Roads to Dependency: How Chinese Investment Is Reshaping Nepal’s Strategic Future

Chinese companies have shown great interest in Nepal’s hydropower industry. This strategy faced some obstacles, as in 201, India announced that it would no longer consider electricity generated from Chinese-built and Chinese-funded plants in Nepal. As a result, many contracts had to be reassigned to other parties. Right now, there are more projects in Nepal’s energy infrastructure involving companies from India than those linked to Chinese firms. Yet the competition itself speaks volumes about the importance of the area. In any case, Chinese companies are not willing to offer their expertise without expecting anything in return. While Nepalese workers, engineers, and firms are involved in building infrastructure, the bulk of the effort always goes to Chinese entities.