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Based on author’s long observations and studies of Nepali politics and foreign policy , especially its responses to the changing dynamics of geo-politics, this collection of articles try to reflect on the multiple challenges faced by Nepal . In one sense, a lot of changes are taking place in transforming Nepali society, economy and politics, in another sense, all these developments are paradoxically superfluous because of lack of institutionalization, political stability and minimum consensus needed on crucial areas of development. The context of domestic politics in Nepal’s relations with its two immediate neighbours—China and India- and occasional stresses and strains produced by the inability of political leadership to modulate relations is an important aspect of this collection. Every article has tried to bring this aspect in great focus in order to impress on the readers that good domestic environment alone can work as a guarantee to good neighbourly relations. Stress of both China and India on peace, stability and development conveys a good message for Nepali political leaders and for all those who want to see prosperous, stable and democratic Nepal.