Pandemic Reopens Contentious Issues in Nepal-India Ties
The COVID-19 pandemic has highlighted two features of the Nepal-India economic relationship: Nepal’s ballooning trade deficit, and unrestricted cross-border movement of people of both countries. Attributing the trade deficit entirely to supply-side constraints is neither accurate nor conducive to the overall health of the relationship. This brief suggests ways towards more sustainable trade relations between India and Nepal, among them, India relaxing the non-tariff measures it imposes on Nepali goods, Nepal improving its quality testing infrastructure, and a revision to the bilateral trade...