FNCCI president announces '6 Pillars, 60 Initatives' scheme

Kathmandu, May 7

Newly elected president of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) Anjan Shrestha has announced a '6 Pillars, 60 Initiatives' programme for his three-year tenure.

Speaking at an introductory and interaction programme with newly elected office-bearers after assuming office, in Lalitpur on Thurday, he said the programme would prioritise the long-term interests of the private sector, the creation of an investment-friendly environment, and the institutional strengthening of the federation.

“I have prepared the ‘6 Pillars, 60 Initiatives’ programme with priority given to the long-term interests of the private sector, the creation of an investment-friendly environment, and the institutional strengthening of the FNCCI. The implementation of strategic programmes and action plans in line with this framework will remain my priority during my three-year term,” Shrestha said.

Outlining the priorities of his tenure, he expressed commitment to implementing detailed action plans related to it in phases. The programme aims to strengthen the institutional capacity of the federation and make the collective voice of the private sector more effective, credible and result-oriented.

It also includes priorities such as protecting the rights and interests of the private sector, promoting industries and businesses, ensuring and expanding investment security, enhancing the effectiveness of policy advocacy, and strengthening coordination with member organisations in line with the federal structure.

Likesie, modernising service delivery, developing digital systems, promoting youth entrepreneurship and innovation, and expanding international trade and economic diplomacy and also the priority.

Outgoing FNCCI president Chandra Prasad Dhakal stressed that the federation’s agenda should focus on promoting the private sector.

He said that during his tenure, the Federation had made efforts towards the country’s economic development and prosperity, adding that the government had endorsed the Private Sector Protection and Promotion Programme (PSPPP) through the Cabinet as proposed by the FNCCI, which he said would support the protection and promotion of the private sector.

Siilalry, former president Mahesh Lal Pradhan stressed that the federation should play a stronger role in creating an industrial and business-friendly environment in the country. He said the federation should be able to advise the government on creating an environment for economic development and prosperity and also develop the capacity to question the government if necessary.

Similarly, former president Bhawani Rana urged the government to work with the private sector for economic development and prosperity and advised the new executive committee to work together on economic agendas.

District and Municipal vice-president Krishna Prasad Sharma stressed the need to strengthen district and municipal chambers of commerce and industry across the country to create an industrial environment and to work towards changing perceptions towards entrepreneurs and businesses.

Another District and Municipal vice-president, Dil Sundar Shrestha, said economic development was not possible without the development of industry and business, and said that the government should ensure investment and physical security to create a business-friendly environment.

Likewise, Commodity vice-president Naresh Lal Shrestha said that the problems faced by businesses across the country were shared issues and stressed the need to work collectively on economic agendas rather than taking sides.

Associate vice-president Prabal Jung Pandey pointed to the need for policy stability to create an industrial environment and said priority should be given to issues ranging from tax system reforms to concerns faced by businesses.

Published in The Rising Nepal daily on 8 May 2026.           

FM Khanal meets UNICEF officials, SAARC secretary general

Kathmandu, May 7

UNICEF Regional Director for South Asia Sanjay Wijesekera and UNICEF Country Representative for Nepal Alice Akunga called Foreign Minister Shisir Khanal at the Ministry of Foreign Affairs (MoFA) on Thursday.

During the courtesy call, matters related to ongoing cooperation between Nepal and UNICEF across various key sectors, including child welfare, health, education, and water and sanitation were discussed, the MoFA informed in a post on X.

Earlier on the same day, FM Khanal had received SAARC Secretary General Md. Golam Sarwar, at the Ministry. During the courtesy call, matters relating to further strengthening regional cooperation were discussed.

Published in The Rising Nepal daily on 8 May 2026.           

South Asis Trade Fair kicks off in Kathmandu

Kathmandu, May 7

The South Asia Trade Fair 2026 kicked off at the Bhrikutimandap Exhibition Centre in Kathmandu on Thursday. Organisers said that the fair that will run till 11 May, is organised with the objective of bringing together industrial, trade and service-related opportunities from the South Asian region under one platform.

The fair was jointly inaugurated by ambassador of Sri Lanka to Nepal Ruwanthi Delpitiya, ambassador of Bangladesh to Nepal Safiqur Rahman, acting President of Nepal Chamber of Commerce Dipak Malhotra and fair coordinator Suman Maharjan.

"The event is expected to provide a platform for private sector engagement at a time when the country’s business environment and investment climate have remained slow for a prolonged period," read a statement from the organiers. Businesspeople affected by recent economic and commercial challenges are participating in the fair.

The event has been organised and managed by Introduction Trade Shows Nepal in collaboration with the Ministry of Industries and the Export Promotion Bureau (EPB) of Bangladesh. The Ministry of Industry, Commerce and Employment of Bhutan has supported has also endorsed the fair.

Participants from India, Bangladesh, Nepal, Bhutan, Pakistan, Afghanistan, Sri Lanka and the Maldives are expected to take part in the fair. The fair is are to promote products and services, study market potential and expand cooperation between buyers and sellers. The event also aims to strengthen trade relations among participating countries.

Maharjan said more than 150 exhibitors are expected to participate, with an estimated attendance of around 100,000 local visitors and 5,000 international and business representatives.

The exhibition includes products and services related to garments and ready-made goods, cosmetics, handicrafts, vehicles and spare parts, furniture, agricultural products, information technology and household appliances.

Published in The Rising Nepal daily on 8 May 2026.           

Anjan Shrestha assumes presidentship of FNCCI

Kathmandu, May 7

Anjan Shrestha has assumed the presidentship of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), the largest business body in the country.

The incumbent senior vice-president succeeded Chandra Prasad Dhakal as the 21^st President of the FNCCI. As per the FNCCI statute, senior VP assumes presidency upon completion of the term.

As Shrestha was elevated to the coveted post during the 60^th General Assembly of the FNCCI held in Kathmandu on 4-5 May, he said that the private sector is the partner of the government in economic affairs and development. He has challenges in the form of international conflict, impact on supply chain, and rising cost of raw materials and finished goods and opportunities like the stable government and abundant liquidity in the financial system.

Shrestha leads business houses Laxmi Group that runs businesses and industries in food, steel, motors and dairy. He joined the FNCCI in 2002 and served as chair of various committees and VP.

The 60^th General Assembly elected Naresh Lal Shrestha as the VP (Commodity); he defeated Shiva Prasad Ghimire. Likewise, Krishna Prasad Sharma and Dil Sundar Shrestha were elected as VPs of the District and Municipal Chambers defeating Umesh Dalmia and Kalpana Gaire while Prabal Jung Pandey was elected VP (Associate) against Jyotsna Shrestha Subba.

Earlier, the FNCCI would elect three VPs and one senior VP but the recent amendment of the statute has provisioned for additional VP for district and municipal chambers group. 

Arjun Kumar Shrestha, Ujjwal Prasad Kasaju, Keshav Prasad Bhandari, Krishna Katuwal, Gokul Shrestha, Tara Bahadur Karki, Dipak Nepal, Prayas Karki, Mohan Prasad Shrestha, Laxman Raj Paudel, Shankar Giri, Santosh Khadka, Surdarshan Karki and Hari Prasad Aryal were elected district and municipal members.

Gita Amatya and Hira Bhattarai were elected as women members for this group.

The General Assembly also elected 14 provincial members – two from each province. They include Jiban Parajuli and Ramesh Bishwakarma from Koshi, Amar Nath Shah and Bikash Kumar Sarada from Madhes, Prakash Manandhar and Sabin Shrestha from Bagmati, Pavindra Kumar Shrestha and Subin Shrestha from Gandaki, Yagya Prasad Bhattarai and Bal Krishna Subedi from Lumbini, Padam Bahadur Shahi and Purichandra Devkota from Karnali, and Pitambar Joshi from Sudurpaschim.

Likewise, elected members in the commodity group include Araniko Rajbhandari, Nani Raj Ghimire, Pashupati Dev Pandey, Bidur Dhamala, Bhakta Bahadur Hamal, Rabin Puri, Raj Kumar Karki (Raju), Lilendra Prasad Pradhan, Sangharsh Bista, Sagar Dhakal and Hom Prasad Ghimire.

Sunita Nhemaphuki was elected as woman member in this group while Bishwanath Khanal and Sunaina Ghimire were elected for the two positions under the commodity federation members.

Similarly, in the associate category, 17 members were elected, including Ambika Prasad Paudel, Ishwar Bahadur GC, Ujjwal Kumar Shrestha, Rishi Agrawal, Krishna Lal Maharjan, Dibas Neupane, Priya Raj Regmi, Batu Lamichhane, Babu Kaji Karki, Rajesh Kumar Agrawal, Ramsharan Bhandari, Shakti Kumar Begani, Sachin Dhakal, Suyash Pyakurel, Suraj Upreti, Sushil Thapa and Hemanta Golchha.

Abhigya Malla and Juna Mathema were elected as the commodity federation members.

Manoj Paudel was elected in the bilateral chambers category, while Gopal Shrestha and Suman Kumar Shrestha were elected under the founder members’ group. 

Published in The Rising Nepal daily on 8 May 2026.           

Norwegian Envoy calls on VP Yadav

Kathmandu, May 6

Vice President Ramsahay Prasad Yadav held a courtesy meeting with Norwegian Ambassador to Nepal Dagny Mjos at the Vice President's Office on Wednesday.

They discussed various dimensions of Nepal–Norway bilateral relations. Since the establishment of diplomatic relations in 1973, the two countries have maintained cordial and friendly ties, said VP Yadav.

He also said that the work carried out by the Government of Norway, particularly in the areas of renewable energy, education and good governance, has been highly beneficial for Nepal.

“Vice President Yadav expressed his expectation that Nepal–Norway relations will continue to expand into new areas and grow stronger in the days ahead,” the Vice President’s office informed in a statement. He also conveyed his best wishes for the happiness, peace and prosperity of the Norwegian people on the Constitution Day and National Day of Norway on 17 May.

Ambassador Mjøs said that both countries could cooperate in areas including education, energy, good governance, human rights and social justice.

She further said that Nepal and Norway could expand their cooperation in international forums in the future, and conveyed her best wishes for Nepal’s peace, stability and prosperity. Mjøs also affirmed that Norway is ready to cooperate on the issues outlined in the Government of Nepal’s 100-point commitment document.

Published in The Rising Nepal daily on 7 May 2026.           

Asia Pacific's integration to global value chain doubles from 2000

Nepal remains on periphery

 

Kathmandu, May 6

The Asia Pacific region accounted for a third of global value chain trade, with its developing economies doubling their share from 9 per cent to 18 per cent from 2000 to 2023, the Asian Development Bank’s (ADB)'s latest report said.

The Asian Development Policy Report 2026 launched at ADB’s 59th Annual Meeting in Samarkand in Uzbekistan on Wednesday is titled 'Global Value Chains and Inclusive Development'.

It noted that greater specialisation in the stages of global production has helped Asia and the Pacific achieve economic growth, create jobs, and reduce poverty over the past quarter century.

Some economies—particularly in East and Southeast Asia—have become deeply embedded in regional and global production networks, occupying central positions that allow them to capture significant value addition. Others, including many smaller, lower-income, or geographically remote economies, have participated less and remain largely excluded from these networks.

“Greater geoeconomic fragmentation reduces the opportunities for firms to benefit from global value chains (GVC), which risks stifling industrialisation and growth in economies stuck in low-value roles,” said ADB Chief Economist Albert Park. “To bridge the gap, support for less-developed economies is crucial to help them take advantage of emerging technologies, and to strengthen infrastructure, logistics, and the business environment to enhance productivity and competitiveness.”

The report said that the benefits of global value chains remain uneven, mainly benefiting large productive firms, while small and medium enterprises face barriers due to high compliance costs and limited capabilities.

Nepal on the periphery

According to the report, a few economies, including Cambodia, China, South Korea, and Nepal increased both forward and backward participation, with forward participation rising more sharply than backward participation in China.

However, many smaller economies remain marginal participants, highlighting the uneven nature of global value chain integration in the region. Landlocked economies such as Bhutan and Nepal, resource-dependent economies, including the Kyrgyz Republic and Laos, Maldives, and several Pacific Island economies, face constraints from small domestic markets, geographic isolation, and limited industrial capabilities. In 2023, the bottom 10 Asian economies in backward GVC trade together accounted for just 0.86 per cent of total regional backward GVC trade, with a similar share for forward participation.

Nepal also has greater intra-regional share compared to its peers despite being on the periphery of the GVC.

Likewise, the report said that geopolitical tensions, supply chain disruptions, and rapid technological changes are reshaping how economies participate in global value chains.

 

'Resilience should be developed'

The report identifies three policy priorities to support global value chain integration – resilience, environmental sustainability and inclusion. "Strengthening resilience requires coordinated improvements in robust connective infrastructure, the capability of firms to respond flexibly to changing circumstances, and policy frameworks that enable diversification of markets, inputs, and partnerships," read the report.

Likewise, compliance with evolving environmental and sustainability standards is becoming a general requirement across global value chains. Strengthening policies in areas such as standards, certification, and traceability can help firms to adopt cleaner technologies and production processes.

Similarly, achieving inclusive outcomes requires coordinated actions that reduce trade costs through infrastructure investment, open trade policies, and trade facilitation; develop worker skills and firm capabilities; and support access for small and medium-sized enterprises to finance, digital platforms, and export opportunities.

Published in The Rising Nepal daily on 7 May 2026.           

Government to begin refunding depositors of troubled cooperatives

Kathmandu, May 5

The government has announced that it will begin returning the savings of depositors of troubled cooperatives from mid-May (the first week of Jestha in the Nepali calendar).

The Problematic Cooperative Management Committee, which started work on April 22, has collected the necessary details of cooperatives and depositors and is preparing to refund the savings, the Ministry of Land Management, Cooperatives and Poverty Alleviation informed.

According to the committee, around Rs. 46 billion must be returned to approximately 76,000 depositors of these troubled cooperatives.

Most of them are small depositors. Those with savings of less than Rs. 500,000 are classified as small depositors, while those with more than Rs. 500,000 are considered large depositors. Out of the total 76,000, only about 18,000 depositors have savings exceeding Rs. 500,000.

Minister for Land Management, Cooperatives and Poverty Alleviation, Pratibha Rawal, said that much of the preparatory work for the refunds has already been completed and the process will now begin.

“We have already completed a great deal of work. We will prioritise returning funds to small depositors first,” she said. The committee has also stated that it will adopt a policy of initiating the refund process while giving priority to loan recovery.

As per the Procedures for the Establishment and Operation of the Revolving Fund for Refund of Savings to Members of Problematic Cooperatives 2083, the committee, by its own decision, may give priority to small depositors. Among depositors, priority will be given to single women, senior citizens over the age of sixty, Dalit and indigenous nationality communities, and persons with disabilities.

The committee further announced that the refund process for claim-submitting depositors will begin from the first week of Jestha, while a second window for claims by those who missed the initial process will open in the third week of May.

It also stated that funds allocated by the government to the revolving fund will be used only as loans if the committee’s own fund proves insufficient.

According to the Procedures, the revolving fund will be created with the fund received from the government, reimbursement sums returned by the relevant cooperative society, and sums received from other sources.

Money recovered from the auction of assets belonging to directors, audit committees, managers, loan sub-committees, and individuals with authority or responsibility who were involved in the embezzlement or misappropriation of the institution’s assets, savings, loans, or shares, as well as any other sums recovered from such persons will also be deposited into the fund.

"If the sale of assets proves insufficient to refund the depositors, the Committee may also freeze and auction assets that have been transferred or invested in companies by family members of the individuals involved, whether such transfers occurred through property partition, divorce, or any other means," according to the Procedures.

Committee Member-Secretary Rabin Dhakal said that strict legal measures will be adopted for loan recovery.

Managers, directors are last to be refunded

The refunding of savings will be made on the basis of the records, details received from the cooperative, or the balance amounts shown in the computer system up to the day preceding the date on which the cooperative institution was declared problematic.

However, depositors who have taken loans from the cooperatives will get a refund after they have fully repaid the loans, reads the Procedures.

Similarly, the savings of directors and managers of the relevant institution, savings of members of their immediate family, and individuals involved in embezzlement or misappropriation shall not be refunded until the liabilities of depositors who have submitted claims have been settled.

If the claim for refund of savings is sub-judice in court, the process to refund the savings will not be started until the case is settled.

However, if a depositor has savings in multiple federal-level problematic cooperative organisations, he/she will get a refund only from one such institution. If funds are insufficient, the Committee is likely to distribute the remaining funds in the account on a pro-rata basis.

In the event of a depositor's death or if they cannot be located, the savings will be refunded to their legal heir based on evidence provided.

Sick pillar of economy

Although cooperative is mentioned in the constitution as one of the pillars of the national economy, it remained unregulated and unsupervised sector for the last seven decades. Mismanagement and fund embezzlement in large and high-profile cooperatives were exposed in the last one decade.

The government began to declare cooperatives as 'problematic' since 2018. In 2024, a parliamentary probe found that about Rs. 87.89 billion was misappropriated in at least 40 cooperatives. They also had faked their audit reports and fabricated property divisions.

In January this year, the Supreme Court ordered the government to return funds to small depositors – those with less than Rs. 500,000.

On April 22, the government issued the Procedures to operate the revolving fund. With President Ramchandra Paudel ratifying the Cooperative (First Amendment Ordinance) last week, the government can now use public funds for immediate repayment to victims. 

Published in The Rising Nepal daily on 6 May 2026.           

Construction sector hit hard by price rise: FCAN

Kathmandu, May 5

The Federation of Contractors’ Associations of Nepal (FCAN) has said that the construction industry is currently facing one of the most difficult periods in its history owing to the abrupt price rise of fuels and construction materials.

Speaking at a press meet in Kathmandu on Tuesday, FCAN President Nicholas Pandey said that the ongoing conflict in West Asia has caused abnormal increases in the prices of fuel, including diesel and kerosene, as well as construction materials such as bitumen, cement and steel rods.

"The price of diesel has risen from Rs. 139 per litre to Rs. 225 in just a couple of months, while bitumen has increased from Rs. 75 to Rs. 155 per kilogram. As a result, construction costs have surged, forcing contractors into a 'force majeure' situation," he said.

The FCAN expressed dissatisfaction over the government’s inability to take effective decisions on price adjustment. It noted that weak capital expenditure by the state, sharp increases in the prices of construction materials, and policy uncertainty have brought most projects across the country to a near standstill. Only about 27 per cent of the capital budget allocated for the current fiscal year 2025/26 has been spent so far, directly affecting infrastructure development.

Pandey said that the sector—comprising around 32,000 contractors affiliated through seven provincial bodies, 77 district associations and other members—is under severe financial pressure.

Likewise, stating that rising costs and shortages of materials have halted most projects, including those of national pride, the FCAN urged the government to extend deadlines for all projects, including provisions for bank guarantees, insurance and compensation.

"While recent amendments to the Public Procurement Act, 2007 have introduced some positive provisions, key issues such as low bidding remain unresolved. Issues like price adjustment, consumer committees and monthly payments are still unclear," it said.

Similarly, the Federation warned that ongoing crackdowns on contractors and entrepreneurs have created fear within the private sector, negatively affecting investment, employment and supply systems. 

Meanwhile, the Ministry of Physical Infrastructure and Transport (MoPIT) issued a set of directives to accelerate construction works and enhance project accountability across the country. 

Secretary of the Ministry Gopal Prasad Sigdel directed the director generals and project chiefs to immediately fast-track ongoing contracts.

He also directed for the urgent reporting of hurdles related to local material extraction and supply chain disruptions, particularly regarding shortages of bitumen and fuel.

Likewise, the MoPIT warned the project chiefs that they will be held personally responsible for any stalled activities or lack of progress on-site. To ensure real-time oversight, the Ministry has mandated regular updates via virtual platforms, such as WhatsApp groups. 

It also asked the contractors to mandatorily provide detailed Resource Mobilisation Plans. The Ministry is set to conduct 'strict monitoring', and issued a warning that contractual action will be taken against those failing to meet deadline

Published in The Rising Nepal daily on 6 May 2026.           

Nepalis in Cambodia urged not to overstay or engage in illegal activities

Kathmandu, May 4

The Embassy of Nepal in Bangkok, Thailand has urged Nepali citizens in Cambodia not to overstay and not to engage in any unlawful activities.

Stating that it has received information that many Nepali nationals have overstayed and involved in illegally operated online scamming centres in Cambodia, the Embassy requested Nepali nationals there not to overstay beyond the validity of their visas, not to engage in any unlawful activities, and, if already involved in such activities, to cease immediately and return to Nepal.

The Embassy has been issuing advisories for Nepalis in Cambodia, Myanmar and Laos to inform them about potential safety and security concerns and protect them. 

"Nepalis travelled to Cambodia for various purposes, particularly under the pretext of tourism, and have continued to stay there even after the expiry of their visas. It has also been reported that some Nepali nationals are involved in illegally operated online scamming centres in Cambodia," read a statement from the Embassy.

It further requested to file complaints, either upon return to Nepal or while still in Cambodia, against those responsible for sending them there, with the Human Trafficking Investigation Bureau of Nepal Police.

Online scamming is a transnational crime. To control and eliminate such activities, and to punish those involved, the Government of Cambodia has, since last week, enforced a new law providing for penalties of up to USD$ 500,000 and life imprisonment depending on the nature of the offence.

"The government has also intensified its campaign to shut down and dismantle such centres and to arrest individuals involved in these activities," read the statement.

It advised Nepalis not to travel to Cambodia or other countries for employment on tourist visas under the lure of high salaries and attractive benefits.

Before travelling abroad for foreign employment, it is advised to contact Nepal’s Department of Foreign Employment and the Nepali Embassy or Consulate in the destination country to verify the authenticity of the employer and the job, and to obtain labour approval before departure.

Meanwhile, to facilitate return to Nepal, the Embassy is collecting data and information on Nepali nationals currently in Cambodia. It has requested Nepalis there to complete the relevant online form and provide their details. Concerned family members can also inform the Nepali Embassy in Bangkok or the Consular Service Department in Kathmandu.  

Published in The Rising Nepal daily on 5 May 2026.           

Nepal objects to Indo-China Kailash route via Lipulek

 Kathmandu, May 3

The Ministry of Foreign Affairs (MoFA) reiterated on Sunday evening that Limpiyadhura, Lipulek and Kalapani, located east of the Mahakali River, are integral parts of Nepal, as established by the Treaty of Sugauli of 1816.

The Ministry issued a statement responding to the proposed operation of the Kailash Mansarovar pilgrimage route via Lipulek – passing through Nepali territory – between India and China.

The government has clarified Nepal's position responding to the queries and concerns raised by media and general people many of whom took to social media demanding government's statement on the recent development that undermined Nepal's sovereignty.

"The Government of Nepal has once again conveyed its clear position and concerns regarding the proposed Kailash Mansarovar pilgrimage route via Lipulek to both India and China through diplomatic channels," read the statement.

The government has urged India, in the past, not to undertake any activities in the area, including the construction or expansion of roads, border trade, or pilgrimage-related activities.

The MoFA also said that Nepal has formally informed China that the Lipulek area lies within Nepali territory.

It stated that in line with the spirit of the close and friendly relations between Nepal and India, Nepal remains committed to resolving the boundary issue through diplomatic means, on the basis of historical treaties, facts, maps and evidence.

According to previous foreign ministers, although the government had sent diplomatic notes to both India and China they did not respond to them.

Althought he 2016 Sugauli Treaty established the Mahakali river as Nepal's western boundary, following its war with China in 1962, India stationed its security forces in Kalapani. Nepal delayed objections to it enabled India to enhance infrastructure and accessibility to the northern border with China.

Although India had been claiming the Nepali territory since early 1950s, Nepal formally asked India to remove the Kalapani area from its map after the latter did so in November 2019.

In November 2019, India released a new map showing Kalapani, Lipulek and Limpiyadhura within its territory. Nepal strongly protested and sought a talk with India but the latter turned deaf ears to it.

Next year, in May, India constructed an 80-km road connecting Dharchula and Lipulek pass, a Nepal-China border point. Nepal immediately protested and sent a diplomatic note to India demanding a halt to the unilateral action in its territory. The Kalapani area including Limpiyadhura and Lipulek covers about 350 square km.

Earlier, in 2015, when India and China signed an agreement to expand their bilateral trade through the Lipulek pass during Indian Prime Minister Narendra Modi's visit to China, Nepal registered a formal protest stating that the two neighbours consented on using Nepali territory without seeking consent of the latter.

The road was inaugurated by Indian defense minister is used for strategic movement of military forces. Lipulek, located at 17,000 feet altitude, is a strategic location and main entry to the Mansarovar while a nearby Tinker Bhanjyang (pass) is a historic trade routh with touristic and strategic importance.

India has long been averting to accept the report of the Eminent Persons Group (EPG) on Nepal-India Relations for the past several years. The Group was mandated, by both Nepal and India, to review the entire relations between the two countries, including 1950 India-Nepal Treaty of Peace and Friendship.

In response to Nepal's stand on the issue, the Ministry of External Affairs of India said on Sunday evening that India has consistently maintained that such claims are not justified and not based on historical evidence.

“India’s position in this regard had been consistent and clear. Lipulek Pass has been a long-standing route for the Kailash Manasarovar Yatra since 1954 and the Yatra through this route has been going on for decades. This is not a new development," read a statement issued by MEA Spokesperson, Randhir Jaiswal.

However, the MEA said that India remained open to a constructive interaction with Nepal on resolving agreed outstanding boundary issues through dialogue and diplomacy.

Published in The Rising Nepal daily on 4 May 2026.           

RSP Chair Lamichhane urges private sector not to panic

Government seeks partnership with businesses while maintaining strict oversight on activities that could harm the economy

 

Kathmandu, May 3

Rastriya Swatantra Party (RSP) Chairperson Rabi Lamichhane has urged businesspeople not to be gripped by fear or anxiety.

Speaking at a meeting with representatives of the private sector in Lalitpur on Sunday, he said that the government’s objective is not to discourage the private sector but to pursue policy reforms to achieve long-term impact on the economy.

Chair Lamichhane called on the private sector to support the government’s good governance campaign, and said that the government intends to move forward in partnership with business communities.

However, he noted that the state will maintain strict oversight over activities that could weaken the economy. Referring to past instances where political instability and circumstances forced businesspeople under pressure from various power centres, he said, “The government has taken lessons from such experiences and assured that such a situation will not be repeated.”

Likewise, he also urged the business community not to worry the slightest. “As we push forward the good governance agenda at a rapid pace, some questions may have arisen—please take them in stride. The government has no intention of undermining any business,” he said.

According to him, the government wants to move towards a new departure in good governance and economic growth. “There may be some discomfort in this process. I chose to sit down with you precisely because the private sector appeared uncertain and somewhat fearful. There is no reason for you to be afraid or anxious,” said Lamichhane.

However, the government has had to act firmly because certain individuals and actors had begun to move in a way that effectively placed the country’s economy under their control, he said. The state must intervene in time, and that is what the government is doing at present.

Chair Lamichhane added that the state must act firmly against institutional irregularities that could severely damage the economy. “We understand that in the past, due to political instability, you may have been compelled to knock on the doors of political leaders and compromise certain norms and values,” Lamichhane said. “Now, you can be assured that no businessperson needs to run to my home or party office. Policies themselves will provide you with protection.”

He said that the current government will operate based on the commitments made to the public during the election. He also advised business leaders to assess their own shortcomings, conduct internal audits, and work with the state to correct past mistakes.

 

Crucial role of private sector

Emphasising that policy reform, good governance and economic improvement are the government’s primary goals, Lamichane said the role of the private sector will be crucial in transforming Nepal into a middle-income country within the next five to seven years. He called on businesses to operate with confidence, assuring that the government is committed to creating an investment-friendly environment.

Meanwhile, Chair Lamichhane said they are grappling with whether to remain import-oriented or shift towards a production-based economy.

“Your interest in reviving ailing industries is commendable, and we are positive about it. The government is also supportive of enabling the private sector to operate and expand. Out of every ten people, perhaps one or two may be employed by the state, but it is the private sector that employs the remaining eight,” he said.

According to him, the government cannot allow loss-making companies (particularly from the hydropower sector) to issue IPOs and risk the public’s money. The government is clear on this.

Likewise, the government is open to reducing the threshold for income tax. It is not reasonable for individuals to be required to pay up to 50 per cent of their income in tax, and we are prepared to undertake reforms, he said.

Lamichhane also assured the business community that the government is ready to protect the private sector, producers, industrialists and businesspeople alike.

 

Private sector needs confidence boost

Speaking at the programme, President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) Chandra Prasad Dhakal said that the private sector is a sphere of stability and should be allowed to operate smoothly. However, it has repeatedly come under attack during various movements and has often been the primary target.

“This should not be the case, and we strongly object to such practices. Likewise, the attempt to bring the private sector under the ambit of anti-money laundering measures is a matter of concern,” he said.

Pointing to Bangladesh’s deferral from the LDC, Dhakal said that in light of various implications and potential impacts, perhaps Nepal should consider waiting for some time. Bangladesh was graduating to a developing country in November, along with Nepal. But citing the youth movement and economic crisis, it sought a deferral, which is accepted by the United Nations.

President of the Confederation of Nepalese Industries (CNI) Birendra Raj Pandey said that at a time when capital formation has declined, there is a need to provide incentives and boost confidence.

“Greater focus is required on domestic production, consumption and employment. With the budget season underway, the government needs to pay close attention to these issues,” he said.

Likewise, Acting President of Nepal Chamber of Commerce (NCC) Deepak Malhotra said that there are high expectations from the RSP-led government with a clear majority; it must play an active role in development and economic reform.

“To bring roughly 40 per cent of the economy that remains in the informal sector into the formal fold, it is necessary to reduce customs duties, excise duties and land revenue taxes,” he said.  

 

‘Overregulation is felt’

Former President of CNI Hari Bhakta Sharma said that businesses have felt that there is excessive overregulation.

According to him, the economy has long been import- and customs-revenue-driven, and has operated in this manner for over a century. “We need clarity on whether we will continue with an import-oriented model or shift towards a production-based economy, and proceed accordingly with a clear direction,” he said.

Stating that a critical departure is necessary, Sharma said that it is not feasible for a single sector alone to drive production. The country should advance simultaneously in four key sectors—agriculture, tourism, light engineering and biopharmaceuticals—with focused attention.

He pointed to a need to review laws that allow for the detention of businesspeople before due hearing.

“The private sector is the engine of development. At present, business confidence has declined. The practice of detaining first and hearing later is flawed, our demand is for a policy that prioritises hearing first and taking action thereafter,” said Sharma. 

Published in The Rising Nepal daily on 4 May 2026.           

South Asia Trade Fair to be held from May 7-11

Kathmandu, May 2

The South Asia Trade Fair 2026, scheduled from May 7-11 (Baisakh 24 to 28, 2083 BS) in Kathmandu, is bringing together industry, trade, and service opportunities of South Asia on a single platform.

The fair is expected to include participation from countries such as India, Bangladesh, Nepal, Bhutan, Pakistan, Afghanistan, Sri Lanka, and Maldives, organisers informed in a statement on Saturday.

The event is organised by Introduction Trade Shows Nepal Pvt. Ltd. in cooperation with the Ministry of Industries of Bangladesh and the Export Promotion Bureau (EPB) of Bangladesh. It is endorsed and supported by the Ministry of Industry, Commerce and Employment of the Government of Bhutan, along with various governmental and private sector organisations.

Supporting organizations include the Nepal Chamber of Commerce, Federation of Nepal Cottage and Small Industries, Lalitpur Chamber of Commerce and Industry, Bhaktapur Chamber of Commerce and Industry, Chamber of Industries Morang, Lalitpur Chamber of Commerce, Nepal-China Executive Council, Nepal Cosmetics Business Association and Vishwa Udyam Sahayata Foundation, among others

Product promotion and service expansion, market opportunity exploration, and strengthening buyer–seller cooperation are the primary objectives of the Fair. It also aims to further enhance business relations between different countries.

The fair will feature products and services from various sectors such as clothing and ready-made garments, beauty products, handicrafts, transportation and automotive parts, furniture, agricultural products, information technology, household appliances, and other goods and services.

In addition, business meetings, seminars, cultural programmes, and entertainment activities will also be conducted. The event is expected to create new opportunities for investment and business expansion in Nepal and abroad.

"The exhibition will provide support for brand promotion and business expansion," read the statement. 

Published in The Rising Nepal daily on 3 May 2026.           

Special Envoy Gor concludes his 'productive' visit

 Kathmandu, May 2

US President Donald Trump's Special Envoy for South and Central Asia Sergio Gor concluded his visit to Nepal on Saturday.

The US Embassy in Kathmandu termed the entourage 'a highly productive' one.

Earlier on Saturday morning, Gor held a meeting with Chairman of the Rastriya Swatantra Party (RSP) Rabi Lamichhane. Gor said in his X post that the two talked about strengthening the US-Nepal Relationship.

"The new government in Nepal has an incredible mandate for change, and their announced reforms have been very promising. We are looking forward to working closely ahead," he said.

Likewise, he held high-level meetings with Foreign Minister Shisir Khanal, and Finance Minister Dr. Swarnim Wagle and engaged in discussions with Nepali business leaders.

"His visit focused on deepening the US-Nepal partnership and expanding commercial ties, including new U.S. business opportunities in Nepal’s dynamic tech sector," the Embassy said in a statement.

Special Envoy Gor also visited Everest Base Camp for a briefing on American commercial drone technology and plans by Nepali organisations leading the Everest cleanup campaign.

According to the Embassy, the new drone technology will enable deliveries on Mount Everest in a few minutes, in contrast to multiple day treks in the past.

 “The United States leads in innovation, and we are glad to partner with local Nepali companies to bring cutting-edge technology to Nepal. We are hopeful that Nepal’s new government will work to increase the fruitful partnership between our two nations,” Gor said.

Meanwhile, Gor attended a ceremony marking the return of the statue of the Akshobhya Buddha from the United States at Nhu: Chhen Baha in Kathmandu.

"The United States remains committed to returning wrongfully taken religious items back to Nepal. He also visited historic Bhaktapur Durbar Square, experiencing Nepal’s rich history and culture," read the statement. 

Published in The Rising Nepal daily on 3 May 2026.           

Village Tourism Mart promotes local culture

Kathmandu, May 2

The ‘Village Tourism Mart 2083’ has formally begun in Bandipur, a famous hill station in Tanahun district, from Friday.

The four-day event, organised with the aim of promoting rural tourism in the international market and fostering sustainable tourism development linked with local communities, was inaugurated by the Minister for Industry and Tourism, Yashoda Rimal.

Prior to the formal inauguration, a rally was held in the Bandipur market area with participation from 19 homestays representing 11 districts of Gandaki Province, Nepal Tourism Board (NTB) informed.

The rally featured tableaux, reflecting local art, culture and tourism identity.

The event saw notable participation from domestic and international tourism entrepreneurs, various stakeholders, media personnel and the local community.

Minister Rimal expressed confidence that the tourism mart in Bandipur would promote local art and culture while also increasing employment and income generation. “Only when villages become strong can the foundation for overall prosperity be established. Tourism is a key basis for strengthening villages, and it is essential to connect local communities with tourism,” she said.

CEO of the NTB Deepak Raj Joshi, said that community-based tourism has been gaining momentum worldwide in recent times and emphasised that Nepal must enhance its preparedness to benefit from this trend. He said, “There is a need to pass on our traditional skills and knowledge to the new generation.”

Chairperson of Bandipur Rural Municipality, Surendra Bahadur Thapa, said that the mart was organised to promote the village’s art, culture and tourism. “This programme will play a significant role in further promoting Bandipur’s hilltop tourism,” he said, adding that the ‘Village Safari’ has also played an important role in bringing tourists to homestays and linking rural tourism circuits.

During the event, it was announced that next year’s ‘Village Tourism Mart’ will be held in Gorkha, and Bandipur formally handed over the flag to Gorkha Municipality.

Receiving the flag, Mayor Krishna Bahadur Rana Magar of Gorkha Municipality expressed his commitment to making the next edition successful. “Historic Gorkha has somewhat faded from prominence; the Village Tourism Mart will help bring it back into the spotlight,” he said, inviting everyone to visit Gorkha.

Shobha Sapkota, chairperson of the Village Tourism Promotion Forum, Gandaki province, expressed her belief that the event will take rural tourism to new heights.

As part of the four-day programme, familiarisation visits were conducted on Wednesday and Thursday to areas including the Rumsi Community Homestay and Ramkot Community Homestay in Ward No. 14 of Byas Municipality, Tanahun.

For the first time in Nepal, a rural observation tour was organised through a safari. A team led by local tourism entrepreneur Basanta Paudel welcomed visitors on the first day and facilitated visits to local homestays. On the second day, tours of major tourist sites in Bandipur and a cultural evening were organised.

With the formal inauguration on Friday, B2B meetings and networking sessions have also been conducted, with expectations of opening new avenues for tourism business expansion and collaboration. The programme will conclude on Saturday.

Published in The Rising Nepal daily on 3 May 2026.          

US Special Envoy Gor calls on Ministers Wagle, Khanal

Bilateral trade, investment discussed

 

Kathmandu, May 1

Sergio Gor, Special Envoy of the United States to South and Central Asia, paid a courtesy call on Foreign Minister Shisir Khanal at the latter's office at Singha Durbar on Friday.

During the call, discussions were held on further strengthening Nepal-US relations, with an emphasis on promoting investment and trade, the Ministry of Foreign Affairs informed.

According to the Embassy of the USA in Kathmandu, they discussed deepening bilateral cooperation across several promising domains, with particular emphasis on expanding trade and advancing initiatives under the Millennium Challenge Corporation (MCC).

Likewise, Gor called on Finance Minister Dr. Swarnim Wagle at his office on Friday afternoon. The Finance Ministry informed that the discussions were focused on economic partnership and development cooperation between Nepal and the United States.

Following the meeting, Gor said in a tweet that they talked on unlocking new avenues for economic cooperation that will benefit both the nations.

"We covered a broad spectrum of shared priorities, with a strong focus on improving the business climate and expanding technology-driven employment opportunities," he said.

Gor arrived in Kathmandu on Thursday evening. He is scheduled to call on senior government officials and business leaders. 

Published in The Rising Nepal daily on 2 May 2026.          

True revolution begins with 'gnya': PM Shah

Kathmandu, May 1

Prime Minister Balendra Shah has extended greetings to all on the occasion of the Buddha Jayanti – birth anniversary of Lord Buddha.

"On the occasion of the birth anniversary of the eternally great proponent of peace, the Buddha, I wish for world peace. Blessed is our Nepali land by the birth of the Buddha; it has always stood for non-violence and peace," he said in his Facebook post.

“There is suffering; there is a cause of suffering; there is the cessation of suffering; and there is a path leading to the cessation of suffering,” he quoted Gautam Buddha, and said, the path shown by the Buddha is the path to ending suffering.

"Darkness is simply the absence of light; when a ray of light steps in, darkness disappears of its own accord. Our journey, likewise, should be in search of the light of knowledge, along the path of resolving problems, said PM Shah.

According to him, true revolution (kranti) begins not with 'ka' but with 'gnya' which signifies knowledge (gyana). 'Ka' and 'gya' are the first and last letters in Devnagari script or Nepali language. 

Published in The Rising Nepal daily on 2 May 2026.          

'Increase budget on ICT sector'

Lalitpur, Apr. 30

Stakeholders in the Information and Communication Technology (ICT) sector said that this sector has received a negligible amount of budget for the past several years while a significant portion of it remained unspent owing to government's inefficiency.

Speaking at a Pre-Budget ICT Discourse organised by ICT Foundation Nepal (IFN) in Lalitpur on Thursday, they said that attracting investment in data centres, creating skilled human resources and offering concession in taxes should be the priority of the government.

Manohar Bhattarai, an IT expert, said that a strategy should be formulated to increase the contribution of the ICT to the national Gross Domestic Product (GDP).

"The 100-point roadmap of the government has some ambitious programmes which need enabling legal provisions for their implementation. In the first place, the government needs to create a fully online system for business registration and renewal," he stated.

In order to attract the foreign investors, data centres should to be set up and be included it in its policy and programmes, said Bhattarai, adding that the data centres can be bundled with hydroelectricity production.

Likewise, Gaurav Raj Pandey, president of the NAS-IT, said that the country can achieve the target of US$30 billion IT export in the next one decade but creating required human resource is critical.

"Countries like the Philippines are earning more from IT export than remittances. They have offered several incentives and facilitation to companies coming to the country or entering the sector. Nepal must assure policy stability at least for a decade," he said.

According to Pandey, major focus of IT sector development and promotion should begin with IT education and job creation.

In the past three years, from 2022 to 2025, IT export has doubled to US$1 billion from US$ 515 million.

"We are good in terms of infrastructure for digital payment but Nepali citizens can't use it in India while Indians can pay digitally in Nepal," said Krishna Ram Dhunju, Director of the Nepal Rastra Bank who heads the Central Bank Digital Currency division.

Digital finance is a priority of the central bank as well as the government. There is a need to move ahead in a more coordinate manner. Isolated efforts are insufficient to facilitate the integrated development, according to Dhunju.

Similarly, Adesh Khadka, Joint Secretary at the Ministry of Communication and Information Technology, said that Nepal needs to distinguish the IT industry to address the demands and facilitate through policy creation.

Editor of Taksar magazine Gajendra Budhathoki said that the small amount of budget is also misallocated to the sectors like upgrading the postal services. "Most of the documents of the annual budget are full of lucrative slogans while implementation is not encouraging," he said. "About 40 per cent of the budget remains unspent due to the shortage of skilled human resource in the public institution." 

Published in The Rising Nepal daily on 1 May 2026.          

NICCI proposes CEO's roundtable during PM visit to India

Kathmandu, Apr. 30

Nepal-India Chamber of Commerce & Industry (NICCI) has proposed to organise a CEO's roundtable in New Delhi during the upcoming visit of Prime Minister Balendra Shah.

This event will help to connect Nepali business leadership with leading Indian business executives and prospective investors where the discussion on the potential projects and investments could be discussed, a delegation of NICCI said to Foreign Minister Shisir Khanal.

The delegation led by NICCI's President Sunil KC called on FM Khanal on Thursday.

It called for an expansion of Nepal's diplomatic footprint in India, proposing the establishment of Consulate General Offices or Trade Representative Offices in Mumbai and Bangalore.

The recommendation drew on current trade figures — approximately 80 per cent of Nepal's exports are directed to India, 60 per cent of imports originate from India, and around 85 per cent of third-country trade transits through Indian ports including Kolkata, Haldia, and Visakhapatnam.

"NICCI also aims to organize Nepal-India Partnership Summit in close coordination with Ministry of Foreign Affairs, Government of Nepal, and other concerned line ministries and private sector industries from both countries," it said in a statement.

The delegation also requested to operationalize a dedicated economic diplomacy mechanism with structured private sector participation, focused on export promotion, investment outreach, and tourism branding.

Formation of a Foreign Investors' Council under the Ministry of Foreign Affairs was also proposed to coordinate with diplomatic missions and facilitate inbound investment.

NICCI also informed FM Khanal of its plans to establish a Contact Office in New Delhi to support investment promotion, trade facilitation, and tourism outreach, and sought the backing of the Government of Nepal and the Embassy of Nepal in New Delhi.

Minister Khanal appreciated the idea of Investor’s Council and diplomatic footprint to expand in India.

Published in The Rising Nepal daily on 1 May 2026.          

Portuguese Deputy FM Xavier calls on FM Khanal

Nepal to support Portugal to open embassy in Kathmandu

Kathmandu, Apr. 30

Deputy Foreign Minister of Portugal Dr. Ana Isabel Xavier paid a courtesy call on Minister for Foreign Affairs Shisir Khanal at the Ministry of Foreign Affairs (MoFA) on Thursday.

She is in Nepal on her three-day visit at the invitation of Foreign Secretary Amrit Bahadur Rai.

Recalling his telephone conversation with his Portuguese counterpart, Paulo Rangel, on 1 April 2026, FM Khanal welcomed the announcement of the Government of Portugal to open a diplomatic mission in Kathmandu.

"He assured the full support of the Government of Nepal for the establishment of the mission," the MoFA informed in a statement. He further expressed his appreciation to the Portuguese Government for its positive consideration in resolving consular cases of Nepali nationals.

Likewise, Dr. Xavier extended her congratulations to Minister Khanal on his appointment as foreign minister and wished him a successful tenure.

Earlier today, Foreign Secretary Rai held a bilateral meeting with Deputy Foreign Minister Dr. Xavier, at the Ministry. During the meeting, they reviewed various aspects of Nepal–Portugal relations and expressed satisfaction over the momentum gained in Nepal-Portugal ties, especially following the first meeting of the Nepal–Portugal Bilateral Consultation Mechanism held in Lisbon in February 2026.

"In both meetings, the two sides reaffirmed their commitment to deepening bilateral relations and enhancing cooperation in various areas of mutual interest such as tourism, investment, trade and labour, digitisation, as well as further exploring new avenues of cooperation," read the statement.

Dr. Xavier is scheduled to depart from Kathmandu on Friday. 

Published in The Rising Nepal daily on 1 May 2026.          

FM Khanal inquires Nepali POWs in Ukraine

Kathmandu, Apr. 30

Minister for Foreign Affairs Shisir Khanal held telephone talk on detention of Nepali nationals in Ukraine as Prisoners of War (POWs) with his Ukrainian counterpart, Andrii Sybiha on Thursday.

He received a telephone call from FM Sybiha, the Ministry of Foreign Affairs (MoFA) of Nepal informed in a statement.

FM Khanal informed the Ukrainian counterpart that Nepal does not allow recruitment of Nepali citizens in any foreign army except in those countries with whom Nepal has traditional agreements.

He strongly requested the Ukrainian Government to release and return, on humanitarian ground, all nine Nepali nationals taken into detention by the Ukrainian forces.

"Sybiha assured Minister Khanal that the Ukrainian side is open to discuss on this issue," read the statement.  

On the occasion, Sybiha expressed his best wishes for a successful tenure of FM Khanal. 

The two leaders also talked about Nepal-Ukraine relations. They expressed satisfaction over the excellent state of bilateral relations and reaffirmed their commitment to further enhancing cooperation between the two countries across various sectors, including agriculture, tourism and education.

Published in The Rising Nepal daily on 1 May 2026.          

MCA-Nepal begins road upgrading works

Kathmandu, Apr. 30

Millennium Challenge Account Nepal (MCA-Nepal) begun the works for upgrading the 40km Dhan Khola–Lamahi section of the East-West Highway on Wednesday.

It informed in a statement that the road upgrading and maintenance works will, for the first time in Nepal, apply Full Depth Reclamation and Superpave as modern construction methods that offer important gains in quality, durability, and sustainability.

"By creating a stronger and long-lasting road surface, reusing existing asphalt materials, and reducing environmental impacts, these approaches will help deliver a more reliable and cost-effective investment in the long term," read the statement.

The project will also widen the road to 12 meters, with a 7-meter carriageway and 2.5-meter shoulders on both sides.

Speaking at the project launch event, Chief Minister of Lumbini Province Chet Narayan Acharya appreciated the use of modern technologies like FDR and Superpave, which will ensure better quality and longer-lasting roads.

“This is a major step forward for our province and the people who rely on this highway every day. The upgrading of this road section will not only make travel safer and more reliable, but also open up new opportunities for local businesspeople, farmers, and entrepreneurs,” he said.

Similarly, Scott Urbon, the Charge d'Affaires a.i. at the U.S. embassy, said that the launch of the project marks an important milestone in the partnership between the United States and Nepal.

"Through the MCC Nepal Compact, we are investing in high-quality, durable infrastructure that will lower transportation costs, improve safety, and connect communities to markets and opportunities. This project reflects our trust in Nepal’s future and our joint dedication to sustainable economic growth,” he said.

The Road Maintenance Project is a key component of the MCC Nepal Compact, the project supported with the Millennium Challenge Corporation (MCC), aimed at lowering transportation costs and improving road conditions across Nepal.

Likewise, speaking at the event, Sushil Babu Dhakal, Joint Secretary at the Ministry of Physical Infrastructure and Transportation and MCA-Nepal Board Member, said that MCA-Nepal’s investments are designed to complement the government’s plans and programmes.

"This collaboration reflects our shared commitment to building resilient infrastructure and expanding economic opportunities for our communities," he said.

MCC Deputy Resident Country Director Sanjay Poudyal said that this milestone reflects MCC’s commitment to supporting Nepal in building resilient, cost-effective infrastructure using advanced technologies that ensure long-term performance.

Similarly, MCA-Nepal Executive Director Khadga Bahadur Bisht expressed MCA-Nepal's commitment to delivering this project efficiently, transparently, and to the highest quality standards.

Nepal has signed a five-year project worth USD 747 million (including US$197 from the Government of Nepal) to construct about 315-km 400kV Nepal-India cross-border transmission line and three substations, an upgrade road with technology transfer.

The project was launched in August 2023 with a fund of US$ 697 while in November 2025, the USA announced an additional US$ 50 million in grant for the same project.

 

Published in The Rising Nepal daily on 1 May 2026.         

Global community watching PM Balendra Shah's government closely

Kathmandu, Apr. 29

Several foreign diplomats and experts said Nepal’s political transformation has generated considerable international interest and they are looking at it with optimism.

But its long-term success will depend on the government’s ability to translate public expectations into tangible outcomes, strengthen institutional frameworks, and maintain economic and political stability, they said while speaking at a webinar on 'How the world sees Balen's leadership in Nepal', organised by Nepal Institute for International Cooperation and Engagement (NIICE) on Wednesday.

The event brought together 26 diplomats, policymakers, scholars, and experts from 25 countries including India, the United States, China, Bangladesh, Pakistan, Japan, Bhutan, and Nepal offering diverse global perspectives on Nepal’s evolving governance landscape.

Former Indian Ambassador Manjeev Singh Puri said that Nepal’s transformation is deeply influenced by globalisation, migration, social media, and rising societal aspirations. He noted that the future of bilateral relations between Nepal and India should focus on economic cooperation, connectivity, and mutual benefit, beyond short-term political narratives.

Pankaj Saran further observed that Nepal’s current developments represent a continuing political evolution rather than a one-time change, driven by new-generation leadership.

According to him, while expectations are high, the real test lies in institutional capacity to deliver results amid economic pressures, and that this moment presents an opportunity to redefine and strengthen India–Nepal cooperation through forward-looking engagement.

Dr. Zhang Jiadong of China described Nepal’s leadership as pragmatic, anti-corruption-oriented, and people-centred, with a governance style that resonates strongly with younger citizens and reflects a broader shift toward more direct and responsive administration.

Likewise, Dr. Shahab Eman Khan from Bangladesh emphasised that the current leadership represents a departure from entrenched political structures, demonstrating how youth-driven aspirations can translate into electoral success and governance authority.

However, he cautioned that challenges remain, particularly regarding institutional depth, structured political engagement, and the absence of a clearly defined ideological framework (like the previous government), which could affect long-term sustainability.

Similarly, Dr. Aamna Khan from Pakistan noted that Nepal is viewed as a peaceful, independent, and diplomatically balanced nation, particularly respected for its ability to maintain relations with major regional powers. She highlighted Nepal’s potential as a model for regional cooperation, and encouraged stronger bilateral engagement through education partnerships, cultural exchanges, diplomatic dialogue, and improved connectivity, including direct transport links.

From the United States, Dr. Rob York said that political stability remains a central priority, even as growing public dissatisfaction signals strong demand for reform. He noted that Nepal’s young demographic profile makes youth-oriented policymaking critical, while also warning that reform efforts must be carefully balanced to avoid political volatility. Dr. York further observed that Nepal’s strategic balancing between China and India is being closely monitored as a pragmatic approach.

Joëlle Hivonnet of the European Union characterised Nepal’s recent developments as a notable example of democratic transition with global relevance, rooted in widespread frustration over corruption, unemployment, and exclusionary political practices. She stressed that the transition from protest to effective governance is complex, and that the government’s ability to implement its reform agenda will be crucial in maintaining public trust.

Bibek Dhoj Thapa, Programme coordinator and Research Associate at NIICE, said that the discussion was organised to assess how the world is looking at Prime Minister Balen Shah’s government.

Published in The Rising Nepal daily.