The fact that we in Nepal in this day and age are having to block a bill that perpetuates polygamy, and that there are voices justifying it, shows just how ossified the ruling class still is.
It is one step forward, two steps back, and is not surprising given entrenched patriarchy in mainstream society and disregard for constitutionally-stipulated reservation quotas for women at all levels.
Here is a brief recap for those of you not following this saga: a proposed amendment to Article 175 of the Criminal Code attempts to legalise polygamy where an extramarital affair has resulted in a child. It does not state how many partners and children will be accepted, potentially leading to more problems.&nbsp;
Further, the pretext of protecting children’s and women’s rights purported by the bill is not even valid, legally or otherwise.
Existing civil and criminal codes have mechanisms to establish paternity of a child, not taking into account the circumstances of their birth, providing a clear pathway for birth registration and citizenship. It also allows for inheritance to all children, regardless of the marital status of parents.
But many men refuse to recognise children born out of an extramarital affair, fearing they might be prosecuted for polygamy, or have to further fragment inheritance. But an extramarital affair is not criminalised, unlike polygamy.&nbsp;
We would do better to resolve this confusion, as well as the lack of clarity in the bureaucracy that asks for a marriage certificate for the civil registration of children when it is not even mandatory.
As for protecting women involved with married men, marriage is not always the solution, other mechanisms for reparation should be looked into. She might also be as guilty as the man, and what of the justice for the first wife? Children are not collateral damage, but they are also not a ticket to legitimise a misdeed.
Even so, if people are not happy in a marriage, they can choose to divorce and remarry. A better solution would be to make the path to legal separation easier and more just for both parties. At present, a man can rarely get a divorce without his wife’s consent, owing to social disadvantages that women face. It is less complicated for women.
“It is unlikely that the bill in its current form will be passed, but the fact that something like this has even come up and we have to have this discussion is a huge relapse,” says lawyer Neha Gurung.
Equally problematic is what the bill does not say in not so many words: that a woman’s identity is her marriage, her husband, her family. She cannot exist as herself.&nbsp;
Polygamy was criminalised with the enactment of the Muluki Civil Code 2017 and the Muluki Criminal Code 2017 after decades of advocacy by rights groups. This amendment not just threatens to undermine progressive work of the past, but also sets a dangerous precedent.&nbsp;
“A step like this can take Nepal back by at least 30 years,” warns advocate Diksha Kandel. “And female protection is just a guise, this is not even a gender issue although women will suffer more if this bill were to pass. No one should be allowed double marriage, regardless of their gender.”
Last month, Prime Minister K P Oli urged people to marry “soon” after turning 20 and have three children by age 30. There may be biological merits to having children earlier, and Nepal’s ageing population will be a problem, but it is none of the prime minister’s business if, when or how many children women decide to have.&nbsp;
And it is hypocritical to ask women to have more children when the government cannot even guarantee that they get citizenship in the mother’s name. Till today, civil registration for marriage must be carried out in a man’s constituency.
Nepal’s laws are still being made by men for men. Women are there just to reproduce. There is outrage and ridicule on social media about the polygamy amendment proposal.&nbsp;
Wrote advocate Aanchal Adhikari on LinkedIn: ‘Legalizing second marriage on the grounds of pregnancy is not just a legal loophole, it is a moral failure. It emboldens infidelity, erases the pain of the first wife, and degrades women to mere vessels of reproduction.’
Nepal’s former ambassador to Australia Lucky Sherpa wrote on her Facebook: ‘Any move to legalize polygamy or other discriminatory provisions against women is a direct violation of our Constitution and Nepal’s international commitments.’
The amendment is drafted by the Ministry of Law, Justice and Parliamentary Affairs, no less. It has been the judiciary, not the legislature or executive that have upheld women’s rights in Nepal in the past.&nbsp;
In response to anger in the public sphere, Law Minister Ajay Kumar Chaurasiya clarified that the draft will be amended if certain wordings are objectionable.
But it is not the wording that is the problem, it is the intent. How can a nanny state even think of rectifying infidelity by justifying polygamy?&nbsp;
Sonia Awale

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Nanny State

<figure><img width="1500" height="926" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108181148/636a96c89c7e80680e05dc89jpeg.jpg" alt=""/><figcaption>Rinadevi Mahara from Dhanusha, abandoned at Godavari Modern Hospital in Janakpur for lack of money to pay hospital charges</figcaption></figure>Ajaya Anuragi in Himal Khabarpatrika, 24-30 NovemberBrutality against women exists in families across Nepal, but nowhere more so than in Province 2, police figures show. What is not so clear is whether gender-based violence is becoming more common in this plains province, or that better educated women are now taking complaints to the police.The number of complaints of violence against women in the eight districts of Province 2 surged dramatically from 602 three years ago to 10,243 in the past year. Most of the complaints involved dowry-related violence, polygamy, physical domestic violence against women, trafficking, rape and attempted rape. There were 125 murders of women in the past three years, mostly by drunk husbands or in-laws.Read also:<a href="https://www.nepalitimes.com/opinion/using-numbers-to-fight-gender-based-violence/" target="_blank" rel="noopener"> Using numbers to fight gender-based violence</a>, Lisa HonanProvince 2 police statistics show women are more unsafe outside of homes than inside. In the past five months, 50 women who were driven out of their homes due to domestic violence sought refuge in a shelter run by the Women’s Rehabilitation Centre (WOREC) in Janakpur. “Women are unsafe everywhere, but the statistics for Province 2 look alarming,” says Gyankumar Mahato of the provincial police office. However, DIG Pradyumna Karki, chief of Province 2 police, thinks the number of crimes has increased because more people are reporting them. “Previously, people used to try and hush up crimes like rapes. But now more people are aware of the presence of the police, and we get all sorts of complaints,” Karki says. Advocate Rekha Jha agrees: “Women have tried to hide these incidents in the past but are now coming forward with their testimonies. That is the reason the numbers look higher.”Others, however, say that while there may be an increase in complaints, the number of incidents has also shot up because of new factors like the spread of social media, unregulated sale of alcohol, drugs and entrenched patriarchy in the still largely conservative region.Read also: <a href="https://archive.nepalitimes.com/regular-columns/Here-We-Go/2013-jun-21-here-we-go-gender-violence,122" target="_blank" rel="noopener">#Genderviolence</a>, Trishna Rana “The misuse of social media is contributing to violence against women,” says Rekha Dutt of the National Human Rights Council, Janakpur Office. “Weak implementation of laws further encourages criminal tendencies. When perpetrators go free because of political pressure, it raises the confidence of those who prey on women.”Yagya Prasad Acharya of the district court in Dhanusha district has a different take on the problem: “Now, men also have the right to file for divorce. In the past when only women could file for divorce, men hesitated to commit violence. Now that fear is gone.” Court records show that abuse of social media was a cause in increasing numbers of violence against women in the province. With the rise in female literacy, young women are now also more assertive, refusing to get married early, or if they do, brides are not as submissive towards in-laws as in the past.Another reason for the rise in violence against women is mismatched marriages, activists say. Poor families still try to marry their daughters into rich families by offering dowry, even by incurring large debts. Dowry-related violence against young women is still a major cause of domestic violence -- police records show that the number of incidents rose from 3,609 last year to 4,671 this year. Read also:<a href="https://www.nepalitimes.com/editorial/corrosive-conduct/" target="_blank" rel="noopener"> Corrosive Conduct</a>, EditorialIn the past three years the highest number of complaints about gender-based violence was from Bara and Parsa districts, and rape cases were most prevalent in Siraha, Saptari and Sarlahi.  Politicians at all three levels of government underline that ending violence against women and establishing gender equality is their priority. Province 2 Chief Minister Lalbabu Raut had even announced the ‘Chief Minister Educate Daughter, Save Daughter’ campaign amidst much fanfare. Padam Prasad Pokharel, information officer in the province’s cabinet office, says the campaign is mainly focused on education. “The campaign aims to end child marriage through education -- it is also working on women's safety,” he says. The province's Ministry of Social Development is imparting self-defence training to girl students of public schools, aiming to protect them from abuse, violence, and rape. “The schools wrote to us saying the program was effective, so we are continuing it this year,” Pokharel says. In the past year the ministry spent Rs11 million on self-defence training at schools, but it has taken no other initiative to reduce violence and crimes against women. At the provincial level, the ministry of internal affairs and law is in charge of these matters. “We are drafting a bill about controlling domestic violence and violence against women,” says Surendra Mahato of the ministry.  Read also: <a href="https://www.nepalitimes.com/banner/four-fold-increase-in-reported-rape-in-10-years/" target="_blank" rel="noopener">Four-fold increase in reported rape in 10 years,</a> Sewa Bhattarai		
			<h2>Violence against women in Province 2</h2>		
		<ul><li>Usha Devi Das of Janakpur has been enduring torture and abuse from her in-laws for not delivering enough dowry when she got married. She complained to the police twice, but law enforcement only forced the couple to sign a pledge and sent them home. The abuse did not stop. Das complained again, but her in-laws got a stay order from the district court. </li></ul><ul><li>Rita Devi Yadav of Bhangaha of Mahottari district registered a complaint against her husband and his family at the District Police Office, Dhanusha on 4 September, accusing them of physical and mental torture and of throwing her out of the house. Yadav then started living with her parents. She accuses her father-in-law and brothers-in-law of mistreatment. Yadav's husband has gone into hiding after the complaint was filed. The couple has a 21/2 –year-old son. </li></ul><ul><li>Shyam Mahara of Shahidnagar of Dhanusha beat his pregnant wife Rinadevi until she fainted, and left her alone at the provincial hospital in Janakpur. Mahara filed a complaint against her husband 5 days later on 8 September. Her father-in-law then took her home a week later. Mahara was again admitted to the hospital this month when her baby was due. The baby was delivered with a caesarean section, but was in poor health. Her in-laws disappeared after they admitted her, leaving her with Rs1,700 in hospital charges per day. She begs for food from other patients.</li></ul>Read also: <a style="background-color: #ffffff; letter-spacing: 0.01em;" href="https://www.nepalitimes.com/opinion/rape-rulings-in-nepal-follow-letter-not-spirit-of-the-law/">Rape rulings in Nepal follow letter, not spirit of the law</a>, Sewa Bhattarai

Alarming rise in violence against women

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

American artist Peter Makela was in Nepal in 2022 on a Fulbright scholarship when he experienced the Matya festival in Patan in which devotees made the rounds of the city’s shrines.&nbsp;
He joined the procession, walking through 2,600 stupa and 140 bahal of the town. That immersion left a lasting impression.
As part of Gallery Mcube’s international residency program in Patan, he put his inspiration to canvas in the exhibition Yala Yatra: Walking, Working, Worshipping. The exhibition also coincides with this month’s Matya festival.&nbsp;
Makela has visited Nepal often in the past 11 years but he mostly stayed in and spent his time around Boudha. “This time I stayed in Patan, put the sites I wanted to visit on my map, and off I went,” he tells us. “Each of my artwork is inspired by the stupas and shrines in Patan that I visited.”
The stupa and Ganesh are recurring motifs in his watercolours, and the elephant gods are located in chaityas — reflecting the interplay and blending of the Hindu and Buddhist faiths in Kathmandu Valley.&nbsp;
The stupas and Ganesh are painted in vivid red, yellow, blue and green against abstract backgrounds meant to represent the sky.
“I use the sky as a backdrop because the sky has no border,” says Makela. “The four colours represent the four elements, the different Buddha families and also lights bouncing off of a rainbow.”
The use of just four colours for all the artwork stands out, and combined with the absence of heavy canvases, frames or stands render Makela’s art striking in its simplicity.&nbsp;
The Ganesh is always holding something and the art also portrays the elephant god’s sacred vehicle, the mouse.
While his vibrant stupas and Ganesh reflect the tangibility of Patan’s tradition and heritage, it is as if the backdrops with their shades of grey and red and yellow capture the soul of the city’s shrines.
“If you look closely, there is a sense of form and formlessness at the same time,” he says.&nbsp;
Makela walked 108 kora around the shrines during his exploration of the town, and in the process developed a spiritual connection with Patan’s heritage and traditions.&nbsp;
The exhibition connects with visitors on a deeper, more spiritual, level as well. And with it, they feel a sense of pride as well as the need to urgently preserve Patan’s heritage for future generations.
“Peter’s inclination and approach towards Nepali art and culture is fascinating, and it reflects in his work,” says Mcube curator Manish Lal Shrestha, whose international artist residency program promotes Nepal’s cultural heritage. &nbsp;&nbsp;
Yala Yatra: Walking, Working, Worshipping
1-5 August&nbsp;
10AM-7PM
Gallery Mcube, Patan

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Walking, working, worshipping in Patan