Prime Minister KP Oli has said Nepal will pursue a balanced foreign policy with both neighbours and will not play the card against each other.

The prime minister said countries can be big or small, but their sovereignty is equal. He made the comment at the launch of a book titled “Geopolitics and Blockade” authored by Rastriya Prajatantra Party Nepal Chairman Kamal Thapa in Kathmandu on Monday.

Thapa, who served as foreign minister during the Indian blockade of Nepal in 2015 when Oli was the prime minister, has recounted his experiences in the book. India imposed a months-long blockade against Nepal, expressing dissatisfaction over certain provisions of the constitution, which was promulgated in September 2015.

During this period, Thapa negotiated with India and sought international support at the United Nations General Assembly.

Speaking at the function, Oli dismissed the idea of ‘geopolitics’ as an absolute concept in Nepal’s context.

“Geopolitics is about safeguarding our legitimate national interests. We have to clearly communicate our concerns and positions to our neighbours because we don’t play one against the other. We want to be a good neighbour, not a bad one,” said Oli.

The prime minister said Nepal wants the same treatment from its neighbours as it extends to them. “We should not tilt to one side, and we have to maintain neutrality in our relations.”

This was probably the first time that Prime Minister Oli spoke in detail about Nepal’s foreign policy in general and the neighbourhood in particular.

“ We will not allow our soil to be used against any neighbour. We are very much mindful of the ongoing uncertainties in geopolitics. We are in favour of world peace and sensitive to the well-being of our citizens,” said the prime minister.

Reflecting on the 2015-16 Indian blockade, Oli said: “We did not surrender. We suffered a lot, and so did our people, but every action we took was in the nation’s best interest.”

The prime minister expressed scepticism about the frequent use of the term “geopolitics,” suggesting it has become a convenient excuse for avoiding responsibility.

“If we want to hide our weaknesses, if we fail to resolve any issue or fail to give adequate attention to any subject, then it has become easy to blame geopolitics.”

“But beyond that, we have to look into our traditional, cultural and social relations. We have to balance our relations. People may say whatever they like, but we must break this habit [of blaming geopolitics]. We have two neighbours, and oftentimes, relations may fluctuate, but we cannot change our neighbours," said the prime minister, suggesting that talks and dialogue are the ways to resolve any misunderstanding that arise.

After the Indian blockade, Oli capitalised on nationalist sentiments, visited China, and signed a trade and transit agreement, which is widely regarded as a landmark decision.

To lessen Nepal’s dependency on India for bilateral and third-country trade, Nepal and China signed the trade and transit agreement in 2016, granting Nepal access to seven land and sea ports for third-country trade. Despite this agreement’s initial hype, just two cargo shipments have been made between Nepal and third countries through China in the last eight years.

Thapa, the author of the book, urged the prime minister to fully utilise the transit routes provided by China.

“We don’t have any production to export,” said the prime minister. “That’s why progress has been slower than expected.”

Oli also signed another agreement with India, focussing on using waterways, mainly cross-border rivers, for transit.

"We reached a transit agreement for using Indian waterways for both bilateral and third-country trade. We did this agreement considering our ties with India. For the country’s justified interest and well-being, we must speak up and ensure our national interests are aligned with international accountability," said Oli.

Oli also talked about the delay by India in receiving the report of the Eminent Persons Group on Nepal-India relations. The group was formed in 2016 with a mandate to review the Nepal-India relations in a changed global and regional context. The report prepared by eight members from both sides, has been gathering dust since 2018.

"Modiji and I spoke and formed the EPG. I don’t know the reason why the Indian side has been hesitant to receive the report. It was agreed that the report would be presented to the Indian prime minister first, and then to the Nepali side…Not receiving the report is not good, India should accept it. It covers everything from the 1950s Peace and Friendship Treaty to our entire bilateral ties."

On boundary matters, the prime minister said that both sides should rely on facts and evidence.

The key boundary dispute between Nepal and India centres around the Kalapani area and the mouth of the Mahakali River. Nepal claims that the river originates at Limpiyadhura, while India disputes it.

"If there’s a confusion, we should refer to the Treaty of Sugauli. We can resolve the dispute through facts and evidence. If necessary we can negotiate, but dialogue must continue," said Oli.

Nepal-India relations had hit rock bottom when the Oli government in 2020 published a new map in response to an Indian map issued in November, 2019. The boundary issue remains unresolved with both sides maintaining a status quo.

Former minister Thapa recalled the events during the 2015-16 Indian blockade, reflecting on his visits to India, meetings with Modi and former external affairs minister of India Sushma Swaraj and others in an attempt to resolve the tensions between Nepal and India.

“Our differences stem mainly from geopolitics, security, and strategic concerns,” said Thapa. He urged the prime minister to work to align with India on these fronts to achieve progress in bilateral relations.

Thapa also praised Oli for his tough stance during the Indian blockade and his bold move to sign landmark agreements with China. He urged the prime minister to clear up misunderstandings with India and effectively implement the agreements signed with China during the blockade.

Senior journalist Yubaraj Ghimire had offered a critical overview of the book and highlighted some past incidents related to India and China. He gave examples of how Nepal's foreign policy was handled and why it went wrong in several contexts.