Lying between Thibet and India is the independent state of Nepal, or Nepaul, the home of the Gurkhas, one of the finest fighting races in the world, and there are eighteen full regiments of them in the Indian army. The Gurkhas are a mountain people, industrious, temperate, hardy, brave, loyal, honest, and without sense of fear. They are the main dependence of the Indian government among the native troops. Nepal has its own government and the people are proud of their independence. While they are entirely friendly to Great Britain and have treaties with India under which the latter extends a protectorate over the province and enters into an offensive and defensive alliance, the Maharaja permits no British adviser to take part in his government and receives a representative of the viceroy only in the capacity of envoy or minister plenipotentiary. The latter dare not interfere with the administration of the government and never presumes to tender his advice to the native rulers unless it is asked. His duties are chiefly to keep the viceroy at Calcutta informed as to what is going on in the Nepal province and to cultivate the good will of the officials and the people.
There has never been a census of Nepal and the population has been variously estimated from 2,000,000 to 5,000,000. It is probably near the latter figure. The people are mostly engaged in raising cattle, sheep and goats and growing wheat, barley and other grains in the valleys. The principal exports, which amount to about $8,000,000 a year, are wool, hides and grain, and the imports, which amount to about $5,000,000, are cotton goods and other wearing apparel, iron and steel, cutlery and other manufactured merchandise.