Conference Booklet

Event Report:

On 9 July 2025, Nepal Institute For International Cooperation and Engagement (NIICE) held a high level Seminar at the Kathmandu Marriott hotel on the topic of “TERRORISM IN SOUTH ASIA: Challenges to Regional Peace and Security”. The seminar brought together senior political leaders, ministers, member of parliamentarians, security experts, academicians, and scholars which was attended by over 150 participants, including members of the diplomatic community, civil society, policymakers, security personnel, journalists, and academics. The session objective was to deliberate on the evolving threat of terrorism in the region and its implications for regional peace, cooperation and stability.

Key Speakers and Panellists:

• Sunil Bahadur Thapa, Former Minister of Industry of Nepal, Advisor to the President of Nepal.
• Hon Dr. Minendra Rijal, Former Minister of Defence of Nepal
• Hon. Shisir Khanal, Former Minister of Education of Nepal
• Hon. Chanda Chaudhary, Former Minister of Women, Children and Senior Citizen of Nepal
• Hon. NP Saud, Former Minister of Foreign Affairs and Minister of Irrigation of Nepal
• Dr. Purna Silwal retired Major General and security expert
• Prof. Dr. Meena Vaidya Malla
• Amb. Madhu Raman Acharya, Former Foreign Secretary of Nepal
• Dr. Shambhu Ram Simkhada, Former Diplomat and Professor at National Defence University
• Amb. Dr. Dinesh Bhattarai, Advisor to Former PM Sushil Koirala and Former Diplomat.
• Dr. Deepak Prakash Bhatt, Former Member of Parliament of Nepal
• Maj. Gen. Binoj Basnyat, (Retd.) Security Expert
• Apekshya Shah, Head of the Central Department of International Relations and Diplomacy, Tribhuvan University
• Brig. Gen. R.C. Khatry, (Retd.) Security Expert
• Chiran Jung Thapa, Security Expert

Welcome and Opening Remarks

The seminar commenced with opening remarks by Ms. Sumitra Karki, Director of the Nepal Institute for International Cooperation and Engagement (NIICE). Ms. Karki describes the seminar as an important dialogue on a pressing issue that affects not only Nepal but the entire South Asian region. She emphasized that terrorism and extremism continue to undermine peace, stability, and development, and pose challenges to regional cooperation.

She observed that these incidents not only inflicted tragic human loss but also strained regional relations and impeded initiatives such as SAARC by fostering mistrust among member states. Ms. Karki called on participants to view the seminar as more than a discussion as a step towards building a more peaceful, secure, and united South Asia, and urged all stakeholders to strengthen Nepal’s counter-terrorism preparedness and regional cooperation in combating extremism.

Following the welcome remarks, Dr. Pramod Jaiswal, Research Director at NIICE, delivered opening remarks. He argued that Pakistan’s strategy of fostering, training, and deploying jihadist groups is not new but deeply rooted in its history. He noted that the Inter-Services Intelligence (ISI) and Pakistan’s military have provided safe havens, financial and logistical support, and strategic guidance to terrorist groups such as Lashkar-e-Taiba (LeT), Jaish-e-Mohammed (JeM), and Harkat-ul-Mujahideen (HuM) all documented by the UN, U.S. State Department, and Financial Action Task Force (FATF).

Tracing the historical trajectory, Dr. Jaiswal highlighted Pakistan’s use of terrorism as a policy tool from the 1947 Partition through the Afghan conflict of the 1980s, the Kashmir insurgency of the 1990s, and the post-9/11 War on Terror. He notably characterized Pakistan’s three key enablers of terrorism as “Allah, America, and Army” reflecting the religious, international, and military dimensions that have supported this infrastructure over decades. Dr. Jaiswal pointed out that terrorism in the region has also stalled regional initiatives such as SAARC, as mistrust driven by cross-border terrorism has rendered dialogue and cooperation difficult. He cautioned that terrorism not only undermines regional peace but also risks radicalizing Nepali youth and destabilizing internal security. He warned of the escalating risks if terrorism continues unchecked, particularly given Pakistan’s status as a nuclear-armed state. He emphasized that it is imperative to stop terrorism now not only for the sake of regional peace and stability but also for the future of South Asia and beyond.

Major Remarks by Speakers

SESSION I Evolving Terrorism Landscape in South Asia and Implications for Nepal

Hon. Shisir Khanal

Shisir reflected on India’s swift and forceful response to the attack, including military and diplomatic measures, which while understandable, has escalated regional tensions. Hon. Khanal cautioned that such escalation creates a "balloon effect," displacing terrorist activity to softer, less secure areas leaving countries like Nepal, with its long and open border, more vulnerable as potential transit routes or staging points for terrorist elements. Hon. Khanal recounted Nepal’s immediate response to the Pahalgam attack, noting that the government strongly condemned the atrocity, expressed condolences to the victims, and committed not to allow Nepali soil to be used against any neighbor. He highlighted increased border patrols and joint operations with India’s Sashastra Seema Bal, as clear evidence of Nepal’s commitment.

However, he argued that while condemnation and immediate security measures are necessary, they are insufficient to tackle the deeper vulnerabilities. He identified several areas where Nepal must act decisively:

• Strengthening Border Management and Surveillance: Investing in technology, modernising checkpoints, and ensuring robust oversight of porous areas.
• Deepening Intelligence Sharing and Joint Operations with India: Establishing real-time intelligence hubs, conducting regular meetings and complex joint counter-terrorism drills.
• Countering Radicalisation and Extremist Financing: Monitoring foreign funding of religious institutions, addressing ideological penetration, and promoting inclusive development.
• Enhancing Legal and Procedural Frameworks: Reviewing and strengthening anti-terror laws, improving extradition processes, and bolstering anti-money laundering efforts.

Hon. Khanal and Hon. Chanda Chaudhary addressed crucial issues concerning terrorism and its implications for Nepal and South Asia. Khanal's emphasis on integrating socio-economic development with security measures is particularly noteworthy, highlighting the multifaceted approach needed to combat radicalization effectively.

He proposed that Nepal shift from a reactive to a proactive stance, adopting a “whole-of-society” approach that combines security measures with community resilience, development, and awareness.

Remarks by Hon. Chanda Chaudhary

Highlighting major incidents such as the Indian Parliament attack, the Mumbai attacks, and the recent tragic attack in Pahalgam, which claimed the lives of 26 people, including Nepali nationals; Chaudhary noted that terrorism transcends national borders, caste, and economic status, posing a serious threat to humanity as a whole.

She pointed out the underlying factors fueling terrorism in South Asia, including political instability, caste discrimination, and illegal financial activities. Stressing the importance of controlling black money and money laundering, she underscored that transnational terrorism can only be curbed through the strict regulation of illicit financial flows.

Given Nepal’s geopolitical position between India and China and its open borders, Chaudhary called for greater vigilance and modernization of Nepal’s security apparatus. She particularly advocated for enhanced cyber security and technological capacity among security agencies to tackle emerging threats.

Her remarks served as a call to action for regional cooperation, financial transparency, and strategic modernization in the face of evolving terrorist threats.

Remarks by Hon. N.P. Saud

Hon. N.P. Saud, former Minister of Foreign Affairs of Nepal, highlighted the urgent need for Nepal and regional powers to establish a clear and effective mechanism to combat terrorism. Stressing that terrorism affects everyone without distinction, he emphasized the importance of collective and coordinated regional action.

Saud cautioned that terrorism in South Asia is often used as a strategic tool; not only to inflict harm but also to demonstrate power. He pointed out that Nepal, due to its unique geographical location between two major powers, India and China, remains particularly vulnerable. He underscored the sensitive nature of Nepal's border with Tibet, a politically delicate region for China, and also noted the open and extensive border shared with India, which presents its own set of challenges.

He further emphasized that Nepal's foreign and security policies should clearly be addressed, particularly in the context of its geopolitical sensitivities.

Saud reflected on the deeper roots of terrorism; asking whether it stems from geography, religion, civilization, caste, or conflicts between civilizations. His remarks highlighted the need for deeper inquiry and understanding of the multifaceted nature of terrorism, as well as a unified regional response to the threat it poses.

Sunil Bahadur Thapa

Mr. Thapa, with insights from his long career at the UNHCR and as a Minister with various portfolios in the Nepal government, put forward his personal views on the matter of Challenges and Solutions to regional peace and security.

Mr. Thapa noted that South Asia has been a hotspot of terrorism due to socio-economic, cultural, historic and political circumstances of the region as a whole and of the individual countries. The main causes for the terrorism and insurgencies in the region are state sponsorship, ideological extremism, weak governance and porous borders. On a national level, Mr. Thapa noted the history of rebellions on Nepali soil including the Jhapa rebellion and the Tibetan independence movement. According to him, the Nepal Peace Process serves as an example of a successful multilateral conflict resolution and peace-building effort.

Nepal and India face unique security challenges due to their long open border, which while facilitating socio-economic cooperation also allows for movement of terrorists and of illegal items like drugs. There’s constant risk of Pakistani terror outfits like Jaish-e-Mohammed (JeM) and Lashkar-e-Taiba (LeT) making Nepal as their base to launch attacks on India. This has been previously demonstrated in the 1999 IC-914 airplane hijack and the 2008 Mumbai terror attacks. Nepal and India deal with the issues through the help of the 1953 extradition treaty and a Joint Working Group on the matter, but cooperation can be further increased on border security and surveillance technology. Fast-track extradition and joint investigation avenues can be explored according to Mr. Thapa.

While India carries a heavy focus on regional security due to its size, population and geopolitical rivalries, Mr. Thapa also highlighted the issues faced by other South Asian countries. He noted that BIMSTEC can play a role in building such a framework. Mr. Thapa noted that while individual countries need to deal with issues like poverty, socio-economic divide, corruption and weak governance to reduce threats to internal security, a multilateral regional cooperation framework is also needed for regional peace.

Dr Minendra Rijal

Dr. Minendra Rijal, a Nepali politician and current member of the House of Representatives, delivered a candid reflection on regional security dynamics, Nepal’s geopolitical positioning, and the broader implications of cross-border terrorism in South Asia. Drawing from his extensive experience as a politician and former ambassador, he highlighted the shifting nature of terrorism from institutional targets to civilian ones and the increased vulnerability of smaller states like Nepal. Dr. Rijal emphasized that terrorism must be understood within the broader geopolitical context, particularly the India-Pakistan relationship. He underlined Nepal’s critical bilateral engagement with India, citing shared borders, historical ties, and strategic interests. While also recognizing the importance of relations with China, Western countries, and other regional actors, he argued that cooperation with India—especially in intelligence sharing, border management, and capacity building—should be Nepal’s priority in addressing cross-border threats.

He cautioned that Nepal’s traditional non-aligned and neutral posture is no longer sufficient in the face of emerging security risks. Instead, he called for a more “scientific” and robust national response, noting that Nepal’s open borders and limited institutional capacity heighten its susceptibility to external shocks. Concluding on a cautiously optimistic note, Dr. Rijal urged Nepal to persist in advocating for peace and regional cooperation. While acknowledging Nepal’s limited influence in resolving regional rivalries, he stressed the importance of asserting its voice and adapting to the prevailing geopolitical realities in the best interest of its people.

Session 2: Cross-Border Terrorism and the Geopolitics of Extremism in South Asia

Maj. Gen. Purna Silwal:

 In the opening remarks for the second session, Silwal discussed terrorism in South Asia. “South Asia is the region most affected by terrorism. The Global Terrorism Index (GTI) consistently indicates that South Asia experiences high impacts of terrorism. Among the top 15 most affected by terrorism, 4 of them are in this region. India has never experienced such cross border terrorism as Pahalgam. Cross border terrorism is shaping up the security environment today. Geopolitical terrorism and Cross border terrorism has an extremely complicated relationship. Pahalgam attacks and Pakistan’s counter terrorism has put South Asia into a situation of new normal. India’s stance is now “any act of terror is an act of war” Combatting cross border terrorism is an uphill task. This region lacks a proper institution to combat terrorism.

Prof. Dr. Meena Vaidya Malla

Professor Malla suggested that addressing the deepening nexus between geopolitics and terrorism in South Asia is vital for regional peace and security. She emphasized that all state and non-state actors sponsoring terrorism must be held accountable. She highlighted the importance of understanding this nexus to develop effective counter-terrorism strategies. Additionally, she stressed that inclusive governance and community development initiatives are crucial to reduce reliance on extremist networks and combat terrorism. Finally, she called for collaboration among South Asian states to tackle these regional challenges, which also pose global threats.

Amb. Madhu Raman Acharya

Ambassador Acharya suggested that Nepal must unequivocally condemn terrorism to the fullest extent and implement strong measures to counter it. He emphasized that terrorism cannot be solved by military means alone and highlighted the need for a robust security system, especially given Nepal’s open border with India. He stressed the importance of addressing politically motivated violent acts firmly to prevent them from damaging Nepal’s relationships with neighboring countries and to counter the attempts of terrorists to internationalize local issues.

 Dr. Shambhu Ram Shimkhada

Simkhada suggested that terrorism in all its forms must be firmly condemned. She emphasized the need to strengthen regional cooperation, especially within SAARC, to effectively address cross-border terrorism, as no single country can handle such transnational issues alone. She pointed out that despite existing agreements, SAARC’s leadership has often avoided taking responsibility, hindering progress. Simkhada highlighted that South Asia should learn from the European Union’s regional cooperation model to prevent conflict and tackle terrorism, which she identified as a problem rooted in ideology and intellectualism.

Amb. Dr. Dinesh Bhattarai

Amb. Dr. Dinesh Bhattarai, Advisor to Former PM Sushil Koirala and Former Diplomat provided a historical overview of terrorism in South Asia, tracing its roots to the 1970s with the Indo-Pak war that led to the creation of Bangladesh, and the Soviet Union's invasion of Afghanistan. Bhattarai highlighted how these events laid the groundwork for transnational militancy in the region. Reflecting on the global shift post-9/11, Bhattarai noted how the attacks reshaped international security frameworks. Citing Benazir Bhutto, Bhattarai also referenced the role of the CIA in shaping the security dynamics of Central Asia, underscoring the long-term consequences of external interventions.

Session  3 Panel Discussion: Terrorism in South Asia: Regional Implications and Policy Responses

The panel discussion brought together distinguished experts who shared diverse perspectives on terrorism, regional security, and policy responses, offering both analytical and strategic insights.

Dr. Deepak Prakash Bhatt

Dr. Deepak Prakash Bhatt suggested that regional engagement is essential to effectively address the underlying issues of terrorism and conflict in South Asia. He emphasized the need to improve regional connectivity, highlighting that South Asia is one of the least connected subregions in the world. Dr. Bhatt called for addressing structural and cultural challenges to integration and criticized the ineffectiveness of international mechanisms like UN Resolution 1267. He stressed the importance of considering broader dimensions such as economic and environmental security, arguing that international efforts alone are insufficient without strong regional cooperation.

Major General Binoj Basnyat

Major General Basnyat provided a geopolitical analysis of terrorism in South Asia, framing it within the historical and strategic alignments of the region. He argued that the definitions of terrorism are often shaped by national interests and observed that South Asia has long been a theater for influence — from the Cold War to the present-day global reset. He noted that Pakistan’s prolonged military rule reflects a strategic trap shaped by its Cold War alignment with the Western bloc and its subsequent entanglements.

Major Basnyat also proposed a geographic framing of the region, dividing it into zones such as Pakistan–Afghanistan, the Eastern Himalayas (including Nepal and Bhutan), Arunachal Pradesh–Bangladesh, Myanmar, and the Bay of Bengal. He noted that while both Pakistan and India seek to project their efforts against terrorism as effective, the engagement of external powers continues to shape the internal politics of both countries.

Ms. Apekshya Shah

Ms. Shah advanced a novel strategy for countering terrorism at the grassroots level, beginning in the classroom. She argued that “hard power approaches address immediate security threats but fail to tackle deeper issues.” She called for incorporating critical thinking into education, training teachers to identify signs of radicalization, and combating misinformation through educational reform. Ms. Shah emphasized the often-overlooked role of women in counter-terrorism efforts, noting that women’s perspectives are marginalized in male-dominated security environments. She also stressed the need to address poverty and marginalization as root causes of radicalization and advocated for strengthening Nepal’s domestic intelligence capabilities, which currently depend excessively on foreign intelligence services.

Brigadier General R.C. Khatry

Brigadier General Khatry said that most of the Terror Groups are being mobilized as “force multipliers” in lieu of direct conventional military operations. He explained that there are mainly five factors: firstly - Assessment of Strategic Depth Doctrine; secondly - Mandates of Inter-Services Intelligence (ISI); thirdly -  Strategic Objectives of ISI; fourthly - assessment of political and military commander's speech and lastly - International Validation which indicate the direct and indirect involvement of Pakistan’s military and intelligence agencies (ISI) in shielding extremist groups against India.

In reference to Operation Sindoor, Brig. Gen. Khatry highlighted the coordinated, precise, calibrated and non-escalatory efforts undertaken to counter terrorist networks which demonstrated India’s firm national intent to identify, track, and punish terrorists and their backers, especially those receiving state support. He also said that India applied strategic rules of engagement by operating with calibrated force, minimal civilian harm, legal compliance, and below nuclear escalation threshold, maintaining moral and strategic legitimacy. As per Gen Khatry, the operation reaffirmed mainly three national standpoints as: “No compromise on sovereignty,” "Zero-Tolerance against Cross-Border Terrorism with smart retaliation" and "Terror and Talks can not go together". He also focussed that the operation sent a resolute message to adversaries about India’s new strategic red lines by redefining India's national security doctrine—declaring state-sponsored terrorism as an act of war which will be treated with a swift and proportionate response, irrespective of borders or diplomatic complexities.

Mr. Chiran Jung Thapa

Mr. Thapa discussed the low — but not negligible — risk of terrorists gaining access to nuclear weapons, noting that U.S. oversight of Pakistan’s nuclear arsenal provides some assurance but remains a concern. He cautioned against accepting power-driven narratives at face value, arguing that “terrorists are temporary, but terrorism is not,” and pointing out the fluidity of labels — citing examples such as Nelson Mandela and the Syrian president, both of whom were once designated as terrorists but later became recognized leaders. Mr. Thapa urged a more critical examination of the forces shaping terrorism and counter-terrorism efforts globally.

Conclusion

In nutshell, this seminar collectively emphasized that terrorism in the region is a deeply entrenched, transnational threat fueled by state sponsorship, ideological extremism, porous borders, and geopolitical rivalries. The discussions underscored that Nepal, due to its geographic vulnerabilities and limited institutional capacity, must adopt a more proactive, whole-of-society approach—strengthening intelligence, legal frameworks, and regional partnerships, particularly with India and China. Speakers highlighted that military responses alone are insufficient; instead, a broader strategy involving inclusive governance, financial transparency, educational reform, and regional cooperation is essential. The seminar concluded with a strong call for South Asia to move beyond reactive postures and mistrust, and work collaboratively to build sustainable peace and collective security in the face of an evolving terrorist threat.