New Delhi: Nepal’s rollout of a redesigned Rs 100 banknote, bearing a national map that includes Lipulekh, Kalapani, and Limpiyadhura, territories claimed by India, has once again sparked a diplomatic tussle between the neighbouring countries. The Ministry of External Affairs (MEA) swiftly criticised Kathmandu’s move as “unilateral” and emphasised that such actions “do not change the ground reality on the border.”
The controversy stems from a long-standing boundary dispute at the trijunction of India, Nepal, and China, centred on the origin point of the Kali River. As per the 1816 Treaty of Sugauli, the river is meant to demarcate the boundary. However, Nepal argues that the Kali originates in Limpiyadhura, thereby placing Lipulekh and Kalapani within its territory. India maintains the source is Kalapani, located in Uttarakhand’s Pithoragarh district, making the region Indian territory.
The issue escalated sharply in 2019-20 after India built a road to Lipulekh for the Kailash-Mansarovar pilgrimage and subsequently released a new political map reaffirming its territorial claim. In response, Nepal’s then-KP Sharma Oli government passed a constitutional amendment endorsing a new national map including the disputed regions. Diplomatic negotiations have taken place since, but no joint boundary survey or formal resolution has been achieved, as neither side is willing to concede on the river’s origin point.
The latest provocation comes with the Nepal Rastra Bank’s decision to circulate its new Rs 100 banknote. The note features Mt Everest on the left, a watermark of Nepal’s national flower, Rhododendron, on the right, and at its centre, a faint green background map depicting the disputed territories as part of Nepal. An image of the Ashoka Pillar with the inscription “Lumbini, the birthplace of Lord Buddha” is printed near the map, while the reverse includes a horned rhino. The note also contains a security thread and an embossed black dot for accessibility.
Notably, the entire batch of 300 million notes was printed by the China Banknote Printing and Minting Corporation after the Oli Cabinet approved the design. The contract, signed last year, cost Nepal over $8.99 million. Oli has since resigned amid nationwide Gen-Z-led protests over corruption and restrictions on social media.
With Nepal sharing an 1,850-km border with five Indian states, Sikkim, West Bengal, Bihar, Uttar Pradesh, and Uttarakhand, the reappearance of this territorial contention threatens to overshadow bilateral ties once again. India is expected to raise the issue through diplomatic channels, signalling that the debate over maps, history, and boundaries is far from over.
