The 208th group of 21 American Peace Corps volunteers arrived in Nepal last month, the first since the Covid evacuation. Nearly 4,000 young Americans have served in Nepal since 1962. But the new volunteers will find a very different country from what their predecessors experienced nearly 60 years ago. Excerpts of diary entries of Daniel W Edwards after he flew into Kathmandu in October 1966 and walked to Dhading district where he taught at a village school for one and a half years.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230707210716_aed0dfa93dce52e1e570c5767b470d084dcfafb3ba501002deb4e62899c250e4.jpg" data-media-id="editor_0" data-image-id="20230707210716_aed0dfa93dce52e1e570c5767b470d084dcfafb3ba501002deb4e62899c250e4" data-rendition-name="original" width="995" height="1523" loading="lazy" alt="Dhading 1966 NT"><figcaption>Long before Instagram were Rs1 Aerogrammes which took 2 weeks to reach America from Dhading.</figcaption></figure>  17 October The day of departure from Kathmandu to Dhading was inauspicious. I awoke at 3AM with “intestinal disturbances”, managed breakfast, and by the time Peace Corps regional director Al Dieffenbach appeared at 9:00, I decided to consult the doctor before leaving. We had loaded my gear into the jeep station wagon and had driven into the Snow View Hotel in Lazimpat when the clutch gave out. I grabbed my medical kit and hurried back to bed. Then came the chills and fever. I felt quite sick and had a colleague summon the doctor. He was a long time in coming, but in the meantime I was bothered by a solicitous but an overbearing Anglo-Indian woman who ran the hotel. Al returned and said the trip was scrubbed for the day. The doc believed I had a virus, not dysentery. I was moved upstairs to a “sick ward”, and the fever was 102.6. Finally managed some sleep about 4:30PM. A well-dressed gent stopped by to check on me at 8:30. I returned to bed with more drugs and wondered what tomorrow would bring. 18 October I woke up at 6:15, felt much better, and heard a truck outside trying unsuccessfully to start. A delegation of volunteers was leaving by plane that morning. The struggles of the truck seemed amusing, until it dawned on me that the same truck was likely the one I and Butch Amundson would need. That was the case. At 8:30 Al showed up … still the truck would not start. So finally a USAID jeep pickup came out, we drove to the PC office to load up and set out about 11:00. Alas, just as we were leaving town at 25mph, a great shimmy commenced toward the front of the vehicle, as if the wheels were about to come off. Back to the PC office, then to AID headquarters at Rabi Bhawan to exchange vehicles. Another jeep wagoneer, we drove to the Embassy to fill the tank. There I noticed the right front tire had a nice hole in the tread. After lunch at Mr Wong’s Peace Restaurant in Lazimpat, we again set sail, piled high with baggage. We passed Balaju and headed up a winding dirt road through a beautifully green landscape. About 15 miles out, at Ranipauwa located at 6,000 feet at the top of the pass, while pulling over to let a truck pass, there was a loud bang: our left rear tire had exploded. Butch went back to Kathmandu in an old 1940 passenger touring car when we discovered our spare tire likewise had a large hole in the tread, the jeep also had no jack.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230707210720_3651f682e22d3ab64a4c0a7143152dd921eae82589b6061ca5d39772cac255e1.jpg" data-media-id="editor_1" data-image-id="20230707210720_3651f682e22d3ab64a4c0a7143152dd921eae82589b6061ca5d39772cac255e1" data-rendition-name="original" width="900" height="296" loading="lazy" alt="Dhading 1966 NT"><figcaption>View of Tinkune and Kathmadu from a plane about to land in 1972 (left) and at present (right).</figcaption></figure>  Butch subsequently told us that a woman in the car (which was carrying 9 or 10 people) became ill and vomited in the back seat. The car ran out of gas outside Kathmandu, so Butch walked the rest of the way into the city. We had a nice dal bhat dinner at Ranipauwa and bedded down inside a shop that turned out to be an all-night cigarette-concession stand. When there was no knocking from without, the old lady was singing from within to a small child. Promptly at 4AM an inconsiderate rooster started crowing, a goat started bleating, and the woman and child began an unintelligible conversation. At 6:00 I got up to see the mountains, but it was still cloudy. Gradually the clouds broke, and the majestic Ganesh Himal loomed pinkish in the sky. Then a group of three or four summits appeared in the clear air. By 11:00 we were getting restless, when another AID jeep finally appeared. Butch had brought three tires, so two tires were changed, the old jeep reloaded, and we set off down toward Trisuli. There were sharp drops to the right and the terrain was such that the road went in and around all the hills. Trisuli was hot and we stopped at volunteer Allen Lundberg’s comfortable house by the side of the river. Saw the newly opened hospital with an x-ray machine just installed. Plus the hydroelectric plant and a row of bright lights around the generators in the middle of rural Nepal. 20 October Al left early returning to Kathmandu. We searched for porters, but as Dasain had just started, not even one was available. We looked at the school, the bazar and decided to set out on the morrow for Dhading, for it seemed very indefinite (“bholi parsi”) when we could get porters. Another volunteer teacher in Trisuli, “Mr. Bob” had taught all his students to say “Howdy” so as I walked through the bazar, kids kept calling out “Howdy” to me.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230707210724_83b6a39c3c22edb8758e8b3d336542af3d1fd729fb4eb044d9ae273d3f6903f2.jpg" data-media-id="editor_2" data-image-id="20230707210724_83b6a39c3c22edb8758e8b3d336542af3d1fd729fb4eb044d9ae273d3f6903f2" data-rendition-name="original" width="612" height="410" loading="lazy" alt="Dhading 1966 NT"><figcaption>The Peace Corps Volunteer (PCV) office in Kathmandu.</figcaption></figure>  21 October Four of us, two Trisuli volunteers, Butch and I set out. About four miles out of town we crossed the Trisuli River via cable and bucket (tuin), my Kelty backpack and I lurching out across the river and being transported to the opposite shore by a man pulling a rope. The Trishuli volunteers turned back and shortly thereafter, we came to a good-sized stream with no apparent bridge to cross. In retrospect we already had lost the right trail. As it was, every ten minutes or so there were forks in the path going in two or three directions. We guessed the route which led along the river. Asking directions was of little help, because we always got in reply a stream of (to us) unintelligible Nepali accompanied by vague gestures. Someone would say Dhading was four kos distant (eight miles), while hours later someone else would say six kos (12 miles) remained. So we just kept walking. We definitely were going the round-about way: we waded across streams, tramped through front yards of houses, and walked between rice paddies, balancing on narrow strips of earth which separated the levels of the fields. We meandered along a footpath that was at the top of a steep river bank, which was fast eroding away. We followed the river a long time, steadily losing elevation before turning up into the hills. We reached the top of the closest ridge, but Butch’s knee was giving him trouble, and as it was nearly 3:00, we dropped down to a stream and rested. There we met a fellow who told us we could not reach Dhading until the next morning, but he (kind soul!) would take us to the village we had seen from the first ridge.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230707210732_69b1bf6a68ef97029be44b2192d987e455c974a20546d54d3ec429a347da7136.jpg" data-media-id="editor_3" data-image-id="20230707210732_69b1bf6a68ef97029be44b2192d987e455c974a20546d54d3ec429a347da7136" data-rendition-name="original" width="1066" height="798" loading="lazy" alt="Dhading 1966 NT"><figcaption>Sunaula Bazar, the headquarters of Dhading District in 1966.</figcaption></figure>  Dada-Gaun (village on the hill) was its name, and we were led into a yard. On the front porch sat a grizzled-looking man who puffed on his hookah and listened stoically while our guide explained our predicament. Soon was brought out what I think was dahi (curd), but the PC doc had hammered into our heads the rules not to eat anything raw that hadn’t been peeled or to drink liquids that hadn’t been boiled or water that at least was treated with tincture of iodine. While I was trying to explain why we couldn’t accept the dahi although we greatly appreciated the gesture, I remembered my package of biscuits and promptly passed them around. Butch brought out cigarettes, and then it turned out that bhat was available. But what a sight it was: a dirty white most unappetising-looking mass and served with it, goat’s meat in bony chunks with hair liberally floating around in a brass bowl. But we were hungry and ate most of it with our fingers. By this time quite a crowd had gathered, and all were frankly curious and speculating who we were and why we were there. I doubted the women and young girls had ever seen two tall white guys, certainly never in their small village. Taking out my razor and small mirror, I decided to shave, and that created quite a spectacle. I saw a very elaborate Dasain swing (ping) under construction, which had been nicely designed. About 8:30 I bedded down in my sleeping bag with a wad of cloths for a pillow on our host’s front porch. 22 October Managed to swallow a little more of that cold, unsightly food and departed at 8:00. Our impression that we could reach Dhading in two hours turned out to be sadly mistaken. Noticed some huge spiders in webs along the trail. Then we began to climb. After ascending that ridge, we followed the contours of the hills, going round and round and sometimes up, sometimes down. It was a beautiful valley, but fatigue and weakness were having their effects. By noon we had waded across a spectacular cascading stream, gone into a village only to backtrack and head up yet another hill. We really felt done in by now, and rest stops were becoming longer and more frequent. About 1:30 we were about to fade out when, at an iodine-flavored water stop, another Nepali, taking pity on us, gave us some oranges and boiled milk, a great lift to morale and typical of the generosity Nepalis show to foreigners about whom they know nothing. Up the last ridge we struggled, then to see down below our destination at last: Dhading Bazar. There, a contingent of the curious stared at us as we reached the one and only unpaved street, and we were taken to the headmaster’s place. Soon Mr Badri appeared, a youthful and good-looking fellow, 22 years old, still intending to finish his BA. He had almost given up hope, as I was three days late, yet expecting my arrival, he had not gone to his home in Baglung for Dasain.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230707210724_5a9a0b8c5877736648bd0c673d4ee0379b3fb7af02bec0befcf271e81879ad2f.jpg" data-media-id="editor_4" data-image-id="20230707210724_5a9a0b8c5877736648bd0c673d4ee0379b3fb7af02bec0befcf271e81879ad2f" data-rendition-name="original" width="1063" height="792" loading="lazy" alt="Dhading 1966 NT"><figcaption>The author Daniel W Edwards in front of the school building in Dhading in 1966.</figcaption></figure>  [Update: Two months later, Mr Badri left the village in the dead of night (“Bhagyo” I was told) with a Grade 7 girl. I never saw him again. Nepal had lots of surprises in store for us!] My energy restored by a fairly good meal, I set off for the temple [Bhairavsthan] on top of the hill. A good steep climb, and what a sight upon arriving. A couple of hundred people (including many Magar dressed in their festive best) were crowded on that knoll anticipating the animal sacrifices. In short order a goat, water buffalo, and several small pigs were beheaded as offerings to Durga. So this is “culture shock” I thought, while watching this amazing ritual. Not five months before, I was living on a beautiful university campus in northern California, with no knowledge of such happenings on the other side of the world. Mr. Badri gave us a full account in English of the history of the temple and its gods, and he wanted to make sure we had a good view of all the blood-letting. On the way back to the bazar, I was introduced to a few local dignitaries, who greeted the new foreign teacher respectfully. Then to bed in an attic across from the shop where Mr. Badri stayed.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230707210728_4e50bd8b1895dba1145ace6620b60db6cf86fc485eb88a10e9e187aff9e389f4.jpg" data-media-id="editor_5" data-image-id="20230707210728_4e50bd8b1895dba1145ace6620b60db6cf86fc485eb88a10e9e187aff9e389f4" data-rendition-name="original" width="1067" height="795" loading="lazy" alt="Dhading 1966 NT"><figcaption>The temple where animal sacrifices were made, with Ganesh Himal in the distance. It came down in the 2015 earthquake.</figcaption></figure>  23 October Went over the hill for morning tea with Mr Sharma, the Sanskrit and Nepali teacher and former headmaster. Watched the men play cards, the family puja ceremony at which tika were put on their foreheads, and then sat down in the middle of the courtyard amidst hundreds of flies to lunch. The food wasn’t bad, though a lot of uncooked stuff gave me pause, but nothing I was served was wasted, as a goat finished off whatever was left on my plate. In the afternoon I began reading English Philosophy Since 1900 which had no relevance to my current situation in Nepal, but in my pack I had brought only that one book, no language material and one change of clothes. It was dark by shortly after 6:00, strange to see no lights. I am writing this account by kerosene light. A young boy, Shiba, began cooking for us. Got him to wash his hands, but of course we can’t clean or prepare food the way we’d like to. The only thing we can do is to put iodine drops into our water bottles and wait 30 minutes before drinking. It’s a wonder we don’t get sick, though this morning my stomach is a bit uneasy. Back of our place is a stream and a hill, which is the communal latrine for men. Roving domestic animals nearby add their contributions as well. 24 October Woke up very sore. The wooden bench I slept on was flat and hard. Only a thin straw mat for a mattress. I have no international 1-rupee aerograms with me, so can’t catch up on my US correspondence. Mr. Badri expects living quarters will be found in a few days (“bholi parsi”), but local porters to go to Trisuli and bring my luggage will not be available for a couple of days.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230707210740_2517c3f7b04eae67526268652d02017156878917c44c3bf0ddb92af0efa6e854.jpg" data-media-id="editor_6" data-image-id="20230707210740_2517c3f7b04eae67526268652d02017156878917c44c3bf0ddb92af0efa6e854" data-rendition-name="original" width="1065" height="822" loading="lazy" alt="Dhading 1966 NT"><figcaption>Grade 4 students in English language class. It was warmer and quieter in the open.</figcaption></figure>  In the afternoon I went to see the school. Well, what can you say! From the outside it has a nice appearance—newly constructed walls of stone and mud and a slate roof. But inside there is virtually nothing. One section has three classrooms and an office. There is a walled partition in between, about seven feet high, not extending to the ceiling. On the dirt floor rest a few worn benches. I ended up teaching outside on a level plot of ground away from the school, since it was impossible to teach over the din of chanting students in the school building. The school office contains a few old maps, charts, three small portable blackboards, a table, a few chairs, and a carrom board which provides teachers entertainment. I was sitting there trying to digest the situation before me, as the breezes blew through the glass-less windows (no doors either). The other section of the building has no partitions—it’s like a big shed, with 70 first and second class students at one end, the third-through-fifth students at the other. The attendance figures I was first given turned out to be grossly exaggerated. Apparently many students registered but few attended regularly. Perhaps 20 first and second graders were present on any given day. My Grade 8 class had only seven or eight regular attendees. There were very few girl students.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20230707210736_06a2db0d7d865c23d2498616b5a65843380bddcbb974ab77db2eb4b41de4ae64.png" data-media-id="editor_7" data-image-id="20230707210736_06a2db0d7d865c23d2498616b5a65843380bddcbb974ab77db2eb4b41de4ae64" data-rendition-name="original" width="677" height="399" loading="lazy" alt="Dhading 1966 NT"><figcaption>The author in 1966 at the Bhairavi School in Dhading built with volunteer labour.  </figcaption></figure>  Mr Badri also mentioned a local faction that opposes the school, fearing that their own interests would somehow be threatened. As it is, Badri has received no salary for some time, and the government is supposed to provide the school only Rs2,000 rupees a year. The rest of the budget must be met by student fees and contributions. My work as an English teacher is definitely cut out for me. 28 October Four porters, carrying our suitcases, a few supplies and PC-issued goods in their doko, arrived from Trisuli. I paid them a total of 70 rupees; Butch had given 10 rupees advance in Trisuli. Each porter thus earned 20 rupees for carrying a load from noon the day before until this evening for one and a half day’s work.

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Dhading Journal 1966

<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221109101156/636b79559c7e80680e0646f8jpeg.jpg" alt="" width="225" height="225"/>The Peace Corps has evacuated all its 82 volunteers currently serving in Nepal citing <a href="https://www.nepalitimes.com/editorial/this-is-a-test/" target="_blank" rel="noopener">the COVID-19 outbreak</a>.This week, the Washington DC-based <a href="https://nepalitimes.atavist.com/untitled-project-rmc8q" target="_blank" rel="noopener">Peace Corps</a> decided to suspend all its volunteer operations worldwide and begin evacuating them back to the United States. It said the decision was taken due to ‘ever-increasing number of travel restrictions’ which made it difficult for volunteers to travel back home for urgent medical attention if needed.“We are not closing posts and programs, and we will be ready to return to normal operations when conditions permit.  Importantly, our host country staff will remain in their current positions,” Peace Corps Director Jody K. Olsen said. “They play a critical role in every element of the Peace Corps mission, especially in a time of crisis.”Over the past five decades, some 4,000 American volunteers have served in Nepal working one ducation, health and environment protection, and many have gone on to become diplomats and public figures. Volunteers have developed life-long <a href="https://www.nepalitimes.com/banner/aamas-village/" target="_blank" rel="noopener">relationship with Nepal and with Nepali communities and families</a>.Peace Corps Nepal said it is committed to the quick return of volunteers when possible, and its staff in Kathmandu would work with Nepali partners and communities to prepare for their return.

US Peace Corps volunteers go home

There were two Bhutans on display during Narendra Modi’s visit this month. The first: a trusted partner, modernising rapidly with Indian support, inaugurating hydroelectric projects, and signing healthcare deals. The second: a nation that <a href="https://www.fmreview.org/gazmere-bishwo/#:~:text=In%201990%2D91%2C%20about%20a,are%20therefore%20not%20Bhutanese%20citizens.">ethnically cleansed 17% of its population </a>and has never been held accountable.
Modi chose to see only the <a href="https://kuenselonline.com/news/pm-modi-concludes-bhutan-visit-with-prayers-for-peace-and-prosperity">first </a>during his <a href="https://economictimes.indiatimes.com/news/india/india-announces-rs-4000-cr-concessional-credit-line-to-fund-energy-projects-in-bhutan/articleshow/125253915.cms?utm_source=contentofinterest&amp;utm_medium=text&amp;utm_campaign=cppst">11-12 November visit</a>, granting $450 million in credit, offering birthday tributes to Fourth King Jigme Singye Wangchuk, and inaugurating another hydropower project.
New Delhi has opted for strategic silence on Bhutan’s systematic persecution of the Lhotshampas in the 1990s. The displaced remain scattered across the world and in refugee camps in Nepal, their property seized, their citizenship revoked.&nbsp;
Now, on that same contested land Bhutan is building the <a href="https://nepalitimes.com/here-now/small-bhutan-dreams-big">Gelephu Mindful City (GMC)</a>, a megaproject intended to <a href="https://kuenselonline.com/news/pm-modi-announces-inr-40-billion-credit-line-new-rail-links-and-land-for-bhutanese-temple-in-varanasi">connect directly to Indian infrastructure</a>. The victims are gone, and democratic India’s values remain conspicuously absent.&nbsp;
With no Lhotshampas left to challenge the official narrative and India unwilling to raise it, Bhutan continues to suppress dissent with impunity.&nbsp;
Earlier this year, social media influencer Raghu Pati Subedi was arrested on the Assam side of Gelephu after returning from a visit to relatives in India. His family members reportedly came under intense pressure, including threats of arrest, accusing them of hiding his whereabouts. After his arrest, he was transported to Thimphu and imprisoned.
This was not an isolated incident. It is part of systemic repression that first gained international attention in the 1990s, when over 100,000 Nepali-speaking Lhotshampa were systematically stripped of their citizenship and forcibly exiled. This mass expulsion, which human rights organisations have characterised as ethnic cleansing, created a decades-long refugee crisis that continues to define the regional political and human rights landscape.&nbsp;
EXODUS
The Lhotshampa crisis of the 1990s was not a spontaneous event but the culmination of years of state-led discrimination. Through a series of legislative acts, notably the 1985 Citizenship Act and the 1989 Driglam Namzha, the ‘One Nation, One People’ policy, the Bhutanese state systematically dismantled the rights of its Nepali-speaking citizens.&nbsp;
The use of the Nepali language was suppressed, the traditional dress of the ruling ethnic group was mandated, and citizenship was revoked en masse, rendering a significant portion of the population stateless in their own homeland.
The new manuscript I am editing has harrowing accounts by the authors of those atrocities. The parallels with what happened to Subedi recently are striking and troubling, showing that even after 35 years the regime has not changed its spots. The methods may have evolved, but the repression against dissidents remains disturbingly consistent.
This refugee exodus was an immense and unasked-for burden on Nepal. Despite being a country grappling with its own political instability and limited resources, Nepal accommodated them on humanitarian grounds. Nepal has consistently advocated for a durable solution centered on the refugees’ right to safe, voluntary, and dignified repatriation.
For years, it engaged in bilateral talks with Bhutan, culminating in a joint verification process. However, these efforts ultimately foundered on what Nepal described as ‘continued rigidity and non-implementation of the agreed decisions by the Bhutanese side’.
Nepal fulfilled its moral and humanitarian duty, but the international community largely failed to hold Bhutan accountable. Bhutan’s rulers deflected global attention with the masterful narrative of Gross National Happiness (GNH), while the grim reality in the refugee camps persisted.&nbsp;
Ultimately, with repatriation proving impossible, Nepal acquiesced to a third-country resettlement program led by a group of eight countries, including the United States, Canada, and Australia. From 2007 to 2016, more than 113,500 Bhutanese refugees were resettled in <a href="https://www.unhcr.org/media/nepal-factsheet">one of the largest group resettlement programmes globally</a>, though 6,365 remain in refugee camps in eastern Nepal.
While this solution provided a lifeline for thousands, it was a tragic capitulation to Bhutan’s ethnic homogenisation project. The refugees’ right to return to their homeland has been denied. It is a cautionary tale about the limits of international diplomacy in the face of state intransigence.
Bhutan’s global brand is one of its most successful exports. The <a href="https://www.gnhcentrebhutan.org/">Gross National Happiness </a>doctrine, which promotes holistic well-being over just economic growth, has captivated the Western imagination and policymakers. It offers a vision of a mindful, environmentally conscious, and peaceful Himalayan kingdom. This carefully cultivated image has historically aimed to shield Bhutan from the level of scrutiny applied to other nations with similar human rights records.
The GNH facade, however, cracks under the weight of documented evidence. The same kingdom that champions ‘happiness’ has, for decades, maintained a justice system that human rights groups allege relies on torture, coerced confessions, and draconian laws to silence opposition.
The 1992 National Security Act, with its vague definitions of ‘treasonable acts’ against the Tsa-Wa-Sum (King, Country, and People), has been a primary tool for suppressing political dissent, particularly from the Lhotshampa.
Overlooked by the international community and ignored by global powers including India, in responding robustly to the ethnic cleansing of the 1990s sent a clear message to Thimphu: such actions could be undertaken with impunity. The monarchy emerged unscathed, its reputation burnished rather than tarnished.&nbsp;
This historical impunity now echoes in the case of Raghu Pati Subedi and the <a href="https://www.cijnepal.org/new-list-of-political-prisoners-expected-to-set-off-discussion-on-bhutans-human-rights-record">continued imprisonment of dozens of political prisoners</a> of conscience. The global community’s reluctance to challenge the GNH narrative has, in effect, become a form of complicity.
The arrest and sentencing of a social media influencer demonstrates how old tactics have been adapted for the digital age. Subedi, 40, was a new kind of threat to the state-controlled narrative and he had to be made an example of.&nbsp;
As the founder and administrator of the popular Facebook page ‘The Don of Asia’, he bypassed traditional, state-influenced media to speak directly to about 78,000 followers. His content, informational and satirical videos on rural poverty, corruption, and the GMC project, was the kind of social media activism that was deemed intolerable.
Subedi was arrested in early 2025 and sentenced to 24 years in prison. The charges allegedly stemmed from Subedi’s social media criticism of the GMC, a flagship project of Nepal-born Bhutanese fifth King Jigme Khesar Namgyel Wangchuck.&nbsp;
For <a href="https://thenewamericansmag.com/2024/11/18/the-kings-gelephu-mindfulness-city/#:~:text=Ganga%20Lamitare%2C%20who%20owns%20four,ancestors%20in%20building%20the%20nation.">Bhutanese refugees like Gangaram Lamitare</a>, the GMC represents a bitter irony, a development rising on their confiscated ancestral lands.&nbsp;
Gangaram, who owns four acres where the GMC’s international airport is now under construction, says: “Many people from villages fled at night in 1990, leaving everything behind to escape oppression. Now, the Bhutanese king and ministers are spreading falsehoods worldwide, calling this land vacant, which actually belongs to those forced to leave the country.”&nbsp;
There are signs that international support that has benefited Bhutan may be waning. The United Nations has become increasingly vocal and last year the <a href="https://www.ohchr.org/sites/default/files/documents/issues/detention-wg/opinions/session101/a-hrc-wgad-60-2024-bhutan-advance-edited-ve.pdf">UN Working Group on Arbitrary Detention</a> said the detention of several Bhutanese political prisoners was arbitrary and illegal under international law.&nbsp;
In April 2025 from a group of six UN human rights experts raised grave concerns about the use of torture, denial of fair trials, and the ‘severe chilling effect’ of Bhutan’s legal framework on civic space. These developments owe much to the consistent advocacy of the Hague-based Global Campaign for the Release of Political Prisoners in Bhutan (GCRPPB) since its formation.
However, they also reflect broader shifts in international human rights scrutiny. This places Bhutan’s key international partners, particularly the European Union, in a critical position. Bhutan enjoys lucrative benefits under the EU’s ‘Everything but Arms’ trade scheme, which grants developing countries tariff-free access to the EU market contingent on respect for human rights.&nbsp;
The EU is also a significant provider of development aid to Bhutan which provides it with substantial leverage. In April 2025, members of the <a href="https://bsky.app/profile/saskiabricmont.bsky.social/post/3lmrn5mkmrs2q">European Parliament formally called on Bhutan</a> to release all political prisoners. This action signals a growing recognition that trade and partnership cannot be divorced from human rights obligations.&nbsp;
“Bhutan’s international partners and investors, including the EU, should make it clear that they expect Bhutan to comply with its human rights obligations and release them without further delay,” says Meenakshi Ganguly, of Human Rights Watch.&nbsp;
Bhutan stands at a crossroads. Its desire for deeper global economic integration is colliding with its unresolved history of human rights abuses. The international community now has a choice: either continue being charmed by the myth of a happy shangri-la or insist that the kingdom adheres to democratic values it professes to the world.&nbsp;
Nepal’s recent Gen-Z uprising offers a lesson to Bhutan. In September, when authorities attempted to ban 26 social media, Nepali youth took to the streets and, within hours, toppled the entire pro-establishment political apparatus. Their message was clear: in an age of digital connectivity and mass mobilisation, authoritarian tactics such as detaining social media influencers are both unjust and ultimately unsustainable.
This incident echoes the prophetic warnings of Devi Bhakta Lamitare, Bhutan’s first-generation democratic leader, who died in exile in India in 2022. In his seminal 1970 book
Dankindo Bhutan, Lamitare chronicled the systematic suppression of people’s rights and envisioned a path toward liberation.
Before his death, I worked with him to update and edit this work, which the Bhutan Media Society published posthumously in 2023. In a December 2020 interview I conducted for the book on the Ganga riverbank in Haridwar, Lamitare laid out a stark three-front offensive: political mobilisation from within India to awaken resistance inside Bhutan itself, relentless pressure on New Delhi to champion democracy, and a global ‘pamphlet war’ waged by resettled Bhutanese in the West.&nbsp;
Only through such sustained action, he argues, can Bhutanese citizens win the right to choose their own rulers, a principle India, the world’s largest democracy, should be championing, not abandoning.
Binod Dhungel is the Nepal correspondent for Reporters Without Borders.
<a href="http://linkedin.com/in/dhungelbinod" target="_blank">linkedin.com/in/dhungelbinod</a>, @BinodDhungel

Bhutan imprisons social media influencer

We often see ourselves reflected in the other. For someone who grew up in Kathmandu Valley in the eighties and nineties, this maxim comes alive with an even greater force. Nepal’s media ecosystem was dismal, the school curriculum was narrow and did not provide opportunities for creative expression. Perhaps that is why I became obsessed with MTV videos and Bollywood films. I saw my developing self reflected in these story-lines and razzmatazz. When the media and education system do not engage the public and reflect myriad interests, aspirations and lifestyles of the population, citizens get detached and disconnected from their roots. I left for America for further studies, and was somewhat determined to never return to Nepal. It was a country full of potholes and black-outs. But foreigners have been fascinated with our country for decades. In the early 19th century, Francis Buchanan-Hamilton led a pioneering expedition and documented more than a thousand species of plants native to the region. Almost a century later, in 1905, Frenchman Sylvan Levi published ‘the first attempt to produce a comprehensive study of Nepal’, drawing on not just indigenous but available Chinese and European sources as well. After Nepal opened up in the 1950s, different kinds of foreigners have traveled here -- most notably, cold-war era spies disguised as diplomats, and later came the hippies. I returned to Nepal in 2013 and was primarily struck by two major demographics - the artists and the expats. Energised by the recent revolution, the creatives were making vibrant, powerful works. The expats, on the other hand, demonstrated a different way to navigate life in Kathmandu Valley. These two groups of people re-introduced Nepal to me and I began seeing my country and my hometown with a renewed perspective. Which is why one particular image from Giovanna Caruso’s ongoing show at the <a href="https://www.instagram.com/thekalasalon/?hl=en" target="_blank">Kalā</a><a href="https://www.instagram.com/thekalasalon/?hl=en" target="_blank"> Salon</a> curated by <a href="https://nepalitimes.com/review/facades-and-flowers-from-nepal-to-italy" target="_blank">Sophia L Pandé</a> instantly caught my attention -- rather, it called out to me, as if it was composed for me, framing a key moment from my own life. Its title is, coincidentally, 2013. Like most of her other works, the pen-and-ink drawing is punctuated by an explosion of watercolour: a woman standing confidently in front of a Newa-style house, a leg arched up, as if she is fixing a strap around an ankle before stepping out on an adventure. The watercolour depicts a rainbow streaming out of a pot through a second-floor window. The rest of the details are rendered in realism – clusters of garlic and onion hanging to dry from the rafters, and further down a stack of corn. There are towels drying, even an old water pump.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251201121216_f440de5b5402fe0877dc46d94f41647bd46b00035b61241d46fc9f7ffbd87d0f.jpg" data-media-id="editor_3" data-image-id="20251201121216_f440de5b5402fe0877dc46d94f41647bd46b00035b61241d46fc9f7ffbd87d0f" data-rendition-name="original" width="4032" height="3024" loading="lazy" alt="art review Kala Salon"> </figure>  When I walked over to this artwork with Caruso, she chuckled, “Ah, this work is a celebration of my 30 years in Nepal.” It was while trying to calm a restless group of students during her teaching days in Italy that Caruso first came across an iconic image of Kathmandu Darbar Square. She had found an old box of slides and while projecting images from the Himalaya to engage her students, the artist was determined to travel to Nepal. The first flat she rented was close to the square and the view from her rooftop was the same as the one she had encountered inside her classroom. She has been traveling to Nepal every year since. Some of her favourite drawings depict Khokana in morning fog. From 1993-2006, she drew murals at Ram Mandir and Pashupatinath, asking sadhus to guide her and correct her depictions. Caruso received a classical education, which means she was trained to focus on perspective and geometry while capturing mainly portraits and still lives. She is influenced by M C Escher and his explorations of mathematics and symmetry. No wonder she finds the Darbar Square architecture so compelling. She also names as inspiration Gustave Dore, whose style is different from Escher’s and I can see how she has fused these influences in her body of work: Escher’s austerity complimented and slightly dislodged by Dore’s comics and caricatures. “Before starting, the painting needs to be complete in my mind,” she explains as we pass a series of portraits titled Saraswati, Lakshmi, Kali Dancing, and Durga dominated by a roaring tiger. “These are all real people, I ask my friends and family members to sit for me.” The Kali in the drawing has the artist’s fiery copper red hair and she is dancing, surrounded by various men with flowing hair. The artist seems to have experimented here, drawing the revelers from above, and indulging in playful abandon. Depictions of Nepal are often in danger of being exoticised. But Caruso is familiar with her subjects, knows our alleys and temples intimately. Her colours and compositions are passionate and dense. In an essay, Anirudh S Chari writes the artist’s work is splashed with rapturous energy and most drawings have a carnivalesque element. ‘Kali Dancing’ illustrates this idea perfectly in that she has turned Kali’s usual fearsome portrayal on its head by depicting and embracing another feminine principle - the capacity to celebrate and create joy. Apart from drawing inspiration from Hindu goddesses and Nepal’s multi-colored rituals, Caruso has also drawn the Sumerian Ianna and Lillith and the Egyptian Nut. She enjoys drawing Nataraja, and says it is because “Shiva is a good husband”. We stand another painting titled 100 Days a Lion. “There is a saying in Italian, Better one day as a lion than a hundred days as a sheep, but I thought why not 100 Days a Lion?” This sentiment captures this nomadic artist’s spirit spanning four decades, in which she has captured urban energy as well as the sacred imagery of ‘life diaries on canvas’. From Venezia to Kathmandu and Journeys In Between Giovanna Caruso The Kalā Salon Chhaya Centre Mall, Thamel Till 12 December 10am- 8pm

Looking at Nepal from Venice

The COP30 climate summit in Brazil ended this week <a href="https://nepalitimes.com/opinion/cop30-to-cop31">without tangible commitment</a> from countries to reduce fossil fuel emissions. Its impact will be felt halfway around the planet here in Mustang which is already seeing weather extremes.&nbsp; Geographically, Mustang is on the Tibetan Plateau, north of the main Himalayan chain. It is in the rainshadow, and a high altitude desert. Winter snow has failed for eight of the past ten years, unseasonal blizzards, and frequent glacial collapse leading to floods. The Kali Gandaki Corridor follows one of the deepest gorges in the world between Annapurna and Dhaulagiri, the world’s seventh and tenth highest peaks. Lush pine forests cover the southern flanks of these mountains, but within a few kilometers the vegetation undergoes a dramatic change to a landscape of red, brown and grey cliffs.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_c66ade5e32d20530003abba893869426d75b42d10e4725c28361d738b402721f.jpg" data-media-id="editor_1" data-image-id="20251129021144_c66ade5e32d20530003abba893869426d75b42d10e4725c28361d738b402721f" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Too little snow, too much rain NT"> </figure>  It gets more arid the more north you go. Snow and rain in Upper Mustang used to fall mostly in winter, but now there are cloudbursts and blizzards at other times of the year.&nbsp; In the ancient walled city of Lo Manthang, elderly men have gathered at a local tea shop to drink the salted butter tea. Some sip home-made liquor infused with medicinal herbs.&nbsp; The sun has set, the temperature plummets, and the wind howls outside. Everyone agrees it does not snow like it used to any more. Read also: <a href="https://nepalitimes.com/here-now/comings-and-goings-in-mustang">Comings and goings in Mustang</a>, Shrijan Pandey  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_ffaabf00a533984cadf160b2e56734cddb6f64d1a660401417d2982a3818f161.jpg" data-media-id="editor_3" data-image-id="20251129021144_ffaabf00a533984cadf160b2e56734cddb6f64d1a660401417d2982a3818f161" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Too little snow, too much rain NT"> <figcaption>The flat mud roofs are leaking because rain is now falling where there used to be snow.</figcaption> </figure>  “The weather has changed drastically over the years,” says Lopsang Tsomfel Bista, Chair of the Lo Dekhar Municipality. “It doesn’t snow in winter, and it falls when it is not supposed to.”&nbsp; Lack of snow means that in spring, the pastures where nomadic herders graze their yaks and goats do not have enough grass. Previously, winter snow on the meadows would seep slowly into the soil with the spring thaw, bringing out fresh grass shoots. &nbsp; In recent years, even if there is winter precipitation, it falls as rain. The soil is not able to soak in rain as efficiently, and torrential downpours increase the risk of soil erosion and floods.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_93ca69bec63577c5f6cbff8db809c11bce2d8fe01469d3374c20a6f20a7c93f1.jpg" data-media-id="editor_4" data-image-id="20251129021144_93ca69bec63577c5f6cbff8db809c11bce2d8fe01469d3374c20a6f20a7c93f1" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Too little snow, too much rain NT"> </figure>  “There used to be up to 1,500 mountain goats in every village, but now they have stopped keeping livestock,” says Bista. This is due to lack of grass and new lowland diseases moving up the mountains. Mustang has lost 28% of its population between the census in 2011 and 2021, and outmigration also means there are fewer people left to carry on a pastoral lifestyle.&nbsp; “Herders have asked for vet services in their communities because there are new insect-borne diseases,” says Yangchen Dolker Gurung of the Lo Gyalpo Jigme Foundation. Read also: <a href="https://nepalitimes.com/opinion/winds-of-change-sweep-mustang">Winds of change sweep Mustang</a>, Jagannath Adhikari  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_902593732af83db5792128be5a3bd87c00e0c62ff894afa4c98bffde64e96d26.jpg" data-media-id="editor_6" data-image-id="20251129021144_902593732af83db5792128be5a3bd87c00e0c62ff894afa4c98bffde64e96d26" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Too little snow, too much rain NT"> <figcaption>The mud walls of monasteries and homes are crumbling because of unseasonal rainfall. </figcaption> </figure>  Mustang is flanked to the east and west by mountains that rise up to 6,000m, and glaciers on their slopes are melting fast, turning into lakes. With the rising temperature, the risk of Glacier Lakes Outburst Floods (GLOFs) has also risen.&nbsp; At the rate global average temperatures are rising, scientists say that the Himalaya will lose up to two-thirds of the remaining ice caps. When glaciers melt, it not just raises the risk from GLOFs but also affects water supply downstream.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025112903114_1a6af68965ded5f23897a623bec2e2bed0da4c6663f0af5b5bf79883f2a11c9f.jpg" data-media-id="editor_7" data-image-id="2025112903114_1a6af68965ded5f23897a623bec2e2bed0da4c6663f0af5b5bf79883f2a11c9f" data-rendition-name="original" width="1022" height="767" loading="lazy" alt="Mustang map NT"> </figure>  FLOODS Ringzin Sangbo Gurung in Chumjung village recalls the devastation caused by a GLOF on 8 July this year that swept away a newly inaugurated bridge. The floodplain is now strewn with boulders and sand brought down by the flood which caused damage worth Rs28 million. The flood also damaged the irrigation canals that feed riverside farms where locals grew potato, buckwheat, millet and spinach. Nyima Wangmo Gurung runs a homestay in Nyamdok village, and says: “We don’t have water when we need it. And there is too much when we don’t need it.”&nbsp; Read Also: <a href="https://www.nepalitimes.com/banner/mustang-forced-to-adapt-to-climate-crisis">Mustang forced to adapt to climate c</a><a href="https://www.nepalitimes.com/banner/mustang-forced-to-adapt-to-climate-crisis">risis</a>, Ronan Wallace and Yungdrung Tsewang Gurung  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_7ae98274ea20e910311ec4431ba0aa3ecd9fe92caaed029a33c185198b33d0d2.jpg" data-media-id="editor_10" data-image-id="20251129021144_7ae98274ea20e910311ec4431ba0aa3ecd9fe92caaed029a33c185198b33d0d2" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Too little snow, too much rain NT"> </figure>  With warming temperatures, farmers in Mustang are growing lowland vegetables which was not possible before in plastic greenhouses. The farms depended on snowmelt in spring to irrigate their fields, but there is less snow to melt in past years. “The last heavy snowfall in winter was about eight years ago, since then we have got little or no snow,” says Tashi Norbu Gurung, Chair of Lo Manthang Rural Municipality. “This affects farmers during the April planting season.”  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_010e09f4e9335f39c62f4d6027489c86423b3d10ddfb83558820f6a7a56a477b.jpg" data-media-id="editor_11" data-image-id="20251129021144_010e09f4e9335f39c62f4d6027489c86423b3d10ddfb83558820f6a7a56a477b" data-rendition-name="original" width="1000" height="1500" loading="lazy" alt="Too little snow, too much rain NT"> </figure>  It is not just lack of snowfall that is a problem. Springs have gone dry, and some villages like Dhey have been forced to relocate because life became &nbsp;impossible without water.&nbsp; Villagers of Samjung also <a href="https://nepalitimes.com/news/climate-migration-is-already-happening">migrated</a> to Namashung, near a river when water sources dried up. But now the new settlements are threatened by GLOFs. Karma Gurung, who runs a lodge in Choser, remembers the big flood of 35 years ago which swept away farms and covered them with debris. There have been more frequent, but destructive floods since then in Kagbeni, Lubra and other valleys. Read also: <a href="https://www.nepalitimes.com/banner/mixed-blessings-in-mustang">Mixed blessings in Mustang</a>, Mukesh Pokhrel  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_da2212bc1ad49c17d126e24bbd92d3fca18e3e6bdd58ac61df14c962deb2edcd.jpg" data-media-id="editor_14" data-image-id="20251129021144_da2212bc1ad49c17d126e24bbd92d3fca18e3e6bdd58ac61df14c962deb2edcd" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Too little snow, too much rain NT"> </figure>  MUD WALLS Because snowfall has been replaced by rain, Mustang’s traditional mud-wall architecture is now in <a href="https://nepalitimes.com/here-now/leaky-roofs-on-the-roof-of-the-world">danger of collapsing</a>. The homes here are closely packed, have flat roofs stacked with juniper branches for firewood. With rain in place of snow, the roofs now leak.&nbsp; Women in Thinkar village say their walls are falling apart. Some homes have collapsed, and families forced to move out. Yangchen Dolker Gurung of the Lo Gyalpo Jigme Foundation says locals need plastic sheets, cement walls and corrugated roofs to cope with the rain.&nbsp; But this would mean that Mustang’s villages would lose their traditional architecture style.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_59c475cdde3bee8d03ed05e9038c0cf36f1acd31e3d3596f145469e5b4404d9d.jpg" data-media-id="editor_16" data-image-id="20251129021144_59c475cdde3bee8d03ed05e9038c0cf36f1acd31e3d3596f145469e5b4404d9d" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Too little snow, too much rain NT"> </figure>  The ancient 1.5m thick mud walls around Lo Manthang built 600 years ago, the king’s palace, and monasteries are also at risk. “Changes in precipitation patterns, altering the intensity, frequency, and timing of rainfall and snowfall, have damaged traditional and cultural infrastructure, particularly mud-built private and public buildings as well as religious and heritage sites,” explains Bhawani Pandey at the Lo Gyalpo Jigme Foundation. “With the rain, and because the monuments and stupas are made from mud, they have eroded. There is leakage, and the monuments are in a dilapidated condition.” Read also: <a href="https://www.nepalitimes.com/banner/climate-smarter-himalayan-infrastructure/" target="_blank">Climate-smarter Himalayan infrastructure</a>, Sonia Awale  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251129021144_dfc8c93a0a8619893f0d97076d1f9cbba3818e1cc716a903ff9908dbb8939ef6.jpg" data-media-id="editor_18" data-image-id="20251129021144_dfc8c93a0a8619893f0d97076d1f9cbba3818e1cc716a903ff9908dbb8939ef6" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Too little snow, too much rain NT"> </figure>  The Lo Manthang Rural Municipality along with Lo Gyalpo Jigme Foundation, are working on a Local Adaptation Plan of Action and the Disaster Preparedness and Response Plan, which the Nepal government has made mandatory for every municipality. “We took a bottom-up approach and collected data from each village, they know best the impact of climate change and what their needs are,” says Yangchen Gurung. To address the hazards of climate change, local communities and municipalities are adapting through their own resources, without waiting for outside help to improve water conservation, control soil erosion and protect from flood.&nbsp; Says Pandey, “We are returning to conserving traditional drought-resistant crop varieties, organic pest and disease control, cultivating high-value crops and fruits, and practicing sustainable pasture management through rotational grazing. We have also developed new building codes for homes that incorporate water-resistant coating for mud roofs and walls.” &nbsp; Additional Reporting by Tashi Wangyal. &nbsp;

Too little snow, too much rain

The September protests and worry about what is in store for Nepal in 2026 have added more uncertainty to a <a href="https://nepalitimes.com/here-now/nepal-needs-to-use-its-money-better">struggling economy</a>. Real estate transactions are stagnant, industries are operating below capacity because of declining domestic demand, the construction sector is slack, and investors are in wait-and-watch mode. In contrast, total bank deposits increased by Rs124 billion in the month before mid-October to Rs7.4 trillion. Official remittance inflows hit a record $13 billion in the past year. Nepal’s banks are flush with cash, with nowhere to put it. &nbsp; “The economy has flatlined. Non-performing assets are up, and real estate is at a standstill,” said Ashoke SJB Rana, CEO of Himalayan Bank.“There is excess liquidity in the market, with not many places to invest.” The main reason seems to be that both <a href="https://nepalitimes.com/here-now/relocate-reallocate-recover">domestic and foreign investors were spooked</a> by the targeted violence of 9 September, and are so worried about the runup to elections in March that they are holding on to their wallets. Not just businesses, the political uncertainty is keeping individuals &nbsp;from making big financial decisions.&nbsp; Sujeev Shakya, author of the <a href="https://nepalitimes.com/review/retrofitting-nepal-for-future-shocks">newly-released book Nepal 2043</a>, notes that the current doldrum is due to Nepalis playing it safe with their money. &nbsp; “People are holding on to their assets, and keeping their cash,” he says. “They are not investing in real estate, and avoiding buying gold because it is so volatile.”&nbsp; One sector in which banks have a lot of exposure is hydroelectricity, but even here recent floods have shown that this investment is <a href="https://nepalitimes.com/here-now/global-warning-bell-in-belem">increasingly at risk from climate breakdown</a>.&nbsp; Nabil Bank, with its focus on sustainable banking, for instance, has financed 56 hydropower projects with an installed capacity of 3,000MW.&nbsp; Says Nabil CEO Manoj Kumar Gyawali: “We cannot ignore unpredictable rainfall, increased glacier melt, more frequent glacier lake outburst floods, and landslides. These risks mean that while hydropower is essential, Nepal must diversify its energy mix." &nbsp;&nbsp; An open secret in the banking sector is that much of the liquidity is supected laundered money. Banks also have close ownership links with big businesses, and this means that even with a slow economy, banks lend to themselves or to each other to keep transaction volumes up.&nbsp; This is one reason for a high default rate. In the first three months of this fiscal year, 4.86% of bank loans were non-performing, meaning one out of about every 20 borrowers had defaulted. A year ago, this figure was 4.04%. Banks are therefore reluctant to lend, dampening the overall investment climate. &nbsp; Ironically, the high default rate is keeping mainstream newspapers in Nepal afloat at a time when the media business is also in crisis. Even as they suffer from a massive drop in advertising revenue, most daily newspapers often add pages to fit notices to borrowers about repayment, or announcements of bank auctions of collateral property. “While banks may be making a much smaller percentage of income compared to a few decades ago, they are still making a profit,” notes Shakya. “And so they are actually quite happy to be in this low-risk situation. Banks are conservative organisations after all.”&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20251128041136_b33dd18d7ce221e273bd18d8a5c4ba4c9196f762b95b87fd24c60df6c2426065.jpg" data-media-id="editor_4" data-image-id="20251128041136_b33dd18d7ce221e273bd18d8a5c4ba4c9196f762b95b87fd24c60df6c2426065" data-rendition-name="original" width="1500" height="1022" loading="lazy" alt="Banks"> <figcaption>Illustration: BHANU BHATTARAI / NEPALI TIMES ARCHIVE</figcaption> </figure>  Among the most striking videos of the September protests that was shared globally by tens of millions of people was the Hilton and Hyatt hotels and the Ncell building burning. That recognisable international brands were targeted did not just cause huge losses to owners, but also damaged Nepal’s overall investment climate. Looting Bhat-Bhateni and homes of businessmen also sent a negative message, spurring capital flight.&nbsp; “That was very bad optics for potential investors, you simply worry about the security of your investment when you see things like that,” says Himalayan Bank CEO Ashoke SJB Rana.&nbsp; Nepal will graduate to Middle Income Country status next year, and donors are set to move from aid to private investment. While this could reduce misuse of money, it could dry up grants and soft loans to the health and education sectors.&nbsp; But the harm may go deeper than just the aftermath of the September events. The recent<a href="https://nepalitimes.com/news/double-trouble-with-taxes"> double taxation issue</a> involving the Dolma Impact Fund, and an earlier controversy over Ncell’s capital gains tax have also put Nepal’s business climate in negative spotlight internationally.&nbsp; The banking sector is firmly on the side of investors. Says Ashoke Rana at Himalayan Bank: “This is a tax regime, it is absurd to order the payment of these taxes retrospectively. When investors see that the rules of the game can change arbitrarily, they won’t really want to put their money here. ” &nbsp; One of the positive changes in the ways Nepalis are using money is digital transactions through QR codes and mobile banking. With smartphones making up 70% of all mobile phones, QR transactions are easy and have become a part of daily life. ONLINE BANKING&nbsp; Most businesses and ride shares have this feature on board, and people do not need to carry a lot of cash or multiple bank cards. But as digital payments become the norm, the days of free transactions may be coming to an end.&nbsp; “Right now these transactions are free for the most part. This is a subsidy by the banks, because of course, it does cost something to make sure the payments go through,” says Rana at Himalayan Bank. “However, as income decreases, banks may have to look for ways to make money, so they may charge small percentages on each QR transaction.”&nbsp; Rapid digitisation has changed not only how customers use money, but also how banks think about their offices. Himalayan Bank’s new Thamel branch, for example, has cancelled plans to redesign the office for 20 tellers.&nbsp; “We realised that people were able to do so much of what they wanted digitally that we plan to have only four tellers,” says Rana.&nbsp; But cutting down on facilities and staff has not always made for a better customer experience at some bank branches.&nbsp; Economist Sujeev Shakya conducts ghost customer experience checks for banks which involves decoys entering banks to evaluate what it is like for somebody to set up a bank account.&nbsp; The stealth missions found that standards of service have regressed, with banks having a working environment reminiscent of government offices.&nbsp; Shakya points out that the general experience of going to the bank should be much better. “Sometimes it’s a knowledge issue -- banks may try to ask for non-disclosure contracts even when they don’t know why they want them,” he says.&nbsp; Despite digitisation, many banks still require paper-based forms and documents. Bankers and customers alike note that it feels archaic, almost absurd, to have to carry multiple copies of documents, sometimes only in Nepali lokta paper, across several family members and fill out what seems to be the same form over and over even though digital files exist. That could soon be changing as well. As more and more Nepalis adopt the National ID, banks have adopted pilot programs that use it to create bank accounts, replacing the myriad documents that customers had to previously present to officials, making all banking transactions more efficient and less of a hassle for the customer.&nbsp; DIGITAL SECURITY As Nepalis move their cash online, digital infrastructure needs to become more secure as well.&nbsp; Bankers spend quite a lot to make sure necessary digital security infrastructure is in place, but some banks could be using pirated software which are not trustworthy.&nbsp; There has to be better regulatory oversight to prevent phishing and fraud as online payments and digital banking spread across Nepal.&nbsp; Banks must also be innovative and ambitious. Says Shakya: “Nowhere else in South Asia are bank loans such a high ratio of the nation’s GDP. &nbsp;This actually points to a well-developed financial system and we have to take advantage of it."&nbsp; Shakya also notes that many bank executives in foreign countries, like Myanmar are actually Nepali, and that banks from Nepal could use their staff and know-how to partner with or acquire banks overseas.&nbsp; While these innovations are all welcome, it is unclear how Nepal's banking sector can jumpstart economic activity in the country. Nepal’s political future looks uncertain and stability is not a guarantee.&nbsp; In the face of continuing progress in hydro electricity and the IT sector seems to be the way forward to stimulate the economy.&nbsp; The GenZ movement was a wakeup call also to financial institutions and the need for greater transparency. Nabil Bank CEO Manoj Kumar Gyawali says the September protests sent a clear message that young Nepalis want an end to corruption, good governance, and real opportunities at home: "The banking sector has a &nbsp;responsibility to direct more lending toward the real economy, sectors that create jobs, build productivity, and strengthen long-term growth," he says.&nbsp; Despite a subdued investment climate, Gyawali is optimistic. "I do see early signs of improvement. Lower interest rates are beginning to restore public and business confidence. Rising remittances provide a safety net and fresh investment capacity for households," he says. "If government capital expenditure continues to improve, it will boost private sector activity."&nbsp;

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Dhading Journal 1966

US Peace Corps volunteers go home

Bhutan imprisons social media influencer

Looking at Nepal from Venice

Too little snow, too much rain

Cash rich, but poor