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Nepal probes China-linked airport deal after Oli fall

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Corruption, which has been a massive menace in Nepal, was also one of the reasons behind the massive demonstrations led by the youth

As Nepal tries to stitch together its new political reality post the Gen Z movement in September 2025, which resulted in the downfall of the KP Sharma Oli government, former ministers, officials and a Chinese company have now been charged with corruption over financial irregularities during the construction of an international airport outside Kathmandu.

The South Asian country’s “Commission for Investigation of Abuse of Authority” has filed cases against 55 people and the China CAMC Engineering Company Limited, in one of the biggest such cases in the Himalayan nation, accusing them of inflating construction expenses by more than USD 74 million. It remains unclear when the trial will begin.

According to the Associated Press (AP), two officials of the Chinese company have been named in charges filed at the Special Court in Kathmandu, which handles corruption cases related to government dealings.

“The bidding agreed on with the government in 2012 was set at USD 169.6 million, but Nepali officials increased the amount to a little over USD 244 million in collusion with the Chinese company,” the commission said.

“The airport, at the resort city of Pokhara, 200 kilometres (125 miles) west of Kathmandu, was built with a loan from China Exim Bank. It was expected to draw foreign tourists to the picturesque city, the starting point of many trekking routes in Nepal. However, it failed to attract international flights since operations began in 2023,” said AP in its report.

Corruption, which has been a massive menace in the South Asian country, was also one of the reasons behind the massive demonstrations led by youth, which left dozens killed, forcing the government to step down. An interim administration, under the leadership of former jurist Sushila Karki, was installed.

General elections are expected in March 2026, with Karki now holding discussions with political parties and other stakeholders, as part of the preparations for the democratic process, which will see a new House of Representatives.

Image Credits: World Economic Form

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