Energy Minister Shrestha directs agencies to expedite projects

Kathmandu, Mar. 8

Minister for Energy, Water Resources and Irrigation Biraj Bhakta Shrestha has directed the  agencies under his ministry to prepare a checklist of immediate tasks and to expedite plans and programmes that can be completed within the remaining period of the current fiscal year 2025/26.

He issued the instruction during discussions with the leadership of the Nepal Electricity Authority (NEA), the Water and Energy Commission Secretariat (WECS) and the Alternative Energy Promotion Centre (AEPC).

According to his secretariat, Minister Shrestha said that while he does not favour budget reallocation, he is willing to facilitate in cases where funds allocated under certain headings remain unspent while other programmes face shortages and cannot be completed.

Likewise, he stressed that future planning must ensure past state investments are not wasted and called for policy stability. "Policies should be designed to facilitate development and must not become obstacles to it," he said.

Minister Shreatha directed officials to formulate programmes in the spirit of federalism, emphasising the need to achieve energy self-reliance and to develop an action plan in consultation and coordination with local governments.

He also underlined the importance of classifying electricity consumption at industrial and household levels and advancing strategic plans to increase domestic electricity use. He instructed that such plans be prepared in coordination among relevant agencies.

The minister further directed officials to develop a model for energy development in collaboration with universities and to begin preparations for it. He added that greater attention should be given to energy start-up projects in the coming days.

Similarly, Minister Shrestha also said that pilot projects could be developed in coordination with local levels to generate energy from waste and establish successful models.

According to the Ministry, Water Resources Secretary Sarita Dawadi, Energy Secretary Chiranjibi Chataut, Commission Secretary Dinanath Mishra, NEA Executive Director Hitendra Dev Shakya, and AEPC Executive Director Nawa Raj Dhakal had briefed the minister on existing challenges and future strategies in the energy and water resources sectors.

FM Khanal, Jaishankar pledeg to extend cooperation

 Kathmandu, Apr. 10

Foreign Minister Shisir Khanal has held a bilateral meeting with his Indian counterpart Dr. S. Jaishankar on Friday at the sidelines of the 9^th Indian Ocean Conference ongoing in Port Louis in Mauritius.

Dr Jaishankar congratulated him on assuming office. The two leaders reviewed the longstanding, multifaceted Nepal–India relationship, the Ministry of Foreign Affairs (MoFA) Nepal informed in its post on X.

"Both sides held constructive and forward-looking discussions on matters of mutual interest, reaffirming their shared commitment to further strengthening bilateral cooperation between the two nations," read the post.

External Affairs Minister of India, Dr. Jaishankar said in his post on X that the two leaders discussed realising the full potential of the partnership by deeper collaboration in different sectors.

Likewise, FM Khanal said in his post that he is looking forward to working closely together to expand cooperation across all sectors for the mutual benefit of people in both the countries.

Published in The Rising Nepal daily on 11 April 2026.       

Uncertainty persists for work permits for West Asian nations

Kathmandu, Apr. 10

The Ministry of Foreign Affairs (MoFA) said on Friday that the government is still evaluating the situation in West Asia to decide whether to issue new labour permits.

The Department of Foreign Employment, an agency under the Ministry of Labour, Employment and Social Security (MoLESS) has begun to issue labour permits for those seeking re-entry to the countries in the West Asian region, including the Gulf, after a brief halt.

But issuing new permits is still under consideration, said Ram Kaji Khadka, Joint Secretary and Head of the Central Asia, West Asia and Africa Division at the MoFA, informed at a press conference organised on Friday afternoon.

“However, we are hopeful of an improved situation following the ceasefire and expect a positive move in terms of opening labour permits for the new migrant workers,” he said while adding that the Ministry is evaluating the situation.

The MoFA is getting updates from the Nepali missions in ten West Asian locations — Tel Aviv, Doha, Riyadh, Abu Dhabi, Manama, Kuwait City, Muscat, Cairo and Jeddah, along with the Consulate General in Dubai.

They are regularly updating the Foreign Ministry with 'situation analysis reports'.

Likewise, Spokesperson of the MoFA, Lok Bahadur Poudel Kshetri, said that the Emergency Control Room is functioning round the clock. The room becomes operational during the day, while at night, designated officials manage the communication on the move through cell phones and other communication devices.

Nepalis in West Asia and their families in Nepal can register their complaint or suggestions even during night.

The MoFA also informed that 11 Nepali citizens in Nepal are safe. One Nepali, Amrit Jha is in custody on a smuggling case. A persecutor is meeting him on Saturday to get the updates.

Similarly, the government has formed an organising committee to organise the Wellness Day on April 15. On Nepal’s proposal, the United Nations has decided to celebrate April 15 every year as Wellness Day. The government has also directed Nepali mission abroad to celebrate the day grandly.

A Wellness Walk will be organised on April 18, where the foreign missions in Kathmandu will participate.

Earlier on Thursday, Minister for Foreign Affairs Shisir Khanal left for Port Louis, Mauritius, to address the 9^th Indian Ocean Conference (IOC) 2026 at the invitation of his Indian counterpart Dr. S. Jaishankar.

FM Khanal is scheduled to hold meetings with his Indian, Mauritian, and Bangladeshi counterparts on the margins of the Conference, said Kshetri.

The Conference, which began on Friday, will run till Sunday, and is being organised by the India Foundation in association with the Government of Mauritius.

During the Conference, FM Khanal will deliver Nepal's national statement articulating Nepal's perspectives on Indian Ocean governance, the mountain-ocean ecological nexus, and the importance of maritime connectivity for economic development, the MoFA said in a statement.

He is scheduled to return to Nepal on Monday, April 13.

Published in The Rising Nepal daily on 11 April 2026.      

World Bank cuts this year’s growth projection to 2.3%

Kathmandu, Apr. 8

The World Bank has projected that Nepal's economic growth in the current Fiscal Year 2025/26 will drop down to 2.3 per cent from 4.6 per cent of the FY 2024/25.

The impact of the ongoing conflict in West Asia and the lingering effects of the September 2025 unrest are the reasons behind this slowdown, according to the World Bank’s latest economic update.

Looking ahead, reconstruction activities, continued hydropower expansion, and consumption linked to the 2027 subnational elections are expected to support a pickup in growth to an average of 4.4 per cent over the next two fiscal years, it said in its report published on Wednesday.

The Nepal Development Update, titled 'Growth Under Pressure: Navigating Domestic and Global Shocks', said that the services sector is expected to be most affected in 2025/26, due to slower tourism activity, higher transport costs, and potential supply chain disruptions.

"The outlook remains highly uncertain. A prolonged conflict in the Middle East could dampen tourist arrivals, reduce remittance inflows, weaken consumption, and slow overall economic activity," read the report.

On the upside, improved political stability following the elections in March, sound macroeconomic management, the availability of ample buffers, and continued structural reforms could strengthen investor confidence, boosting private investment and growth.

“Boosting private sector-led growth will be critical to strengthening economic resilience and creating more jobs in Nepal,” said David Sislen, World Bank Division Director for Maldives, Nepal, and Sri Lanka. “To achieve this, Nepal must improve the business environment, develop foundational infrastructure, mobilize private finance, and support priority sectors such as tourism, the IT sector, and agribusiness.”

Sislen suggested that in order to attract more Foreign Direct Investment (FDI) to Nepal, the country should improve its transport infrastructure and implement reforms in information technology sector.

Talking about the recent concessional loan the multilateral donor recently approved, he said that the WB only provides financial supports and the country designs projects as per its development priority.

The Nepal Development Update is a companion piece to the World Bank Group’s South Asia Economic Update, a twice-a-year report that examines economic developments and prospects in the South Asia region.

Likewise, the latest South Asia Economic Update, Working with Industrial Policy, projects growth in South Asia to slow to 6.3 per cent in 2026—from 7 per cent in 2025—due to disruptions in global energy markets.

Despite the near-term slowdown, South Asia continues to grow faster than other emerging-market and developing economies. Growth is expected to recover to 6.9 per cent in 2027.

“South Asia's mixed success on industrial policy in part reflects the region’s limited implementation capacity, fiscal space, and market size in some countries,” said Franziska Ohnsorge, World Bank Group Chief Economist for South Asia. 

 Published in The Rising Nepal daily on 9 April 2026.      

Nepal keen to strengthen relations with friendly nations: PM Shah

Kathmandu, Apr. 8

Prime Minister Balendra Shah has said that his government is keen to further strengthen Nepal’s relations with the friendly nations represented by ambassadors and heads of diplomatic missions based in the country.

Speaking at a collective courtesy meeting held at the Prime Minister's Office (PMO) on Wednesday, he said that the government accords high importance to its relations with all countries, places trust in them, and remains committed to strengthening partnerships based on mutual benefit.

“Nepal has been pursuing a balanced and pragmatic foreign policy. Our external relations are guided by the goal of shared prosperity,” a PMO statement said. “We express our sincere gratitude to all partners and friends for their continued goodwill and support towards Nepal’s development and prosperity.”

Prime Minister Shah stressed that ongoing conflicts around the world have the greatest impact on ordinary citizens and that peace should be a shared priority.

“As ongoing conflicts affect ordinary people the most, peace must remain our common priority. I believe we all agree on this and expect collective efforts in this direction,” he said, thanking all partners for their continued friendship and cooperation.

PM Shah said the government is committed to creating an investment-friendly environment, promoting entrepreneurship, and supporting sustainable development. He also noted that Nepal aims to integrate more strongly into regional and global economic frameworks in line with its national interests.

“A new government does not mean a break from continuity. We are firmly committed to maintaining political stability and ensuring that policy direction remains stable and predictable,” he said.

He also added that the government is willing to advance cooperation in areas such as development, trade, investment, climate action and people-to-people relations, while emphasising that the safety and welfare of Nepali citizens abroad remain a priority. 

Published in The Rising Nepal daily on 9 April 2026.      

PM Shah relieves Labour Minister Sah

Kathmandu, Apr. 9

Prime Minister Balendra Shah has relieved Minister for Labour, Employment and Social Security Dipak Kumar Sah of his duties on Thursday. The decision was taken in accordance with a recommendation from the Rastriya Swatantra Party (RSP).

Earlier on Thursday, RSP Chair Rabi Lamichhane had recommended action against Minister Sah, alleging that he had misused his official position by involving his wife in regular work as a member of the long-inactive Health Insurance Board (HIB).

On Wednesday, the party’s Central Disciplinary Commission, following a detailed study, had concluded that action should be taken against Sah. Citing that his conduct had seriously undermined the party’s image, ideals, principles and dignity, Chair Lamichhane forwarded the recommendation along with the commission’s report to Prime Minister Shah.

Based on the party recommendation, Prime Minister Shah dismissed Minister Sah, his Press Adviser Deepa Dahal informed.

The RSP said that Clause 25(4)(a) of its party statute assigns the party chair the responsibility of safeguarding the party’s ideals, principles and integrity. It further noted that Clause 69 provides for a ‘Right to recall’ in cases of misuse of office, under which the party may withdraw an individual from their responsibilities.

The recommendation was made to immediately relieve Minister Sah of his duties accordingly.

PM Shah has kept the portfolio of the Ministry of Labour, Employment and Social Security with him. With this, he has the responsibility of three ministries, including Defence, and Industry, Commerce and Supplies, informed the Office of the President.

Similarly, citing a lack of the expected seriousness in handling such a grave matter, Chair Lamichhane had also recommended that Minister for Health and Population Nisha Mehta be formally cautioned. Acting on this recommendation, Prime Minister Shah has also issued a warning to Minister Mehta.

Published in The Rising Nepal daily on 10 April 2026.      

Nepal should be promoted as safe destination: Tourism entrepreneurs

Kathmandu, Apr. 9

Tourism entrepreneurs and experts have said that the ongoing crisis in West Asia should be viewed not only as a challenge but also an opportunity.

Speaking at a discussion on alternative strategies to minimise the impact of escalating crisis in West Asia on Nepal's key source markets, air connectivity and tourist arrivals, they suggested promoting Nepal as a safe tourist destination. The discussion was hosted by Nepal Tourism Board on Thursday.

West Asia is a major source market for Nepal and also a gateway for European and American tourists, and the crisis could affect air connectivity and arrivals.

“The government is committed to promoting Nepal as a safe and accessible destination,” Mukunda Prasad Niraula, Secretary at the Ministry of Culture, Tourism and Civil Aviation, said. He added that a special task force has been formed to outline a roadmap.

Ramkaji Khadka, Joint Secretary at the Ministry of Foreign Affairs, said the government is working to mitigate potential losses through an inter-ministerial committee and coordination with diplomatic missions to explore alternative routes.

According to him, there is a need to target India and China and leverage tourism as a tool of economic diplomacy.

Vice-Chair of the NTB Ram Prasad Sapkota stressed the need for timely information dissemination and alternative air routes, while also calling for fare concessions to address rising fuel costs.

Likewise, Board Member of NTB Narendra Dev Bhatt emphasised expanding alternative air links, suggesting routes such as Kathmandu–Australia. Nepal Association of Tour and Travel Agents President Kumar Mani Thapaliya called for initiating flights via Kathmandu–Hong Kong and strengthening coordination among stakeholders.

Sagar Pandey, President of the Trekking Agencies’ Association of Nepal, said uncertainty in Middle East transit routes has increased, and called for fuel subsidies and a stronger role for Nepal Airlines.

Similarly, President of Hotel Association Nepal Binayak Shah said European tourists are cancelling bookings and urged targeted packages for India and China, along with easing entry procedures. He suggested promoting domestic tourism and cultural events.

According to Nepal Association of Tour Operators President Bishweshwar Shrestha, around 47 per cent of bookings have been cancelled, with possible long-term impacts.

Airline representatives said that while arrivals in 2025 were strong and early 2026 remains stable, proactive strategies are needed to reduce the impact of the crisis. They stressed the importance of promoting Nepal as a safe, peaceful and sustainable destination, simplifying visa processes and exploring new markets.

Despite rising fuel prices, no flights have been cancelled, and flexible booking systems have been introduced. Stakeholders said tourism entrepreneurs should also introduce concessional packages to attract visitors.

Published in The Rising Nepal daily on 10 April 2026.