Nepal’s Finance Minister Bishnu Poudel is a Red. And as Finance Minister in a coalition led by his Communist Party of Nepal (Unified Marxist-Leninist) he has the unenviable job of saving a country deep in the red.
Despite its impressive name, there is nothing even remotely ‘<a href="https://nepalitimes.com/here-now/forgotten-woman-who-sheltered-communist-activists?%2F">communist</a>’ about his party as Poudel works on the upcoming budget. He has warned repeatedly about a massive revenue shortfall with <a href="https://nepalitimes.com/news/till-debt-do-us-part">Nepal’s expenditure</a> now 25% higher than its income.&nbsp;
The government has already reduced subsidies to local governments due to lack of money, and plans to cut small-scale programs entirely in the budget. But such rollbacks do not even make a dent in reducing the deficit gap.&nbsp;
Revenue has been falling since <a href="https://nepalitimes.com/news/nepal-s-uneven-covid-19-deaths">Covid-19</a>, and never really recovered — even though in 2023/2024 revenue was a record high compared to the previous year. The fiscal year 2022/23 marked the first time in the last five decades that Nepal experienced a negative growth rate in revenue.
This year, collections rose to Rs919 billion by mid-May, a 11.5% increase over the previous year, but with only two months to go before the end of this fiscal year, the government has only collected 65% of the expected revenue.
<div class="embed-block"><iframe title="Nepal’s income-expenditure gap" aria-label="Interactive line chart" id="datawrapper-chart-wFxbc" src="https://datawrapper.dwcdn.net/wFxbc/3/" scrolling="no" frameborder="0" style="width: 0; min-width: 100% !important; border: none;" height="400" data-external="1"></iframe><script type="text/javascript">!function(){"use strict";window.addEventListener("message",(function(a){if(void 0!==a.data["datawrapper-height"]){var e=document.querySelectorAll("iframe");for(var t in a.data["datawrapper-height"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data["datawrapper-height"][t]+"px";r.style.height=d}}}))}(); </script></div>
Revenue mainly comes through VAT, customs, excise and income tax. A slowdown in imports and <a href="https://nepalitimes.com/news/poor-cash-rich-nepal?%2F">domestic economic activity </a>has led to a fall in collection. Domestic consumption has slowed as <a href="https://nepalitimes.com/here-now/no-country-for-young-men-c89lgrrl">young Nepalis migrate</a> overseas. There is also concern about<a href="https://nepalitimes.com/news/human-trafficking-patterns-changing-in-south-asia"> smuggling across the border</a>.&nbsp;
“Our revenue is not rising in proportion to<a href="https://nepalitimes.com/from-the-nepali-press/more-than-half-of-nepal-s-electricity-imported-from-india"> our imports</a>,” says Kewal Prasad Bhandari, former Secretary to the Government of Nepal. “This points to significant leakage at border checkpoints.”
Customs evasion has been rising since Covid-19, and non-compliance with custom duty regulations worsened during the 2022 elections. This prompted lawmakers to approve an amendment to Nepal’s Revenue Leakage Act 1995 that proposes the formation of a Central Revenue Leakage Control Committee under the coordination of the Finance Minister.&nbsp;
Read also: <a href="https://nepalitimes.com/banner/now-the-economy-stupid">Now the economy, stupid</a>
“Customs evasion has been out of control since 2022, with people blatantly flouting the laws,” says a former secretary who wished not to be named. “Customs fraud is widespread because there is little political will to hold those who break the law to account because of their political connections.” &nbsp;
The Finance Ministry is currently staffed by officials who have no experience and expertise in the sector. “It used to be called a ‘Super Ministry’ with capable financial administrators, but that is no longer the case,” adds the former secretary.&nbsp;
VAT fraud is also rampant with almost 28% of registered taxpayers failing to file annual turnover details to revenue offices. Another 24% of VAT-registered taxpayers who do file documents show zero VAT on transactions.
<div class="embed-block"><iframe title="Nepal’s National spending (in %)" aria-label="Stacked Columns" id="datawrapper-chart-Qpj3c" src="https://datawrapper.dwcdn.net/Qpj3c/4/" scrolling="no" frameborder="0" style="width: 0; min-width: 100% !important; border: none;" height="400" data-external="1"></iframe><script type="text/javascript">!function(){"use strict";window.addEventListener("message",(function(a){if(void 0!==a.data["datawrapper-height"]){var e=document.querySelectorAll("iframe");for(var t in a.data["datawrapper-height"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data["datawrapper-height"][t]+"px";r.style.height=d}}}))}(); </script></div>
“We can generate up to Rs2 trillion in revenue if we make active efforts to monitor tax, VAT, and customs fraud,” says Min Bahadur Shrestha, former Vice President of the National Planning Commission.&nbsp;
With the implementation of the federal system, government expenditure has increased exceptionally in the form of grants administered by the central government for provinces and municipalities. Such grants are a significant part of current expenditure, which also includes social security and administrative spending.&nbsp;
Even as the number of <a href="https://nepalitimes.com/here-now/protecting-protected-areas-from-infrastructure?fbclid=IwAR1wK0MDFlFST_2EYb3f54LS4-fPt6rYfLG1DJ1JaQsU3w8-ezyXIxGOqzk">development and infrastructure</a> projects goes down, the size of the budget has increased every year, primarily due to the debt burden. Unable to raise enough revenue to cover expenditure, the government has borrowed extensively from within and outside the country, quadrupling its public debt over the last decade.&nbsp;
Nepal has now reached a point where it is borrowing more money to pay back what it has borrowed.
Current expenditure and debt servicing make up much of government spending, leaving little money for essential development. In the previous fiscal year, 67.6% of Nepal’s spending was current expenditure and 18.% on debt servicing, leaving only 13.6% for development projects.&nbsp;
Nepal’s public debt has exceeded Rs2.67 trillion as of mid-April, and forms 46.75 % of its GDP in comparison to 22.3% ten years ago. Officials have attributed Nepal's debt load to post-earthquake reconstruction, a bloated federal machinery, and the pandemic.
Nepal has to either significantly cut spending, or scale up <a href="https://nepalitimes.com/here-now/nepal-s-tax-system-widens-rich-poor-gap">revenue generation</a>. Min Bahadur Shrestha, says reducing expenditure is not the right policy for a country like Nepal, the focus should be on income generation.&nbsp;
<div class="embed-block"><iframe title="LOAN MOUNTAIN (in trillion Rupees)" aria-label="Interactive line chart" id="datawrapper-chart-bnVny" src="https://datawrapper.dwcdn.net/bnVny/3/" scrolling="no" frameborder="0" style="width: 0; min-width: 100% !important; border: none;" height="400" data-external="1"></iframe><script type="text/javascript">!function(){"use strict";window.addEventListener("message",(function(a){if(void 0!==a.data["datawrapper-height"]){var e=document.querySelectorAll("iframe");for(var t in a.data["datawrapper-height"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data["datawrapper-height"][t]+"px";r.style.height=d}}}))}(); </script></div>
Last year’s High-Level Tax Reform Advisory Committee led by former Finance Secretary Bidyadhar Mallik projected a revenue increase of up to Rs300 billion annually through reforms like tax hikes and reducing VAT exemptions.&nbsp;
The Economic Reform Commission under former Finance Secretary Rameshore Khanal this month was recommended new revenue-raising ideas, including a controversial inheritance tax on property and real estate transactions, which it suggested would also discourage people from accumulating large amounts of wealth. Critics say this will discourage saving and disrupt <a href="https://nepalitimes.com/here-now/nepals-only-growth-industry-private-sector-corruption">Nepal’s business environment</a>.&nbsp;
And then there is the <a href="https://nepalitimes.com/editorial/nepal-s-corruption-carousel">corruption</a>. Instead of holding those flouting tax laws to account, politicians pander to lobbyists and special interest groups. Defaulters and tax evaders get away, and cronies are appointed to leadership positions in regulatory bodies whose job it is to monitor tax evasion.&nbsp;
Read also: <a href="https://nepalitimes.com/opinion/higher-corruption-in-high-places">Higher corruption in high places</a>, David Seddon
“The government’s credibility comes into question when it allows itself to be bribed into handing over leadership of regulatory bodies to middlemen,” says &nbsp;Shrestha. “A lot of money goes not towards our national coffers, but to line the pockets of a select few individuals.
Various committees have recommended economic austerity in order to minimise wasteful spending, including banning unnecessary travel, cutting down on the purchase of vehicles, furniture, and IT infrastructure, as well as closing and downsizing offices. None of this has been followed through.
Says former secretary Kewal Prasad Bhandari: “There is no other country in the world with such large-scale waste of government resources like ours, that is why we need stronger policies that make appropriate use of taxpayer money. Otherwise we will just go deeper into the red.”

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Nepal in the red

As dusk fell over Kathmandu, the thunderstorm continued unabated. It had been raining continuously for 18 hours, and the forecast said it would keep raining at least till 8am on Sunday. The Bagmati roared through Chobhar Gorge in awesome rapids – the only drainage outlet for the entire Kathmandu Valley. By evening, 120mm of rain had fallen in 18 hours, more than the average for the whole of October.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004161016_99ad9098124bec91da71ac42bbe889981fe64dda2dd3012b8bb289cf78ba4c54.jpg" data-media-id="editor_0" data-image-id="20251004161016_99ad9098124bec91da71ac42bbe889981fe64dda2dd3012b8bb289cf78ba4c54" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="Kathmandu floods 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004161016_59b97f3a3b2af91d3876b298963b3e68395c8b388aba6d9972c9bde1f668608d.jpg" data-media-id="editor_1" data-image-id="20251004161016_59b97f3a3b2af91d3876b298963b3e68395c8b388aba6d9972c9bde1f668608d" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="Kathmandu floods 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004161016_1715f4d6ff1ee87302b697d3c95df36486bea71ed279852ef606c8f5dc68439b.jpg" data-media-id="editor_2" data-image-id="20251004161016_1715f4d6ff1ee87302b697d3c95df36486bea71ed279852ef606c8f5dc68439b" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="Kathmandu floods 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004161016_ecd3dec69270afbd5a5c71dfa71780b6f8982984a95f3fbb83f23ee594451224.jpg" data-media-id="editor_3" data-image-id="20251004161016_ecd3dec69270afbd5a5c71dfa71780b6f8982984a95f3fbb83f23ee594451224" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="Kathmandu floods 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004161016_53e47ae222c9f4397bcdad6d8021a711a5671fd45373fb3df2ed5c6413d58359.jpg" data-media-id="editor_4" data-image-id="20251004161016_53e47ae222c9f4397bcdad6d8021a711a5671fd45373fb3df2ed5c6413d58359" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="Kathmandu floods 2025"> </figure>  Settlements along the banks of Bagmati and Vishnumati in Kathmandu have been evacuated and affected families will be temporarily sheltered in schools across the capital.&nbsp; Bagmati Province has set up a Unified Command Team for disaster management while the Home Ministry has instructed CDO and security personnel to be on duty 24/7.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004171048_7e5d10f8e0042190e54e6db6cddbd51ed9d6d9dbc0cdb087d7af3207c9eaa2d0.jpg" data-media-id="editor_5" data-image-id="20251004171048_7e5d10f8e0042190e54e6db6cddbd51ed9d6d9dbc0cdb087d7af3207c9eaa2d0" data-rendition-name="original" width="1600" height="888" loading="lazy" alt="heavy rain in Kathmandu"> <figcaption>Friday's satellite precipitation forecast for Sunday morning at 0600 showing heavy rainfall along the Chure Hills and Madhes Province south of Kathmandu. </figcaption> </figure>  The torrential rain has obstructed several highways as well as caused infrastructure damage, but no human casualties have been reported so far. Many had feared a repeat of the deadly flashfloods on 28 September 2024 in which 200 people were killed and half of Nepal's hydropower generation capacity siped out. The government has declared 5 and 6 October as a public holiday to prevent people from travelling during the Dasain festival, and to reduce risk. All highways in and out of Kathmandu closed till Monday. Flood-prone river corridor roads in Kathmandu have been closed after 6PM on Saturday. Meanwhile, all domestic flights were suspended from Kathmandu and other airports from 2PM Saturday, and most inbound international flights were diverted from 3PM onwards. Rerouted flights started arriving in kathmandu late Saturday as the core of the storm system moved east.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004151056_bad029b05dbfda622986270a798edc6efcc2791ff34f53b9d1283554ac72c39a.jpg" data-media-id="editor_6" data-image-id="20251004151056_bad029b05dbfda622986270a798edc6efcc2791ff34f53b9d1283554ac72c39a" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="heavy rainfall in Kathmandu 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004151052_9e740929c7ef0899b0f397195695b873bba45b089bb1e11cf37dbe125d0cd60d.jpg" data-media-id="editor_7" data-image-id="20251004151052_9e740929c7ef0899b0f397195695b873bba45b089bb1e11cf37dbe125d0cd60d" data-rendition-name="original" width="2048" height="1363" loading="lazy" alt="heavy rain in Kathmandu 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004151056_2b75c2ea57df76dae1c470f0e460720b7d258868258789729e491ab93cb41ebd.jpg" data-media-id="editor_8" data-image-id="20251004151056_2b75c2ea57df76dae1c470f0e460720b7d258868258789729e491ab93cb41ebd" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="heavy rainfall in Kathmandu 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004151056_6c045ac30e50710bcf3ca7b6ca4ac9c45e8d8881ed39f522779c860b0d3f15c3.jpg" data-media-id="editor_9" data-image-id="20251004151056_6c045ac30e50710bcf3ca7b6ca4ac9c45e8d8881ed39f522779c860b0d3f15c3" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="heavy rainfall in Kathmandu 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004151052_9ef160b8403764495b86159661cc9a11d9d7d3b848686a631e5ec8cff0c4c38f.jpg" data-media-id="editor_10" data-image-id="20251004151052_9ef160b8403764495b86159661cc9a11d9d7d3b848686a631e5ec8cff0c4c38f" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="heavy rain in Kathmandu 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004151052_e5825bcc6666e5235d9db2d4854a19cd6536335ebaf4cd65413acc601ceee3b5.jpg" data-media-id="editor_11" data-image-id="20251004151052_e5825bcc6666e5235d9db2d4854a19cd6536335ebaf4cd65413acc601ceee3b5" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="heavy rain in Kathmandu 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004151056_097077400e96f571f4418cd7b57c082045d86dd9035c31c5acd7ede2bfc54349.jpg" data-media-id="editor_12" data-image-id="20251004151056_097077400e96f571f4418cd7b57c082045d86dd9035c31c5acd7ede2bfc54349" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="heavy rainfall in Kathmandu 2025"> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251004151056_30a4da8f384f6fe1a862e775124ae08ccf51c1db60e71e7e2d683e0f25f33546.jpg" data-media-id="editor_13" data-image-id="20251004151056_30a4da8f384f6fe1a862e775124ae08ccf51c1db60e71e7e2d683e0f25f33546" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="heavy rainfall in Kathmandu 2025"> </figure>  Madhes, Bagmati and Kosi provinces are the worst hit with Maheshpur in Rautahat district recording 270mm of rain as of 3PM on Saturday. Similarly, Gaur received 243.6mm, Kalaiya in Bara 200.6mm and Birganj 221.4mm. The Department of Meteorology did not blame climate change, but said the unusually heavy precipitation at a time when the monsoon is supposed to have ended was caused by the head-on collision between moisture-laden westerlies with the retreating monsoon.

More dark clouds over Nepal

Nepal won the first two matches, clinching the T20 series in the UAE, making history: this is the country’s first ever win, and series win, against a Test-playing country.&nbsp; On Tuesday night, Nepal lost the last game by 10 wickets. The West Indies easily met Nepal’s 122 runs in 19.5 overs. Despite that, Nepal had beaten the two-time T20 World Champions which is currently number 6 in T20 rankings. It is important to note that the West Indies are fielding a significantly weaker and younger team than they could. Caribbean heavy hitters Nicholas Pooran, Andre Russell and Shimron Hetmyer are currently resting or playing in domestic leagues. But that does not take away from the fact that, after two narrow misses against South Africa and Bangladesh at the 2024 T20 World Cup, Nepal has now beaten a Test-Playing nation, and done so convincingly.&nbsp; Nepal won the first match of the series on 27 September by 19 runs. Batting first after winning the toss, Nepal put up 148 for 8 after losing openers Kushal Bhurtel and Aasif Sheikh early.&nbsp; Rohit Paudel’s 38 and Kushal Malla’s 30 steadied the innings, and 148 was a reasonable target to defend on the tricky Sharjah pitch. The young Windies dropped a series of catches.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251001031052_5f24273f6da2f52f6414b7ecc485938a4c726431bfa7c2ba435bded3debe9f5a.jpg" data-media-id="editor_0" data-image-id="20251001031052_5f24273f6da2f52f6414b7ecc485938a4c726431bfa7c2ba435bded3debe9f5a" data-rendition-name="original" width="1440" height="960" loading="lazy" alt="Nepal defeats West Indies NT 1"> </figure>  Nepal’s fielding, in contrast, was excellent as it held the West Indies to 129 for 8. Dipendra Singh Airee and Kushal Bhurtel both had run outs, and the team held on to tricky catches throughout.&nbsp; The last ball of the match, with it already won, saw Bhurtel catch Fabian Allen off of Airee’s bowling, throw the ball in the air before stepping outside the boundary, before jumping back in to complete the catch legally.&nbsp; Head coach Stuart Law, former Australian Cricketer, was pleased with the performance. “We deserved it, we played a really good game of cricket. I thought our fielding in the first 15-17 overs was outstanding,” he said, predicting, “the West Indies will be hurt, they’re a proud nation. They’ll come out red-hot on Monday, so we got to be better than tonight.”&nbsp; Bhurtel was ecstatic at having beaten the two-time T20 World Champions. He pointed to the team’s versatility as a big strength. “We have a lot of players who can both bat and bowl. Gulsan (Jha) and Kushal Malla did not bowl at all, and Lalit (Rajbhansi) did not bowl out all of his overs.” And the team still used seven bowlers.&nbsp; If the first match was a surprise, then the second match was a shock. Nepal put up 173 for 6, with Aasif Sheikh hitting 68 not out and Sundeep Jora 63, the two putting up a hundred run fourth wicket partnership.&nbsp; They then bowled out the West Indies for a humiliating 83, with Mohammad Aadil Alam taking 4 for 24 and Kushal Bhurtel 3 for 16.&nbsp; There was more excellence in the field, with the Nepali team taking seven catches, many of them very tricky ones right on the edge of the ropes. This second win sealed the series victory, also a first for Nepali cricket. The margin of victory and the team’s overall dominance were both very obvious.&nbsp; Nepalis in the UAE showed up at the Sharjah Stadium in full support for the Rhinos, wearing jerseys, flags, and dhaka topis, raucously cheering on the team’s performance.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251001031052_217ceb7078e9c253f8db6fec57911eb8e56822e3fc20d520d39e06f475fd6d65.jpg" data-media-id="editor_1" data-image-id="20251001031052_217ceb7078e9c253f8db6fec57911eb8e56822e3fc20d520d39e06f475fd6d65" data-rendition-name="original" width="1440" height="960" loading="lazy" alt="Nepal defeats West Indies NT 1"> </figure>  Fresh on their minds must have been recent protests back home. The Cricket Association of Nepal dedicated the series to those who lost their lives. Captain Rohit Paudel also dedicated his man of the match award from the first T20 to the 74 people killed last month in Nepal.&nbsp; “Since last one month has not been that great for us, so slowly we are getting better. It is great to give a little happiness to the people of Nepal,” said Paudel.&nbsp; Leg-spinner Sandeep Lamichhane was notably absent from both matches, having excused himself from the squad for personal reasons.&nbsp; “It is what it is,” said coach Law. “we are a very competitive team and someone has to stand up in his place.”&nbsp; The wins also open the possibilities for further series, with countries such as Bangladesh, Pakistan or Zimbabwe.&nbsp; CHASING TESTS  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251001031048_70fed823c34d91dfefc078cb5786c2ea04ad70387fbf09424a5304b926cc3e3c.jpg" data-media-id="editor_2" data-image-id="20251001031048_70fed823c34d91dfefc078cb5786c2ea04ad70387fbf09424a5304b926cc3e3c" data-rendition-name="original" width="1600" height="995" loading="lazy" alt="Nepal defeats West Indies"> </figure>  In international cricket, a ‘Test-playing nation’ is a country that is authorised to play Test Matches by the central governing body, the International Cricket Council (ICC). Test Matches are the longest format of the sport, lasting up to five days, and are the most prestigious.&nbsp; Currently, this exclusive group is made up of Australia, Bangladesh, England, India, Ireland, New Zealand, Pakistan, South Africa, Sri Lanka, West Indies, Zimbabwe, and Afghanistan.&nbsp; Nepal has a ways to go. To become a Test-playing nation, it must first become a full member of the ICC. To do this, they must consistently qualify for ODI and T20 world cups over eight years, and have at least two ICC-accredited venues for hosting matches — currently only the Tribhuvan University Cricket Ground qualifies.&nbsp; Nepal must also have significant youth development infrastructure, a good domestic setup, and a recognised governing body that is financially stable and not corrupt.&nbsp; With the current development of stadiums across Nepal and innovations such as the Nepal Premier League, and performances such as these, Nepal seems firmly on the way.&nbsp;

2-1 for Nepal against The Windies

Kathmandu: A Reader, the latest publication from Martin Chautari, is an anthology of anthropological essays exploring Kathmandu through various lenses across the 21st century. This compilation is edited by Benjamin Linder and attempts to bring modern discourses on Kathmandu and its urbanity together, in a single volume. The book is divided into three sections: the physical form of the city, the imprints it bears from past political upheavals, and the complexity in the lives of its people. The book examines these diverse aspects, leaving readers who have just witnessed the momentous events of September with anxiety, and perhaps a greater understanding of Kathmandu’s context. Urban planning expert Biresh Shah’s discourse on the Valley’s urban sprawl and its landmarks is insightful, but also prophetic when he warns about seismic risk.&nbsp; Jan Brunson’s chapter on female mobility in Kathmandu via scooters is more optimistic, suggesting small-scale, daily-life movements in Kathmandu transform the city for its various demographics — in this case young women.&nbsp; Linder himself contributes with a discourse on the toponymy of Thamel, close-reading Kathmandu’s tourist hub through the usage and understanding of its name over the ages. MYTHBUSTERS The book is a collage of pieces held together by a thread that runs through the chapters of a vibrant, bustling image of the Valley. One common theme is Linder’s attempt to expand on common understandings and urban myths about Kathmandu. Readers who have spent time in the city will relate to the many anecdotes. for example, Niels Gutschow bringing up the lack of open spaces, or Mark Liechty mentioning restaurants in Kathmandu being melting pots of cultures and castes.&nbsp; The essays here further extend these urban legends by giving historical and anthropological contexts. In-migration and the rise in land prices have led to shrinking open spaces, the creation of cosmopolitan food outlets, and even hubs for sex workers. The Bagmati cleanliness campaign extends to a past understanding of the Bagmati Civilisation. Urban myths become puzzles to be solved by connecting the various threads of discussion across the book. The sections in Kathmandu: A Reader are all by experts in their various fields and present a holistic, well-rounded picture. Yet, it is obvious there is still more ground to cover, more themes to explore — perhaps by more Nepali scholars.&nbsp; In his introduction, Linder admits that due to practical reasons, ‘many wonderful works were left on the cutting room floor’. That is a pity. Indeed, there could have been more discourse on the changing ethnic composition of Kathmandu. A close-read into the lives of people termed as ‘outsiders’ but forming a growing slice of the population would be important to also chart future trends. &nbsp; The religious importance of Kathmandu as a unique civilisational alloy forged by melding the Hindu and Buddhist faiths can be explored more too. One can imagine a future edition including an examination of the post-Covid era Kathmandu valley.&nbsp; This need to broaden the ethnographic literature on Kathmandu becomes more apparent because 11 out of the 15 essays here are written by non-Nepali scholars, including the entire section focusing on urban cultural politics. Linder explains in his introduction that this was largely due to the community of academics in Nepali urban studies being fairly small. Kathmandu: A Reader then becomes even more integral as a gateway for new authors looking to work in the space of urban research on the Valley — undergraduates in the humanities for future theses and research ideas.&nbsp; In a time when Kathmandu is littered with new exam coaching centres for medical and engineering students, an anthology like this helps remind young scholars that there is plenty of scope for qualitative research in the social sciences. Sabin Ninglekhu’s discourse on the sukumbasi and aesthetics in Kathmandu are reminders that stories and academic journeys can be inspired from one’s surroundings. Kathmandu: A Reader has a good balance between academic and lighter readings, and is almost encyclopaedic in nature. There is even content about Kathmandu’s gangsters and scooty girls — allowing readers to venture deeper into their milieu.&nbsp; Kshitiz Pratap Shah is a recent graduate in English from Ashoka University.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251002051016_c8ce28ecfd0dde4986023822b3d40360ead97d29b7f186f6494d8da67021c5a5.jpg" data-media-id="editor_0" data-image-id="20251002051016_c8ce28ecfd0dde4986023822b3d40360ead97d29b7f186f6494d8da67021c5a5" data-rendition-name="original" width="1136" height="702" loading="lazy" alt="Kathmanu a reader"> </figure>

A reader for Kathmandu

Following the <a href="https://nepalitimes.com/news/nepal-s-8-september-massacre">uprising of 8-9 September</a>, the Nepal Army commenced a series of consultations concerning the transition process, during which the potential reinstatement of the monarchy was reportedly under consideration.&nbsp; However, former King Gyanendra Shah declined to pursue this option without a consensus among the political parties. This information was conveyed by Madhav Kumar Nepal, a former Prime Minister and a notable critic of the monarchy, in a newspaper article. The former king, for his part, delivered his annual Dasain message to the nation on 28 September. He emphasised, among other points, that the younger generation constitutes the foundation of the nation’s future.&nbsp; ‘Only the patriotic spirit, energy, and innovative thinking inherent in them can guide the nation toward strength, prosperity, and self-reliance. Let us reflect upon ourselves in the mirror of our country,’ he said. ‘Our political endeavours have often focused on destruction. Now, our initiatives should aim not at ruin but at improvement.’ Seventeen years <a href="https://nepalitimes.com/news/the-ghost-of-monarchy-returns-to-haunt-nepal">after Nepal abolished its monarchy</a> and became a federal secular democratic republic, the monarchy still influences the country’s political scene, mainly because of the persistent weaknesses of democratic institutions. Throughout much of its modern history, Nepal’s political landscape was controlled by the monarchy. During the partyless Panchayat system (1960-1990), the palace was consistently criticised for its authoritarian rule. However, it presented itself as the defender of national unity and sovereignty, especially against Indian influence. The 1990 People’s Movement transitioned Nepal into a constitutional monarchy. However, this period was marred by persistent instability, including the outbreak of a Maoist insurgency in 1996 and a royal palace massacre five years later.&nbsp; By 2005, when <a href="https://nepalitimes.com/here-now/tell-me-what-the-common-man-is-thinking">the new king, Gyanendra</a>, assumed full control, detaining politicians and restricting press freedoms, the monarchy’s legitimacy was already under scrutiny. The mass movement of 2006 resulted in the end of royal rule, leading to the official abolition of the 240-year-old Shah dynasty in 2008. Supporters of a republic saw this as the outcome of years of activism. In contrast, royalists viewed it as the sudden dismantling of an institution they believed had united Nepal. The new political framework aimed to promote stability, prosperity, and inclusion. However, Nepal has seen over 14 different governments in 17 years. Divided by factionalism, political parties have often focused on overthrowing rivals instead of effective governance. Widespread corruption persists. Infrastructure projects frequently face delays. Millions of young Nepalis leave the country to find jobs, resulting in the loss of many of the nation’s most talented individuals. The common belief that politicians amass wealth while ordinary citizens struggle has caused deep disillusionment. This serious situation led <a href="https://nepalitimes.com/news/international-spotlight-on-nepal">Nepal’s Generation Z to protest</a> in the streets. Within this broader context, for many, the monarchy has reemerged as a symbol of stability. To some, the king signifies unity that goes beyond partisan divisions. To others, the last Hindu monarch represents cultural continuity amid secular and federalist upheavals. <a href="https://nepalitimes.com/news/nepal-s-deja-vu-on-black-friday">Royalist demonstrations in Kathmandu</a> have mobilised tens of thousands. However, electoral support remains limited. The leading pro-monarchy party, the Rastriya Prajatantra Party (RPP), secured merely about 6 percent of the vote in the 2022 elections.&nbsp; Major political parties remain steadfast in their commitment to republicanism, and Nepal’s younger, globally connected population broadly <a href="https://nepalitimes.com/opinion/a-new-dawn-for-democracy-in-nepal">identifies with democracy</a>, despite frustrations with its shortcomings. Remembrances of King Gyanendra’s authoritarian rule serve as strong reminders of why the monarchy was abolished. However, this memory is gradually being replaced by more recent events.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251002111020_c018307c7b7dda363d04be3d65f01d132c81c62bae7ed2aa1ea235a12719b251.jpg" data-media-id="editor_6" data-image-id="20251002111020_c018307c7b7dda363d04be3d65f01d132c81c62bae7ed2aa1ea235a12719b251" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="monarchy in Nepal"> <figcaption>Photo: SAROJ BAIZU</figcaption> </figure>  PUBLIC IMPATIENCE Amid dissatisfaction with political parties, a question has emerged about whether the country needs an institution that can enforce discipline. As a result, calls for the reinstatement of the king are not just about Mr Gyanendra Shah, but also reflect a broader desire for government that is stable, accountable, and respectful. The influence of the monarchy extends into regional affairs. <a href="https://nepalitimes.com/here-now/america-nepal-and-the-royal-coup-qedzifz9">During the Cold War</a>, the palace adeptly balanced relations between India and China, positioning itself as the guardian of Nepal’s sovereignty.&nbsp; It also carefully navigated pressures from the United States and the Soviet Union. Today, as Nepal faces pressures from New Delhi, Beijing and Washington, some royalists perceive the monarchy as a safeguard against external interference. The <a href="https://archive.nepalitimes.com/article/editorial/autopsy-of-a-blockade%20,2863">2015 blockade imposed by India</a> impacted Nepal’s economy and led the country to seek closer comprehensive relations with China. As a result, India has adopted a more cautious approach toward Nepal’s republican leadership.&nbsp; China is viewed as supportive of centralised authority, in contrast to Nepal’s democratic institutions. There are perceptions that the United States, previously supportive of the monarchy, may once again consider it a stable partner. Officially, India, China, the broader international community, and major donors continue to support <a href="https://nepalitimes.com/here-now/the-story-so-far">Nepal’s post-2006 political order</a>. At the same time, they observe ongoing discussions among Nepalis about the possibility of a constitutional monarchy within a democratic framework. Following the recent unrest, some Nepalis believe that restoring the monarchy could create uncertainty for India and China, given Nepal’s complex political landscape. Others suggest that worries about perceived Western influence on the interim government through international NGOs might trigger serious soul-searching in New Delhi and Beijing. Despite its limited mandate to hold elections on March 5, 2026, t<a href="https://nepalitimes.com/news/nepal-pm-set-to-expand-her-cabinet">he interim government</a>, led by former Chief Justice <a href="https://nepalitimes.com/news/madam-prime-minister-of-nepal">Sushila Karki</a>, has an opportunity to start rebuilding public trust. Although the new government continues to enjoy popularity, there is evident public impatience regarding its delays in investigating corruption and misconduct by the previous leadership, as well as the incidents of killings, looting, and arson during the protests.&nbsp; The nation has been further unsettled by whispers of an impending and potentially more significant political upheaval prior to the upcoming elections. Republicans believe that demonstrating the effectiveness of democracy is the best way to mitigate calls for a monarchy. However, if the leadership fails to address key issues such as corruption, unemployment, and institutional strengthening, it could further boost the monarchy’s influence – and potentially lead to its comeback. Sanjay Upadhya is the author oand analyst based in the Unoited States. Originally posted <a href="http://originally%20published%20at%20https//www.linkedin.com/pulse/why-monarchy-still-sways-nepals-republic-sanjay-upadhya-pe4xe" target="_blank">here.</a>

revenue-generation

Nepal in the red

More dark clouds over Nepal

2-1 for Nepal against The Windies

A reader for Kathmandu

Why the monarchy still sways Nepal’s republic