situation report

Jul 19, 2019 | 16:38 GMT

1 min read

China, Nepal: Railway Link Faces Delays Over Technical, Financial Issues

What Happened: The Nepal-China railway link, a key project under China's Belt and Road Initiative (BRI), is reportedly facing delays due to technical problems and financing uncertainties, the Asia Times reported July 18.

Why It Matters: The railway link is the latest among a growing number of BRI projects to run into obstacles and reflects the lack of sufficient feasibility studies in the leadup to the project. Nepal is looking to improve its connections to China through the railway and decrease its reliance on Indian trade routes.

Background: China has already asked Nepal to scrap roughly two dozen BRI projects this year, citing delays on Kathmandu's side, although both countries had vowed to keep working on the railway link.

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