The Himalayan Kingdom of Nepal strategically located between India and China is a safe haven for international spying, intelligence gathering as well as transit point for illegal activities like money laundering, smuggling and distribution of fake / counterfeit currency.
It is fairly common for field operatives or agents of friendly and enemy countries to play hide and seek with each other in Kathmandu. Nepal’s porous borders and geographical proximity to China make it an ideal location for both Western and Eastern intelligence agencies to establish their networks and carry on their espionage activities.
Kathmandu is a hub for:
- Monitoring of Indian and Pakistani military activities
- Surveillance on Tibetan activists and Chinese dissidents
- Gathering intelligence on regional terrorism and extremism
- Economic espionage, particularly in the context of China’s Belt and Road Initiative
Nepal – A Geopolitical Battleground
Nepal’s geopolitical importance and strategic location between India and China, as well as proximity to Tibet, and relatively weak security infrastructure make it an ideal ground for covert operations by global powers.
Significantly even as early as February 2000, the then foreign minister late Jaswant Singh, while speaking in Parliament said, “The government is aware of and concerned about Pakistan’s Intelligence agency, Inter-Services Intelligence (ISI), misusing the territories of Nepal and Bangladesh for activities inimical to India’s interests. The issue relating to the curbing of ISI activities in Nepal has also been taken up at the highest level.”
In recent years, Nepal has attempted to navigate the complex web of foreign influence by adopting a more balanced foreign policy. The government has sought to strengthen its intelligence agencies, improve border security, and reduce its dependence on any one foreign power. However, given the ongoing geopolitical competition in the region, it is likely that Nepal will continue to be a focal point for international espionage for the foreseeable future.
Even as early as February 2000, the then foreign minister late Jaswant Singh, while speaking in Parliament said, “The government is aware of and concerned about Pakistan’s Intelligence agency, Inter-Services Intelligence (ISI), misusing the territories of Nepal and Bangladesh for activities inimical to India’s interests.
The CIA’s Footprint in Nepal
The CIA’s interest in Nepal dates back to the Cold War era when the United States was keen to monitor and contain the spread of communism in Asia. Nepal’s proximity to China and its border with the Tibetan region made it a prime location for intelligence operations aimed at gathering information on Chinese military movements and political developments.
One of the most significant operations involving the CIA in Nepal was its support for the Tibetan resistance movement. During the 1950s and 1960s, the CIA trained Tibetan guerrillas, known as the Chushi Gangdruk, to fight against Chinese forces. These operations were conducted in the Mustang region of Nepal, which became a base for Tibetan fighters. The CIA provided arms, training, and financial support to these guerrillas, who carried out several attacks against Chinese targets across the border. This covert operation was part of the broader strategy to destabilize China and gather intelligence on its activities in Tibet.
The CIA’s presence in Nepal continued into the late 20th century, with the agency focusing on monitoring Maoist insurgency and political developments in the country. The rise of the Maoist movement in the 1990s, which eventually led to a decade-long civil war in Nepal, was closely watched by the CIA. The agency was concerned about the potential spread of Maoist ideology in the region and its implications for US interests in South Asia.
The KGB’s Influence in Nepal
During the Cold War, the KGB of the Soviet Union was also deeply involved in Nepal, often working to counter the influence of the CIA and other Western intelligence agencies. The Soviet Union saw Nepal as a crucial ally in its efforts to spread communism in South Asia and counter Western influence in the region.
The KGB’s operations in Nepal were multifaceted. It worked closely with the Nepalese Communist Party and other leftist groups to promote pro-Soviet policies and ideology. The agency also conducted extensive surveillance of US and other Western diplomats in Nepal, seeking to gather intelligence on their activities and influence in the country.
In addition to its political activities, the KGB was also involved in cultural and educational exchanges, using these platforms to spread Soviet propaganda and influence the Nepalese intelligentsia. The Soviet Union provided scholarships to Nepalese students, who were often recruited by the KGB to act as informants or agents upon their return to Nepal.
ISI’s Operations in Nepal
Pakistan’s ISI has also been active in Nepal, primarily focusing on countering Indian influence in the region and supporting various Islamist and separatist movements. Nepal’s open border with India has made it an ideal location for ISI operations aimed at destabilizing India and promoting Pakistan’s strategic interests.
Since the late-1980s, ISI has been using Nepal as the staging point for infiltrating Khalistani or Kashmiri militants as well as to smuggle large amounts of RDX, and other arms and ammunition in India. According to intelligence reports, ISI has been distributing fake Indian currency printed in Karachi, Lahore, Quetta and Peshawar to Nepal, Bangladesh, and Thailand by PIA flights to finance its terrorist operations against India.
One of the key activities of the ISI in Nepal has been the establishment of sleeper cells and networks for Islamist militant groups. These groups have used Nepal as a base for planning and executing attacks in India. The ISI has reportedly provided logistical support, funding, and safe havens for these groups in Nepal, exploiting the country’s weak law enforcement and porous borders.
Moreover, the ISI has been involved in smuggling operations through Nepal, using the country as a transit point for arms, drugs, and counterfeit currency destined for India. The agency has also been accused of supporting anti-India elements in Nepal, including Maoist insurgents and other separatist movements, to create instability along the India-Nepal border.
Since the late-1980s, ISI has been using Nepal for infiltrating terrorists as well as to smuggle arms and ammunition to India. According to intelligence reports, ISI has been distributing fake Indian currency printed in Karachi, Lahore, Quetta and Peshawar to Nepal, Bangladesh, and Thailand by PIA flights to finance its terrorist operations against India.
According to US cables released by WikiLeaks, ISI has been using Nepal to promote terrorist acts against India. As per a cable dated 8 July 1997 signed by Frank Wisner, the then US Ambassador to India, ISI had created various terrorist fronts to carry out violent attacks in India, which included bomb blasts in commercial markets such as Connaught Place and Lajpat Nagar in New Delhi and other cities across the country. The cables disclosed that one such organisation created by the ISI in Pakistan was the Jammu and Kashmir Islamic Front (JKIF), which had a strong base in Kathmandu. The US Ambassador averred: “To dispatch men and material and to execute explosions in India, Kathmandu was invariably made the nodal point and JKIF exploited the vulnerable Kathmandu-based Kashmiri businessmen for such activities since they had a readymade and clean past. JKIF kingpin Javed Krawah himself used to run a carpet business in Kathmandu”. He further informed that the JKIF was controlled from Pakistan by the ISI and Tiger Memon, the prime accused in the 1993 serial Mumbai blasts. “Their contact in Pakistan-occupied Kashmir (PoK) was Bilal Beg, who was running an indoctrination camp near Muzaffarabad, funded extensively by the ISI to carry out terrorist acts in India. One Colonel Farooq of Pakistan ISI tasked Bilal Beg and Tiger Memon to utilize Kathmandu-based activists Lateef and Javed Krawah to set off blasts in Delhi before the Lok Sabha elections”, the Ambassador revealed.
Another email from the ‘global intelligence’ company Stratfor revealed stated that “ISI is effectively exploiting Nepalese territory to mount major terrorist offensives against India by providing human, material, and logistic support to the various militant groups – Kashmiri, Sikh, and north-eastern. Today, Kathmandu has become a big meeting point for training and distributing arms to these anti-India militant groups. According to our sources in the region, Pakistan has also developed a strong smuggling/criminal infrastructure in Nepal. The seizure of hundreds of kilograms of explosives (RDX) by the Nepalese and Indian border police, the large-scale circulation of fake Indian currency notes, and the hijacking of an Indian airliner while enroute from Kathmandu to Delhi last year clearly show how far the ISI has consolidated its presence in Nepal. Intelligence reports also say that the officials posted at the Pakistan embassy in Kathmandu are actively involved in motivating and financing agents in these activities. The ISI is also trying hard to exploit the rising nationalist sentiments in Nepal with the purpose of creating friction between Kathmandu and Delhi.
Other Intelligence Agencies in Nepal
In addition to the CIA, KGB, and ISI, several other international intelligence agencies have operated in Nepal, each pursuing its own strategic interests.
RAW (Research and Analysis Wing): India’s RAW has been one of the most active intelligence agencies in Nepal, given the close historical, cultural, and geographical ties between the two countries. RAW’s primary focus in Nepal has been to monitor and counter the influence of Pakistan and China. The agency has also been involved in gathering intelligence on Nepal’s political developments, particularly during the Maoist insurgency, and ensuring that Nepal remains within India’s sphere of influence.
MSS (Ministry of State Security): China’s MSS has also been deeply involved in Nepal, particularly in monitoring Tibetan refugees and ensuring that anti-China activities are not carried out on Nepalese soil. The MSS has reportedly pressured the Nepalese government to crack down on Tibetan activists and has used its influence to prevent Nepal from becoming a base for anti-China operations.
MI6 (Secret Intelligence Service): The UK’s MI6 has maintained a discreet presence in Nepal, primarily focusing on monitoring regional security issues and gathering intelligence on Islamist extremism. MI6 has also been involved in counterterrorism efforts in the region, working closely with other Western intelligence agencies to track and disrupt terrorist networks operating in and through Nepal.
Mossad: Israel’s Mossad has been reported to have a limited but strategic presence in Nepal, mainly focusing on monitoring Islamist groups and ensuring the security of Israeli tourists and nationals in the region. Nepal’s popularity as a tourist destination for Israelis has made it a point of interest for Mossad, which has been involved in several counterterrorism operations in the country.
Conclusion
Nepal’s unique geopolitical position has made it a battleground for some of the world’s most powerful intelligence agencies, including the CIA, KGB, ISI, and others. These agencies have used Nepal as a base for various covert operations, often with significant implications for regional and global security. While Nepal has made efforts to counter these activities and assert its sovereignty, the country remains vulnerable to external influences. As global power dynamics continue to evolve, Nepal will need to navigate these challenges carefully to maintain its independence and stability in an increasingly complex international environment.
–The writer is a seasoned media professional with over three decades of experience in print, electronic, and web media. He is presently Editor of Taazakhabar News. The views expressed are of the writer and do not necessarily reflect the views of Raksha Anirveda
