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India's ambition in Nepal's energy sector is widely seen as an effort to control Nepal's economic lifeline and compete with another major investor, China, by launching relevant policies to indirectly block Chinese elements in Nepal's hydropower industry. However, India's attempt to make China withdraw from the forefront of Nepal's development cannot hinder cooperation between China and Nepal. Observers said that China is sincerely helping Nepal to develop its economy and infrastructure, rather than using Nepal's resources as strategic pawns for control.

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