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Context
Northern Face of Mt. Sagarmatha (Mt. Chomolungma)
Nepal is situated between the People's Republic of China (PRC) and the Republic of India (RoI) with her territory extending from South to Central Asian regions. Relations between the people of Nepal and people of its northern neighbor, China are ancient, dating back to more than two thousand years. These very old relations are time tested and have proven themselves to be durable. The common mountains and rivers are manifestations of the age-old natural links between the two countries. The bilateral ties, ranging from the intimate cultural, historical, social and spiritual links, have been continuously nurtured and promoted by Buddhism, which itself was expounded by Shakyamuni Gautam Buddha, who was born in 623 B.C. in Lumbini, a township in Rupendehi district of Nepal. Master Buddhabhadra (Fótuó-bátuóluó or Chwesian 359-429 A.D.), Princess Bhrikuti (Khir-btsun 617-649 A.D.), Architect Arniko (A-ni-ka 1245-1306 A.D.) from Nepal; and Wenshu (Manjushri), Master Monks Fa Xian (360-430 A.D.) and Xuan Zang (602-664 A.D.) and Tibetan King Sron-btsan Gampo (617-649 A.D.) from China have all contributed in the dissemination of Nepal's Buddhist spiritualism throughout China. Nepali people; a number of them coming from Central Asia via Kashgar in China's Xinjiang Uygur Autonomous Region, and particularly Kirat, Sherpa, Tamang, Magar, Gurung and Newa from eastern, central and western mountain environs of Nepal; have kinship ties and been conducting cultural and trade interactions with China's Tibet region for centuries through the world's highest mountain passes.

This type of an unbroken cultivation of ancient bilateral relations between China and Nepal received further impetus in the contemporary era. This was attained with the political-economic infrastructural depth and dimension provided by road, air, telecommunications and railway linkages after the founding of the PRC in 1949 and the PRC's West China Development Strategy being implemented with unprecedented vigor since 1999. Since comprehensive and systematic reforms and modernization initiatives have catapulted the PRC to a very important position in the world comity of nations, her proactive role in the international arena as a permanent member of the UN Security Council has made her more responsible towards maintaining international peace and security and upholding national independence in all parts of the world. In order to comprehensively work towards regional and international peace and development, it is only natural for the PRC to remain actively engaged in several international and regional forums such as the Shanghai Cooperation Organization (SCO), Boao Forum for Asia and the International Centre for Integrated Mountain Development (ICIMOD). Further, the PRC has received an observer status in the South Asian Association for Regional Cooperation (SAARC). On its part Nepal has been a member of SARRC and ICIMOD. It has been associated with Boao Forum for Asia since the Forum's inception and has shown interest to join SCO process for energy security.

Karnali River outside Muchu, Nepal
In the context of such a rich and varied historic and natural engagement between Nepal and China, a group of 12 Nepali intellectuals envisioned the establishment and promotion of an organization in Nepal which would be focused specifically on China affairs and collaborative neighborly relations between Nepal and China. This group had Mr. Madan Regmi as the group convener and Dr. Upendra Gautam, Dr. Binayak Bhadra, Dr. Saroj Dhital, Mr. Krishna Silwal, Prof. Dr. (late) Ballav Mani Dahal, Mr. (late) Chakradas Rajbhandari, Mr. Tamla Ukyab, Mr. Gobinda Bhatta, Mr. Sundar Nath Bhattarai, Prof. Bishweshor Man Shrestha and Prof. Ganga Prasad Uprety as group members. The group designated the organization as China Study Center (CSC), which, in September 2006, was supplemented with "Nepal" to express its geo-political locational identity. This group of intellectuals legally registered the organization with the Home Ministry of Nepal on 11 May, 1999 as a non-partisan, non-profit, non-governmental organization under the Association Registration Act 2034.