A Nepali parliamentary committee's investigation uncovered significant irregularities and corruption in the construction of Pokhara International Airport, a $216 million project undertaken by China CAMC Engineering Co. The report details how the Chinese contractor failed to meet contractual obligations, including tax evasion, incomplete work, and use of substandard materials.
The inquiry highlights the role of corruption and insufficient oversight by Nepali officials and lawmakers in enabling CAMC's actions. The Civil Aviation Authority's reluctance to challenge Beijing's interests exacerbated the issues.
The airport, funded by a 20-year loan from the Export-Import Bank of China, has become a financial burden for Nepal. The project's failure to meet passenger projections and the looming loan repayment create significant economic challenges.
Pokhara International Airport serves as a cautionary tale about the risks associated with accepting large infrastructure loans from China. The situation underscores the need for greater transparency and stricter oversight in future projects to avoid similar outcomes.