This report analyzes the prospects and challenges of advancing economic integration within the BIMSTEC region, with a particular focus on Nepal’s strategic role as Chair. It outlines BIMSTEC’s significance as a bridge between South and Southeast Asia, emphasizing its potential to drive regional growth through cooperation in trade, investment, energy, connectivity, and poverty alleviation. Despite considerable opportunities arising from shared resources, cultural linkages, and geographic advantage, the report identifies key constraints including low intra-regional trade, inadequate connectivity, and persistent socio-economic vulnerabilities. It further highlights emerging transnational challenges such as climate change, energy insecurity, and cross-border crime. The report argues that Nepal must exercise proactive leadership by strengthening policy coordination, enhancing regional collaboration, and promoting institutional and infrastructural development. Ultimately, it underscores that effective economic integration under BIMSTEC is essential for achieving sustainable development and regional prosperity.
