China's economic influence in Nepal continues to grow at a healthy pace. China topped the list of countries bringing maximum FDI (Foreign Direct Investment) into the Himalayan kingdom for the second successive year, according to the latest data released by Nepal's Department of Industry.

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As per the data, China contributed a whopping 68 percent to the total FDI it pledged for the Himalayan country during the financial year. This is approximately $51.77 million out of a total of $76.39 million pledged as FDI, accounting for an impressive 40 percent jump in the Chinese investment.

Chinese state media Xinhua said on Sunday that the total FDI pledged for Nepal in the same period during the previous financial year was merely $59,93 million, when the country was facing hardship due to economic blockade imposed by neighbouring India.

Nonetheless, China managed to top the list with a commitment of $57 million, while India came in third with $18 million. Nepal managed to garner approximately $140 million as FDI for the full 2015-16 financial year.

Apart from India and China, the Nepalese government counts the US, UK, Japan, and Switzerland among the top foreign investors in the country.

Beijing, over the years, has increased its focus on Nepal, as it seeks to take advantage of recent strains developed between Kathmandu and New Delhi. The Himalayan kingdom poses yet another opportunity for China to cement its influence further in the South Asian region. However, an alert India is keeping a tab on the Sino-Nepal relationship.

In a major setback for Chinese government, Nepal's new Prime Minister Pushpa Kamal Dahal chose India over China for his first foreign visit in September last year. The move immediately resulted in Chinese President Xi Jinping cancelling his high-profile visit to Nepal in the following month.

For India, Nepal is its closest ally in South Asian region and conceding such a close ally to its regional rival would be a huge diplomatic loss.

Beijing is solely reliant on its traditional ally Pakistan to create an economic footprint in the South Asian region. The Asian giant has announced big investments in other South Asian countries like Bangladesh and Sri Lanka, but these Chinese investment has come under attack from political groups and social organization.

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