Insurers unable to meet big insurance claims, seek support from reinsurers

Kathmandu, Sept. 14

Non-life insurance companies have expressed their inability to immediately settle large insurance claims arising from physical and other damages caused during the recent protests.

According to the insurers, they can promptly pay out small claims, but in the case of larger claims, reinsurers will need to provide advance payments in order to facilitate liquidity management.

At a discussion organised by the Nepal Insurance Authority (NIA) on Sunday regarding the impact of physical and other damages on the insurance sector during the protests, chief executive officers of non-life and reinsurance companies have said that they will not be in a position to settle the large claims immediately.

While the damage assessment work is underway, the damage to the property and business is estimated at hundreds of billions of rupees. Tourism sector alone has witnessed a loss of about Rs. 25 billion, according to the industry experts.

Hundreds of government structures including federal and provincial ministries, parliaments, local bodies and ward offices, houses of leaders, hotels, cable cars, business complexes and supermarkets were vandalised and torched. Hundreds of government-owned and private vehicles were vandalised and torched.

There are 14 non-life insurance and two reinsurance companies and 1,249 surveyors in Nepal.

According to a statement of the NIA, the CEOs said survey reports could not be obtained in cases where physical property was completely destroyed during the protests due to exceptional circumstances.

Since ward offices and police stations have also been damaged, it has become difficult to obtain official recommendations, so the insurers have demanded that claim settlements be arranged on the basis of minimal documentation.

Similarly, CEOs of reinsurance companies stressed that data must be reliable when insurers make reinsurance proposals. They assured their readiness to provide necessary support in matter of claim settlements.

Meanwhile, the authority is introducing simplified procedures for claim settlements in cases of losses caused by non-natural disasters. It has therefore requested CEOs of insurers and reinsurers to provide feedback and suggestions within three days.

Sushil Dev Subedi, Executive Director of the NIA, directed insurers to ensure that the public remains confident that insurance claims are payable once insurance is purchased. He instructed the companies to appoint focal persons for data collection and to facilitate claim settlements, and to make this information publicly available.

He further instructed insurers to promptly inform policyholders if they become aware of damages to insured property or assets, and to take initiatives to advance the claim settlement process accordingly.

In another discussion, the Insurance Surveyors’ Association called for arrangements to submit survey reports on the basis of minimal documentation, taking into account the current difficult situation, and demanded that surveyors be given easy access to damaged sites.

They also stressed that survey work should be allocated proportionately and that surveyors should be made more accountable.

In response, Executive Director Subedi clarified that surveyors can continue to work effectively even under current circumstances based on the licences they have obtained.

 Published in The Rising Nepal daily on 15 September 2025.   

China, United States congratulate PM Karki

Kathmandu, Sept. 14

China and the United States of America have congratulated Prime Minister Sushila Karki.

In a statement, the Embassy of the USA in Kathmandu said that the USA looks forward to working with the interim government in the months ahead as it prepares for new elections.

"We welcome the restoration of calm and a peaceful resolution following last week’s tragic events. We commend President Ramchandra Paudel and youth leaders for their commitment to a democratic solution, even as we continue to mourn with Nepal over its losses," read the statement.

The USA also said that it recognises the Nepali Army and Chief of Army Staff General Ashok Raj Sigdel for their vital role in restoring order and facilitating a peaceful transition of civilian government.

Likewise, China congratulated PM Karki on becoming the Prime Minister of Nepal's interim government

Spokesperson of the Chinese Foreign Ministry said on Sunday that China respects the development path chosen independently by the people of Nepal.

"China stands ready to work with Nepal to promote the Five Principles of Peaceful Coexistence, enhance exchanges and cooperation in various fields, and further advance bilateral relations," said the spokesperson. 

 Published in The Rising Nepal daily on 15 September 2025.   

Neighbouring countries, UK and UN welcome Karki’s appointment

Kathmandu, Sept. 13

Neighbouring countries India, Bangladesh and Pakistan, and the United Kingdom, and the United Nations have welcomed the appointment of Sushila Karki as the Prime Minister of Nepal’s Interim Government, expressing hope that her leadership will bring stability and progress to the country.

Indian Prime Minister Narendra Modi was swift to acknowledge the formation of the new government. Immediately after the announcement of the new PM on Friday evening, he affirmed that New Delhi remains committed to Nepal’s peace, progress and prosperity.

India’s Ministry of External Affairs followed with a statement stating that the formation of the interim government was a positive step towards strengthening peace and stability. The statement added that India would continue close cooperation with Nepal as a neighbour, trusted partner and long-term development ally.

Likewise, the United Kingdom also issued a message on Friday evening, saying that it looked forward to working with Nepal’s new leadership on common priorities. According to the statement issued by the British Embassy in Kathmandu, the appointment of Karki – former Chief Justice – is an important step after last week's events, including the heartbreaking loss of life, injuries and damage to property.

"As Nepal's oldest friend, we recognise the challenges ahead and affirm our commitment to supporting Nepali aspirations for accountability and inclusive governance," read the statement.

The United Nations in Nepal echoed similar sentiments, underscoring the importance of a stable transition that ensures peace, development and democratic governance.

UN Resident Coordinator in Nepal, Hanaa Singer Hamdy, in a statement, congratulated the newly appointed PM and people of the country and affirmed support to peace, justice, transparency, accountability and progress.

The UN also recognised the contributions of President Ramchandra Paudel, Chief of Nepali Army General Ashok Raj Sigdel, Gen Z youth leaders for making the transition possible.

Similarly, Chief Advisor to the Bangladesh's interim government, Dr. Mohammad Yunus expressed confidence that under the leadership and guidance of Karki, Nepal and its resilient people will continue to progress on the path of peace, development and stability.

He noted that Nepal and Bangladesh share historical ties and complementary economic interests, particularly in trade, connectivity and energy exchange, and expressed confidence that the interim administration would continue to build on those areas.

Pakistani Prime Minister Shahbaz Sharif, in a tweet, congratulated PM Karki and wished for a peaceful and prosperous future to people of Nepal. "I look forward to working with her to further strengthen Pakistan-Nepal relations," he said.

Earlier, on Friday, the envoys of United States and China to Nepal attended PM Karki's sworn-in ceremony. 

 Published in The Rising Nepal daily on 14 September 2025.   

NBI wishes successful tenure for interim government

 Kathmandu, Sept. 13

National Business Initiative (NBI) wished for a successful and historic tenure of the interim government led by Sushila Karki. It said that it is ready to cooperate for the country’s prosperity.

“Amidst the current political changes and social movements, the private sector is committed to working with the government to promote economic stability, create employment, and encourage entrepreneurship,” it said in a statement.

It also expressed optimism that collective efforts will lead the country towards prosperity and social harmony.

According to it, the recent youth movement has brought to light the country's democratic consciousness, youth participation, and expectations for social justice.

“We believe that the newly formed cabinet will listen to the voice of the people, address the aspirations of the youth, ensure an end to corruption and promote good governance, create an environment that fosters inclusive and sustainable economic development, and successfully conclude the upcoming parliamentary elections,” read the statement. 

 Published in The Rising Nepal daily on 14 September 2025.   

NRB Governor Paudel meets businesspersons

Kathmandu, Sept. 12

 Governor of Nepal Rastra Bank (NRB), Dr. Bishwa Nath Poudel, held discussions with the private sector on Friday to devise future course for the business and economy.  

In order to gather suggestions on how to revive the economic activities disrupted during the protests, Governor Poudel held separate meetings with the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Confederation of Nepalese Industries (CNI), Nepal Chamber of Commerce (NCC), and umbrella organisations of banks and financial institutions.

Participants of the meetings said the discussions focused on how to resume economic activities through restructuring and reconstruction of the damage caused during the demonstrations.

They said that the governor expressed concerns about the financial facilitation to the businesses bearing damages during the protests and minimising the risk factors.

 Published in The Rising Nepal daily on 13 September 2025.   

Ghar Nirman to volunteer in rebuilding

 Kathmandu, Sept. 12

Ghar Nirman Foundation has announced a nationwide campaign to repair and rebuild damaged structures. Partnering with Skill Sewa Pvt. Ltd., the Foundation aims to mobilise skilled workers and resources as volunteers to restore essential public facilities to full operation.

“This is not just about repairs – it is about rebuilding the nation,” said directors Mahesh Timilsina, Satakshi Mishra and Prashant Pradhan, who are jointly leading the initiative. “We will deploy our full expertise and manpower to ensure hospitals, police stations, government offices and NGOs are brought back into service as quickly as possible.”

In a statement, the Foundation pledged comprehensive restoration services, ranging from electrical and plumbing repairs to security systems, carpentry, furniture and structural renovation. “We have the skilled workforce for every aspect of this work. Our mission is to serve the nation by applying our experience and manpower where it is needed most,” said the company.

Hospitals, police posts and government offices suffered structural losses during the recent protests led by GenZ, leaving daily life for many citizens affected. Authorities have warned that delays in restoring these facilities could obstruct critical public services nationwide, read the statement.

Appealing directly to government institutions, the Foundation urged relevant to tell their need to the company. “Our team is ready to carry out assessments and repairs without delay,” it said.

The directors stressed the symbolic importance of the damaged structures. “These buildings are not just bricks and mortar. They represent public service, people’s trust and the nation’s hope. Their restoration is our duty.”

The campaign will prioritise rapid assessment, repair and renovation to ensure there is no disruption to health, security and administrative services.

Published in The Rising Nepal daily on 13 September 2025.   

Attacks on businesses cripple economy, jobs at risk

Kathmandu, Sept. 11

Thirty-four individuals, mainly youth, were killed in the two-day demonstrations against corruption, nepotism and recent social media ban called by the GenZ Alliance.

And, country's economy received a major blow that might take years to recover.

Twenty-one of the 28 outlets of the Bhat Bhateni Super Market were damaged during the second day of demonstrations.

Twelve super stores of Bhat Bhateni were torched and nine were vandalised and looted in the second day of the demonstration. All the goods and cash stored at the 12 stores have been turned into ashes while the buildings have also been severely damaged with less possibility to reuse the facility, according to the company. Bhat Bhateni's stores in the Kathmandu Valley, Dharan, Biratnagar, Birtamod and Damak were torched to ashes.

Bhat Bhateni's annual transaction last year was around Rs. 35 billion. The irreparable damage inflicted on the company has impacted more than 22,000 jobs across the country.

Property of international hotel chain Hilton in Kathmandu was torched and vandalised. Automobile showrooms in Thapathali, one of the auto-hubs in the Valley, were vandalised and torched where CG Motors, Sipradi Trading, Laxmi Intercontinental and other companies' outlets were attacked and damaged.

Houses of businessman and lawmaker Binod Chaudhary, founding president of the Non-Resident Nepali Association Dr. Upendra Mahato, chairman of BLC Global Holdings that operates Norvic Hospital, Basanta Chaudhary, and chairman of Golchha Organisation and former President of the Federation of Nepalese Chambers of Commerce and Industry Shekhar Golchha were vandalised. Residence of central bank Governor Dr. Bishwo Poudel and many other high-profiles were also not spared.

Likewise, facilities at Chandragiri and Maulakali Cable Car and head office of Ncell were vandalised while corporate office of Simrik Air and Annapurna Post daily was torched. Chandragiri Hills is a public limited company. As the demostrators set fire to the office of Kantipur Publication at Central Business Park in Thapathali data centre of Vianet Communications Limited was damaged. Office of Kantipur was completely damaged while the data centre is damaged as a result the company has been unable to provide internet facility to its customers.

Since Vianet was also supplying bandwidth to other Internet Service Providers, internet has been slow across the country since then. Meanwhile, the company indicated towards the possibility of resuming its services by Thursday night after completing the maintenance.

A few branches of commercial banks were vandalised and cash was looted.

 

Call for investment protection

Business community is under a threat and they hesitate to speak up with the media while many are in 'wait and see' situation.

"This is terrible. Let alone the property, many of my fellow businesspeople were worried to death about the safety of their family and kins," one leader from private sector business association told The Rising Nepal.

The National Business Initiative (NBI) has strongly condemned the vandalism and arson that occurred against important physical structures and private sector properties during the protests.

In a statement published on Thursday, NBI said such activities are certain to have a profound impact on the nation's economy, and it could take a long time to return to a normal state.

Expressing condolences to the families of those who lost their lives during the protests, wishing a speedy recovery for the injured, it said, "We urge the relevant authorities to ensure fair compensation for the loss of life and property in the private sector."

According to NBI, for decades, the private sector has borne the brunt of protest movements, and this trend appears to be discouraging to the private sector. If the private sector does not feel secure, there will undoubtedly be a decline in productivity and employment, leading to long-term negative consequences for the economy.

Business associations including the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Nepal Chamber of Commerce, Confederation of Nepalese Industries, and Federation of Contractors Association of Nepal have urged to maintain environment for doing business and investment.

Nepal Chamber of Industries and Commerce, Kathmandu (NCICK) demanded sensitivity to the guarantee of the right to independent profession and enterprise, a corruption-free system, as well as the promotion and protection of investment and employment.

Calling upon all stakeholders to remain sensitive to the demands raised by the younger generation and to unite in building a prosperous society through the creation of a suitable environment for peace and security in the country, it said that there should be easy access for citizens to public services.

Meanwhile, the FNCCI has asked its district and municipal chambers to send the details of the damage inflicted on businesses.

"Currently, we are in the process to collect the data. However, the FNCCI has asked its members to facilitate in the transportation of food and other essential goods," said Gokarna Raj Awasthi, Director General of the business body.

 

Banks open, share market remains shut

Banking and insurance services resumed from Thursday.

The Nepali Army lifted restrictions for the employees working in various government offices, banks, financial institutions, and public organisations – from Thursday – to travel to and from their workplaces showing their identity cards. Likewise, passengers of domestic and international flights were also allowed to travel to and from the airport by showing their flight tickets.

Following it, the Nepal Rastra Bank also directed the banks and financial institutions to run the services including the remittance with limited staff for the operation of critical services.

"Due to the need to improve digital payment services and mitigate high-risk situations, all institutions are advised to make arrangements for employees to work from home via a remote access system," said the NRB in its notice.

However, staff of some banks couldn't reach their offices as the security personnel returned them home while they were on the way stating that the restrictions were lifted for critical health and communication services not the BFIs. The BFIs are allowed to open till 2:00 in the afternoon.

Likewise, the stock exchange remained closed for Thursday as well. Earlier, Nepal Stock Exchange Limited published a notice to inform that it would remain closed for two days from Wednesday. If situation improved, it will open from Sunday.

The Tribhuvan University has suspended all of its academic activities before the great festival of Dashain. In a notice published on Thursday, the TU said that the classes will resume from October 28.

Due to the prevailing abnormal situation in the country, it has been decided to suspend all academic activities before Dashain – these days will be deducted from the upcoming winter holidays, read the notice. 

Published in The Rising Nepal daily on 12 September 2025.