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Copyrighted images and texts are not to be reproduced, displayed, distributed, broadcast, or downloaded for other purposes without the expressed, written permission of the copyright owner. © Center for Research Libraries Scan Date: December 9, 2009 Identifier: m-m-000600-f1 Forel Poficy S. D. MUNI, Foreign Policy of Nepal This is tlie first exhaustive woric on the contemporary period (since 1950-51) of Nepal's foreign policy. In its pages, the regional, global and economic dimensions of Nepal's foreign policy behaviour have been thoroughly surveyed and analysed against the background of the Kingdom's geographical, historical, socio-cultural and psychological factors. The mutual co-relations and interactions among these dimensions have further been neatly identified and discussed. In doing so, the book lays a particular emphasis on the limitations that confront a small, weak and new participant like Nepal, in inter national politics. It objectively presents a factually comprehensive and analyti cally rich account of the subject. While helping the reader to develop a realistic perspective and understanding of Nepal's foreign policy, the book will also correct some of the prevalent impressions and ambiguities about the evolution and execution of the policy. Rs. 37.50 FOREIGN POLICY OF NEPAL FOREIGN POLICY OF NEPAL S. D. MUNI NATIONAL : DELHI NATIONAL PUBLISHING HOUSE 23, Darya Ganj, Delhi-110006 (India) Overseas Distributors: BOOKS FROM INDIA 32, Coptic Street Opp. The British Museum London, W.C. 1 (U.K.) © S. D. MUNI First Published: 1973 Printed in India at Saraswati Printing Press, Delhi-110032 and Published by National Publishing House, 23, Darya Ganj, Delhi-1 lOOtti TO ALL THOSE NEPALI FRIENDS WHO ARE COMMITTED TO THE LEMOCRATIC AND PEACEFUL PATH OF PROGRESS PREFACE The British withdrawal from Asia and the pattern of post- II World War international politics created a situation towards the end of forties which did not leave Nepal to itself, as was the case hitherto. The Kingdom began to feel and react to the changes that were taking place around it. Internally, a "partial revolution" in 1950-51 replaced the century-old Rana oligarchy with the traditionally well-entrenched monarchy which was to become increasingly assertive. Since these changes, Nepal has actively participated in international affairs. Through this participation, the Kingdom has evolved an image and a pattern of behaviour of its own, the study of which can provide an interesting insight into the process of struggle of a small and new nation state for its security, prosperity and status in the world, dominated by giant and ruthless powers. The present work is an attempt in the direction of making such a study. It is the revised version of my Ph.D. dissertation on the subject. A chapter of the original dissertation, "The Role of Political Institutions in Foreign Policy Decision-Mak ing" does not find place here, for that would have further added to the length of the volume. A "Post-Script" has been added to update some of the important developments that have taken place after the period covered in the original dissertation. Otherwise the overall organisation, style and approach of the original dissertation have been kept intact. In pursuing this study, non-availability of the source material presented a difficult problem. The official and public sources of information on the subject in Kathmandu were found to be inadequate and disorganised. The Nepalese Government's excessive pre-occupation with secrecy and closeness, particularly in relation to the Indian students, further aggravated the pro blem. Access is not allowed even to the proceedings of Parlia ment of 1959-60, which are otherwise available in the official. ( viii ) Nepali daily, Gorkhapatra of that period. There was, however,, a redeeming feature; at personal level, most of the Nepali oflBcials- and leaders were friendly, understanding and co-operative. The study was conducted under the supervision of Dr. S. P. Varma, Professor and Head of the Department of Political Science, University of Rajasthan, Jaipur. His kind and per sonal interest in my work extended much beyond academic supervision. It constituted a perennial source of moral and material support. My acknowledgements are also due to : Dr. K. P. Karunakaran, now Visiting Professor at the Department of History, University of Singapore, who guided this study during its early stages; Prof. Aloo J. Dastur of Bombay University who not only inspired me to undertake research work, but also kept me- affectionately encouraging throughout the period of this study; The Nepali leaders : Sh. B. P. Koirala, Sh. Subarna Shumshere, Sh. Rishikesh Shah, Sh. K. N. Bista, Sh. S. P. Upadhyaya, Sh. Tanka Prasad Acharya, Dr. D. R. Regmi, Dr. K. I. Singh, Sh. Bharat Shumshere J. B. Rana, Sh. Kesar Jung Raimajhi, late Sh. Yogendraman Sherchan, Sh. Girja Koirala and others who very kindly allowed me long sittings with them. Dr. Regmi and Sh. Girija Koirala went even out of the way to help me in making my stay in Kathmandu, comfortable and useful; Sh. Y. N. Khanal, Dr. Mohd. Mohsin, Prof. B. C. Malla^ Sh. Chittaranjan Nepali, Sh. Gopal Dass Shrestha for helping me in the collection of material in Kathmandu; The HMG Ministries of Foreign Affairs, Economic Plan ning, Home and Panchayat Affairs, Publicity and Information, and Foreign Trade; The Indian, US, Soviet, British, Pakistani and Japanese diplomatic missions stationed in Kathmandu and Royal Nepal Embassy in New Delhi; The Sapru House Library, New Delhi, the Central Library of the University of Rajasthan, Jaipur, and_their very eflScient and helpful staff; The Madan Purskar, Tribhuwan University, Singh Durbar Rastriya Panchayat and Vir Libraries in Kathmandu. iix) Prof. Bimal Prasad, Dr. (Mrs.) Urmila Phadnis, Dr. L. S. Baral and Dr. Satish Kumar of the School of International Studies, Jawaharlal Nehru University, New Delhi; Dr. Leo E. Rose of California University, Berkeley, USA, for his comments and suggestions; My colleagues and friends at the University of Rajasthan, South Asia Studies Centre, Jaipur; Dr. (Mrs.) Sita Radhakrishnan and my friend Mr. Oliver Mendelsohn for editing the dissertation; My wife Anuradha, who shared the "pangs of research" with me throughout the period of study. Finally, I gratefully acknowledge the grant sanctioned by the Indian Council of Social Science Research, New Delhi, to subsidise the publication of this Ph. D. dissertation. Needless to say that responsibility for the facts and interpretations in this study is entirely mine* S. D. MUNI South Asia Studies Centre University of Rajasthan Jaipur, CONTENTS Preface vii 1. The Background ... 1 2. Major Determinants and Objectives of Nepal's Foreign Policy ... 33 3. The Era of "Special Relations" with India ... 67 4. The Regional Balance of Power 97 5. The Global Non-Alignment ... 141 6. Foreign Economic Policy ... 178 7. Conclusion ... 223 Post-Script ... 233 Appendices I. A fact sheet of Nepal's Diplomatic Relations, 1951-71 ... 257 lA. Nepal's Exchange of Visits with India and China ... 265 II. Actual Expenditure of HMG, Nepal, on Foreign Affairs and Defence, 1956-57 to 1967-68 ... 271 HI. Nepal's Voting Behaviour in United Nations Organisation : Selected Issues ... 272 IV. Structure of the Ministry of Foreign Affairs, HMG, Nepal ••• 282 V. Treaty of "Peace and Friendship" between the Government of India and the Government of •. pa • . 283 VI. Treaty of Peace and Friendship between the People's Republic of China and the Kingdom of Nepal - 288 Selected Bibliography — 291 index ••• 307 1 THE BACKGROUND fHE geographical confines of present day Nepal are the outcome of a process of annexation and cession initiated in the latter half of the 18th century by King Prithvi Narayan Shah of Gurkha principality. Since his childhood, he had cherished the dream of territorial and political unification of the Kingdom which was then fragmented into various small principalities. After struggling for more than two decades, he brought the whole of Kathmandu Valley under his control by 1769 A.D. and assumed the title of King of Nepal.^ After Prithvi Narayan's death in 1774, his plans were carried further 1. For the details of Prithvi Narayan's military expeditions see Babu- ram Acharya, Nepal ko Sankshipt Vritant (A brief description of Nepal), Kathmandu, 1965, 10-66; Balchandra Sharma, Nepal ko AUihasik Roop Rekha (Historical Outline of Nepal), Banaras, 1965, 216-32, Dundhiraj Bhandari, Nepal ko Aitihasik Vivechana (His torical Analysis of Nepal), Banaras, 1958, 170-90, Surya Vikram Gyavali, Prithvi Narayan Shah 1742-75, Darjeeling, 1935, Father Giuseppe, "Account of Nepal", Asiatic Researches, Vol. II, 315. 2 Foreign Policy of Nepal by his brother Bahadur Shah while acting as Regent to the infant King, and by Prithvi Narayan's son. Ran Bahadur Shah. Regent Bahadur Shah extended Nepal's sway as far as Kumaon towards the west and up to Sikkim in the east. Flushed with success, Bahadur Shah moved towards the north during 1788-89, where became in conflict with Tibet and ultimately with China in 1791-92. It will be seen in the subsequent pages that this encounter with China checked Nepal's expansion towards the north.