Nepal Seeks Debt Relief from China

Nepal's newly formed government has formally requested relief from a $216 million debt incurred for the construction of the Pokhara International Airport, a project that has faced significant challenges since its opening last year. The airport was initially envisioned as a transformative infrastructure project to boost the economy of one of Asia's poorest nations and strengthen ties with China, which financed and built the facility. However, the project has instead highlighted the risks associated with Chinese international infrastructure investments, often criticized for their high costs and subpar construction quality. The request for debt relief was made during a visit from a Chinese delegation, including Vice Foreign Minister Sun Weidong. The Nepalese government, led by the largest communist party with close ties to Beijing, is seeking to convert the loan into a grant, effectively erasing the financial burden. This move comes in the wake of a tragic incident shortly after the airport's opening, where a domestic flight crashed into a river gorge, resulting in the loss of 72 lives. Concerns have been raised regarding the construction quality of the airport, with reports indicating that China CAMC Engineering, a subsidiary of the state-owned Sinomach, inflated project costs and compromised oversight. This situation underscores the broader implications of relying on foreign investment for critical infrastructure, as Nepal navigates the complexities of its relationship with China amidst ongoing economic challenges.