Through the intricate lattice window on the western facade of the palace must have been from where the Malla kings of Patan looked down at the square below.&nbsp; Today, visitors to Patan Museum can sit at the exact corner and see the same square which, several centuries later, remains largely unchanged. Except for the tourists and devotees at Krishna Mandir and other temples.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240329060316_31791a3a564ecaf85ad9e9ee52488bff034a5336f6561a0df2cb6d8e740cacea.jpg" data-media-id="editor_0" data-image-id="20240329060316_31791a3a564ecaf85ad9e9ee52488bff034a5336f6561a0df2cb6d8e740cacea" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="A portal into Patan’s past and present Page 6-7 #1025 NT"> <figcaption>Keshav Narayan Chok. All photos: SUMAN NEPALI(Photo: suman)</figcaption> </figure>  Inside is the best-designed museum in Nepal, the work of <a href="https://archive.nepalitimes.com/article/Nepali-Times-Buzz/Back-to-Basics-in-Bhaktapur,1377">Götz Hagmüller</a> and his team of architects, who had made Bhaktapur his home and who died in February. Hagmüller did not just restore the old palace, but also designed the museum interior and curated the exhibits. But most importantly, the team ensured that the museum would have an independent governing body that would use revenue from fees and events for the museum’s upkeep. This has given the museum a rare longevity for an institution in Nepal. Read also: <a href="https://nepalitimes.com/news/kathmandu-s-legacy-is-goetz-hagmueller-s-legacy">Kathmandu’s legacy is Götz Hagmüller’s legacy</a>, Kunda Dixit  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240329060316_460c6ade80ae4064d3f761de57b7a004f9b755645db3185366754b1d2ffe82e4.jpg" data-media-id="editor_3" data-image-id="20240329060316_460c6ade80ae4064d3f761de57b7a004f9b755645db3185366754b1d2ffe82e4" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="A portal into Patan’s past and present Page 6-7 #1025 NT"> </figure>  The result is more than one of Kathmandu’s most popular destinations for visitors, but a museum that serves an educational function for Nepali students, supplementing what they learn in social studies and history classes in school. The carefully curated bronze, stone and wooden figures span Nepal’s religious faiths, historical periods and geographical zones, providing a striking experience of exploration and learning. Hagmüller led the restoration project of the Keshav Narayan Chok and the dilapidated palace structure, preserving the traditional architecture of the palace while modernising it to suit modern museum necessities. Read also: <a href="https://www.nepalitimes.com/banner/learning-from-nepals-past-to-rebuild-its-future/" target="_blank">Learning from Nepal's past to rebuilt its future</a>, Prakriti Kandel  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240329060316_bfc89739080a1339c9db8a83c7bc332aea37893f6cd9cb506b1a369ac9a68d00.jpg" data-media-id="editor_5" data-image-id="20240329060316_bfc89739080a1339c9db8a83c7bc332aea37893f6cd9cb506b1a369ac9a68d00" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="A portal into Patan’s past and present Page 6-7 #1025 NT"> </figure>  At a time when technology has taken over, and patience to learn through real experiences has decreased, Patan Museum is a space for young students and visitors to learn about Nepal’s glorious past, its culture, and observe intricate Nepali craftsmanship. “Patan Museum is a place of learning regarding two major aspects: heritage and art, specifically relating to Hinduism and Buddhism,” explains Suresh Man Lakhe of Patan Museum. “Students may learn about Buddha’s life in their textbooks, but the museum supplements that learning by letting them visualise his legacy.” &nbsp; Only 200 of the Museum’s expansive collection of 1,100 objects are currently on view, and they are spread across eight themed galleries. Images range from major gods of the Hindu pantheon such as Vishnu, Shiva and Ganesh to benign or fierce representations of Bodhisattvas.&nbsp; Read also: <a href="https://nepalitimes.com/banner/preserving-patan-post-earthquake">Preserving Patan post-earthquake</a>, Claire Burket  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240329060316_40b0b223afe15566e200ac14f69a527eacc736b040f5b5d982930aa601c51b41.jpg" data-media-id="editor_7" data-image-id="20240329060316_40b0b223afe15566e200ac14f69a527eacc736b040f5b5d982930aa601c51b41" data-rendition-name="original" width="1000" height="1500" loading="lazy" alt="A portal into Patan’s past and present Page 6-7 #1025 NT"> <figcaption>Dipankara Buddha</figcaption> </figure>  The section on Buddhist chaityas has clear explanatory notes about the significance of their design. No student will look at Swayambhu or Boudha after learning why the spire and cupola look the way they do. Indeed, all the exhibits have bilingual captions with comprehensive backgrounds about the myths and symbols present in the art pieces and their approximate age. This helps answer frequently asked questions from students such as the reason behind the multiple heads and hands of deities, the symbolic ornaments of Shiva and Vishnu, and the significance of the stupa design.&nbsp; The composition, medium, symbols, and expressions of bronze gilt copper repoussé are explained in detail, including the craftsmanship of the lost wax process. Read also: <a href="https://nepalitimes.com/review/bedrock-of-buddhism">Bedrock of Buddhism</a>, Kunda Dixit  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240329060316_8e1bcf9bace65f4b7ba2c8b05cf92337b1f54d12776ebc0841bd179b56faf7a9.jpg" data-media-id="editor_9" data-image-id="20240329060316_8e1bcf9bace65f4b7ba2c8b05cf92337b1f54d12776ebc0841bd179b56faf7a9" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="A portal into Patan’s past and present Page 6-7 #1025 NT"> <figcaption>Students can learn in detail the process of creating a repoussé mask at the Patan Museum.</figcaption> </figure>  Gallery B has explanations of Ganesh in a military avatar, ablaze with a flaming backdrop, and another of the elephantine god with six heads and six arms. He rests on snakes in one sculpture and is part of an oil lamp in another. There are nuanced variations in the depiction of Ganesh’s eyes and trunks in each of the objects. "Patan Museum, and indeed the whole Darbar Square, is a living heritage where our students learn history through the architecture, art, culture, and festivals,” says Rekha Pandey, a social studies teacher and educator at Rato Bangala Foundation. “It is ideal learning as the museum exhibits provide a multi-sensory experience that cannot be found in textbooks or lectures.” Museum staff are planning interactive worksheets and cards as learning devices with colourful and interactive worksheets ‘Let’s Discover Patan Darbar’ that allow students to navigate the historic square.&nbsp; Read also: <a href="https://nepalitimes.com/news/itumbahas-living-museum">Itumbaha's living museum</a>, Sahina Shrestha  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240329060316_1d6a101fa7f8c593070171abbf2866b73497ac3a10f5660bb716f1aa85da9aa6.jpg" data-media-id="editor_11" data-image-id="20240329060316_1d6a101fa7f8c593070171abbf2866b73497ac3a10f5660bb716f1aa85da9aa6" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="A portal into Patan’s past and present Page 6-7 #1025 NT"> <figcaption>A 12th-century limestone sculpture of Uma-Maheswar depicting Shiva’s family on Mount Kailash.</figcaption> </figure>  Lakhe says the museum can expand its instructional function with a separate education department. “With additional resources devoted to education, we can focus on creating much more learning opportunities for students,” he adds. &nbsp; There is a story behind every exhibit at the Museum. Gallery B, for example, hosts a 12th-century limestone sculpture of Uma-Maheswar depicting Shiva’s divine family on Mount Kailash. This statue was stolen in 1982 and then returned by a museum in <a href="https://nepalitimes.com/here-now/how-did-a-nepali-ritual-altar-end-up-in-berlin">Berlin</a> in 1990. Another piece shows Vishnu carried by the Sunbird, a copper alloy sculpture dating back to the 17th century, adorned with metallic Garuda wings. Students can learn in detail the process of creating a repoussé mask, from an initial pencil design to the feeling of the hammer hitting the bronze sheet. Read also: <a href="https://nepalitimes.com/review/remembering-nepals-lost-and-the-found">Remembering Nepal's lost and the found</a>, Ashish Dhakal  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240329060316_4431f200938cef4be6b390dbde827c0973d85c2ab36dcc1669e6b9dc92319f3e.jpg" data-media-id="editor_14" data-image-id="20240329060316_4431f200938cef4be6b390dbde827c0973d85c2ab36dcc1669e6b9dc92319f3e" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="A portal into Patan’s past and present Page 6-7 #1025 NT"> <figcaption>Tusha Hiti where King Siddhi Narsingh Malla used to pray and meditate in the 1640s.</figcaption> </figure>  Patan Museum provides an open-air experience, it is not limited to a building but has access to multiple courtyards including the Mul Chok and Sundari Chok with the exquisite Tusha Hiti step well, and the Bhandarkhal Tank. One of the treasures of the Patan Museum is Tusha Hiti step well where King Siddhi Narsingh Malla used to pray and meditate in the 1640s overlooking a gilded copper spout depicting a Garuda and Laxmi Narayan, and embellished by over 50 carved stone deities in thrones of carved foliage. Visitors can retrace the steps of past royals and their court treading the same stone steps that have been polished by the passage of feet and time.&nbsp; Read also: <a href="https://nepalitimes.com/review/patan-heritage-in-fantasy-fiction">Patan heritage in fantasy fiction</a>, Trishagni Sakya

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A portal into Patan’s past and present

Itumbaha is one of the 18 Buddhist monastic enclaves of Kathmandu with a rich history shaped by the Shakyas of Lumbini, who fled to Kathmandu. According to legend, the site was built by Keshchandra, the son of a king in the 11th century. The complex retains most of its original layout with monasteries, courtyards, and votive shrines. After the 1960s, many of Kathmandu’s sacred objects were stolen and smuggled out to collectors and museums in the West. Itumbaha was not spared. “It is said that there are many artefacts that have been stolen from here, but we do not have any documentation,” says Pragya Ratna Shakya of the Itumbaha Conservation Society.&nbsp; In 2022, the Rubin Museum of Art in New York returned two artefacts to Nepal after they were found to have been stolen from religious sites in Kathmandu Valley. The anonymous site Lost Arts of Nepal had located the items at the Rubin following which the citizen-led Nepal Heritage Recovery Campaign (NHRC) wrote to the museum for their return. Read also: <a href="https://nepalitimes.com/review/bedrock-of-buddhism">Bedrock of Buddhism</a>, Kunda Dixit One of the artefacts was a 14th-century Flying Gandharva (apsara) from Itumbaha. The Rubin also announced a partnership with the Itumbaha Conservation Society and Lumbini Buddhist University (LBU) to ‘research, preserve, and display the collection of one of the oldest, largest, and most important monasteries in Kathmandu, Nepal’. “While working on the return of the apsara, the Rubin expressed an interest in helping the community in any which way it could,” recalls Swosti Rajbhandari, a Museology lecturer at LBU who mediated the collaboration.&nbsp; The Itumbaha Conservation Society wanted to use vacant spaces to display its collection, and the Rubin contributed $20,000 for a three-room display. Rajbhandari and her students cleaned, researched, and catalogued some 500 artefacts. The Itumbaha Museum was set to be inaugurated on 29 July with nearly 150 of the documented objects on display.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230727100756_7274ecc982ef8128a2634cc52a4ecb75ac2e01197937f6399c8e7edb411ef036.jpg" data-media-id="editor_1" data-image-id="20230727100756_7274ecc982ef8128a2634cc52a4ecb75ac2e01197937f6399c8e7edb411ef036" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Page 9 NT 2"> </figure>  The museum concept has been two decades in making, ever since the vihara was being restored in 2003. To construct the museum, the Itumbaha Conservation Society had previously approached Kathmandu Metropolitan City (KMC) when Bidya Sundar Shakya was the mayor. Although they were promised a budget, the community never got the money. Pragya Ratna Shakya sees the museum as an attempt to save its heritage. “There is no point keeping the objects hidden in storage,” says Shakya. “If we display them, there is documentation including photographs and that will hinder theft. It will also help in claiming the artefact if it is stolen.” The Rubin Museum says it is seeking opportunities for meaningful exchange of knowledge, experience, and perspectives across Nepal and the Himalayan region.&nbsp; In an email interview from New York, Jorrit Britschgi, Executive Director of the Rubin Museum, who is traveling to Nepal for the inauguration, told Nepali Times: “For us, our return of the Garland Bearing Apsara demonstrates our commitment to continual collection, research, and our support of Itumbaha’s vision for these galleries is an example of what a return can lead to.”&nbsp; Swosti Rajbhandari, who is helping curate the museum, says that this is a positive step and can contribute to the repatriation of stolen artefacts. She says, “Lain Singh Bangdel said that more than 80% of Nepal’s best work is abroad. The reason we have not been able to bring them back is because we don’t have documentation and proof to show that they are ours. This can be a start.” Yagyaman Pati Bajracharya, intangible heritage conservationist and Buddhist priest, agrees that having a space to showcase the artefacts of the vihara is a positive step. “This will help the younger generation, educators, and researchers from all over the world learn about our culture and heritage,” he says. But not everyone is happy with the Rubin’s involvement or the idea of a museum in the vihara complex. "Itumbaha itself is a living museum," says Jyoti Ratna Shakya, a local of Itumbaha. "Having a museum there is counterintuitive. Moreover, why take money from the Rubin or anyone else? Itumbaha was built by our ancestors, why involve anyone else? It is a disgrace." Activists involved in repatriation also say the Rubin could be doing more to ensure stolen Nepal artefacts are returned.&nbsp; “We are happy that the Rubin Museum has returned the flying apsara once attention was drawn to the fact that it was stolen from Itumbaha,” says Kanak Mani Dixit of the NHRC campaign. “This is a starting point for the Rubin, which considers itself a museum of the Himalaya. It has accountability towards Nepal and other parts of the Himalayan region.” Dixit says the Rubin should go public with the result of its investigation on the provenance of the apsara that was returned, and the route it took to get to New York.&nbsp; “The Museum should conduct a systematic review of its holdings to ensure that there are no other stolen artefacts from Nepal and elsewhere, and must be proactive in returning such items to the host communities rather than wait for activists to come in pursuit,” adds Dixit.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2023072711070_1c8baa8146324f0c0d75e395e2079ccfdc8d20c9c7131e16027cc3d2e9f72bfa.jpg" data-media-id="editor_2" data-image-id="2023072711070_1c8baa8146324f0c0d75e395e2079ccfdc8d20c9c7131e16027cc3d2e9f72bfa" data-rendition-name="original" width="1500" height="1029" loading="lazy" alt="Page 9 NT 3"> </figure>  A quick search on the Rubin’s website shows 101 artefacts from Nepal, but activists say there may be many more that have not been listed or on display, although not all of them may be stolen or smuggled. In a <a href="https://www.youtube.com/watch?v=n0yKxj3KS3E">2018 documentary by Al Jazeera</a>, art dealer Deepak Shakya had named the Rubin as one of his family’s connections in New York. When the journalist Steve Chou approached the museum, it denied having anything from Shakya in its collection. Britschgi says provenance research is a critical and ongoing process for the Rubin, and recent returns have made the museum more aware of the continued need to dedicate resources to it. “The returns have also led us to re-evaluate elements of our acquisition policy,” says Britschgi. “If the Rubin learns, through its own research, or by another party, that objects in its collection are claimed to have been stolen, looted, or illegally excavated, the Rubin immediately addresses these claims carefully and seriously.” But activists are skeptical of Rubin’s motive and concerned that the museum is using Itumbaha to clean up its international image and blunt criticism that has come its way. By accepting the Rubin’s help and allowing it to host events, some say Nepal is legitimising the museum's past acts. “This is whitewashing,” says heritage conservationist Rabindra Puri, who chairs the Museum of Stolen Art. “If it is about good faith and goodwill, the museum should investigate its collection and return the Nepali artefacts that are rightfully ours.”&nbsp; “There could be potential conflict in future repatriation of other sculptures if discovered in the Rubin’s collection. There may also be other museums with stolen artefacts that may approach other communities in Nepal to absolve themselves. This is setting a negative precedent,” Puri adds. The bahas and bahis of Kathmandu Valley are already living museums, and are sacred spaces that have served as places of learning and worship for centuries. Critics say introducing the western notion of a ‘museum’ devoid of emotional attachment to the visitor is cultural invasion and a form of neocolonialism. Another activist who wished to remain anonymous said, “There are many &nbsp;examples of collectors and traffickers who have funded scholarly excavations and laundered their reputation by donating or helping museums with collections. The Rubin’s involvement can be viewed in a similar lens.” &nbsp;&nbsp;

Sahina Shrestha

Itumbaha's living museum

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

Nepal is graduating to become a developing country on 24 November 2026 after half-century in the Least Developed Country (LDC) category. By 2030, the country hopes to transition to middle-income status.&nbsp; Everone from Prime Minister K P Oli have boasted that this is a matter of national pride, and will have a multiplier impact on trade and economy.&nbsp; But will it make any difference to the average Nepali? Not unless improved governance <a href="https://nepalitimes.com/news/why-invest-in-nepal">spurs investment and creates jobs</a>.&nbsp; Countries need to meet at least two of the three criteria in two consecutive triennial reviews to be eligible for graduation from LDC. Nepal has consistently met the thresholds for the Human Assets Index (HAI) and the Economic and Environmental Vulnerability Index (EVI) in 2015, 2018, and 2021. But Nepal was recommended for graduation before meeting the per capita <a href="https://nepalitimes.com/banner/nepals-great-income-divide">Gross National Income (GNI)</a> threshold of $1,306. “A major implication of LDC graduation is the loss of preferential market access available through Generalised System of Preferences (GSP) and other arrangements,” explains economist Sameer Khatiwada. “But over two-thirds of <a href="https://nepalitimes.com/news/nepal-doesnt-produce-its-2-biggest-export-items">Nepal’s exports</a> are to India, and the preferential market access to India is through a bilateral trade agreement. This has nothing to do with our LDC status.”  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250815060832_f5eabe7628a8cdf84f33b25d7cef3c4dc8913a26d8e5b253ea52a36e176b8a85.jpg" data-media-id="editor_3" data-image-id="20250815060832_f5eabe7628a8cdf84f33b25d7cef3c4dc8913a26d8e5b253ea52a36e176b8a85" data-rendition-name="original" width="640" height="470" loading="lazy" alt="LDC graduation "> </figure>  Furthermore, a provision under the South Asian Free Trade Area (SAFTA) allows Nepal to export to India duty-free if the items are at least 30% value-added. Nepali traders take advantage of this by re-exporting edible oils without meeting that requirement, falsely boosting Nepal’s exports.“ Following graduation from LDC, the value addition threshold might increase to 40%,” says Kalpana Khanal of the Policy Research Institute. “This is supposed to work to our advantage, because on paper value addition inherently means <a href="https://nepalitimes.com/multimedia/staying-home-to-create-jobs">job creation at home</a>.” But Nepal’s exports to other major destinations will face <a href="https://nepalitimes.com/news/nepal-and-the-us-india-tariff-tiff">tariff increases</a> with the graduation. A South Asia Watch on Trade, Economics and Environment (SWATEE) study shows that while tariff increase in the US market is relatively low (see page 5) it is considerably higher in Europe. The International Trade Centre (ITC) in a 2022 study also estimated that graduation could result in a 4.3% decline in Nepal’s projected exports, but this is excluding the impact of changes in ‘rules of origin’ provisions in preference-granting countries such as the UK and Europe.&nbsp; Nepal’s top export to these preference-granting countries is <a href="https://archive.nepalitimes.com/news.php?id=1482">carpets</a>, and will not be impacted, but other items such as textiles and apparel will be heavily affected due to higher cost of production. The impact will felt mostly by small and medium enterprises which represent the largest share of exports to LDC-specific preference-granting countries. As for the service exports, Nepal never really made use of the World Trade Organization’s LDC services waiver anyway, hence the effect will be minimal, if any. There is also concern about Nepal’s graduation at a time when the global economy is topsy-turvy, amidst <a href="https://nepalitimes.com/opinion/turning-point-in-us-india-relations">tariff wars and conflicts</a>. This affects Nepalis abroad directly and may impact <a href="https://nepalitimes.com/news/more-remittance-more-than-remittance">remittances </a>which hit $11 billion in 2024. In comparison, Nepal only received $350 million in foreign loans and grants last year.&nbsp; Tourism arrivals have finally reached pre-pandemic levels, but bad publicity about pollution, poor infrastructure and bureaucratic hurdles hinder further growth. Manufacturing continues to struggle, while hydropower and the IT sector have taken off.&nbsp; “Look at data -- <a href="https://nepalitimes.com/news/tourism-needs-a-new-push">tourism arrivals</a> are up, spending is up, IT exports are up, <a href="https://nepalitimes.com/news/why-nepal-needs-to-restore-ev-tax-subsidy">EV sales </a>are up, Europe still needs 85-90 million skilled workers. We are sitting on $16 billion in cash reserves, our balance of payment, foreign exchange reserve, tax to GDP ratio, credit flow are all positive, we have to build on these factors,” says Sujeev Shakya of the Nepal Economic Forum. He adds: “Our mindset creates negativity to promote rent-seeking behaviour, but this cynicism will go away after 2026 with LDC graduation. We must deal with data, look at trends, and projects which will bring in <a href="https://nepalitimes.com/from-the-nepali-press/why-there-is-no-foreign-investment-in-nepal">international investments</a>.” Khanal agrees that investment is not dependent on<a href="https://archive.nepalitimes.com/regular-columns/backside/Nepal-not-the-least-developed-country,306"> LDC status</a>. The factors that that affect investment are policy stability, a strong legal framework, market potential and ease of doing business. She adds, “That is where our focus needs to be, and we need to retain <a href="https://nepalitimes.com/diaspora-diaries/migrant-worker-returns-to-create-work-at-home?fbclid=IwAR09xJfsClCwn8uRVAmz28CU658vdKpuyDwB_b1sNlvKtAFFnSldnA0JS2g">Nepalis with jobs at home</a> for our sustained growth.” After 2026, financing support from donors and aid agencies could be affected and Nepal will no longer be able to access Least Developed Countries Fund (LDCF) to adapt to the impacts of climate change. But the Global Environment Fund and Green Climate Fund will still be available.“ LDC status does not determine bilateral development aid, that is usually driven by broader <a href="https://nepalitimes.com/here-now/looking-beyond-two-boulders">geopolitical considerations</a>,” says Sameer Khatiwada. “The World Bank and Asian Development Bank, which provide concessional loans to Nepal, it is determined mainly by per capita income, not LDC status.” &nbsp;However, Nepal may lose some concessional terms for loans. Nepal is currently a lower-middle-income country as per the World Bank in the bracket for GNI between $1,036 and $4,045. The country is already receiving more loans than grants and in July the World Bank increased its interest rate on loans by 100% from 0.75 to 1.5%. “All this means that the impact of LDC graduation for Nepal might not be as earth-shattering as some tend to think. Countries that have recently graduated, such as Botswana and the Maldives, have shows that graduation is just a step in a country’s development path,” says Khatiwada. Sujeev Shakya also sees the glass as half full, explaining that LDC graduation is just a stepping stone if Nepal has the right policies in place. He adds, “Nepal’s biggest advantage is our<a href="https://nepalitimes.com/opinion/investing-in-people"> working age population</a> and we have investments coming in. These aided by how adaptive we are as a society are the very foundations on which Nepal will grow.”

Not poor, but not rich

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

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>.

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Not poor, but not rich

Nepal’s bubble economy

Flouting rules caused Saurya tragedy