A major international conference in Kathmandu, hosted by NIICE, has called for a united South Asian response to terrorism, spotlighting Pakistan-based terror groups and the urgent need for regional cooperation to tackle extremism, cross-border threats, and illicit financing.
Terrorism as State Policy
A high-level international conference hosted by the Nepal Institute for International Cooperation and Engagement (NIICE) in Kathmandu has brought into sharp focus the growing threat of terrorism in South Asia and the urgent need for a coordinated regional response. Titled “Terrorism in South Asia: Challenges to Regional Peace and Security,” the conference saw the participation of prominent former ministers, diplomats, military officials and policy experts from across South Asia, including India, Nepal, Bangladesh, Bhutan, Sri Lanka and Afghanistan.
The gathering, attended by over 150 delegates, became a timely platform for addressing shared concerns about extremist violence, the exploitation of cross-border vulnerabilities and the destabilising role of Pakistan-based terror outfits. With terrorism increasingly recognised not just as a security issue but a roadblock to regional economic growth and integration, the Kathmandu conference delivered a clear message: ‘No South Asian nation can afford to face this challenge alone’.
Throughout the two-day event, speakers expressed deep concern over the continued presence and operations of terrorist organisations like Lashkar-e-Taiba (LeT) and Jaish-e-Mohammed (JeM), which are widely known to operate with tacit or direct support from elements within Pakistan’s military and intelligence establishment. Several delegates warned that these groups are actively seeking to exploit Nepal’s open border with India, using it as a transit route to infiltrate Indian territory, smuggle arms, launder money and regroup.
Former Industry Minister of Nepal, Sunil Bahadur Thapa, was especially vocal in emphasising that while Nepal has no tolerance for extremism, its geographical position makes it a potential target for infiltration by terrorist operatives. He urged enhanced bilateral coordination with India and stronger surveillance mechanisms to monitor the border regions more effectively.
Dr. Pramod Jaiswal, Research Director at NIICE, directly addressed the root of the regional instability, naming Pakistan as the "Epicentre of terrorism in South Asia." He cited decades of documented cases in which the Pakistani state has either sheltered, trained, or financed extremist groups, particularly those targeting Indian civilians and security forces. He also referred to recent statements by senior Pakistani officials themselves, who admitted that terrorism was once considered a strategic asset by the country’s establishment.
This, according to Dr. Jaiswal, has not only undermined bilateral relations between India and Pakistan but has paralysed broader multilateral frameworks such as SAARC, which remains largely non-functional due to Pakistan’s intransigence and its repeated attempts to derail regional cooperation.
Other speakers highlighted how terrorism’s effects go far beyond traditional notions of national security. Dr. Minendra Rijal, former Defence Minister of Nepal, explained that acts of terrorism, such as the brutal Pahalgam attack in India’s Jammu and Kashmir earlier this year, carry spillover risks for neighbouring countries.
The fact that one of the victims of that attack was a Nepali national highlighted the transnational nature of terrorism and the need for collaborative security mechanisms. Similarly, Ambassador Madhu Raman Acharya and retired Major General Purna Silwal warned that inconsistent policies and selective outrage towards terrorism weaken the moral and strategic standing of the region. They emphasised the need for a uniform, zero-tolerance doctrine across all South Asian countries, without political exceptions.
Several participants also addressed the economic cost of terrorism in South Asia. Terror attacks not only deter foreign investment but also disrupt critical sectors like tourism, trade, and infrastructure development. MP Chanda Chaudhary spoke of how money laundering and illegal cross-border financing have grown into sophisticated networks that sustain terrorism and extremism.
These illicit financial flows, often linked to Pakistan-based entities, also compromise national institutions and public trust. The overall consensus was that combating terrorism must also involve tracking and cutting off these financial channels—requiring cooperation between intelligence agencies, financial regulators, and cybersecurity experts across the region.
The conference ended with a clear call to build a new and better system for regional security. Among the key proposals was the formation of a South Asian counter-terrorism task force that could facilitate real-time intelligence sharing, coordinate joint training exercises, and assist in standardising counter-terrorism protocols across borders.
India and Nepal were especially encouraged to take the lead in this initiative, given their close proximity, historical ties, and shared vulnerabilities. Nepal’s strategic location, coupled with India’s counter-terrorism expertise, makes their collaboration essential in preventing militant infiltration and radicalisation in the Himalayan region and beyond.
The NIICE conference in Kathmandu served as a powerful reminder that terrorism remains one of the most formidable barriers to peace, prosperity and integration in South Asia. While the region faces numerous challenges- from economic disparities to climate threats- none are as persistently disruptive or deliberately orchestrated as the threat of cross-border terrorism.
The role of Pakistan based groups in orchestrating and exporting terror was not only acknowledged but condemned in clear terms by multiple delegates, who emphasised that these networks continue to operate under the protection or indifference of the Pakistani state. This ongoing threat has not only destabilised India but has also endangered neighbouring countries like Nepal, which risk being drawn into a conflict not of their making.
(Aritra Banerjee is a defence and strategic affairs columnist)
