Indian Council for Research on International Economic Relations

Ongoing Details

Deconstructing Development Assistance: India and Nepal

Project Leader: Dr. Rajat Kathuria
Research Team: Sanjay Pulipaka and Tanu M. Goyal
Commencement: August 30, 2017
Funded by: Oxfam India

As a rising power, India has been proactively extending development aid to other countries. India’s development assistance is slowly emerging as an important pillar of India’s foreign policy. Historically the volume of India’s assistance has been significantly smaller in comparison to foreign aid from traditional donor countries. However, India’s development cooperation has been rising in the recent past.

India’s financial and development assistance to Nepal dates back to the 1950s with Nepal being one of the earliest recipients of India’s assistance. Over the decades, India has built a strong aid mechanism, providing grant assistance to Nepal in meeting its development goals, be it large infrastructural projects or small-scale community-based projects at the grass-root level in the areas of infrastructure, health, water resources, education and rural & community development.

Given this background, the objective of this project is to a) assess India’s development assistance/engagement in the education sector in Nepal and suggest measures to improve India’s assistance programme and outcomes in the sector and b) evaluate the infrastructure connectivity projects between India and Nepal based on the impact they had on regional and social inequities. The proposed connectivity projects (road and rail) will also be examined.