Nepal's New 100 Rupee Note Sparks Border Tensions with India

Nepal has unveiled a new 100 rupee currency note featuring a revised map that includes the disputed territories of Kalapani, Lipulekh, and Limpiyadhura, a move that is likely to escalate border tensions with India. The decision to print the new banknotes was made during cabinet meetings held on April 25 and May 2, according to Rekha Sharma, Nepal's Minister for Communication, Information and Technology.

Why this matters: The introduction of the new 100 rupee note featuring the revised map has significant implications for bilateral relations between Nepal and India, potentially exacerbating existing border disputes and affecting regional stability. This move could also set a precedent for other countries to assert their territorial claims, leading to a broader impact on global geopolitics.

The new map, which replaces the old one printed on the background of the 100 rupee note, incorporates 335 square kilometers of additional land, taking Nepal's total area from 147,181 to 147,516 square kilometers. "The meeting of the council of ministers chaired by Prime Minister Pushpakamal Dahal 'Prachanda' took a decision to print the new map of Nepal, which includes the Lipulekh, Limpiyadhura and Kalapani in the Rs 100 denomination bank notes," Sharma stated.

Nepal initially updated its political map on June 18, 2020, incorporating the three strategically important areas. India reacted sharply to the move, calling it a "unilateral act" and terming the "artificial enlargement" of territorial claims as "untenable." Theborder disputebetween the two countries stems from differing interpretations of the origin of the Mahakali River, also known as the Kali River, which demarcates the boundary as per the Sugauli Treaty of 1816.

Tensions escalated in May 2020 when India inaugurated a road linking Kailash Mansarovar via Lipulekh, which Nepal strongly objected to, claiming that the road passes through its territory. India maintains that Lipulekh, Kalapani, and Limpiyadhura belong to it. Nepal, on the other hand, asserts that as per the Sugauli Treaty, all territories east of the Kali River, including thedisputed areas, fall within its borders.

The Nepal Rastra Bank has been authorized to replace the existing map with the updated version on the currency note. The new banknotes are expected to enter circulation as a symbol of Nepal's national identity and sovereignty, reinforcing its territorial claims. However, the move has faced opposition from some political parties, including the Nepali Congress and a few Madhesh-based parties, who fear it may hinder negotiations to resolve the outstanding border disputes with India.

Nepal shares a border of over 1,850 km with five Indian states: Sikkim, West Bengal, Bihar, Uttar Pradesh, and Uttarakhand. The introduction of the new 100 rupee note featuring the revised map is a significant step in Nepal's assertion of its territorial claims. As preparations are underway to replace the old map with the new one, the implications for bilateral relations between Nepal and India remain to be seen.

Key Takeaways

• Nepal introduces new 100 rupee note featuring revised map with disputed territories.
• Map includes Kalapani, Lipulekh, and Limpiyadhura, escalating border tensions with India.
• New map adds 335 sq km to Nepal's total area, from 147,181 to 147,516 sq km.
• Move may set precedent for other countries to assert territorial claims, impacting global geopolitics.
• Introduction of new note may hinder negotiations to resolve border disputes with India.