhakal suggested the government enhance budget and activities in the areas of economic diplomacy.

Gopal Khanal, Chairman of Foreign Affairs Media, said that political parties need to develop a uniform foreign policy in the rapidly changing international order. "The fulcrum of global economy and power is shifting to the east and south. Nepal needs to be prepared to benefit from the new order," he said.

Published in The Rising Nepal daily on 8 April 2025.