While about 86 percent of Nepalis practice Hinduism, Nepal holds a special significance in the Buddhist world as the birth place of Buddha. Due to its physical and cultural proximity to India, Nepalese culture incorporates a Hindu-Buddhist value system that includes belief in karma, reincarnation, samsara and puja ritual.

Click here for a link to Professor Lewis' powerpoint presentation on Hinduism and Buddhism in the Kathmandy Valley.

Nepalese monarchy claimed connection to the Hindu god, Vishnu to legitimize its power. The Rana rulers (1846-1950), practiced aggressive Hindu nationalism, including Hindu law. Despite changes to its political organization, India continues to be Nepal's major trading partner and ties its currency to the Indian rupee. India has long regarded Nepal as a buffer against China.

Click here for a general outline on Himalayan State Formation from Professor Lewis.

Though China has played a relatively minor role in Nepal until recently, this is beginning to change with the rise of Maoist movement in Nepal.

Click on the photo to watch a documentary about the Maoist movement in Nepal.