Nepal's central bank has announced that it will issue a new one-rupee coin featuring the country's revised political map, including the disputed territories of Limpiyadhura, Lipulekh and Kalapani, a move that is likely to revive a long-running boundary dispute with India.

The Nepal Rastra Bank (NRB) confirmed that the redesigned coin will retain the controversial map despite recent reports suggesting the image would be replaced with a Buddhist monastery.

Central Bank Confirms New Coin Design

According to PTI, NRB spokesperson Guru Prasad Paudel said the central bank would proceed with minting the new one-rupee coin.

"NRB has not officially received the new design of the coin, but we are sure it will feature the map. We will issue the new one-rupee coin. However, its size and metal will be changed, making it smaller and lighter than the previous one," Paudel said.

The redesigned coin will reportedly be smaller, lighter and produced using steel, replacing the earlier mixed-metal version.

Reported Reversal by Nepal Government

The announcement comes after reports that the Nepal government, led by Prime Minister Balendra "Balen" Shah, had initially approved replacing the map with an image of the Lo Ghyakar Monastery in Mustang district—one of Nepal's oldest Buddhist monasteries.

However, media reports indicate that the government later decided to retain the political map following criticism from opposition parties and sections of the public.

The Nepalese government has not officially detailed the reasons behind the reported change in decision.

Long-Standing Territorial Dispute

The dispute centres on the Limpiyadhura, Lipulekh and Kalapani region near the India-Nepal-China tri-junction in Uttarakhand's Pithoragarh district.

Nepal incorporated the disputed territory into its official political map in May 2020 under the government of then Prime Minister K. P. Sharma Oli, prompting strong objections from India.

Kathmandu argues that, under its interpretation of the 1816 Sugauli Treaty, the Kali (Mahakali) River originates from Limpiyadhura, placing the disputed territory within Nepal.

India, however, maintains that the river originates near Kalapani and considers all three areas an integral part of Uttarakhand. New Delhi also points out that it has exercised administrative control over the region for decades, with the Indo-Tibetan Border Police (ITBP) maintaining a security presence there since the 1962 India-China war.

Timing Draws Attention

The development comes at a time when India and Nepal have been working to strengthen bilateral ties through greater cooperation in trade, connectivity, energy and cross-border infrastructure projects.

Observers note that symbolic issues such as maps and territorial claims have periodically affected relations between the two neighbours, even as both governments continue diplomatic engagement on economic and strategic cooperation.

While the coin's design carries symbolic significance, there has been no immediate official response from the Indian government regarding the latest announcement.