Nepali Times was born at the dawn of the new millennium. It started publishing online in May 2000 before the #1 print edition in the week of 19-25 July 2000. But a month before that, there was a <a href="https://himalaya.socanth.cam.ac.uk/collections/journals/nepalitimes/pdf/Nepali_Times_000.pdf">practice #0</a> which had a Publisher’s Note titled ‘The Freedom To Be Fair’ on page 1. Here is an excerpt:&nbsp; ‘It was a journalist who once said that journalists are people without any ideas, but with an ability to express them. These are cynical times, and it is people in media who are most cynical about the media. For too long journalists have taken objectivity as our main mantra, forgetting fairness.&nbsp; Objectivity is not having to make up your mind about anything, fairness is hearing all sides. Globally, and within countries society’s balance of justice is heavily skewed by the weight of the powerful. Objectivity perpetuates this status quo, fairness tries to set things right. We at Nepali Times and other publications of the Himalmedia group are committed to professionalism and high-quality journalism … upholding the freedom to be fair.’ These were heady times for Nepal’s mainstream press during the constitutional monarchy days. One had to use dialup through a modem and phone line to access the Internet. Nepal Telecom had just started its GSM mobile service, and we all proudly carried around Nokia 3310s with tiny LCD displays.&nbsp; It would be six years before Twitter started. YouTube was launched in 2005 after its former PayPal founders were caught up in the Asian Tsunami in Thailand, and found there was no platform for sharing videos. It would be another eight years before algorithms began pushing cat videos to users.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250801110848_996e922379073386e7b137498f8f5b6979fe839d808669bc732d33b60827ba4e.jpg" data-media-id="editor_1" data-image-id="20250801110848_996e922379073386e7b137498f8f5b6979fe839d808669bc732d33b60827ba4e" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Nepali Times 2000"> <figcaption>Nepali Times #1 19-25 July 2000</figcaption> </figure>  The masthead of the <a href="https://d1i1jdw69xsqx0.cloudfront.net/digitalhimalaya/collections/journals/nepalitimes/pdf/Nepali_Times_001.pdf">#1 print edition of Nepali Times of 19-25 July 2000</a> carried the ambitious ‘Nepal’s Top Newspaper’. The Editorial titled ‘A Sign of the Times’ said in part: ‘Newspapers do more than hold the mirror to society. They are the mirror. Journalism is called history in a hurry. It is also culture, sociology, anthropology, philology, and philosophy in a hurry. Nepali Times will aspire to be a true reflection of our times…’ Indian graphic designer Rustam Vania was invited to Kathmandu in April 2000 and designed a newspaper with a fresh, modern look. His rendition of the masthead and the page template has not changed in 25 years, though much has changed in Nepal, even while a lot has remained the same. Reports and op-eds about air pollution, hydropower exports, investment, political back-stabbing from two decades ago are as relevant today as they were then. Most of the protagonists are the same people, just a little greyer and chubbier. In the first of his many thoughtful columns ‘State of the State’, C K Lal lamented the cynicism in Nepali society: ‘Nepal’s nabobs of negativism hold forth in their nay-saying nooks. Cynicism is at least a reflection of exaggerated self-worth. Despair is much worse, it is a state of having lost all hope.’ Sounds familiar?  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110744_c270d9b78096edfeec71984033aae895e376a347b5cd1ba77362c8a8038b9856.jpg" data-media-id="editor_3" data-image-id="20250731110744_c270d9b78096edfeec71984033aae895e376a347b5cd1ba77362c8a8038b9856" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Rewind: 2000"> <figcaption>Nepali Times #7 30 August - 5 September 2000</figcaption> </figure>  Water resources expert Dipak Gyawali argued in a commentary that it made more sense for private power producers to build reservoir projects not for export, but to make up for the dry season power shortfall. A debate even more prescient today. Manjushree Thapa's &nbsp;Nepaliterature column profiled Nepali writers with translated excerpts. The paper serialised chapters from Desmond Doig’s book In the Kingdom of the Gods. The Backside satire column featured ‘Under My Hat’ and ‘The Ass’. Nepali Times even carried a weekly horoscope, cigarette and alcohol advertisements.&nbsp; Journalism is indeed history in a hurry. Those who do not learn from it are doomed to repeat it. Browse the past 25 years of Nepali Times through the online archive on HTML and the ePaper through<a href="https://www.archivenepal.org/nepalitimes"> Archive Nepal</a>.

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2000

25 years of journalism

The sudden and massive flood on the Bhote Kosi early Tuesday morning washed away a strategic bridge on Nepal’s main border crossing with China for trade, tourists and pilgrims. Slurry from the nearly 10m high debris flow left 9 dead and 20 missing, 12 of them Nepalis and six Chinese nationals, and 150 others were rescued by helicopter.&nbsp; Four <a href="https://nepalitimes.com/banner/climate-smarter-himalayan-infrastructure">hydropower plants</a> Rasuwagadi, Trisuli III, Trisuli, &nbsp;Benighat and the Trisuli substation sustained heavy damage, knocking &nbsp;out 230MW of Nepal’s power supply – approximately 8% of the total. Over 100 cargo trucks and new electric vehicles parked at &nbsp;Timure Dry Port were swept away. Read also: <a href="https://nepalitimes.com/news/mapping-kangchenjunga-glacial-flood-risk">Mapping Kangchenjung glacial flood risk</a>, Gabe Allen Officials had initially thought &nbsp;the Bhote Kosi had flooded due to heavy rain in Tibet. However, the Department of Hydrology and Meteorology (DHM) and the National Disaster Risk Reduction and Management Authority (NDRRMA) now say a <a href="https://nepalitimes.com/here-now/living-below-nepal-s-melting-mountains">Glacial Lake Outburst Flood (GLOF)</a> is likely.&nbsp; NDRRMA spokesperson Suresh Sunar said it was too early to tell which one, but the flood was most likely the result of one of the glacial lakes in Tibet. Bhote Kosi begins on the north slope of the Ganesh Himal near the Nepal-China border, and its tributary Lende drains the catchment area north of Langtang. The slurry flood on Tuesday was on the Lende (map).&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250709110720_bbc99c5f3e3d61a3d340892e0273fee3605a8d334a2beb354126137bcf0c8d27.jpg" data-media-id="editor_3" data-image-id="20250709110720_bbc99c5f3e3d61a3d340892e0273fee3605a8d334a2beb354126137bcf0c8d27" data-rendition-name="original" width="629" height="759" loading="lazy" alt="Bhote Kosi flood map"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250709110720_39e2f574ff8c12cecda2e5a999d2ba8a0310f599f6b2261dcad7dd43f94df2a1.jpg" data-media-id="editor_4" data-image-id="20250709110720_39e2f574ff8c12cecda2e5a999d2ba8a0310f599f6b2261dcad7dd43f94df2a1" data-rendition-name="original" width="997" height="613" loading="lazy" alt="Bhote Kosi flood map"> </figure>  “Preliminary study suggest that the disaster was not caused by rain in Tibet, but by a glacial lake burst, or another accident,” said Kamal Ram Joshi of the DHM. The level of water at a self-monitoring station in Timure in Rasuwa increased by 3.5m at 3:10AM on Tuesday morning while 13km downstream in Syabrubesi, the level rose by 3.65m at 3:30AM. The same station recorded 5.37m ten minutes later, after which it stopped giving a reading, possibly because the station was also washed away. The flood reached <a href="https://nepalitimes.com/here-now/neither-side-lost-both-sides-won">Betrawati</a> by 5AM, and some of the debris flow reached Mugling during Tuesday. DHM’s Flood Forecasting Division noted that there was no major precipitation in the Bhote Kosi watershed in Nepal and China in the 24 hours preceding the flood.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250708100724_313a684b65fc5317064779e47409a40f2bbce2c0c84db995e7f8fc6e1c142105.jpg" data-media-id="editor_6" data-image-id="20250708100724_313a684b65fc5317064779e47409a40f2bbce2c0c84db995e7f8fc6e1c142105" data-rendition-name="original" width="3600" height="1662" loading="lazy" alt="Bhotekosi flood"> <figcaption>The Miteri bridge before it was swept away by the flood in Bhotekosi on the Nepal-China border. Photo: SUBASH DHUNGANA / RSS</figcaption> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250708100732_ec43f13bae979f7b61bc0db939db4157dc93d3f0767ed527f564bd5c3d12be27.jpg" data-media-id="editor_7" data-image-id="20250708100732_ec43f13bae979f7b61bc0db939db4157dc93d3f0767ed527f564bd5c3d12be27" data-rendition-name="original" width="720" height="432" loading="lazy" alt="Bhotekosi flood NT 2"> <figcaption>The bridge after the flood.</figcaption> </figure>  On Wednesday, several remote-sensing experts using Copernicus &nbsp;satellite images pinpointed the cause of the flood to Purepu Cangbu where supraglacial ponds had merged in June to form a large lake which did not burst, but overflowed &nbsp;and found a channel through englacial conduits to the headwaters of the Lende. The river meets the Bhote Kosi at the Nepal-China checkpoint in Rasuwa.&nbsp; “Analysis of weather forecasts and satellite data shows the Tibet region did not receive enough rain to cause this scale of flooding,” explained Binod Pokharel, associate professor of hydrology and meteorology at Tribhuvan University. “The flood could have been caused by a GLOF."&nbsp; Two weeks ago, Chinese officials had reportedly warned the Rasuwa District Administration in Nepal to be on high alert for floods on rivers that originate in Tibet. It could be that Chinese scientists had observed the alarming<a href="https://nepalitimes.com/here-now/the-climate-crisis-is-a-water-crisis-in-the-himalaya"> expansion of glacial lakes</a> in the Lende and Bhote Kosi catchments. If that was the case, it is an example of the kind of trans-boundary forewarning that would be critical to save lives in future.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250708100736_1710142917b30d4f85b343ed52743554d723db918c708f0bade8a0491ba999b2.jpg" data-media-id="editor_9" data-image-id="20250708100736_1710142917b30d4f85b343ed52743554d723db918c708f0bade8a0491ba999b2" data-rendition-name="original" width="1001" height="500" loading="lazy" alt="Bhotekosi flood"> </figure>  However, Rasuwa’s Assistant Chief District Officer Dhruv Prasad Adhikari seems to have no knowledge of any warning from the Chinese side, either formally or informally. &nbsp; “The Chinese Embassy has said the cause of the flood is unknown that it will coordinate with Nepal to find the cause," Adhikari told us. Chinese Ambassador Chen Song and Prime Minister Oli visited the border on Tuesday (pictured). &nbsp; The sharing of real-time trans-boundary rainfall and river flow data would be crucial in early warning about the <a href="https://nepalitimes.com/news/mapping-kangchenjunga-glacial-flood-risk">risk and consequences of GLOFs</a> to reduce human and material loss. But Nepali officials say China has been reluctant to share weather-related information and data not just in this disaster, but in the past as well. “There is no mechanism or system in place for us to obtain hydrological and meteorological data of the Tibetan region,” said DHM Director General Joshi. The <a href="https://nepalitimes.com/here-now/for-destruction-ice-is-also-great-and-will-suffice">Himalaya is melting twice as fast as the rest of the world</a> due to a phenomenon called ‘elevation dependent warming’, and receding glaciers have led to an increasing number of transboundary GLOFs.&nbsp; According to <a href="https://nepalitimes.com/here-now/danger-nepal-s-glacial-lakes-are-filling-up">a 2018 ICIMOD study</a>, of the 47 of the most dangerous lakes that threaten Nepal, 25 are on glaciers in China, 21 in Nepal and one in India. Many of these glaciers are expanding rapidly due to global warming. One of the authors of the report, glacial lake expert Samjwal Bajracharya, says that the report was prepared based on data from 2015. But climate change has accelerated since then. Moreover, seismic activity has further destabilises the landscape, adding to <a href="https://nepalitimes.com/here-now/nepals-glacial-lakes-in-danger-of-bursting">GLOF risk</a>.&nbsp; “Considering the rapid rate of snowmelt and consequent increase in size of Himalayan glaciers, studies should be conducted every year, and a monitoring system should be set up on the glaciers,” says Bajracharya. “However, no studies have been conducted in the Himalaya in a decade, which has been our biggest weakness.” &nbsp;

Rasuwa flood likely a GLOF

In Bhutan, this is one sentence one hears often: “We are learning from <a href="https://nepalitimes.com/banner/now-the-economy-stupid">Nepal’s mistakes.</a>” Considering lack of political accountability and chronic incompetence of the past decades, Nepal indeed sets an example of what not to do. But Nepal has not forcibly evicted one sixth of <a href="https://nepalitimes.com/news/nepal-s-population-to-cross-30-million">its population</a> like Bhutan did in the early 1990s. More than 100,000 <a href="https://nepalitimes.com/news/mindfulness-about-bhutan-s-refugees">refugees </a>were transported across India to Nepal and lived for over 15 years in camps in eastern Nepal. Most have since been resettled in third countries, but there are still about 6,000 elderly refugees who want to return to their <a href="https://nepalitimes.com/here-now/searching-for-a-homeland-away-from-home">homeland</a>. This history has strained relations between the two Himalayan nations which share many of the same socio-economic, geopolitical and environmental challenges. Despite the asymmetry in size and population between Bhutan and Nepal, there is <a href="https://nepalitimes.com/news/missing-out-on-nepal-s-tourism-potential">untapped potentia</a>l for them to learn more from each other and cooperate.&nbsp; Both have abundant <a href="https://nepalitimes.com/news/nepal-s-new-national-natural-resources-and-fiscal-commission">natural resources</a> and <a href="https://nepalitimes.com/here-now/pump-water-store-energy">clean energy sources</a>, both are sandwiched between two giant emerging global powers. Nepal and Bhutan also struggle with <a href="https://nepalitimes.com/multimedia/staying-home-to-create-jobs">creating enough jobs at home</a> and prevent <a href="https://nepalitimes.com/opinion/guest-editorial/the-migration-myth">mass outmigration</a> of their youth. Read also: <a href="https://nepalitimes.com/opinion/guest-column/nepal-in-the-new-world-order">Nepal in the new world order</a>, Dhirendra Nalbo Bhutan’s defence and <a href="https://nepalitimes.com/editorial/no-binary-foreign-policy?fb_comment_id=3583384368393672_3586424038089705">foreign policy </a>are handled by New Delhi, and there is a heavy presence of the Indian Army along Bhutan’s border with China, especially along the disputed Doklam region. Nepal is nominally more independent, and has tried to steer equidistant relations with <a href="https://nepalitimes.com/news/india-china-rail-race">India and China</a>. Bhutan generates 2,326MW of electricity from plants built mostly by Indian companies and half this power is exported to India. The government’s Druk Holdings and Investment is looking to harness an additional 15,000MW of <a href="https://nepalitimes.com/here-now/nepal-s-1st-hydroelectric-plant-is-a-museum-piece">hydroelectric</a> and 5,000MW solar power for which it will need over $25 billion in investments. There seems to be an acceptance among Bhutan’s officials that this is <a href="https://nepalitimes.com/news/the-geopolitics-of-nepal-s-politics">the geopolitical reality</a>, and the country has to live with exclusive <a href="https://nepalitimes.com/news/nepal-india-power-play">Indian involvement </a>in its energy planning.&nbsp; Nepal pursued a different path in developing hydropower, with private producers and international investors generating nearly 70% of electricity in the country. But India has gradually asserted itself in <a href="https://nepalitimes.com/news/nepals-hydropower-goes-international?fbclid=IwAR1bfKP8flv5RQTnYALhmupWQH2hKL_BKiuylbGogpIbCd-dwY1goNvYsUY_aem_ASFlf8dMv3b2J0BWfSJITaR74lDt3yxH9t8Cg-eYZxRLLOS_dVwJwMTXqK7nxD6tfvI&amp;mibextid=Zxz2cZ">Nepal’s hydropower development</a> by sidelining Chinese involvement, and pressuring Nepal not to allow outside investment in <a href="https://archive.nepalitimes.com/article/nation/reservoirs-of-suspicion/hydropower-geopolitics%20,3991">large reservoir projects</a> on its <a href="https://nepalitimes.com/news/the-revenge-of-the-rivers">rivers</a>. The cascade of three out of four big hydropower plants in the <a href="https://nepalitimes.com/news/upper-arun-question-mark">Arun Basin</a> in eastern Nepal are all being built by an Indian state enterprise, more or less along the same model as Indian projects in Bhutan.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025022812024_ac6cf08607ee0873bb4f82e19d0917050c73b7efa8e7c3912525a3cd2efa85f0.jpg" data-media-id="editor_19" data-image-id="2025022812024_ac6cf08607ee0873bb4f82e19d0917050c73b7efa8e7c3912525a3cd2efa85f0" data-rendition-name="original" width="1440" height="1439" loading="lazy" alt="Photo: GMC"> </figure>  “We are a 100% hydro energy portfolio with about 2.5GW installed capacity with about another 1.5 GW in the pipeline in the next year or so,” says Ujjwal Deep Dahal, CEO of Druk Holdings and Investment. “While we are a net exporter of energy over a year, winter demands are increasing and we look to invest for additional power and importantly firm power.” Nepal also imports power from India in winter when its rivers are running low and demand is highest, but this is at a more expensive price than it exports during the rest of the year. Ecological and <a href="https://nepalitimes.com/here-now/agroecology-nepal-s-answer-to-climate-change">climate concerns</a> are prompting Bhutan to diversify from harnessing hydropower to explore pump storage, geothermal and solar power – a model that Nepal could also pursue. Read also: <a href="https://nepalitimes.com/here-now/pump-water-store-energy">Pump water, store energy</a>, Dipak Gyawali and Sudhindra Sharma While tensions between India and China affect Bhutan more than Nepal, Kathmandu has failed to adopt a more independent water and energy strategy. Despite being four times larger than Bhutan, Nepal has only 3,3000MW of installed capacity. It has also failed to increase domestic demand by electrifying industries, irrigation, transport and household consumption so surplus energy is not wasted. Nepal’s goal is to generate 28,000MW by 2035 but transmission and distribution infrastructure will have to keep pace. The <a href="https://nepalitimes.com/news/the-great-game-2nd-half">suspension of the US-supported MCC project </a>may further delay energy trade and distribution. Climate collapse is rapidly <a href="https://nepalitimes.com/news/himalayan-icecap-melting-faster-than-thought">melting Himalayan glaciers</a>, and it is going to be risky building large expensive hydropower plants in Nepal and Bhutan. Both countries must learn from a glacial lake outburst flood in 2023 that swept away the 1,200MW Teesta III Projectin Sikkim, a $1.7 billion dam. In Nepal, the $800 million <a href="https://nepalitimes.com/news/the-monsoon-mess-in-melamchi">Melamchi Water Supply Project </a>for Kathmandu Valley was severely damaged in a flood in 2021. The eastern Himalaya in Nepal, Bhutan, India and southern Tibet are affected more severely by glacial lake expansion, and combined with seismicity post a major threat to energy security in the region. “We cannot predict disasters like these but we can’t also be fatalistic, we need to be pragmatic and strike the right balance,” says Pema Gyamtsho from Bhutan, and director general of Kathmandu-based ICIMOD (International Centre for Integrated Mountain Development). “We have to invest in risk assessment before developing mega infrastructure. Where the risk is high, we should opt for <a href="https://nepalitimes.com/here-now/small-is-still-possible">smaller hydropower and other alternatives like solar and biogas</a>. We should have options rather than putting all our eggs in the same basket.” <h2>GDP, GNH, GMC</h2> Bhutan’s audacious Gelephu Mindfulness City mega-project is a risky gamble on the future&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025022812020_64d59d3ca75b44983167c70ba340afa56b1f88e4b6807605101bed4671abe198.jpg" data-media-id="editor_26" data-image-id="2025022812020_64d59d3ca75b44983167c70ba340afa56b1f88e4b6807605101bed4671abe198" data-rendition-name="original" width="1778" height="1000" loading="lazy" alt="Small Bhutan dreams big NT"> <figcaption>Rendering of a section of the Gelephu Mindfulness City (GMC), which is currently under development. Photo: GMC</figcaption> </figure>  On 17 December 2023, Bhutan’s King Jigme Khesar Namgyel Wangchuck announced the setting up of the Gelephu Mindfulness City (GMC) to be an international hub focused on energy, connectivity and skills for the 21st century.&nbsp; The city will be a 2,500 sq km Special Administrative Region to take advantage of Bhutan’s <a href="https://nepalitimes.com/opinion/nepal-can-lead-in-zero-carbon">clean energy</a> to power an information technology corridor with AI data centres. It will try to <a href="https://nepalitimes.com/opinion/turning-nepal-into-singapore">replicate Singapore</a> in a city three times larger, with its own hydropower plants generating 5,000MW.&nbsp; “Gelephu will become a gateway connecting Bhutan to the world and the future,” the King said. “The road we have chosen is a gateway to the world – to markets, capital, new ideas, knowledge, and technology towards our future, and to chart our destiny.”&nbsp; The rapid spread of energy-intensive <a href="https://nepalitimes.com/opinion/people-power/nepal-as-an-ai-power-bank">generative AI applications</a> have prompted technology companies to scout for clean energy sources to power their data centres. Some like Amazon and Google are even building their own small nuclear power plants.&nbsp; “Investing in green energy with our hydro potential of over 35,000MW is a priority and the strategy on AI data centres are an important anchor industry,” says Ujjwal Deep Dahal of Druk Holdings and Investment. Bhutan’s Finance Minister Lyonpo Lekey Dorji told visiting editors here earlier this month that energy cooperation under the South Asian Association for Regional Cooperation (SAARC) and the South Asia Free Trade Agreement (SAFTA) were going nowhere, and a new framework was needed. “Significant connectivity challenges, poor infrastructure, and often tense diplomatic relations lead to limited cross-border trade and movements of goods and people,” Dorji added. “The GMC is envisaged to help not only Bhutan but also the South Asian region, and particularly the neighbouring states of India.”&nbsp; Economists say that if countries in the region could go beyond geopolitical differences and increase trade, each country in South Asia stands to gain from the regional energy trade. While Nepal and Bhutan have export potential for clean energy, Bangladesh can reduce its carbon footprint by buying cleaner fuel from neighbours. “There are significant benefits if you increase investment in transmission across the region, increase connectivity, with more liberal trade,” says Simon Stolp of the World Bank. In the first phase, the GMC will build infrastructure including an international airport, and a regional railway linking Gelephu to Assam with a six-lane highway. Bhutan is one of few carbon negative countries in the world, and officials assure that 60% of the GMC area will retain its forest cover with two protected areas, a national park and a wildlife sanctuary. The Danish architecture firm Bjarke Ingels Group (BIG) has been hired to come up with a sustainable urban plan.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025022812020_f9e04d55bb349a64031f8133b0ad0f38dbe608f00070cb8d62dd2cab22bf1bb3.jpg" data-media-id="editor_30" data-image-id="2025022812020_f9e04d55bb349a64031f8133b0ad0f38dbe608f00070cb8d62dd2cab22bf1bb3" data-rendition-name="original" width="1200" height="590" loading="lazy" alt="Small Bhutan dreams big NT"> </figure>  GMC is also Bhutan’s response to the increasing outmigration of its young people, primarily to Australia — a problem similar to what Nepal faces.&nbsp; Youth unemployment in Bhutan in 2022 was 28.6%, and in 2023, 1.5% of the country’s 800,000 people moved just to Australia to work and study. Bhutan has a total fertility rate of 1.4, which is much below replacement level. These demographic trends have raised questions about Bhutan’s Gross National Happiness (GNH) approach to development. It has been hailed as a new age concept by some and ridiculed by others, especially because the regime has never answered for the eviction of one-sixth of its population in the 1990s (box).&nbsp; In that sense, the GMC could be Bhutan’s way of turning the page on GNH. Officials here said privately that Gross National Happiness has been largely misunderstood to be an idealistic dream, but it does not mean de-emphasising economic growth or GDP per capita. In the first 20 years, the Gelephu Special Administrative Region will be a ‘mindfulness city’ under complete autonomy with a legislative, judicial and governance system independent from the rest of Bhutan. After that will be the ‘convergence phase’, when the rest of Bhutan will have caught up with Gelephu in terms of development and socio-economic status. Gelephu was chosen for the mega-project because of the narrow strip of plains in a mostly mountainous country. This will make it easier to build infrastructure, especially the proposed new international airport which will be an alternative to Paro in which only specially trained pilots are allowed to land because of difficult terrain and weather.&nbsp; “GMC represents a new era for growth and opportunity for Bhutan, a bold experiment in &nbsp;governance, sustainability and economic transformation, all the while preserving Bhutanese identity, cultural and spiritual heritage,” explained GMC’s Rabsel Dorji. “We have the unprecedented opportunity to build a Special Administrative Region from the ground up, and for Bhutanese this is a nation-building experience.” Officials say that GMC needed to be a Special Administrative Region in order to speed things up, including decision-making so there would be no <a href="https://nepalitimes.com/here-now/bureaucratic-hurdles-in-researching-nepals-bureaucracy">bureaucratic hurdles</a> to <a href="https://nepalitimes.com/from-the-nepali-press/why-there-is-no-foreign-investment-in-nepal">foreign investments</a>.&nbsp; But will such a separate ‘state’ not create a gap between haves and have nots, much like other parts of the world which have set up Special Economic Zones? Officials here are convinced that since GMC is the brainchild of King Jigme himself, it will succeed without compromising Bhutan's culture. Bhutan lies in the emerging economic corridor between South Asia and Southeast Asia, which has close to half of the world’s population. The idea is that with better connectivity, GMC will be strategically located to attract investors, residents and retirees.&nbsp; Planners here hope this will also replenish Bhutan’s shrinking population and allow just GMC to accommodate up to 2 million people — more than double Bhutan’s current population. Bhutan has the third highest GDP per capita in South Asia after the Maldives and Sri Lanka because of income from hydropower and tourism. It now wants to build on this for future growth with <a href="https://nepalitimes.com/banner/putting-nepal-on-the-right-track?fbclid=IwAR2NwzuRGlfxnbjoMcTWRTlRMwXlRuTRA45k-lpnXQoZ1lxl5mBrow9YU08">clean energy and connectivity</a>. &nbsp; Added Rabsel Dorji: “The quality of life in Bhutan is very good but one could say <a href="https://nepalitimes.com/editorial/not-rising-nepal">the standard of living</a> could improve. With the GMC, we are trying to mix the two such that people have <a href="https://nepalitimes.com/here-now/the-qatar-job-mirage">high-paying jobs</a> while retaining the Bhutanese way of life.” &nbsp; <h2>The Gelephu connection</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025022812020_df5f1c680b18261d89a005da0e4eaca4877909738ae691285e745b562558116e.jpg" data-media-id="editor_36" data-image-id="2025022812020_df5f1c680b18261d89a005da0e4eaca4877909738ae691285e745b562558116e" data-rendition-name="original" width="946" height="599" loading="lazy" alt="Small Bhutan dreams big NT"> <figcaption>Bhutan Refugee Camp in Beldangi-2 in Jhapa district, Nepal.</figcaption> </figure>  Situated along Bhutan’s southern border with India at a point where the mountains meet the Brahmaputra plains, Gelephu was home to some 40% of the country’s 100,000 Nepali-speaking Lhotsampa people. Many of their family members were forcefully evicted from Bhutan over 30 years ago. Rights activists have opposed the GMC project, especially since many of the refugees still have land titles for property they left behind in Gelephu. People from Nepal were first invited by the Bhutan government to populate the lowlands in the south from the mid-19th century onwards. Over time, Nepali-speaking people accounted for one-sixth of the population of Bhutan, and were relatively better off because of their <a href="https://nepalitimes.com/news/kathmandu-wards-off-evil-spirits">agrarian lifestyle</a> in the fertile southern plains.&nbsp; ‘However, their growing numbers and the formation of a political party were perceived as a threat to the cultural and political order of Bhutan,’ notes Human Rights Watch in an explainer.&nbsp; The Lhotsampa ('people from the south') were driven across India and dumped in Jhapa and Morang from 1990-92. They lived in refugee camps until they were resettled in the United States, Australia, New Zealand and some European countries between 2007-2016.&nbsp; Now, 6,577 refugees, most of them elderly who want to go back to Bhutan, remain in the camps even after UNHCR and WFP withdrew support in 2016. Back in Gelephu, there is still a township of 15,000 people. One of the families there is that of a Bhutanese sociologist. In a carefully worded reply, he told us in Thimphu: “All of my childhood memories will soon be gone, but perhaps it is for the greater good.”&nbsp; Read also: <a href="https://nepalitimes.com/news/mindfulness-about-bhutan-s-refugees">Mindfulness about Bhutan’s refugees</a>, Archana Darji&nbsp;

Small Bhutan Dreams Big

Gender, diversity, equity and inclusion have deliberately been turned into slurs, as the world’s most powerful nation silences activists at home and abroad. It is therefore audacious and reassuring that an art exhibition titled Feminist Futures is being held in Kathmandu. Nepal is one of the few remaining safe spaces in South Asia for open-minded discussion on balancing the scales of social justice, and Taragaon Next has curated an exhibition with artists from Nepal, India, Bangladesh, Sri Lanka and Pakistan. South Asia is not safe for women, New Delhi has one of the highest numbers of sexual violence cases against women in the world. Horrific crimes against women frequently make it to the headlines in Nepal.&nbsp; Feminist Futures: Art, Activism, and South Asian Womanhood attempts to highlight this through the transformative power of art to express experiences and aspirations tied to womanhood and feminism.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025020111024_fc6e1ebf5619487b41127782e1163abc4c77623c2a87657023d535e49ed7bba2.jpg" data-media-id="editor_0" data-image-id="2025020111024_fc6e1ebf5619487b41127782e1163abc4c77623c2a87657023d535e49ed7bba2" data-rendition-name="original" width="1600" height="1200" loading="lazy" alt="Of women, for women, by women NT"> </figure>  “We wanted to bring this region together for a common cause,” explains Namita Saraf of Taragaon Next. “We wanted to give visitors something to reflect on and be inspired by. Art expresses emotions, and its intensity is what can bring change.”&nbsp; The exhibition is spread over Taragaon Next’s tubular brick structures and includes paintings, photographs, installations and videos from artists Anita Dube, Anoli Perera, Ashmina Ranjit, Bidhata KC, Mithu Sen, Naiza Khan, Pushpamala N, Sheba Chhachhi, Tayeba Begum Lipi, and Uma Bista. It is curated by Arshiya Lokhandwala. Nepali artist Ashmina Ranjit at the launch event on 25 January performed Sita! An Ideal Wife depicting the difficulties and injustices women face when they get married (pictured, above).&nbsp; “Patriarchy treats women as objects and does not give women the rights of ‘ansa’ and ‘bansa’,” Ranjit tells Nepali Times, using the rhyming Nepali words for ‘inheritance’ and ‘ancestry’. Nepali activists have been struggling for equal inheritance rights and citizenship for the children of single mothers for decades, with little progress.&nbsp; While a seemingly subtle force, art has the potential to spread awareness and catalyse reform. However, the true power and impact of art lies in its ability to connect with the community. When art resonates deeply with people, inviting them to interpret, reflect, and react, it is transformed from being just personal expression into collective action.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025020111024_3bf7561e4abbf1331f35fb4ac42627c9dee279520b91000b72ee09881ad68228.jpg" data-media-id="editor_1" data-image-id="2025020111024_3bf7561e4abbf1331f35fb4ac42627c9dee279520b91000b72ee09881ad68228" data-rendition-name="original" width="1600" height="1200" loading="lazy" alt="Of women, for women, by women NT"> </figure>  “Being able to engage a large audience rather than a whole community and deliver an impactful message beyond boundaries is what an artist dreams of,” adds Tayeba Begum Lipi from Bangladesh. Anita Dube from India exhibits Sea Creature, a collection of eyes embedded in a hand. She explains, “The eyes are the eyes of God, but when they come together as people’s eyes, incredibly beautiful energy emerges.” Sri Lanka’s Anoli Perera’s I Let My Hair Loose represents the protest against the male gaze. Women are constantly uncomfortably stared upon by the opposite sex, so her portrayal of the faces of women covered in long hair shows that women represent strength and value equal to, if not more, than men. Nepali artist Bidhata KC says her work Being a Daughter, Being a Woman is aimed at changing mindsets across generations. She says: “The idea is to show the independent identity of women as equal human beings, not merely as girls or daughters.”  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025020111024_d0acf07611201d126841e1743756a5a5954566d3cc1ecac5646abb77d6ec1aac.jpg" data-media-id="editor_2" data-image-id="2025020111024_d0acf07611201d126841e1743756a5a5954566d3cc1ecac5646abb77d6ec1aac" data-rendition-name="original" width="1600" height="1200" loading="lazy" alt="Of women, for women, by women NT"> </figure>  Some pieces at the exhibition are stark and confrontational denouncements of violence against women, others are more subtle critiques on the invisibility of women’s labour. Both force viewers to introspect: when can the world truly become a place of equality and safety for women? Kathmandu, with its space for free speech and artistic expression, is the ideal &nbsp;venue for this and other exhibitions at a time when there are increasing threats around the region and the world constricting open expression.&nbsp; Says Bidhata KC, “Kathmandu is all about art, our temples, and religious shrines. Our very existence is defined by an artistic culture in which women have always been portrayed as powerful.” In a cultural setting where stories of women are often marginalised or stigmatised, the exhibition highlights the creativity and strength of South Asian women as they reclaim the narrative, and lead a growing wave of feminist activism.&nbsp; This goes beyond simply challenging oppression. It advocates a future where art, activism, and solidarity can uplift and empower women at a time when Trumpian regression threatens to trample social justice. &nbsp;&nbsp; Feminist Futures: Art, Activism and South Asian Womanhood Every day 10AM-5:30PM until mid-May Taragaon Next Hyatt Regency premises

Of women, for women, by women

In December, the Nepal government announced it would not allow a Beijing-appointed Tibetan spiritual leader, the Panchen Lama, to attend a Buddhist conference in Kathmandu. Immigration at the airport was put on high alert to ensure he did not try to sneak in.&nbsp; Coming soon after Prime Minister K P Oli’s visit to China, that decision underscored Nepal’s precarious tight-rope act in addressing religio-political sensitivities in its relations with China. The Panchen Lama episode can be seen as a test for Nepal’s handling of the succession of the Dalai Lama, who turns 90 in July. “When the time comes to find a successor to the Dalai Lama, Nepal will face a larger policy dilemma,” predicts Sudheer Sharma, author of two recent books on Nepal-China relations. “The government is still unclear what it will do if the successor is chosen from the Tibetan community in Nepal, or from China or India.” <a href="https://nepalitimes.com/news/dalai-lama-gets-block-of-glacial-ice">The Dalai Lama</a> is the spiritual leader of Tibetan Buddhism and a symbol of Tibetan identity; he is revered as the manifestation of Avalokitesvara, the Bodhisattva of Compassion. He was born in 1935 in northeastern Tibet and was formally recognised as the Dalai Lama in 1940.&nbsp; He has been living in exile in Dharamsala for the past 65 years after fleeing Lhasa following the Chinese takeover. He has been allowed to make a low-profile visit to Lumbini only once in 1987, and never after that due to objections from China.&nbsp; Nepal does not have a national strategy to handle the presence of <a href="https://nepalitimes.com/news/nepal-s-sherpas-mourn-tengboche-abbott">religious leaders</a>. If there are policies, they are ad-hoc or undeclared, depending on the government of the day in Kathmandu. The Nepal government, under Chinese pressure, even prevents public celebrations marking the Dalai Lama’s birthday on 6 July. “The Dalai Lama’s attempts to visit Nepal again have been stopped &nbsp;since Nepal thinks he is not only a religious leader, but a political figure as well,” says Sharma. “There is no discussion in Nepal’s political circles regarding the succession of the Dalai Lama. The topic is regarded as a non-issue.”&nbsp; Over the years, the Dalai Lama has made various statements regarding his succession. At times, he has suggested that he will write a will to select a successor from within the Tibetan community. On other occasions, he has hinted that the next Dalai Lama could be chosen from a “free country”, and could even be a woman.&nbsp; The Panchen Lama succession in 1995 could provide a hint about how the post-Dalai Lama era will play out. The Panchen Lama is the second most important spiritual leader in Tibetan Buddhism, and heads the <a href="https://archive.nepalitimes.com/news.php?id=18580">Tashilhunpo Monastery in Xigatse</a>, the epicentre of the 7 January earthquake, located 250km away from Lhasa.&nbsp; The Panchen Lama traditionally has the role of finding the next Dalai Lama, but the previous Panchen Lama (Lobsang Trinley Lhundrup Choekyi Gyaltsen) has been missing since 1995, after the Chinese installed their own candidate (Gyaltsen Norbu). The present Panchen Lama’s visits are carefully planned, and he has made only one foreign visit so far, to Thailand. “Nepal did not permit Panchen Lama’s visit as he is Chinese Communist Party-appointed, thus making him a political figure,” says Amish Mulmi, author of the book All Roads Lead North.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250124090148_3bb3d803c04c34657d0ac9759ca904073f75734a446506f8a57e50178b381c00.jpg" data-media-id="editor_3" data-image-id="20250124090148_3bb3d803c04c34657d0ac9759ca904073f75734a446506f8a57e50178b381c00" data-rendition-name="original" width="1087" height="697" loading="lazy" alt="Dalai Lama NT"> </figure>  What China was trying to do through the Panchen Lama’s visit for the Nanhai Conference in Kathmandu last month was to project its soft power, and perhaps prepare the ground for the Dalai Lama succession. But the ban raised the question of what Nepal will do if there is a visit by Hindutva figures from India at events in Nepal.&nbsp; Religious leaders and figures from various faiths regularly visit Nepal for devotional events, meetings and conferences. Their trips are often significant for promoting dialogue and cultural exchange, and cannot be banned under the Constitution. “We did the Nanhai Conference, and in future religious leaders will definitely visit Nepal. The question arises whether or not to allow them to engage in political activities or not,” says Mulmi. “Religion has always been political. So Nepal must not take easy decisions and must think it through.” Although Nepal and Tibet fought wars in the past two centuries, they share deep-rooted and ancient cultural, religious and trade ties. After the Chinese annexation of Tibet 70 years ago, Kathmandu gradually started dealing directly with Beijing.&nbsp; Today, Nepal is the only country with a consulate in Lhasa, a city from where the only direct international flight is to Kathmandu. Over the years, these ties have evolved, with shifts in trade dynamics and people-to-people interactions reflecting broader regional and global changes. Despite this, the historical bond between Nepal and Tibet remains a significant aspect of present-day bilateral relations with China, and this is why the selection of the next Dalai Lama has resonance here. “It is clear that China has been trying to adopt Tibetan Buddhism as a soft power. It is trying to co-opt Tibetan Buddhism on the lines of China’s ambitions and narratives,” explains Mulmi.&nbsp; The Dalai Lama’s <a href="https://archive.nepalitimes.com/news.php?id=14733">considerable following</a> in Nepal, India, Europe and the United States is an irritant for Beijing. Recent Sino-American tensions have therefore given the spiritual ownership of Tibetan Buddhism a geopolitical dimension, and in this the Dalai Lama succession will become an important factor.&nbsp; Relations between Washington and Beijing during the second Trump term will have a bearing on this. As a buffer state between India and China, Nepal has historically tried to maintain equidistance between the two powers.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025012308014_95372c819980513e21490c3abe2aa8e712af6c89c5829e04d5f57880ad4f2a23.jpg" data-media-id="editor_5" data-image-id="2025012308014_95372c819980513e21490c3abe2aa8e712af6c89c5829e04d5f57880ad4f2a23" data-rendition-name="original" width="2500" height="1000" loading="lazy" alt="What (or who) after the Dalai Lama NT"> <figcaption>THEIR HOLINESSES: The Dalai Lama, who will be 90 in July (left), and China-installed Panchen Lama (above). Traditionally, it is the Panchen Lama who has a role in finding a new Dalai Lama. Photos: TENZIN CHOEJOR (left) / CHINAN NEWS SERVICE (right)</figcaption> </figure>  But China has rarely stuck its neck out for Nepal. Despite repeated requests for military help during its war with the British East India Company in 1814-16, the emperor in Beijing refused.&nbsp; Explains Sudheer Sharma: “China did not want to get involved with the British. They thought of their own national interests then, and they are thinking of their own national interests now with India.” During the Khampa Uprising in the 1960s, Kathmandu was also squeezed between American support for the guerrillas and China’s objections to Nepal being used as a base. But with the Nixon-Mao rapprochement in 1972, the Americans stopped helping the Khampas. Nepal then yielded to pressure from Mao Zedong to mount a military campaign to drive them out.&nbsp; Nepal was left to manage and host Tibetan refugees, and balance that with China’s security concerns. Explains Amish Mulmi: “Nepal has pretty much done everything China has asked to do, including deporting Tibetans. China doesn’t need to be insecure, but Nepal needs to maintain a careful balance.” Today, despite Donald Trump’s chest-thumping and <a href="https://nepalitimes.com/editorial/trump-s-second-coming">threats of a tariff war against Beijing</a>, he and Chinese President Xi Jinping are on the same page regarding democracy and freedoms. Which may mean Washington could once more leave the Tibetans in a lurch, and this could have a direct bearing on the Dalai Lama succession sequence. The United States' shifting foreign policy has often been criticised for leaving allies and partners to fend for themselves. Trump may revive his pressure on Japan, Korea and Taiwan to pay for the US defence umbrella.&nbsp; Nepal’s stance on the Tibetan community relies on marking boundaries and offering protection. During Chinese President Xi Jinping’s visit to Nepal, China proposed that Nepal sign an extradition treaty which Nepal politely refused. “Nepal has tactfully not let the Chinese side extend a longer hand on the Tibetan issue,” says Sharma. “Possibly, we are learning our lessons from history.” The question of who will choose the successor to the Dalai Lama will be decided by geopolitics, and China’s increased stature as a global economic power.&nbsp; Beijing could insist on sticking to tradition to let its candidate for the Panchen Lama make the final decision. This would allow it to move the seat of the Dalai Lama from Dharamshala back to Lhasa. The present Dalai Lama could also appoint his own candidate, but that person will not be allowed into Tibet by China. In that case, we may have a situation where there are two Dalai Lamas.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250127030140_c9048725407641601bc68568db19e48197154cd6396f39d67ab113d94c26e675.jpg" data-media-id="editor_7" data-image-id="20250127030140_c9048725407641601bc68568db19e48197154cd6396f39d67ab113d94c26e675" data-rendition-name="original" width="1910" height="757" loading="lazy" alt="Voice for the Voiceless Dalai Lama"> <figcaption>Dalai Lama's latest book Voice for the Voiceless details his dealings with China over the last seven decades. </figcaption> </figure>

What (or who) after the Dalai Lama?

Earlier in August, after Bangladesh Prime Minister Sheikh Hasina fled to India following her violent suppression of a people’s movement, in Nepal pundits asked: ‘Is Nepal Next?”&nbsp;
The national narrative here focused on similar public discontent with leaders who have overstayed, disregarding public welfare while being neck-deep in corruption. They pointed out that the present NC-UML coalition government was ‘India-aligned’, just as Sheikh Hasina was.
Nepal’s cybersphere also shared Indian mainstream media’s magnified reports of attacks on Hindu targets in Dhaka, leaving out the fact that most were attacked for being close to the Hasina and her Awami League.&nbsp;
Some Nepali media also unquestioningly reported that Nepal’s border security was on ‘heightened alert’ for a ‘mass influx’ of Hindu refugees, forgetting that Nepal and Bangladesh do not even have a contiguous border.
Read also: <a href="https://nepalitimes.com/opinion/peacemongers-at-india-pakistan-border">Peacemongers at India-Pakistan border</a>, Beena Sarwar
Regional upheavals have a long history of impacting Nepali politics. After Pakistan’s Zulfikar Ali Bhutto was executed by the military in 1979, student protests erupted in Kathmandu and quickly turned into mass rallies against the partyless Panchayat system. King Birendra finally agreed to hold a referendum on the absolute monarchy.
When street protests in Sri Lanka forced out the Rajapaksa government and the economy went into freefall in 2022, Nepali commentators again asked: ‘Is Nepal Next?’ Nepal’s macroeconomic position was in a much sounder footing, but editors needed catchy headlines.
Bangladesh’s unrest was initially triggered by students protesting the quota for government jobs, and commentators here immediately drew parallels with constitutionally-guaranteed reservations for women as well as ethnic and caste minorities – even though in Bangladesh the anger was over the increased job quota for Awami League cadre.&nbsp;
If all this was not convoluted enough, add geopolitics to the mix. India and China are now in overt competition for influence in the Subcontinent, a region New Delhi regards as being in its sphere of influence. While Sri Lanka and the Maldives are strategic because of their location astride Indian Ocean maritime routes, Nepal, Bangladesh and to a certain extent Bhutan, are important buffers.&nbsp;
India was fully backing the secular Awami League despite Sheikh Hasina’s &nbsp;growing authoritarianism and her close trade and economic ties with China.&nbsp;
Read also: <a href="https://nepalitimes.com/opinion/selfies-on-the-prime-minister-s-bed">Selfies on the prime minister’s bed</a>, Guna Raj Luitel
In July, Hasina returned to Dhaka earlier than scheduled during a state visit to Beijing after being unable to secure a $5 billion loan from China. New Delhi had also leaned on Hasina to cancel China’s involvement in the Teesta contract, and award it to India.&nbsp;
In Sri Lanka, Chinese ‘debt trap diplomacy’ is said to have contributed to its economic collapse, pushing President Ranil Wickremesinghe closer to India and the West to cultivate support for its IMF bailout in June. Defence and maritime cooperation has followed hot on the heels of these deals.&nbsp;
The China’s Exim Bank did sign a $4.2 billion debt restructuring agreement with Sri Lanka in June, showing that Wickremesinghe is deftly trying to balance geopolitical ties.
In the Maldives, relations with New Delhi soured and broke into full-scale war on cybersphere after Mohamed Muizzu won elections earlier this year. But Indian Foreign Minister S Jaishankar’s was in Malé this week to ‘rectify’ Muizzu’s pro-Beijing tilt.
Read also: <a href="https://nepalitimes.com/news/retrofitting-saarc">Retrofitting SAARC</a>, Shristi Karki
In Nepal, China has made no secret of its wish to seek unity among myriad Communist factions, while India and the West have worked behind the scenes to wreck that plan. The latest coalition switch in July was a manifestation of this geopolitical jostling.&nbsp;
India’s new Foreign Secretary Vikram Misri made a courtesy visit to Kathmandu this week where officials were careful not to raise contentious issues like Kalapani, the Eminent Person’s Group report, new air routes, or to lift restrictions on buying surplus hydroelectricity from plants with Chinese involvement. Misri was formerly India’s ambassador in Beijing.
Interestingly, the Chinese who never openly commented publicly on Nepal’s internal affairs are now much more vocal, while the Indians who used to be very outspoken have taken a hands-off approach ever since the 2015 Blockade.&nbsp;
The latest example of this new Chinese mood is Ambassador Chen Song’s X posts with crude criticism last month of a Nepali journalist’s report on the Pokhara airport loan, or using undiplomatic language about the unsuccessful search for the twin buses that fell into the Trisuli, killing 59.&nbsp;
Still, the recent regime change in Dhaka is a warning to Nepal’s leaders not to take electoral mandate for granted, and to demonstrate results from better governance in the run-up to the next elections in 2027, or risk losing out to populist parties.
Read also: <a href="https://nepalitimes.com/news/nepal-s-love-triangle-with-china-and-india-impacts-investment">Nepal’s China-India love-triangle impacts investment</a>, Ramesh Kumar

Shristi Karki

The geopolitics of Nepal’s politics…

Nepal and India are both Hindu-majority countries, but there is a difference between the Hindutva nationalism playing out in India’s ongoing elections and the Hindu faith as practiced in Nepal.
Most Nepalis are too busy trying to get by in hard economic times to be too engrossed with elections across the border. Some do harbour strong views about Narendra Modi’s brand of Hindu revivalism, and the RPP in particular seems to want to imitate the BJP’s ability to set a national Hindutva narrative.
Still, a majority of Nepalis look at Narendra Modi with something between indifference and fondness. The Indian Prime Minister has visited Nepal five times since he was first elected in 2014, and many here still remember his address to Parliament which he began in Nepali during his first state visit to Kathmandu.
There is a section in Nepal that supports a non-secular Hindu state, and Nepalis have noticed that every time Modi comes to Nepal he makes it a point to visit Hindu and Buddhist sacred sites. But in contrast to his BJP’s Hindu exclusionist policies in India, Nepal has traditionally enjoyed a syncretic blend of Hindu and Buddhist traditions.
Read also: <a href="https://nepalitimes.com/opinion/borderlines/the-south-wind-blows">The south wind blows</a>, Chandra Kishore
For most Nepalis, therefore, the affinity for BJP and Modi could be characterised as cultural rather than political. Most Nepalis still have memories of the hardships they suffered during the 6-month blockade that New Delhi imposed just after the 2015 earthquake because it did not like the contours of Nepal’s new draft Constitution.
The poor showing of the Hindu-monarchist Rastriya Prajatantra Party (RPP) in last month’s by-elections in Ilam and Bajhang shows that at least in the mountains, Nepalis are not so impressed with the polarised electoral politics on display in India. Interestingly, Bajhang is close to the Indian state of Uttarakhand which has declared itself to be a Hindu-only ‘Devbhumi’ and with which it has close cross-border cultural ties.
Although factions of the other four main parties in Parliament, the NC, UML, Maoist-Centre and the RSP, do flirt with the Hindu-monarchy line from time to time, there is not much public support for it yet and none of the four largest parties in Parliament has officially voiced its support for such an agenda.
When (and if) Modi does win a third term in India’s elections there could inevitably be ripple effects in Nepal — especially if the BJP’s mentors in the Rastriya Swayamsevak Sangh (RSS) adopt an even more radical agenda, abolish secularism from the Indian Constitution, or push the Greater India idea of ‘Akhanda Bharat’.
Read also: <a href="https://nepalitimes.com/here-now/india-s-faith-in-politics">India’s faith in politics</a>, Shrijan Pandey
Even so, rousing radical religious passions will not be as easy in Nepal, which is South Asia’s oldest nation-state and does not carry with it the historical baggage of Partition. Nepal’s Muslim minority which forms 5% of the population has for the most part lived in harmony with Hindus and Buddhists, although there are politically-instigated local flare-ups from time to time mainly along the southern border.&nbsp;
Though Nepal’s Hindu population is more than 80% (2021 census), Nepal as a whole is a country of minorities. The Hill-Brahmin and Chhetri may dominate the political and economic spheres, but they form less than 30% of the population. Nepal’s ethnic and indigenous groups have been asserting themselves, as seen in the recent Ilam by-election, where the UML’s Suhang Nembang comfortably beat the NC’s Dambar Bahadur Khadka by close to 6,000 votes. However, an independent candidate, Dakendra Singh Limbu, with no political affiliation, but who campaigned on a platform of assertive Limbu identity, made a strong showing, finishing third with 11,457 votes.
Such identity politics is more a response to ethnic exclusion and a demand for regional autonomy than pushing a religious agenda. Indeed, Nepal’s political parties have so far desisted from mixing religion with politics, even though some individual leaders in the parties sometimes seem to appear to be sorely tempted.
Nepal’s next general election is more than three years away, and India-style Hindutva politics could still be whipped up. For now, it seems more likely that it will be Nepali nationalism that will be a more potent vote-mobiliser.
This already seems to be happening, with the government minting Nepal’s new 100-rupee note that depicts the country’s ‘pointy map’ (‘chuchhe naxa’) showing a 350-sq km strip of territory in its northwestern tip which is also claimed by India.
Read also: <a href="https://nepalitimes.com/opinion/borderlines/crimson-saffron-and-green">Crimson, saffron and green</a>, Chandra Kishore
Akhilesh Upadhyay is former Editor-in-Chief of The Kathmandu Post and a Senior Fellow at the think tank, IIDS.

Southerly winds

For most Nepalis, the arrival of the emir of Qatar to Kathmandu in four jets on Tuesday was marked by just one matter of importance: the government declared it a holiday. The decision was greeted by howls of ridicule in the Nepali cybersphere with posts poking fun at a former monarchy pulling all stops to give a lavish welcome to a foreign monarch. To be sure, Qatar is economically important because there are an estimated 400,000 Nepalis working in the Gulf emirate and an important source of remittance to families back home.&nbsp; However, working conditions for Nepalis in the Gulf in general and <a href="https://nepalitimes.com/here-now/rights-referees-blow-whistle-on-world-cup-fouls">Qatar in particular</a> are said to be poor with few safeguards on labour rights. Migrant worker welfare was said to be high on the agenda in meetings between Sheikh Tamim bin Hamad Al Thani and Nepal’s Prime Minister Pushpa Kamal Dahal. Dahal is also said to have brought up the issue of <a href="https://nepalitimes.com/news/hamas-releases-thais-but-where-is-bipin">Nepali student Bipin Joshi</a> believed to have been among those abducted by Hamas in its 7 October attack on southern Israel in which 10 other Nepalis were killed. It is not clear how effective this will be since Qatar’s mediation in the Israel-Hamas conflict has been deadlocked as Israel disregards international pressure to stop killing Palestinian civilians. Sheikh Hamad al-Thani arrived in Kathmandu from a visit to <a href="https://www.dhakatribune.com/bangladesh/foreign-affairs/342874/ministry-qatar-emir%E2%80%99s-visit-to-strengthen" target="_blank">Bangladesh</a>, another country with a sizeable migrant worker population in Qatar.&nbsp; In a statement prior to the Qatar emir’s visit to the two countries, the New York-based group Human Rights Watch (HRW) urged Qatar to take labour rights and welfare more seriously. ‘It is important for Qatar, Bangladesh, and Nepal to go beyond exchanging diplomatic pleasantries over their longstanding labour ties and seize this moment to publicly commit to concrete, enforceable protections that address the serious abuses that migrant workers in Qatar continue to face,’ said <a href="https://www.hrw.org/about/people/michael-page" target="_blank">Michael Page</a> of HRW.&nbsp; He added: ‘The Qatari emir should not just meet heads of state, but also visit dialysis centres filled with migrant worker returnees from Qatar and speak with the families of workers who died in Qatar to see the grave consequences of inadequate Qatari labour protections.’  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2024042322044_22180746f870255db298aec402e8ec0da6bdbaeacf50649a98ffb0c4b7472aef.jpg" data-media-id="editor_4" data-image-id="2024042322044_22180746f870255db298aec402e8ec0da6bdbaeacf50649a98ffb0c4b7472aef" data-rendition-name="original" width="1800" height="1200" loading="lazy" alt="Qatari leader in Nepal reminded of workers’ rights NT"> <figcaption>Emir of Qatar Sheikh Tamim bin Hamad Al-Thani arrived in Kathmandu on Tuesday on a two-day state visit. Photo RSS</figcaption> </figure>  Migrant workers from Bangladesh, Nepal and other labour-exporting countries play a vital role in Qatar’s economy and were instrumental in the construction of the 2022 World Cup.&nbsp; ‘The Qatar-to-Nepal and Bangladesh routes that the Qatari leader is taking are well-trodden, with thousands of workers making this journey daily,’ the HRW statement said. Although Nepali workers send back remittances from Qatar, many end up deeper in debt to pay back unscrupulous recruiters and employers who cheat them of promised salaries. Heat stress from global warming has also made working conditions impossible, and many Nepali workers <a href="https://nepalitimes.com/editorial/too-hot-to-work">return with kidney failures</a>. HRW says some workers also have been deported for <a href="https://www.hrw.org/news/2022/10/12/qatar/fifa-address-demands-migrant-worker-strikes" target="_blank">demanding</a> wages and benefits promised by contractors, and there have been thousands of <a href="https://www.hrw.org/news/2019/10/10/qatar-urgently-investigate-migrant-worker-deaths" target="_blank">unexplained deaths</a> of young, healthy migrant workers in Qatar. Nepal ends up paying compensation to the families of many migrant workers who have lost their lives, not Qatar. HRW says it has documented cases of <a href="https://nepalitimes.com/banner/world-cup-ending-without-migrant-relief">Nepali families who received no support </a>from Qatari authorities or employers after losing the worker supporting them.&nbsp; Only some Qatari companies complied with a directive making contractors provide life insurance for migrant workers, even during the construction spree for the 2022 World Cup.&nbsp; The climate crisis is increasing outmigration from Nepal at a time when it is also making Qatar too hot to work in.&nbsp; HRW said the Qatari authorities have <a href="https://www.hrw.org/news/2020/09/24/qatar-significant-labor-and-kafala-reforms" target="_blank">introduced</a> labour reforms, but they came too late and were too little and too narrow in scope. “The labour agreement to be signed during the emir’s visit should incorporate concrete provisions to <a href="https://www.hrw.org/sites/default/files/related_material/Protecting%20Asian%20Migrants%27%20Rights.pdf" target="_blank">address</a> these issues,' the HRW statement read, adding that the best way for the emir to mark his trip would be to guarantee migrant worker welfare. Meanwhile, an <a href="https://thediplomat.com/2022/11/nepalis-feel-the-human-toll-of-qatars-world-cup/">investigative story by Nepali journalists Samik Kharel and Roshan Sedhai</a> on widows of Nepali workers who died during the construction of facilities for the 2022 World Cup was runner-up for best story in the civil rights category of the Fetisov Awards given in Istanbul on Tuesday.

Qatari leader in Nepal reminded of workers’ rights

Nepalis play Russian roulette in distant war

The monsoon has got bad press because Nepal’s tourism operators actively told visitors to avoid <a href="https://nepalitimes.com/opinion/managing-the-monsoon?%2F">the rainy season</a>. It is time to change that. The reason can be found right here in the vast alpine meadows of Central Nepal where this time of year you can walk on velvet grass of pastures abloom with delicate pink, red and yellow flowers as the mist rolls up the valley. There is no sound except the hum of bumble bees. &nbsp;&nbsp; There are dozens of places across high Nepal called Chaurikharka, which means yak pasture. But this particular Chaurikharka in Rukum East located at an altitude of 4,000m stands out for its serene beauty, rustic charm and bucolic setting. There is just the occasional chime of <a href="https://nepalitimes.com/here-now/when-yaks-go-so-does-culture">yak bells</a> in the distance, and the sharp whistle of herders corralling sheep. &nbsp;&nbsp; The grass shoots are so fragile that one hesitates to step on them, the rounded ridges appear and quickly vanish in waves of mist. With the<a href="https://nepalitimes.com/here-now/before-the-next-monsoon"> arrival of monsoon</a>, these meadows are a soothing shade of green dotted with millions of <a href="https://nepalitimes.com/review/the-anatomy-of-a-flower?%2F=">multi-coloured flowers</a>. Until very recently, it took a week or so to hike up to places like Chaurikharka, but with the expansion of the road network even to these far-flung mountains in the lap of Dhaulagiri, they are much more accessible. It is just a three-hour uphill from the Mid-Hill Highway on the border between Baglung and Rukum East.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250802130828_a0b06b494d751b2144ffbbf10894ea64b29e8aed844bc8c66171783abfaf4e16.jpg" data-media-id="editor_4" data-image-id="20250802130828_a0b06b494d751b2144ffbbf10894ea64b29e8aed844bc8c66171783abfaf4e16" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="Visit Nepal in the monsoon"> </figure>  Purists would say that such easy access devalues the sanctity of these remote high meadows, but it also means more people will be moved to treasure the experience, appreciate <a href="https://nepalitimes.com/banner/natures-fragile-gift-to-nepal">the value of nature </a>so they can take steps to protect it.&nbsp; To be sure, the <a href="https://nepalitimes.com/here-now/deadly-monsoon-in-nepal-turns-deadlier">monsoon season can be challenging for road travel</a>. The roads are rough even at the best of times, and in the monsoon they become muddy and treacherous, often blocked by<a href="https://nepalitimes.com/news/monsoon-deluge-in-nepal"> landslides</a>. But that could be precisely the kind of adventure that the more intrepid visitors crave. Improved road connectivity has already made Chaurikharka and places like Badimallika &nbsp;and other sacred lakes in the mountains of western Nepal popular with domestic tourists. What is driving this traffic is the urge to go to exotic new places and share videos and selfies on social media. Several of Nepal’s travel vloggers have visited Chaurikharka and popularised the place, enticing followers on TikTok or YouTube to retrace their footsteps. But even as they become more popular, these fragile and once-remote places should be protected from over-tourism.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110736_f97110b7cdc3e7f80d5877690948fc9f4c95a09c583deb23b07355491e6c5446.jpg" data-media-id="editor_8" data-image-id="20250731110736_f97110b7cdc3e7f80d5877690948fc9f4c95a09c583deb23b07355491e6c5446" data-rendition-name="original" width="1083" height="699" loading="lazy" alt="Visit Nepal in the monsoon NT"> </figure>  <h2>INCREASING FOOTFALL</h2> Chaurikharka is located in Bhume Rural Municipality of East Rukum, near the scenic valley of Dhorpatan in Baglung district. Even in the <a href="https://nepalitimes.com/banner/monsoon-culture">middle of the monsoon</a>, there is a steady stream of Nepali hikers trooping to these high pastures – especially during festival days like Saune Sankranti which this year was on 17 July and actually marks the auspicious beginning of the monsoon here. “This year the rains have not been as heavy and there have been some clear mornings when we could see everything from Dhaulagiri to Machapuchre,” says Khageswar Bhandari, who trekked up here from the road. “The flowers, the greenery and the snowy mountain views make this an incredibly unique place.”&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250802130824_1b9e26f2e9853fdfe69154bb42a7c9ea6da4bf4940efc1da99b304dcfbd7d3d9.jpg" data-media-id="editor_10" data-image-id="20250802130824_1b9e26f2e9853fdfe69154bb42a7c9ea6da4bf4940efc1da99b304dcfbd7d3d9" data-rendition-name="original" width="2048" height="1152" loading="lazy" alt="Visit Nepal in the monsoon"> </figure>  Chaurikharka is worthwhile to get to in any season, but it has a different charm during the monsoon. Word has spread and because it is now easy to get to from Baglung or even Pokhara, people have been flocking here.&nbsp; “Holidays and Saturdays see the largest crowds, with up to 500 visitors every day,” says ward chair Mankaji Pun of Bhume.&nbsp; There was a time not too long ago when local herders brought sheep, goats, cows, buffaloes, horses, and mules to graze here during the monsoon. Although there are still livestock around, animals have been replaced by visitors taking selfies. Read also: <a href="https://nepalitimes.com/here-now/the-monsoon-and-nature-s-arithmetic">The monsoon, and nature’s arithmetic</a>, Tom Robertson Ward Chair Pun says infrastructure development is his main priority. A foot trail to Chaurikharka was built last year by the Tourism Division Office in Kohalpur, but access via the Raniwas-Koipa road section still remains challenging.&nbsp; “If we get more budget, we can improve the road and facilities to make Chaurikharka the main tourist attraction of this region,” says Bhume Municipality Chair Hom Prakash Shrestha. “After that, we hope to promote Chaurikharka as a top tourist spot.”&nbsp; Economic activity is also picking up with the arrival of visitors, but there seems to be a need to manage the makeshift sheds made of corrugated sheets that spoil the beauty of the place. Tea shops and lodges are also available but facilities are basic. Kuldeep Neupane took a three-day trip from Ghorahi in Dang to visit Chaurikharka recently, and says: “This is an ideal trip to make a quick getaway and let nature recharge your mind and body. And it is much more fun with a tent, to watch the sunrise over the Himalaya or the mist blowing in.”

Visit Nepal in the monsoon

The final investigation report on the crash of a Saurya Airlines jet on 24 July 2024 at Kathmandu airport has revealed flaws in the carrier’s technical operation procedures, poor monitoring by the Civil Aviation Authority of Nepal (CAAN) and gaps in the airport’s emergency response. Eighteen people including a child were killed, and only the captain survived as the plane plunged seconds after takeoff, crashing within the airport perimeter. This was the latest in a series of aircraft accidents in previous years, and further tarnished Nepal’s already poor aviation safety record and contributed to the country being retained in the EU’s air safety list. &nbsp;&nbsp;&nbsp; The circumstances in the Saurya crash were different from the Yeti Airlines crash in Pokhara in January 2022 that killed all 72 on board, and two Tara Air crashes in February 2016 and May 2022 on approach to Jomsom that together claimed 45 lives. However, all four tragedies were a result of negligence of carriers and crew, failure to follow procedures, regulatory slackness, and overconfidence. The Saurya crash, especially, was a glaring example of how an ailing airline broke its own rules to allow passengers, including non-employees, a joy ride to Pokhara on a maintenance ferry flight. CRASH REPORT The Final Investigation Report prepared by the Aircraft Accident Investigation Commission and released on the first anniversary of the crash last week carried a long list of rules that were ignored or broken, and of regulatory failure. The first mistake was to cram spares, tools and inflammable chemicals needed for the aircraft’s C-Check in Pokhara into the cargo hold flouting its own ground handling procedures.&nbsp; There was no check-in of passengers, some of whom were not even employees – even though regulations say only flight and maintenance crew should be on board a maintenance positioning flight. Many brought their own luggage into the plane and stored it unsecured in the cabin. There was no flight attendant to give a safety briefing to passengers. The load and trim charts given to the flight crew were rough estimates, and the total takeoff weight of the plane was 18,300kg plus or minus 200 kg. That would still have been all right, but there was a glaring mistake in the speedchart Saurya pilots were using to calculate the minimum takeoff speed (known as VR), and it had been wrong ever since the 21-year-old aircraft entered service with the airline in 2017. FAULTY DATA&nbsp; The Commission probed Flight Data Recorder inputs from previous takeoffs of the Canadian-built CRJ200-LR in 2023-2024 and found that the undetected error in the speedchart had caused the plane to pitch up at an abnormal rotation rate at least 18 times on previous takeoffs.&nbsp; Any rotation rate more than 3°/sec is regarded as unusual. But on at least two occasions, this aircraft with tail number 9N-AME had rotation rates of 5.8°/sec and 5.5°/sec, the second one was when the pilot who survived was flying in March 2024.&nbsp; On this particular day, the plane’s rotation rate was 6.5°/sec, causing it to go into a deep stall soon after takeoff, the Commission report said. Essentially, the plane was not flying fast enough down the runway to take off safely.&nbsp; It is not yet clear whether excess weight, unsecured luggage, wrong centre of gravity were also factors, but relying on a faulty speedchart for the given takeoff weight, the captain flying pulled back on the yoke before the plane had reached takeoff speed and at a pitch angle that was too steep. The investigation report says the plane then went into a deep stall and started banking right with the stick shaking. At this point, the flight officer on the right hand seat is heard on the cockpit voice recorder saying: “Whoa, whoa, whoa. Sir, Sir, Sir…” It then banked left before the pilot flying turned the plane sharply to the right again in an evasive action to avoid the parking aprons of the international and domestic terminals. Had he not done so, there would have been a disaster of a much greater magnitude at Kathmandu airport that day. The plane scraped the runway with its right wingtip, collided with a container having helicopter spare parts, and plunged into a gully east of the runway, exploding in a fireball. The investigation also noted that the impact forces seemed to be survivable for some occupants. The fire trucks took unnecessarily long to reach the site even though it was inside the airport perimeter. The absence of an ICAO-standard runway strip, inadequate rescue drills, lack of training, and a blocked emergency service gate leading to the crash site were cited as other factors. &nbsp;&nbsp; <h2>Timestamp of a Disaster</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110724_39cdd04693994ce6e55a5b302905c0fa4884fe85bed21ff0779bb1439f3a5725.jpg" data-media-id="editor_0" data-image-id="20250731110724_39cdd04693994ce6e55a5b302905c0fa4884fe85bed21ff0779bb1439f3a5725" data-rendition-name="original" width="778" height="826" loading="lazy" alt="Flouting rules caused Saurya tragedy NT"> </figure>  11:10:34 - The Saurya Airlines CRJ200 on the takeoff roll from runway 02. It had a takeoff weight of about 18,300kg, but the pilot’s speedcard had a previously undetected mistake about the minimum takeoff speed. 11:10:55 -The plane with tail number 9N-AME goes into deep stall soon after takeoff because it does not have enough speed to lift its weight. The plane also has an abnormally steep nose-up attitude.&nbsp; 11:11:03 - Without enough speed to generate lift, the plane banks right, then left and right again in CCTV photos taken from the domestic apron (below). If it had not banked right, it could have hit the aprons and terminal buildings. Seen parked is Saurya’s other CRJ200 with tail number 9N-ANM.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110732_608132f7225c649125cca2691dd6a6bf930984c5b359e888d7ad9e5eacce3afd.jpg" data-media-id="editor_1" data-image-id="20250731110732_608132f7225c649125cca2691dd6a6bf930984c5b359e888d7ad9e5eacce3afd" data-rendition-name="original" width="770" height="555" loading="lazy" alt="Flouting rules caused Saurya tragedy NT"> </figure>  11:11:08 - The plane scrapes the runway with its right wingtip, and falls into the gully. The captain is thrown off the left side of the cockpit and survives. 11:11:15: Plane explodes in a fireball inside the airport perimeter. Firefighters take time to reach the site because of lack of access road and a blocked gate. Read the full investigation report <a href="https://www.tourism.gov.np/files/9N-AME%20AIC%20Final%20Report.pdf">here</a>.

Flouting rules caused Saurya tragedy

Two weeks ago, Prime Minister KP Sharma Oli announced jubilantly on social media that Nepal had achieved a historic annual growth of 81.8% in exports. He was right. Nepal’s trade did take a great leap forward compared to last year. But the dramatic rise was mainly due to processed soya bean oil.&nbsp; However, Nepal does not produce the edible oil it exports. In fact, the soya and palm oil that make up 44% of total exports are imported from Southeast Asia and South America, and simply re-exported, mostly to India.&nbsp; Under the SAFTA (South Asian Free Trade Area) Agreement, Nepal can export products to India duty-free if it has at least 30% value-added. Nepal’s traders have taken advantage of SAFTA even though the edible oils they export do not reach that value addition threshold. “The 30% value addition requirement is often only on paper,” says former commerce secretary Purushottam Ojha. “It is clear that simply packaging edible oils in Nepal does not fulfil the terms of the trade agreement.” Prime Minister Oli is aware of this, and even called Nepal’s export figures “fake” at an earlier event. The government is relying on other iffy figures to suggest that Nepal’s economy is strong and getting stronger. For example, the value of imports rose by 13.25% in 2024-25 compared to the previous fiscal year.&nbsp; Some of it was due to a jump in electric vehicle imports worth Rs 31.76 billion, but mostly it was because more wholesale soya oil was imported to be re-packaged and sold in India. The very fact that the government boasts about increased imports is an indication of how much it relies on taxing them for revenue. Touting such trade figures cannot be the basis to claim an economic rebound.&nbsp; “A jump in the value of imports can be interpreted as an increase in purchasing power, but it is not evidence of a stronger economy,” says economist Keshav Acharya. “Even though imports have increased, Nepal's domestic production and productive capacity have not improved.” Nepal Rastra Bank's semi-annual economic activity study report shows that industrial production was down in the first six months of the last fiscal year. This despite an increase in the number of new industries registered and investment commitments. Out of the Rs70.2 billion proposed foreign investment, Nepal received only Rs17.9 billion last year.&nbsp; Meanwhile, the rate of capital formation was limited to 24% last year, which is lower than the year before, suggesting that new investment, job creation and economic expansion all declined. If domestic production does not improve in relation to this year’s inflated trade figures, the outflow will put pressure on foreign exchange reserves like it did three years ago. At that time, Nepal borrowed from the IMF under its Extended Credit Facility Program to kickstart the economy.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025080710084_2cdaaa5795828c4a7de93a0604ba884ef0a8b8f24cccd939f6c24e279ab6058f.jpg" data-media-id="editor_0" data-image-id="2025080710084_2cdaaa5795828c4a7de93a0604ba884ef0a8b8f24cccd939f6c24e279ab6058f" data-rendition-name="original" width="1633" height="723" loading="lazy" alt="Nepal's bubble economy NT"> <figcaption>Source: NEPAL RASTRA BANK</figcaption> </figure>  The macroeconomy is on firm footing with foreign exchange reserves at a comfortable Rs2,520 billion in May, up 23% from last year. This was largely due to remittances, and partly due to a falling NPR exchange rate. Real estate transactions and the stock market index have also been climbing as a result of government policies to revive the sector.&nbsp; However, former executive director of Nepal Rastra Bank Nar Bahadur Thapa cautions: “This is not organic growth, it is the result of deliberate policy decisions to relax rules on real estate and stock markets transactions.” In reality, the sharp rise in land prices have increased the cost of production, and excessive monetisation of the real estate has become the main source of Nepal’s economic woes. The central bank has announced a slew of new policies, shifting the terms of loan repayment for industrialists and entrepreneurs, reducing interest rates, and injecting more working capital — all designed to inject adrenaline into the real estate and stock market sectors.&nbsp; When he was governor, Mahaprasad Adhikari made several financial reforms during the latter half of his tenure to stimulate the economy, including tightening credit flow.&nbsp; By the last fiscal year, additional financial reforms had resulted in a credit expansion rate of around 8%. As the pace of credit expansion slows, real estate prices have started to fall. This is actually beneficial to the economy, because it lays the foundation for improvements in land-related entrepreneurship, production, and the construction sector. Just because real estate and the stock market transactions increase, it does not indicate an economic turnaround — especially when manufacturing and productive sector continues to languish.&nbsp; “It is foolish to believe that real estate and the stock market have magically revived our economy. Agriculture employs more than half of the population, but it is in decline. Investment in the productive sector has not increased, and job creation has not increased.” Two years ago, Nepal’s industrialists, business leaders, and political leadership predicted a recession amidst a sluggish business, declining market demand, large-scale job loss, and a shrinking real estate and share market.&nbsp; Still, the economy grew by 3.36% in fiscal year 2023/24. In fact, Nepal’s economy has grown nominally over the last two decades even when all sectors of the economy are in decline.&nbsp; Says Keshav Acharya: “The growth in trade, real estate, and the stock market are bubbles. The real economy remains stagnant.”

Nepal’s bubble economy

French citizen Louis arrived in Nepal for the first time earlier this year, planning to <a href="https://nepalitimes.com/banner/the-abcs-of-a-winter-trek-in-nepal">trek the Annapurna Circuit </a>before heading down to Bardia to hopefully catch a glimpse of some<a href="https://nepalitimes.com/news/nepal-counting-its-tigers"> tigers</a>. Before he began his journey from Besisahar, Louis (who only revealed his first name) had imagined breathing crisp mountain air, and following the melodious gurgle of the Marsyangdi.&nbsp; Instead, he had to breathe fumes and dust all the way to Chame. Louis says he masked his face with a handkerchief: “It was not what I expected, this is not right.”  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025080304080_f03fce1527cf8a63178e4e82589a1a7096c8cfa28893ca4a5f7fe82d91a6e38a.jpg" data-media-id="editor_2" data-image-id="2025080304080_f03fce1527cf8a63178e4e82589a1a7096c8cfa28893ca4a5f7fe82d91a6e38a" data-rendition-name="original" width="2419" height="1814" loading="lazy" alt="Manang trails NT 1"> </figure>  Many other trekkers are similarly disappointed as roads have been built along what used to be <a href="https://nepalitimes.com/banner/a-walk-back-in-time-chandragiri-hatiban">walking trails</a>. Manang and Humla are the last remote regions in the Himalaya to be connected to the national road network. &nbsp;Construction of the 87km Besisahar-Manang road began in 1994, but was stalled during <a href="https://nepalitimes.com/news/14-years-after-conflict-no-closure-in-nepal">the Maoist conflic</a>t, and finally finished in 2012.&nbsp; Most of it has not yet been blacktopped, and sections have been carved out of vertical cliff faces, making them treacherous. But it has allowed road access to Manang, a journey that previously took a week on foot.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025080304084_32b3ca875a0df9f1dd42dbe915e6f6a2cd4f2e53f1cf2d3ee5cbdb3435905000.jpg" data-media-id="editor_5" data-image-id="2025080304084_32b3ca875a0df9f1dd42dbe915e6f6a2cd4f2e53f1cf2d3ee5cbdb3435905000" data-rendition-name="original" width="2400" height="1505" loading="lazy" alt="Manang trails NT 1"> </figure>  While the <a href="https://nepalitimes.com/opinion/the-road-out-of-nepal">road has improved access</a>, it has impacted on<a href="https://nepalitimes.com/here-now/trekking-in-the-time-of-climate-change"> trekking tourism </a>— the mainstay of Manang’s economy. The number of tourists visiting the scenic valley behind the Annapurnas grew from 21,245 in 2023 to 30,866 in 2024. The Annapurna Circuit is known for unique sights like <a href="https://archive.nepalitimes.com/news.php?id=9194">Tilicho</a>, one of the highest lakes in the world, the Thorong La pass that connects Manang to Mustang, and the valley’s own rich cultural heritage. Thorong La at 5,416m is the highest hiking pass in the world, and was used by locals for trade with Mustang before it became a <a href="https://nepalitimes.com/opinion/comment/lift-restrictions-on-upper-mustang">popular trekking route</a>. &nbsp; “For guests, the excitement of reaching Thorong La is now overshadowed by their disappointment of having to journey through dusty roads to get there,” says Manang lodge-owner Ongma Gurung. “That is the complaint we get the most.” <a href="https://nepalitimes.com/banner/tourism-that-treads-lightly-on-the-land">Local tourism </a>operators are trying to get the government to build alternative foot trails. But there have been delays due to a lack of budget.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025080304084_c5f76e398182785bb17846a148e3ca89de5687b4623580f8e2d725a7a287edfa.jpg" data-media-id="editor_11" data-image-id="2025080304084_c5f76e398182785bb17846a148e3ca89de5687b4623580f8e2d725a7a287edfa" data-rendition-name="original" width="2419" height="1762" loading="lazy" alt="Manang trails"> </figure>  The Naso Rural Municipality has identified other routes along the Annapurna Circuit in Chyamche, Tal, and Khotro so trekkers can bypass heavy vehicles involved in the construction of the Manang-Marsyangdi Hydropower Project. “But the local government cannot do everything,” admits the chair Dhan Bahadur Gurung. “And for leaders in Kathmandu, Manang is out of sight and out of mind.” Munindra Jung Gurung represents Manang in the Gandaki Provincial Assembly, and says he has raised the issue in <a href="https://nepalitimes.com/news/pokhara-s-tourism-woes">Pokhara</a>. He is hopeful there will be a hearing. To be sure, the road is not all bad news. Locals benefit, the number of visitors has grown, and trekkers can now also save time and use it to explore <a href="https://archive.nepalitimes.com/news.php?id=5960">side valleys in Manang</a>, visiting the villages like Nar and Phu. Annapurna Conservation Area (ACA) chief Rabin Kadariya concedes that the road to Upper Manang was crucial to connect the remote region with the rest of Nepal, but adds: “We have built an alternative trail connecting Talgaun, and we will consult local communities about their priorities on other hiking trails.”&nbsp;

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