Minister for Foreign Affairs, Arzu Rana Deuba, has reaffirmed that the recent agreement under China’s Belt and Road Initiative (BRI) does not involve any loan-related provisions. Answering lawmakers’ queries at a meeting of the parliamentary International Relations and Tourism Committee on Monday, she clarified that the term ‘aid’ in the agreement does not equate to loans.

“There is no mention of loans in the BRI agreement. The projects signed under BRI are cooperation-based, and any decision to take loans would depend on necessity. We are under no obligation to accept loans unless required,” the foreign minister said.

The issue has been a subject of debate in the country ever since Nepal and China signed the Belt and Road Initiative (BRI) Framework Agreement during the Prime Minister KP Sharma Oli’s China visit in the first week of December last year.

Deuba also highlighted ongoing diplomatic engagements with Nepal’s neighbours, India and China, underscoring the significance both nations place on their relationship with Nepal. She noted that bilateral dialogues, exchanges, and agreements have strengthened Nepal’s ties with both countries.

Additionally, Minister Deuba informed the committee of efforts to secure the release of Nepali student Bipin Joshi, who has been held captive by Hamas for over a year. She revealed her recent engagements with ambassadors from Israel, Egypt, and Qatar, along with plans to appeal directly to Qatar’s foreign minister, who is mediating the release of hostages.

On regional cooperation, Deuba stressed that Nepal continues to push for the revival of the South Asian Association for Regional Cooperation (SAARC), despite challenges in achieving consensus among member states.

She also outlined organisational changes within Nepal’s Ministry of Foreign Affairs, aimed at improving services for the Nepali diaspora and expanding diplomatic relations.