An aerial view of Kathmandu, Nepal Photo: VCG
A Chinese security printing press has received a contract to print various denominations of Nepal’s banknotes, including the latest Nepalese Rupee (NRs) 1,000 ($7) note, the Press Trust of India (PTI) reported on Sunday, citing an official of Nepal’s central bank.
Some Indian media outlets once again stirred up the Nepal-India border dispute and took the opportunity to hype claims that China is expanding its influence. But a Chinese expert warned that interpreting the reported normal economic and trade cooperation between Nepal and China through a narrow geopolitical lens would harm regional stability and development.
Nepal Rastra Bank (NRB), the central bank of Nepal, has awarded a contract to China Bank Note Printing and Minting Corp to print banknotes in the denominations of NRs 50, NRs 500 and NRs 1,000, Guru Prasad Paudel, spokesperson of the NRB, was quoted as saying in the PTI report.
According to the contract, which was awarded recently, the Chinese security press will design, print and supply the banknotes within nine months, said PTI, citing the official. The Chinese firm was selected on the basis of the lowest evaluated bid, according to the report.
China Banknote Printing and Minting Corp won a contract previously in 2016 to print 210 million 100 Nepalese Rupee banknotes, and has since won multiple bids for Nepal’s banknote printing projects, according to China Media Group.
In October, NRB selected China Banknote Printing and Minting Corp through open tender to print 420 million 50 NRs banknotes, a release by China’s Ministry of Commerce said.
NRB on Thursday issued new NRs 100 notes carrying a revised national map that includes the Kalapani, Lipulekh and Limpiyadhura regions — territories that India claims belong to it, according to the Times of India on Monday.
These areas are currently under India’s control, but Nepal maintains that they fall within its territory under the 1816 Treaty of Sugauli signed between Nepal and Britain.
India Today released a video program on YouTube on Sunday that saw the Chinese firm winning the contract to print most Nepalese banknotes as a “Big worry for India,” implying that Kathmandu is “falling deeper into China’s embrace.”
China has the most facilities to print currency as well as the largest staff by far, a previous Firstpost report said. It cautioned that in today’s world, this gives China yet another avenue to expand its field of influence, which India would do well to keep a close eye on.
The narrative in some Indian media outlets over the printing contract reflects the persistent desire of certain forces in India to retain economic control over Nepal and keep it in a subordinate position as India’s “follower,” Qian Feng, a researcher at Tsinghua University’s Institute for National Strategy, told the Global Times on Monday.
He stressed that China and Nepal have steadily advanced economic and trade cooperation, a normal and legitimate process that is widely welcomed by and benefits countries in the region, including Nepal. “Some people in India have no grounds to interfere in China-Nepal cooperation,” he added.
Qian noted that China and India are both major Asian countries, and regional states should not be forced to choose sides between them, Qian said, adding that deeper China-India cooperation in South Asia and the abandonment of a zero-sum mindset would better align with the two countries’ development goals and contribute more to the wellbeing of regional nations and their people.