Overview China is the biggest neighbor of South Asian countries and has age-old,historic,multi-dimensional,deep-rooted and enduring relationship with all member countries of SAARC.The long-standing ties of friendship between the two are underpinned by mutual trust and confidence.Mutuality of interest and growing economic relations mainly trade,investment and tourism are the latest trends.While at the levels of the government and the private sector,the relations have largely been problem-free,Chinese soft power has reached the grass-roots in South Asia.The Himalayas and the Indian Ocean are no longer barriers for increased to and fro interchanges.In fact,improved port connections,more roads,upgrade of border infrastructure and deepening political and trade relations are fast altering the whole gamut of China-South Asia relations.In this connection,it is a matter of pleasure for Nepal to have proposed China to be an Observer of SAARC during the 13th Summit held in Dhaka in 2005.