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Rs 100 Nepal Currency Note Controversy

Nepal on announced the printing of a new Rs 100 currency note with a map that shows the controversial territories of Lipulekh, Limpiyadhura and Kalapani, already termed as “artificial enlargement”...

Nepal on announced the printing of a new Rs 100 currency note with a map that shows the controversial territories of Lipulekh, Limpiyadhura and Kalapani, already termed as “artificial enlargement” and “untenable” by India.

Rs 100 Nepal Currency Note Controversial

Why In News

  • Nepal on announced the printing of a new Rs 100 currency note with a map that shows the controversial territories of Lipulekh, Limpiyadhura and Kalapani, already termed as “artificial enlargement” and “untenable” by India.
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  • “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,” government spokesperson Rekha Sharma told media persons while briefing about the cabinet decision.

Background On Dispute

  • In a meeting chaired by Nepali Prime Minister Pushpakamal Dahal Prachanda, the council of ministers decided to incorporate the controversial territories into the new map of Nepal, government spokesperson Rekha Sharma informed the media during a briefing on Friday.
  • Rekha Sharma, who is also the minister for communication, information, & technology, stated that the decision was made following a proposal from the Nepal Rastra Bank to update the map on the Rs 100 banknotes. Redesign, with the updated map, was approved during meetings held on April 25 and May 2.
  • “The government has authorised the Nepal Rastra Bank to replace the current map with the updated version on the currency note,”.
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  • Lipulekh, Kalapani, and Limpiyadhura had been included in India’s November 2019 map.
  • Tensions between New Delhi and Kathmandu emerged after Nepal issued a political map in May 2020, which included the same territories.
  • Diplomatic relations came under further strain when Nepal handed over a diplomatic note to India objecting to the inauguration of a road linking Kailash Mansarovar via Lipulekh on May 8, 2020.
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  • India’s Ministry of External Affairs had responded to Nepal’s objection, stating that the road, passing through Uttarakhand’s Pithoragarh district, fell entirely within the Indian territory.
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  • Nepal has asserted its claim based on the Sugauli Treaty of 1816. According to the treaty all territories east of the Kali (Mahakali) river, including Limpiyadhura, Kalapani, and Lipulekh, belong to Nepal.
  • The Sugauli Treaty, signed on March 4, 1816, between the East India Company and Guru Gajraj Mishra, delineated the boundary line of Nepal following the Anglo-Nepalese War of 1814–16.
  • India, however, has stated that the 1950 Treaty of Peace and Friendship between India and Nepal annulled the Sugauli Treaty.
  • Nepal argues that treaties such as the 1923 Nepal–Britain Treaty of Friendship reaffirmed its sovereignty during the era of British rule.
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