The Indian Neighbourhood Today #197, 14 August 2026
By Namrata L Ghanghatkar, Priyanka Makhijani, Siddhi Halyur, Sreemaya Nair, and Urja R Kudalkar

Nepal Opinion: Bikash Bhatt Chhetri, "Why Nepal’s new political darling is losing its spark," The Kathmandu Post, 14 August 2026
"The central idea of democracy is not to eliminate politics through expertise but to place expertise within political realms—subject to scrutiny, ideological and methodological orientation, accountability and public judgment. So, just in the name of ‘governance’, the impending issues on federalism, financial decentralisation, secularism, gender, inequality, informality, distribution, caste and social justice cannot be subdued. Though the RSP’s dream has seemingly become untrendy, these impending issues don’t easily erase themselves from public consciousness—the party has no excuses to ignore the writings on the walls."

Bangladesh: Dhaka and Kosovo explore government-to-government worker recruitment
On 14 August 2026, Dhaka Tribune reported that Bangladesh and Kosovo agreed to explore a government-to-government (G2G) mechanism for the transparent and orderly recruitment of Bangladeshi workers in Kosovo.  The understanding was reached during the second Foreign Office Consultations between the two countries in Prishtina. Both sides highlighted growing demand for labour mobility and stressed the need for a structured framework for the recruitment and employment of Bangladeshi workers. They also identified potential areas for cooperation, including trade, investment, education, agriculture, information and communication technology, tourism and people-to-people exchanges.  The two countries also discussed agreements on economic cooperation and avoidance of double taxation. Kosovo appreciated Bangladesh’s contribution to UN peacekeeping operations and supported Dhaka’s efforts for the safe, voluntary and dignified repatriation of Rohingyas to Myanmar. The next Foreign Office Consultations are scheduled to be held in Dhaka in 2027. 
(“Bangladesh, Kosovo eye G2G mechanism for worker recruitment,” Dhaka Tribune, 14 August 2026)

Sri Lanka: Reintroducing death penalty could jeopardise GSP+ trade status with the EU
On 14 August, Daily Mirror reported that the government’s proposal to reintroduce capital punishment could affect its ability to retain the GSP+ (Generalized System of Preferences Plus) trade facility with the European Union, which has traditionally opposed the death penalty. The decision was announced by the President’s Media Division after a meeting chaired by President Anura Kumara Dissanayake. The EU’s latest GSP+ review, covering 2023 to 2025, noted that courts continued handing down death sentences despite a de facto moratorium on executions since 1976, with the Ministry of Justice reporting 817 people on death row as of September 2025. The GSP+ scheme, introduced by the EU in 2005, offers zero tariffs on exports from vulnerable developing countries that ratify and implement 27 international conventions. The review found EU imports from Sri Lanka fell from EUR 3.2 billion in 2022 to EUR 2.6 billion in 2024, an average annual decline of 8.4 per cent, with new GSP+ regulations set to take effect next year, though current beneficiaries can apply under the revised criteria before 31 December 2028.
(“Sri Lanka to lose GSP + if death sentence implemented,” Daily Mirror, 14 August 2026)

Maldives: Government reports sharp rise in dollar disbursement under Muizzu
On 14 August, SunOnline reported that Economic Development, Transport and Trade Minister Mohamed Saeed said banks had disbursed significantly more US dollars under President Dr Mohamed Muizzu’s administration than during the previous government. According to government figures, average monthly dollar disbursement rose from USD 36.9 million in 2023 to USD 40.5 million in 2024 and USD 61.2 million in 2025. Between January and July 2026, the monthly average reached USD 81.2 million, a 120 per cent increase from 2023. Saeed said the government had also repaid USD 1.2 billion in debt. In April, it met USD 924 million in obligations, including a USD 500 million Sukuk and a USD 400 million currency swap with India. He said increased dollar availability supported business transfers, medical expenses, overseas education, pilgrimages and travel. The figures were released after an MDP protest over inflation and rising black-market exchange rates.
(“Saeed: MDP sprouting lies, banks have disbursed way more USD during current administration,” SunOnline, 14 August 2026)

Afghanistan: Tajikistan to formally protest against ongoing clashes in Badakhshan province
On 14 August, according to Afghanistan International, an alleged violation of Tajikistan’s airspace has sparked a formal protest. This happened during a fight in Afghanistan’s Badakhshan province. The Taliban administration was urged by Dushanbe to conduct a thorough investigation and to respect Tajikistan’s sovereignty. Residential properties were damaged, and civilians were killed. Among them was 21-year-old Yatimzoda Jasmina, who died after gunfire in Darvoz district. Tajik security and military agencies have opened an investigation into the incident. President Emomali Rahmon expressed condolences to Jasmina’s family and instructed authorities to provide financial assistance. This incident comes amid clashes between Taliban forces and commander Juma Khan Fateh’s loyal fighters in Nusay district in Afghanistan. 
(“Tajikistan Protests Airspace Violation, Demands Taliban Investigation Into Border Shooting,” Afghanistan International, 14 August 2026)

Pakistan: Makkah pact to include joint ministerial and military coordination mechanisms
On 13 August, Dawn reported that Türkiye's defence ministry announced that Pakistan, Türkiye, and Saudi Arabia would establish formal political and military coordination mechanisms under the Makkah Joint Defence Agreement signed on 07 August. The mechanisms would include meetings of the three countries' defence ministers, foreign ministers, and military chiefs, alongside joint military exercises and cooperation in defence industry production and technology sharing. Turkish President Recep Tayyip Erdo?an separately said the pact's vision was not limited to three countries, expressing hope that others would eventually join under its umbrella. Turkish Foreign Minister Hakan Fidan said Egypt was expected to join in the next stage, with only a few technical issues remaining.
("Pakistan, Turkiye, Saudi Arabia will form political, military mechanisms to coordinate under defence pact, Ankara says," Dawn, 13 August 2026)