Nepal-Tibet Treaty of 1856 — Annual Tribute After Nepal-Tibet War

What happened

Nepal won a war against Tibet in 1855-56. As part of the peace deal, Tibet agreed to pay Nepal money every year and give Nepali traders special rights in Lhasa, Tibet's capital. These payments continued for nearly 100 years until China took control of Tibet in 1950.

Full Verified Record

The Nepal-Tibet Treaty of 1856 (also known as the Thapathali Treaty) ended a war between Nepal and Tibet that lasted from 1855 to 1856. Nepal won decisively. The treaty granted Nepal significant concessions: (1) Tibet agreed to pay Nepal an annual tribute of 10,000 Nepalese rupees, (2) Nepali traders in Tibet received extraterritorial privileges — tax-free trading rights in Lhasa and other Tibetan towns, (3) Nepal retained the right to station a resident official in Lhasa. Tibet maintained these payments until China absorbed Tibet in 1950, after which the obligations lapsed. The treaty established Nepal as a regional power capable of projecting force northward.

१८५६ को नेपाल-तिब्बत सन्धिले नेपाल-तिब्बत युद्ध समाप्त गर्यो। तिब्बतले नेपाललाई वार्षिक शुल्क दिन र नेपाली व्यापारीहरूलाई ल्हासामा विशेष अधिकार दिन सहमत भयो।

Why it mattered

The treaty established Nepal as a trading intermediary between India and Tibet — a role that generated significant revenue for the Rana regime. The extraterritorial trading rights gave Nepal economic advantages that lasted until 1950. The loss of these rights when China absorbed Tibet was a significant economic setback for Nepal's merchant class.