Nepal’s Prime Minister Balen Shah said on Sunday that not only has India occupied certain areas claimed by Nepal, but Nepal has also occupied some Indian territories. Addressing Nepal’s Parliament for the first time since taking office two months ago, Shah said he became aware of the issue only after assuming the premiership. According to The Kathmandu Post, he stated that both countries should jointly investigate the matter to establish the facts. Speaking on trade between India and China through the Lipulekh and Limpiyadhura routes, Shah said the dispute would be resolved through diplomatic dialogue. He noted that Nepal had already sent a diplomatic note to India on the issue and had received a response. Shah added that the Lipulekh dispute dates back to the era of British India. As a result, Nepal has held discussions not only with India and China, but also with Britain regarding the matter. Addressed Parliament for the first time Nepal’s PM Balen Shah addressed Parliament on Sunday, marking his first appearance in the legislature since assuming office following the March elections. Opposition lawmakers had repeatedly called on the PM to appear before Parliament and present the government’s position on key national issues. Responding to those demands, Shah addressed the House and answered questions from MPs. During the session, Aaren Rai, a member of the Shram Shakti Party, raised a question regarding the long-running border dispute between Nepal and India. Shah made the remarks in response to that query. 4 events that impacted India-Nepal relations 1. Objection to Kailash Mansarovar Yatra via Lipulekh Pass
The Balen Shah government strongly objected to India and China’s decision to resume the Kailash Mansarovar Yatra through the Lipulekh Pass. Nepal’s Foreign Ministry reiterated that Lipulekh, Kalapani and Limpiyadhura are part of Nepal under the 1816 Sugauli Treaty. 2. Refusal to Meet India’s Foreign Secretary
In May 2026, Indian Foreign Secretary Vikram Misri was due to visit Nepal to deliver Prime Minister Narendra Modi’s invitation for Balen Shah to visit India. However, Shah declined to meet him, prompting India to postpone the visit. 3. No Separate Meeting with the Indian Ambassador
Traditionally, a newly appointed Nepalese prime minister holds a separate courtesy meeting with the Indian Ambassador. Instead, Shah met all foreign ambassadors collectively, signalling that his government would not extend any special diplomatic preference to India. 4. No Overseas Visits During First Year in Office
It is customary for a new Nepalese prime minister to make India the destination of their first foreign visit. However, Shah announced after taking office that he would not undertake any official overseas visits during his first year as prime minister. Nepal occupies these areas of India 1. Uttarakhand About 12.4 acres in the Champawat district 2. Bihar About 7100 acres in the West Champaran district of Bihar 3. Uttar Pradesh About 500 acres in Lakhimpur Kheri, Pilibhit, Bahraich and Shravasti ​ 

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