A team of Chinese experts on Tuesday arrived in Kathmandu to conduct a feasibility study and survey of a proposed 170km cross-border railway between Nepal and China, which would connect the Tibetan border town of Kerung with Kathmandu, according to the Chinese Embassy.
The visiting Chinese experts are tasked with implementing the "consensus of our leaders" and “a solid step forward to turn Nepal from a land-locked to a land-linked country," a spokesperson for the embassy in Nepal said.
Connectivity through China via a railway will break India's monopoly over the Himalayan nation. Currently, India is the only country through which Nepal carries out trade with other nations.
The development comes a day after Maoist Center leader Pushpa Kamal Dahal aka Prachanda took charge as prime minister in Nepal. Mao Ning, the official spokesperson for the Chinese Foreign Ministry, on Monday said that China wants to pursue projects under the Belt and Road Initiative (BRI).
“China stands ready to work with the new Nepalese government to expand and deepen friendly exchange and cooperation across the board, pursue high-quality Belt and Road cooperation, inject new impetus into our strategic cooperative partnership featuring ever-lasting friendship for development and prosperity and deliver more benefits for our two peoples,” the spokesperson said during a regular press briefing in Beijing on Monday.
The former Nepal government led by Sher Bahadur Deuba rejected China's offer of commercial loans for railroad connectivity projects under the BRI due to concerns about falling into a "debt trap."
Nepal joined the Chinese BRI back in May 2017, when Prachanda was heading the government in an alliance with the Nepali Congress.
Although it is currently just a proposal, officials say the Kerung line could ultimately extend to Lumbini, just 29 km from the Indian border, linking the two Asian rivals through Nepal.
However, the project is expected to face significant engineering challenges due to the rough Himalayan terrain and earthquake risks, as well as a price tag of at least $8 billion, which Nepal is unable to afford on its own.
Nepal and China signed an agreement between the foreign ministers of the two countries on August 11, 2022 to use Chinese funds to support the feasibility study for the cross-border railway.
The pre-feasibility study, which was completed in 2018, indicated that the project would be among the most challenging railways being pursued due to the complex geological conditions and frequent natural disasters along the route, as well as the fact that much of the line will pass through tunnels and over elevated bridges.