<img width="800" height="466" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221207101212/639059c09c7e80680e0ce204jpeg.jpg" alt=""/>On 22 November, as results of Nepal’s parliamentary and provincial elections started to roll in, Surul Pun learned that he had been elected to the Lumbini Province assembly.The 44-year-old former guerrilla and loyal member of the Maoist Centre was denied a ticket by his party, so he had contested the election as an independent provincial assembly candidate from Rukum East.Pun defeated his rival, fellow ex-guerrilla Tej Bahadur Oli of the Maoist Centre who is a current member of Lumbini provincial assembly and was supported by the governing coalition.Pun was born in Maikot village and joined the Maoist militia at age 17 when the party launched an armed struggle against the state in 1996. The insurgency lasted ten years, and cost 17,000 lives. Soon after he was recruited, Pun was seriously injured during a battle when a shell exploded next to him. He remembers the day vividly: his comrades left him bleeding in the battlefield promising to come back. “I drank my own urine to keep hydrated and stay alive, even as I was drowning in my own blood,” Pun recalls.He survived after being captured by the security forces, but released because of his wounds. He returned to the underground Maoist, where his commander Nanda Bahadur Pun (currently Nepal’s vice president) advised him to join the party’s political wing because of his diminished physical ability. But Pun refused, and rejoined the militia. After the war ended, Pun was active in the Maoist party serving till recently as a member of the Lumbini Province Committee, but was refused a ticket in the provincial election.“I once rebelled against the state, this time I was forced to rebel against my own party,” Pun said in an <a href="https://www.himalkhabar.com/news/133245?fbclid=IwAR0apLUxU8r2JuVYgelfV_qSpy8muLXnEtSk309wsqq_hxWvw9V_041-Xqo" target="_blank" rel="noopener noreferrer" data-saferedirecturl="https://www.google.com/url?q=https://www.himalkhabar.com/news/133245?fbclid%3DIwAR0apLUxU8r2JuVYgelfV_qSpy8muLXnEtSk309wsqq_hxWvw9V_041-Xqo&amp;source=gmail&amp;ust=1669554662137000&amp;usg=AOvVaw0p1I7dkkRoNsytmULkT-nK">interview with Himal Khabar</a>. The party took action against Pun, and this convinced him that he had taken the right decision to fight the election on his own.Even before the elections, Pun had felt strongly that the party he had been through during war and peace, had lost its way. Former commanders had reached positions of power in Kathmandu, and forgotten the sacrifices of the people. They had abandoned the goal of the revolution of Nepal’s socio-political transformation. “When I ponder these questions, I find myself getting emotional,” says Pun. “I realised that all the answers lie within the party itself.”When he realised his party was setting a bad example among its supporters, Pun felt that someone had to stand up against the leadership. His decision appears to have been right — not just because of his own win but because the Maoist Centre has fallen far behind its Nepali Congress partners and the UML in the polls.“I thought to myself— if I don't do it, who will?” Pun says of his decision to stand as a rebel candidate. “If I don’t stand up now, when is it going to be the right time?”Rukum East is a historical Maoist stronghold, with an organised base of former Maoists. But Pun’s win is indicative of loyal voters’ dissatisfaction with established Maoist leaders as well as party politics. Pun agrees that the party base in the districts has collapsed, and there is open aversion to the former guerrilla commanders. Many other former Maoist combatants who later joined the party have long since left.“Voters here understand that promises of a better society were just lies,” says Pun. “The people who lost their lives, livelihoods or their limbs, whose loved ones were killed, have been long forgotten. They were not even offered a word of gratitude, let alone justice.”He adds, “I stand on the shoulders of those who paid with their blood during the war. I am indebted to them, and recognise the responsibility I have.”Although he is no longer involved in the party, Pun says that he holds no grudges. “If the founding members of the party recognise the need for complete institutional overhaul, and are open to listening to current and former cadres who are down the ladder, I will be wholeheartedly supportive. But if things within the party remain as they are now, I do not see myself returning.”For now, Pun looks forward to uplifting his neglected district in the rugged mountains of central Nepal. His priority will be the road linking the district to the rest of the country. Almost every family in Rukum East has an ex-Gurkha soldier or is working in the Gulf. Pun himself was once a migrant worker. “I understand these issues because of my personal experience, I can raise them at the provincial level, but I alone cannot solve these problems,” says Pun. Rukum faces many of the same issues of social injustice, discrimination, exclusion and state neglect that it did before the war.<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221207101212/639059c29c7e80680e0ce205gif.gif" data-bit="iit">Adapted from the <a href="https://www.himalkhabar.com/news/133245">Nepali original</a> at <a href="http://himalkhabar.com/">Himalkhabar</a> by Shristi Karki.

original

674x448

610x380

400x266

400x240

400x203

301x200

It is comrade vs comrade in Nepal’s elections

Samsung Nepal has opened pre-orders for the Galaxy A57 5G and A37 5G. Both phones run Samsung’s One UI 8.5, featuring AI capabilities like voice transcription, Circle to Search, and photo editing. They feature a 50MP triple-camera system, a Super AMOLED display, and six years of OS and security updates.

Galaxy A series

The war in West Asia has exposed the fragility of the economic architecture Nepal has built on over two generations. If the conflict continues, growth across developing Asia will slow and prices will rise. For Nepal, this will be felt through higher living costs, weaker economic activity, and growing uncertainty for the millions of families who depend on remittances.&nbsp; Nepal now needs to structurally transform from exporting labour to investing in domestic job creation. &nbsp; The country's current path toward a knowledge economy has a blind spot. A <a href="https://iids.org.np/wp-content/uploads/2025/02/unleashing.pdf" target="_blank">report</a> by the Institute for Integrated Development Studies (IIDS) in Kathmandu shows that IT export companies alone generated 7,228 jobs and income for 66,509 freelancers.&nbsp; We are building digital labour export, not an economy that accumulates institutional knowledge. The Nepali Upwork developer and a migrant construction worker in the Gulf are engaged in the same economic activity, but with different tools. Nepal’s reliance on a <a href="https://data.worldbank.org/indicator/BX.TRF.PWKR.DT.GD.ZS?locations=NP" target="_blank">remittance-driven economy,</a> means the country has failed to create enough <a href="https://www.worldbank.org/en/country/nepal/publication/unlocking-nepal-s-growth-potential" target="_blank">quality jobs</a> at home. For millions of young people, leaving the country is not a choice but a necessity to survive and support families back home. <a href="https://www.worldbank.org/en/country/nepal/publication/unlocking-nepal-s-growth-potential" target="_blank">Remittances</a> have no doubt helped reduce poverty. Thirty years ago, 55% of Nepal’s population lived on less than $2.15 a day, now it is 20% after the absolute poverty line was revised upwards. This progress has come at a cost — &nbsp;an economy that depends more on exporting workers than creating opportunities at home. This development reflects a deeper political failure to create meaningful jobs within the country. Since the democratic transition in 1991, Nepal’s leadership has largely recycled the same faces, with limited progress on job creation or industrial growth.&nbsp; Nepal cannot build a <a href="https://nipore.org/accelerating-nepals-startups/" target="_blank">knowledge economy</a> while its most ambitious people are outbound to Doha and Tokyo. We are also not just losing ‘labour’. We are losing the entrepreneurial risk tolerance of our youth.&nbsp; If the most ambitious 25-year-olds are abroad, who is left to support innovation and entrepreneurship? The same people who are working tirelessly abroad, are our biggest asset for development. Their work ethic and the know-how inurban renewal could well fit into the new RSP government’s mandate of 7% annual growth.&nbsp; The <a href="https://english.biznessnews.com/posts/-nepal%E2%80%99s-it-exports-cross-1-billion-" target="_blank">$1B milestone</a> of IT exports is a celebratory moment for Nepal. However, that cannot lead to a pathway to a $100 billion economy without innovation ecosystems that go beyond individual labour export. Companies like SecurityPal and industry associations such as NASIT have made significant efforts in building such an environment, recently championed by private sector leaders as a &nbsp;<a href="https://www.securitypalhq.com/blog/silicon-peaks" target="_blank">Silicon Peaks</a> model that emphasises a home growth tech cluster. The need to accelerate this transition is even more urgent with the escalating conflict in West Asia. &nbsp;The recent International Labour Organisation (ILO) <a href="https://www.ilo.org/sites/default/files/2026-03/Nepal%20LDC%20Graduation%20Employment%20Impacts%20Report.pdf" target="_blank">report</a> shows that LDC graduation is expected to adversely impact manufacturing with losses of $1 billion by 2030.&nbsp; If manufacturing takes such a large hit from losing trade preferences, then Nepal’s services and IT sectors need to structurally transform and shift from exporting individual talent to building firms. &nbsp; A generation’s frustration has finally forced a shift in Nepal’s political structure, handing the new government a clear mandate to fix failures. But the question still persists: what prevents Nepal from achieving sustained, productivity-driven growth? &nbsp;&nbsp; RSP is in the right place at the right time to put Nepal's economy on a firm footing. At the heart of Nepal’s economic underperformance lies a major development binding constraint: low returns to investment on projects.&nbsp; The government invests like a high-growth economy, with gross capital formation at around <a href="https://data.worldbank.org/indicator/NE.GDI.FTOT.ZS?locations=NP" target="_blank">25–30 percent of GDP</a>. Yet economic growth remains modest. The problem is not how much the country invests, but how little it gets in return. One way to see this is by looking at how much investment is required to generate growth.&nbsp; Nepal needs large amounts of capital to produce relatively small gains in output (graph, below). For instance, in 2024, the ICOR was 8.29, this suggests that Nepal had to invest more than 8 units of capital to produce a one unit of additional economic output.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260406040412_605dc527641d2ff2dc5723ed8bbec946898331d5538a55b9941e32a0725bf811.jpg" data-media-id="editor_9" data-image-id="20260406040412_605dc527641d2ff2dc5723ed8bbec946898331d5538a55b9941e32a0725bf811" data-rendition-name="original" width="1827" height="925" loading="lazy" alt="Economy graph"> <figcaption>Source: Author's calculation based on a Growth Diagnostic simulation</figcaption> </figure>  This reflects a deeper issue in how investment is allocated and executed. Capital is often locked in low-productivity sectors or diluted by delays, inefficiencies, and policy uncertainty.&nbsp; As a result, even high levels of investment fail to translate into sustained growth. Until investment shifts toward productive, firm-building activities, higher spending alone will not deliver results. &nbsp; To reverse this, the government must focus on raising the returns to investment by enabling firms to grow and compete. This requires a shift from managing scarcity to creating an environment where capital can generate consistent and predictable returns. A central priority should be given to attracting and retaining both domestic and foreign private investment. Investors do not just respond to direct incentives, but also to policy stability in the country. Nepal’s economy cannot sustain high growth if its human capital continues to leave the country.&nbsp; The goal should not simply be to create jobs, but to build companies that scale, innovate, and compete beyond Nepal. This requires supporting sectors with strong productivity potential and ensuring that firms can expand without being constrained by infrastructure gaps or regulatory friction. Finally, the state must improve the quality of its own investment. Public spending should focus on lowering the cost of doing business through reliable electricity, efficient logistics, and digital infrastructure.&nbsp; The GenZ movement took two days to bring change. The economic transformation of Nepal might take a generation. The RSP can accelerate this transition, but only if it focuses on building a better investment climate for business and not just feeding the global labour pool. Kailash Raj Pandey is an MPA/ID and MBA candidate at Harvard Kennedy School and MIT Sloan School of Management and a fellow at MIT Kuo Sharper Center for Innovation and Prosperity.&nbsp; Siddhartha Raymajhí is a policy researcher based in Kathmandu.

Creating a firm future for Nepal

Know your Ministers

Prime Minister Balendra Shah on Wednesday broke tradition and met with 17 foreign envoys collectively, a move that was a notable departure from how his predecessors operated.&nbsp;
Shah had already set himself apart by talking less, listening more, and delegating to trusted friends. But by meeting all ambassadors at one go in the presence of the Foreign Ministry, he signalled a paradigm shift in how he wants Nepal to be seen: no longer just balancing India and China, but as a country confident about its <a href="https://nepalitimes.com/opinion/guest-editorial/tripolar-contestation-over-nepal">strategic importance and place in the world</a>.
In just two weeks, the <a href="https://nepalitimes.com/news/rsp-dos-and-don-ts">RSP has sprung into action </a>on multiple fronts to implement its ambitious 100-point, 100-days action plan. It has taken short-term measures to mitigate the impact of the Gulf war, as well as medium- and long- term measures to streamline the bureaucracy. A few high-profile figures have been made examples of to drive the message home.
Earlier this week, the government recalled six politically appointed ambassadors, the most notable being long-serving Shankar Sharma from New Delhi. The Kathmandu District Court issued arrest warrants against former prime minister Sher Bahadur Deuba and his former foreign minister wife Arzu Rana on charges of money laundering and corruption.
Each ministry has been trying to clean up the accumulated rot from the past three decades: regulatory overhaul of microfinance, education, health and service delivery.&nbsp;
These actions widely disseminated campaign-style on YouTube and TikTok have made most Nepalis hopeful that the party they installed in power means business.
<div class="embed-block"><iframe src="https://www.facebook.com/plugins/video.php?height=314&href=https%3A%2F%2Fwww.facebook.com%2Freel%2F1279862820757799%2F&show_text=false&width=560&t=0" width="560" height="314" style="border:none;overflow:hidden" scrolling="no" frameborder="0" allowfullscreen="true" allow="autoplay; clipboard-write; encrypted-media; picture-in-picture; web-share" allowFullScreen="true"></iframe></div>
BACKLASH
But such attempts to overhaul a long-entrenched political culture were bound to face backlash. In their impatience and enthusiasm to get things done, some of Prime Minister Shah’s ministers have over-reached.
It was common knowledge that government-paid advertising in the mainstream press was kickback-driven, but the PMO’s directive that official notices be published or broadcast only on state-run media has been denounced — especially as the media industry struggles to stay afloat.
More serious are some recent appointments by ministers of relatives and figures closely associated with the RSP to key positions. This has rankled because this party built its political plank on ending nepotism and graft.&nbsp;
News that Home Minister Sudan Gurung allegedly had not paid rent on leased land, which illegally encroached on the lake in Pokhara did not help. &nbsp;
Prime Minister Shah himself has come under scrutiny for appointing a kitchen cabinet full of male buddies from his time as Kathmandu mayor. To douse criticism he brought in as adviser investigative journalist Deepa Dahal, who has exposed corruption in high places of the previous coalitions.&nbsp;
Shah’s appointment of another political adviser Asim Shah to the head Constitution Amendment Task Force, is also seen as problematic. He is a filmmaker and former lawmaker, but does not have a background in constitutional law.&nbsp;
Even more controversial is the Cabinet’s decision to appoint RSP Chair Rabi Lamichhane’s legal counsel, Narayan Kandel, as Attorney General. Kandel used to be a UK permanent resident, and does not have as much experience practicing law in Nepal.&nbsp;
Kandel’s appointment drew flak and raised eyebrows, and with the pending legal cases against Lamichhane this appointment represents a flagrant conflict of interest.
Health Minister Nisha Mehta was also accused of favouritism after reappointing Junu Shrestha, wife of Labour Minister Dipak Kumar Shah, as member of the Health Insurance Board which had earlier suspended her. The Labour Minister’s rambling rant at the Board’s meeting on Tuesday has not helped the RSP’s image.&nbsp;
(UPDATE: On Thursday, Prime Minister Shah sacked the Labour Minister after the RSP found him in breach of the party's code of conduct and discipline. He served 14 days in the Cabinet, one of the shortest tenures for a minister in Nepal )
It is hard to know what <a href="https://nepalitimes.com/news/ball-in-balen-s-court">Balendra Shah is thinking</a>, and how Rabi Lamichhane is going to justify some of these moves. After all, making politics, governance, and bureaucracy a meritocracy has been the core tenet of the RSP, and it risks alienating its mainly youth base if these missteps persist.
But at least for now, most RSP supporters seem to be giving the party the benefit of doubt.

provincial-assembly-election-2022

It is comrade vs comrade in Nepal’s elections

Galaxy A series

Creating a firm future for Nepal

Know your Ministers

Nepal’s new government springs into action