Strategic backdrop
Nepal has long tried to maintain a careful nonaligned posture between its giant neighbours India and China while engaging with the United States and other partners on aid, trade, and development. This balancing act has become more complex as regional competition over infrastructure corridors, energy projects, and digital networks intensifies. ## Post-protest shifts
The youth-led protests that toppled the previous government were driven primarily by domestic grievances, but they also reflected broader anxieties about opaque deals and elite capture in large infrastructure and connectivity projects. With a new generation entering parliament in large numbers and a reformist party winning a majority, there is pressure to subject major agreements to greater scrutiny and to align foreign engagements with promises of accountability. ## Policy choices ahead
Upcoming decisions on cross-border power trade, transport links, and digital infrastructure—including data governance and platform regulation—will test whether Nepal can sustain a principled nonalignment that protects sovereignty without shutting off opportunities. Clearer parliamentary oversight and transparent cost-benefit assessments will be essential to avoid the perception that foreign partnerships simply replicate past patterns of patronage under new labels.