The videos are everywhere. K P Oli is lifted to safety by an Army helicopter as protesters amass at the gates of Baluwatar. The Deuba couple is bloodied by an angry crowd. Stashed with cash, homes of party leaders were were <a href="https://nepalitimes.com/news/kathmandu-burns-despite-pm-resignation">ransacked and set ablaze</a>.
Nepal went from an Oli-garchy to a youth-led caretaker government in two days. The idealistic anti-corruption GenZ campaign was penetrated by an array of forces intent on inflicting <a href="https://nepalitimes.com/opinion/the-day-justice-died">maximum damage on state institutions</a>.
Whatever their motivation, these disparate groups were all enraged by the kleptocracy. The state had looted the people for so long, many felt it was ok to loot the looters.
Prime Minister Sushila Karki has vowed to go after the corrupt, confiscate their ill-gotten wealth and confiscate property. As a former Chief Justice, Karki is known for her no-nonsense attitude and zero tolerance for corruption. The <a href="https://nepalitimes.com/news/nepal-interim-government-faces-first-hiccups">three ministers appointed </a>so far also have impeccable records for delivery and performance.&nbsp;
Young turks like Gagan Thapa of the Nepali Congress and Yogesh Bhattarai of the UML have <a href="https://nepalitimes.com/here-now/what-next-for-nepals-big-3-parties">pledged to clean up their own parties </a>with generational change in leadership. There are similar, but more subdued, voices within the Maoists and even the RSP.
For a spectacularly successful movement against corruption and for good governance, there could not have been a better outcome — even though in the public perception the GenZ revolt has been tainted somewhat by the infiltration and wanton destruction of government installations. Still, there is hope this catharsis will shake up the system and clean it up.
PARTNERS IN CRIME
Nepal’s development was systematically hollowed out by malfeasance for the past decades. But it was not just politicians and senior party leaders who were corrupt, <a href="https://nepalitimes.com/editorial/slapping-democracy">usually they were hand-in-glove</a> with the civil service. Bureaucrats largely escaped the wrath of the people last week although many were partners in crime.&nbsp;
The debate in Nepal for many years has always been, who is more corrupt: politicians or bureaucrats? Or, who corrupted who? Padmini Pradhananga, who headed Transparency International Nepal, says the two complement each other.
“Politicians and bureaucrats are two sides of the same coin,” she told us. “In fact, the bureaucracy, political parties, the judiciary, security apparatus, and government agencies were all colluding in state capture.”
The Land Revenue Office, the Departments of Survey, the Department of Roads and Tax Offices were all seen as dens of thieves, so protesters torched them all. The Department of Transport Management, long seen as being in the grip of middlemen, has shut all services.
To be sure, burning down a building does not reform make. It will take much more to uproot corruption because its tentacles have burrowed deeply into every sector of the state. When the <a href="https://nepalitimes.com/news/protest-grows-against-nepal-s-social-media-ban">government banned social media </a>earlier this month, Elon Musk posted on X that he would not register to pay taxes to a corrupt country like Nepal.
Corruption had undermined development,<a href="https://nepalitimes.com/here-now/relocate-reallocate-recover"> hurt Nepal’s investment climate, and contributed to the cost of doing business</a> which was passed down to consumers in terms of higher prices.&nbsp;
Diksha Kandel, a corporate lawyer, has seen it all. “Government offices created unnecessary hurdles every step of the way in everything from getting FDI approval to setting a date for a hearing. Everything has a rate,” she says. Even minor chores like share transfers and company address changes have taken her team months.
She adds: “The level of corruption at all levels of bureaucracy was frankly terrifying. At least with local political representatives, they are accountable to the people and get things done, even if it is to get re-elected.”
There is no shortcut to ending corruption, it has become a way of life. It was the main factor <a href="https://nepalitimes.com/news/nepal-s-8-september-massacre">fuelling youth rage</a>, and added to the increasing outmigration of Nepalis.
Pradhananga says impunity was institutionalised because the guilty never got punished because of corruption in the judiciary. She says: “If judges were to honestly prosecute criminals, corruption would go down by 75%.”&nbsp;
Pradhananga thinks if corruption is under control, it will only take two years to kick start development, for Nepal’s international image to improve, and foreign investment to start flowing in. “But for that we need to be run by efficient managers, not career politicians who have mistaken politics for a profession instead of a public service.”
<a href="https://nepalitimes.com/here-now/crime-and-or-punishment-in-nepal">Political interference</a> has defanged the Commission for the Investigation of Abuse of Authority (CIAA). The Special Court that presides over corruption and money laundering arising from public procurement cases also needs to be overhauled.
Revolutions often start with an agenda to eradicate corruption, only for it to be further entrenched with regime change, eroding public trust in democracy. The outcome of Nepal's GenZ protest, especially after the March election, should reward candidates with demonstrable efficiency and integrity.&nbsp;
Sonia Awale

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Two sides of the same coin

Many young Nepalis at the <a href="https://nepalitimes.com/news/nepal-s-gen-z-protest-turns-deadly">GenZ rally on 8 September</a> carried banners that read: ‘Enough Is Enough’. But by the end of the day and into 9 September, the arson and mayhem had gone out of control of the idealistic young activists. As Parliament, Singha Darbar, the Supreme Court, public and private property were <a href="https://nepalitimes.com/news/kathmandu-burns-despite-pm-resignation">torched and looted</a>, ‘Enough Is Enough’ took on a new meaning. What started out as a hashtag-led campaign exposing the luxurious lifestyle and extravagance of the scions of powerful political figures soon snowballed into a larger movement against corruption and impunity. #Nepokids in Nepal metamorphosed into a political reform campaign, which again transmuted on Tuesday into class rage. The Oli-led coalition government’s ban on social media last week forced what was essentially an online movement into the streets. <a href="https://nepalitimes.com/news/what-next-nepal">Hami Nepal </a>and the GenZ platform organised the rally at Mandala on Monday despite information that controversial political forces and other elements planned to infiltrate it. Which they did. By Tuesday afternoon, Kathmandu was being firebombed. The three pillars of state: the legislative, executive, and judiciary were reduced to ashes. Even the fourth estate was not spared, and became the target of unnamed arsonists.&nbsp; The damage was not just to physical buildings, but<a href="https://nepalitimes.com/news/nepal-s-8-september-massacre"> to the national psyche</a>. But just like Hami Nepal emerged from the rubble of the 2015 earthquake, the GenZ movement now has to take the lead in rebuilding from the cinders of 2025. Nepal needs to rise from the ashes, and be reconstructed from the ground up by a new generation with accountable government, equitable and inclusive growth, and an open society. &nbsp; What this week’s upheaval showed, aside from the tragedy of the lives lost and physical destruction, is that Nepalis value freedom of expression and can use it to stand against injustice and keep fighting for reform and progress. Read also: <a href="https://nepalitimes.com/news/what-next-nepal">What next, Nepal?</a>, Shristi Karki  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250911120928_e9cf9abfa8e35f3c074506dfdf94a262b5b311da6863cc2ec7bc3458a983df71.jpg" data-media-id="editor_5" data-image-id="20250911120928_e9cf9abfa8e35f3c074506dfdf94a262b5b311da6863cc2ec7bc3458a983df71" data-rendition-name="original" width="6566" height="4377" loading="lazy" alt="Trial by fire"> <figcaption>Photo: AMIT MACHAMASI</figcaption> </figure>  But there are pitfalls ahead. Some of the same forces that piggybacked on the GenZ rally are now outside the gates of Army Headquarters opposing the consensus candidate for interim prime minister. There are scores of imitation GenZs across the internet with familiar cast of characters from the past. The Army must have learnt from the 1 February 2005 experience that it should remain as a non-political institution of last resort — there cannot be wannabe prime ministers applying loudly for the job at the gates of its headquarters in Tundikhel. The Army was needed on the streets on Tuesday night, when the situation spiralled out of control. But it should now be President Ram Chandra Poudel who must take a more proactive role than he has so far in reestablishing stability. He cannot waste time in appointing an interim government led by a caretaker prime minister of unquestioned integrity to oversee elections. This is also the demand of GenZ activists, who want Parliament dissolved and changes in the Constitution to allow wide-ranging reforms. Changing the Constitution now will mean another shaky rigmarole like the 2008-2015 period. The amendments can be made after new elections. Our Common Ground A transformative transition like this also means a lot of uncertainty with competing interest groups trying to take advantage of the fluid situation. Nepal has gone through these upheavals before (although not on the scale we saw this week) with the 1990 People’s Movement or the 2006 Peace and Democracy Movement. Each time, there was hope that finally elected leaders who fought and suffered for liberation and freedom would deliver.&nbsp; Alas, the Nepali people have been let down every time. It has to be different this time. And who better to lead it than a new generation with hopes, aspirations, energy and resolve to build Nepal anew, led by a caretaker prime minister known for her independence, courage and honesty. In this edition, we carry two op-eds by Sri Lankan and Bangladeshi writers about similar youth-led movements that toppled governments in their countries in 2022 and 2024. Both have important lessons for Nepal’s GenZ. If<a href="https://nepalitimes.com/search?q=justice+in+chief"> former Chief Justice Sushila Karki</a> is appointed to head the interim government, she will be our Mohamad Yunus. But as we saw in Bangladesh, it did not go as smoothly as everyone had hoped. Similar story in the aftermath of Sri Lanka’s Aragalaya movement.&nbsp; There were different triggers in Sri Lanka, Bangladesh and Nepal, but one common strand was a neglected and disempowered citizenry which could not take it anymore. They organised organically through social media to push for change. The wildcard in all three countries is geopolitics, and the competing strategic interests of the India, China, United States triangle — especially with the Trump-Modi tiff. Time is now of the essence. The longer this drags on, the more difficult it will be to find common ground and start rebuilding. Ending the violence does not mean keeping things in a political vacuum.

Trial By Fire

A rally organised by young Nepalis across the country against corruption, impunity and restrictions on freedom of expression on Monday turned into one of the deadliest days in the country's recent history. As of Monday evening, the death toll from the protest had reached 19, with 17 killed in Kathmandu and two in Itahari. More than 350 people were injured. Police have arrested more than 40 protesters. Home Minister Ramesh Lekhak of the Nepali Congress resigned, and there have been calls from opposition parties for the entire NC-UML coalition to step down and announce early elections. The protest followed a growing online movement led by young Nepalis exposing the ostentatious display of privilege by the offspring and relatives of politicians and other public figures, which had sparked discourse about nepotism, corruption and the wealth gap in Nepal. Confronted with joblessness and corruption, Nepali youth looked to the recent street movement in Bangladesh, where a student uprising against quota-based recruitment for government jobs expanded last year and toppled the autocratic Sheikh Hasina government. In Indonesia, public frustration with government apathy boiled over into a national movement last month after it emerged that elected officials and the political elite enjoyed perks while citizens faced a cost of living crisis. In the Philippines, as disaster mitigation-infrastructure projects failed to work, citizens began to question where the funds for such projects were actually going. This prompted social media users to look deeper into the lives of the politically-connected figures who flaunted their lavish lifestyles online. In Nepal public outrage has been building up against nepotism, corruption and impunity in government. Facing unemployment at home, nearly 10% of Nepalis, mostly youth, toil overseas or leave Nepal in search for better lives abroad. Meanwhile, the well-connected posted images online of themselves enjoying holidays abroad paid with the ill-gotten wealth of relatives in high places. Young GenZ Nepalis, frustrated with establishment politicians, had called for an anti-corruption, anti-government movement across the country. This coincided with the Nepal government’s decision on 5 September to ban 26 social media sites for failing to register and pay taxes in Nepal.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250908120956_53f97cf0de3ddc8d5c823686f56e71981df922d0ecd2989ad842245acdf71aa6.jpg" data-media-id="editor_0" data-image-id="20250908120956_53f97cf0de3ddc8d5c823686f56e71981df922d0ecd2989ad842245acdf71aa6" data-rendition-name="original" width="1600" height="1200" loading="lazy" alt="Gen Z protest"></figure>  Faced with the government's social media blockade, the protests took to the street. The movement was supposed to be apolitical, and focused against corruption. It garnered support from public figures and opposition leaders, some of whom conveniently forgot that they had been in government when the TikTok ban was imposed in Nepal in 2023. On Monday morning, protesters showed up at Maitighar with slogans and placards, many of them college students, even school children. The organisers had called for young Nepalis to join in their uniforms, believing that it would protect them from violence that might occur during the course of the day. By mid-morning, thousands of Nepalis had gathered at the Mandala intersection, playing music and chanting slogans. The mood was almost festive. Shortly after noon, however, a rally that had begun peacefully descended into violence after protesters broke the police barricade in Baneswor to storm Parliament. Police first began firing tear gas and water cannons, and then live ammunition at demonstrators. The Kathmandu district administration is said to have authorised full use of force against protestors who vandalised public property after protestors infiltrated the Parliament grounds.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025090818090_84e4a5bdcf19aa3cbf03831140120c88d9f3fe5a12d47041588fea7409988e67.jpg" data-media-id="editor_1" data-image-id="2025090818090_84e4a5bdcf19aa3cbf03831140120c88d9f3fe5a12d47041588fea7409988e67" data-rendition-name="original" width="1200" height="1600" loading="lazy" alt="Gen Z protests"><figcaption>Photo: SUDIKSHA TULADHAR</figcaption></figure>  Organisers Hami Nepali had requested demonstrators to go home as the protests turned deadly, saying that those who stormed Parliament were not associated with them, hinting that the rally had been infiltrated by radical groups. But by that time, the demonstration had got too large to contain. In the ensuing violence, hundreds were left injured, including journalists, and 17 dead so far in Kathmandu. Nepal’s leadership and security forces do not seem to have learnt their lessons about managing mass protests after the pro-monarchy demonstrations in March in which two people were killed. The indiscriminate use of force against unarmed Nepalis turned into a massacre. The emergency wards in Kathmandu are filled with those with bullet wounds on their legs, arms and heads. Hospitals have called for blood donations. At the time of publishing, there has been no statement from the Prime Minister, who before the protest on Monday had belittled GenZ youth as being naive, wet behind the ears, and their movement being ‘led by provocateurs’. Oli has presided over a slew of Bills to constrain the press, social media, and civil society, he has silenced and mowed down competitors and critics within his own party. This week, the UML got rid of age and term limits for party chairmanship, effectively clearing the way for 74-year-old Oli to head the party for the foreseeable future. Also feeding into the anger in the GenZ protest was a CCTV clip of a young woman being hit on Saturday at a zebra crossing by the car of a provincial minister in Godavari. The video of the car speeding away without stopping went viral on TikTok, one of few social media platforms still functioning.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025090818090_35799a98e5a7f5f865bb6f94633059d2baa66ec57ea0d396ab020f2f8f912387.jpg" data-media-id="editor_2" data-image-id="2025090818090_35799a98e5a7f5f865bb6f94633059d2baa66ec57ea0d396ab020f2f8f912387" data-rendition-name="original" width="854" height="641" loading="lazy" alt="Gen Z protest"><figcaption>Photo: SANGYA LAMSAL</figcaption></figure>  Oli fuelled the outrage by dismissing the victim’s injury as “minor”, and accusing political rivals of magnifying the issue. Opposition leaders and members of civil society have called for the government to resign en masse, and the fourth-largest party in Parliament, the RSP, has called for a snap election. As per his agreement with the NC, Oli is supposed to hand over power early next year to its leader ’s Sher Bahadur Deuba. Some analysts have suggested that if Oli did the handover now, he could help defuse the situation and earn brownie points ahead of the 2027 elections. But such political calculation would belittle the tragedy that has befallen the families of the 19 who were killed on Monday. Nepal’s political leadership cannot think that just reshuffling its three-card prime ministerial deck will quell public anger now. Nepal’s next generation wants to uproot the rot of corruption from politics, governance, and the bureaucracy. It wants elected leaders to deliver services, provide jobs and raise living standards. Monday’s massacre has only made them angrier, and bolstered their resolve to lead from the front.

Shristi Karki

Nepal’s 8 September massacre

The debate about who is less accountable to the public: politicians or bureaucrats is as old as Nepal’s democracy itself.
Some blame politicians for being beholden to the businessmen who finance their electoral campaigns, and are forced to return the favour with contracts and kickbacks when in power.&nbsp;
Others say it is civil servants who are neither civil nor servants, and know the inner workings of the system to exploit loopholes – they then teach ministers, MPs, mayors, or ward chairs which juicy projects can be squeezed. And everyone gets their share.
In reality, it is probably not a case of either, or. Both have their hands deep in the honey pot. Corruption is now such a given that yet another exposé in the mainstream press, like the latest visit-visa scam, does not raise eyebrows anymore.
We may have to edit Lord Acton’s famous quote to say that in Nepal we do not even need absolute power to corrupt absolutely. The ruling cartel has divvied up the spoils, so that no one ever faces charges. The three parties all know about the skeletons rattling in each other’s closets, and they cancel each other out.
Politicians and bureaucrats get all the blame for taking bribes, but what of the givers of bribes? In this crony capitalism, businesses invariably need political patrons in an elaborate <a href="https://nepalitimes.com/here-now/nepals-only-growth-industry-private-sector-corruption" target="_blank">national network of give-and-take</a>.
<a href="https://nepalitimes.com/here-now/nepals-only-growth-industry-private-sector-corruption" target="_blank">Politicians and businesses work hand-in-glove</a> so that conflict of interest in contracts, insider trading, cartelling, and non-performing assets of banks become the norm. Our survey after the 2017 local election showed that out of the 753 newly-elected local government chairs, <a href="https://nepalitimes.com/news/elected-contractors" target="_blank">nearly 300 were contractors</a> involved in sand-mining, quarrying, or transportation syndicates.
Nepal’s tycoons have discovered that instead of donating to election war chests of politicians, it is a much surer return on investment to spend the money to <a href="https://nepalitimes.com/news/the-business-of-politics-in-nepal" target="_blank">become legislators and politicians themselves</a>.
In democracies, there are checks and balances to control corruption when it becomes endemic. The Nepal Police and Central Bureau of Investigation (CBI) are supposed to do the detective work without political interference. The courts are required to be independent in dispensing justice and punishing crooks.
But the less said about the judiciary the better. A writ petition in the Supreme Court last week accused our sister magazine <a href="https://www.himalkhabar.com/" target="_blank">HimalKhabar</a> of contempt of court for two stories: one about how high courts have been overturning a majority of verdicts of district courts in cases of rape, and another about the Biratnagar High Court clearing a self-proclaimed holy man, Krishna Bahadur Giri, of rape despite police presenting physical evidence.
The doctrine of the separation of powers stipulates that it is when the other three pillars in a democracy are compromised that the role of the free press becomes even more vital. The world over, as soon as populist autocrats are elected to the executive, their first order of business is to co-opt the legislature and the judiciary. Then they buy off, intimidate, or neutralise the media with Strategic Lawsuits Against Public Participation (SLAPP).
Nepal’s officialdom seems to be taking midnight Zoom lessons from other despots on how to gag the media. Last month, popular talk show host Dil Bhushan Pathak was served an arrest warrant by the Kathmandu District Court for <a href="https://www.youtube.com/watch?v=-CntsnTrtG8" target="_blank">a YouTube explainer</a> about the alleged involvement of the son of Foreign Minister Arzu Deuba Rana in a reported purchase of Kathmandu’s Hilton Hotel.
The Lalitpur District Court ruled that Pathak could not be arrested without fair trial, but this week the Kathmandu District Court filed another case against the journalist based on a complaint by the Cyber Bureau, and put him on a fugitive list.&nbsp;
Without going into the veracity of Pathak’s explainer, it is deeply problematic that the Electronic Transaction Act has been invoked – proof that politicians are getting the courts and investigating agencies to make an example of a high profile journalist.&nbsp;
The intention is to silence media investigations into the fake refugee scandal in which the main partner in the ruling coalition is implicated, and in which one of its former home ministers was jailed last year.
The Kathmandu High Court has been mysteriously active in targeting journalists these days. <a href="https://bizmandu.com/" target="_blank">Bizmandu</a> and <a href="https://nepalkhabar.com/" target="_blank">Nepalkhabar</a> were served a notice last month <a href="https://nepalitimes.com/news/no-freedom-after-expression-y4inku06" target="_blank">to withdraw a story they did</a> on the Chair of the <a href="https://www.sebon.gov.np/" target="_blank">Security and Exchange Board of Nepal (SEBON</a>) Santosh Narayan Shrestha allegedly demanding kickbacks from hydropower investors.&nbsp;
Incredibly, the court even asked the two portals not to report on the subject anymore – a ruling so absurd that the Patan High Court overturned it a week later.&nbsp;
The allegations against Shrestha were made in a public meeting of the <a href="https://www.ippan.org.np/members/3060/bungal-hydro-ltd" target="_blank">Independent Power Producers Association of Nepal (IPPAN)</a>, and MPs demanded a <a href="https://myrepublica.nagariknetwork.com/news/parliament-demands-probe-into-sebon-chairman-over-alleged-commission-demand-40-32.html" target="_blank">Parliament inquiry</a> into the regulator. <a href="https://www.himalkhabar.com/144523/santosh-narayan-shrestha" target="_blank">HimalKhabar</a> reported this week that while Shrestha was reportedly demanding commissions from private investors for IPOs, he cleared primary share sales in Bajhang’s 10.75MW <a href="https://www.ippan.org.np/members/3060/bungal-hydro-ltd" target="_blank">Bungal Hydro</a> in which his family members have investments, company records show.
And then just on Monday, bureaucrats hoodwinked MPs by deleting references in a bill requiring a two-year ‘cooling off’ period under which retiring civil servants could be barred from holding constitutional positions for two years.
The contest for who is more corrupt: bureauacrats, politicians, or the private sector is on.
Kunda Dixit

SLAPPing Democracy

A cabinet meeting last week appointed former journalist Sharad Ojha as the chair of the Nepal Insurance Authority, the regulator of the sector. Ojha has no qualifications for the post as required by Nepal’s Insurance Act.&nbsp;
His family ties to Nepali Congress president <a href="https://nepalitimes.com/news/deuba-5-qh371fm4">Sher Bahadur Deuba</a> has been cited as the reason he got to bypass appointment criteria.
This is just the latest example. Bending the law to appoint <a href="https://nepalitimes.com/here-now/nepal-s-crony-communism-exposed">cronies</a> and special interest groups to leadership positions in regulatory bodies has <a href="https://nepalitimes.com/editorial/crony-communism">become the norm in Nepal</a>.
Ojha’s predecessor was former Home Secretary Surya Prasad Silwal, who was suspended two months before the end of his term in December after the <a href="https://nepalitimes.com/news/ciaa-traps-small-fish-lets-big-ones-go">Commission for the Investigation of Abuse of Authority (CIAA)</a> filed a corruption case against him in the Special Court. Days after Ojha’s appointment, the court cleared Silwal of corruption charges.
Read also: <a href="https://nepalitimes.com/search?q=corruption+case">Nepal’s corruption carousel</a>
Before Silwal, the Nepal Insurance Authority was led by Chiranjivi Chapagain, a relative of Chandra Dhakal of the IME Group. Chapagain is accused of granting approval to 10 insurance companies under dubious circumstances and favouring <a href="https://nepalitimes.com/business/ime-insurance">IME Life Insurance’</a>s approval.
Meanwhile, intense lobbying by interest groups with ties to both <a href="https://nepalitimes.com/news/nepal-government-changes-again">Prime Minister Oli</a> and PM-in-waiting Deuba allowed Santosh Narayan Shrestha’s appointment as the chair of the Securities and Exchange Board of Nepal (SEBON) in December. Shrestha promptly paid his dues to the groups that put him in office by making preparations to grant them permission to operate stock exchange.
Shrestha was preceded by hotelier Ramesh Kumar Hamal, the recommendation procedure and committee for whom were changed to ensure his appointment.
During his tenure, Hamal hastily amended a law that allowed specific companies to sell premium stocks amid ongoing debates, &nbsp;and another one allowing the operation of stock exchanges with private sector investment instead of public companies. None of this raised eyebrows.
Hamal’s predecessor Bhishma Raj Dhungana, a former Nepal Rastra Bank official, was dismissed as SEBON chair following allegations of irregularities.&nbsp;
Most of these recent individuals were appointed heads of regulatory bodies under PM Oli and Finance Minister Bishnu Paudel and probably at their behest.
The appointments at the Nepal Insurance Authority and SEBON reflect a blatant disregard for the <a href="https://nepalitimes.com/opinion/federalism-rule-of-law-and-the-judiciary">rule of law</a>. Such practice is also rampant in the cooperatives and real estate sectors, where <a href="https://nepalitimes.com/here-now/nepal-risks-being-blacklisted-on-money-laundering">illegal financial dealings</a> and bad faith business is modus operandi.
Meanwhile, Energy Minister Deepak Khadka, also a hydropower entrepreneur, is set on ousting <a href="https://nepalitimes.com/from-the-nepali-press/more-than-half-of-nepal-s-electricity-imported-from-india">Nepal Electricity Authority (NEA)</a> managing director <a href="https://nepalitimes.com/latest/kulman-ghising-to-stay-on">Kulman Ghising</a>. He previously ordered the removal of Dudhkoshi Hydropower Project CEO Bimal Gurung for criticising him on <a href="https://nepalitimes.com/news/no-comment">social media</a>.&nbsp;
The minister has a major conflict of interest because of his involvement in private energy sector, and is pressuring parliamentary committees and regulatory bodies to amend the law to allow the sale of 50% of the shares of <a href="https://nepalitimes.com/multimedia/missing-pieces-of-the-hydropower-jigsaw">hydropower projects </a>during the so-called 'lock-in period', which prevents the sale of promoter shares.
Now, lobbyists have set their sights on the Nepal Rastra Bank (NRB). Maha Prasad Adhikari’s tenure ends in April, and the same groups behind the appointment of the chiefs of regulatory bodies like SEBON and Nepal Insurance Authority are going door to door of governing coalition leaders to have their candidate appointed.&nbsp;
The book Why Nations Fail by Daron Acemoglu and James A. Robinson—co-winners of last year’s Nobel Prize for Economics with economist Simon Johnson—describes how public institutions are misused, weakened, and pushed toward failure by those with access to power.
Regulatory bodies are crucial to maintaining fair competition and ethical market practices. They exist to serve Nepal’s public. However, they are being deliberately undermined by special interest groups paying off authorities for plum positions that will enrich them and their political patrons. &nbsp;
The government ordered the Department of Money Laundering to ‘wait’ as the body sought permission to take action against Ajeya Sumargi for illicit dealing.
It was thus unsurprising that the Financial Action Task Force (FATF) placed Nepal on its grey list in February for failing to take effective and result-oriented action to prevent money laundering.
Read also: <a href="https://nepalitimes.com/news/black-white-and-grey">Black, white and grey</a>, Ramesh Kumar
The international community has raised a red flag against malgovernance, political interference, conflicts of interest, and impunity. The world is watching, but Nepal’s politico-corporate interests are too deep in greed to care.
Ramesh Kumar

Public-Private Collusion

Nepal Rastra Bank Governor Maha Prasad Adhikari said last month that an assessment by the Asia/Pacific Group on Money Laundering (APG) had put Nepal at risk of being placed on the grey list of the Financial Action Task Force (FATF), the global money-laundering watchdog.
The final decision will be made during the FATF plenary 17-21 February in Paris. The country was previously greylisted from 2009-2014.
The watchdog had advised legal, policy and <a href="https://nepalitimes.com/news/near-debt-experience">structural reforms for Nepal</a> to implement within a year. And while some laws were amended, implementation is another story.&nbsp;
“Nepal’s FATF rating has deteriorated due to the inaction against major cases of <a href="https://nepalitimes.com/editorial/nepal-s-corruption-carousel">corruption</a>, tax evasion, and abuse of financial institutions,” explains Rup Narayan Bhattarai, former Director General of the Department of Money Laundering Investigation.&nbsp;
Sticking to the tradition of blame game, <a href="https://nepalitimes.com/news/nepal-government-changes-again">Prime Minister KP Oli</a>, has blamed the delay in legal reforms on the previous Pushpa Kamal Dahal government.
The APG— of which Nepal has been a member since 2002— is an associate member of the FATF. The organisation had already placed Nepal on the observation list for failing to amend and implement necessary laws to prevent <a href="https://nepalitimes.com/news/nepal-figures-in-leaked-money-laundering-report">money laundering</a> after an evaluation last year.&nbsp;
The assessment looked into Nepal's efforts to combat money laundering in two parts: the first one being technical compliance— the legal and structural reforms to prevent money laundering— and the second being the effectiveness of their implementation.
Nepal has achieved relatively satisfactory results with technical compliance— the assessment found that the country had abided by at least 21 of the 40 criteria laid out by the FATF. Since the evaluation, Nepal has amended and enacted additional laws to meet an additional 10 criteria.&nbsp;
However, the evaluation found the country’s progress in effectively implementing laws to prevent money laundering to be very weak, with Nepal only ‘moderately compliant’ with four out of the 11 standards.
Bhattarai points to the lack of transparency and commitment to preventing money laundering. “It is not enough to just make laws and regulations, they must be implemented and produce noticeable results,” he says. “But we have failed to see such results, due to which our country’s international standing has deteriorated.”
Cooperatives and real estate transactions have also long been used to conceal and legitimise ill gotten wealth. Cooperatives are reluctant to provide details of suspicious financial transactions.
Read also: <a href="https://nepalitimes.com/here-now/cooperatives-leave-nepalis-high-and-dry">Cooperatives leave Nepalis high and dry</a>, Ramesh Kumar
“International authorities have taken issue with the absence of a strong legal and structural system to prevent money laundering in cooperatives and real estate,” says a government insider. “They are well aware of the absence of political will to monitor these sectors.”
In 2023, while banks and financial institutions reported details of 6,255 suspicious transactions to the Financial Intelligence Unit, cooperatives reported only two.
Following an objection by the APG last year regarding large amounts of black money circulating in cooperatives, legislators introduced a proposal to amend the Cooperatives Act to set an individual deposit limit of Rs2.5 million in cooperatives.
But the proposal was rejected after pressure from lobbyists as well as parliamentarians connected to the cooperatives sector.&nbsp;
In December, the government issued an ordinance to amend cooperative-related laws which included a provision allowing depositors to save up to Rs5 million in cooperatives depending on the scope of the institution.&nbsp;
Meanwhile, real estate agents in Nepal do not require a licence, and the government’s flexibility to accommodate <a href="https://nepalitimes.com/news/the-business-of-politics-in-nepal">wealthy businessmen</a> has meant there are no institutions to keep track of land and property dealings and investigate the suspicious financial activity.&nbsp;
“There is no monitoring to see who is buying and selling real estate at what price, and there is no legal framework to prevent money laundering in<a href="https://nepalitimes.com/here-now/kathmandu-s-unreal-real-estate-prices"> real estate</a>,” says the Nepal government official.&nbsp;
Casinos are also a breeding ground for laundering money, also lack a strong regulatory system.
Another shortcoming pointed out by the APG are delays in and ineffectiveness of investigations and prosecutions relating to money laundering. There has been international attention on scams like the Nepal Airlines Corporation Airbus 330 purchases.
In fiscal year 2022/2023, the Financial Intelligence Unit received 7,115 reports of suspicious transactions and activities and sent 505 cases for investigation. But only a few of them were ever investigated.
The Department of Money Laundering Investigation only took 12 cases to court during the first 6 months of this fiscal year and had similarly taken only a dozen cases involving a total of Rs1.74 billion last year.&nbsp;
The department was hastily set up in 2011 after the FATF warned that Nepal would be blacklisted, but so far, it hasn’t gone beyond appeasement and whitewashing.
“If money laundering cases are to be investigated, they would involve either those at the upper echelons of power or those connected to them,” a former government official who worked at the department told us, “How then would any investigation move forward?”
The Home Ministry has also been slow to prepare a list of people suspected of terrorist activities and make such a list available for monitoring even though it is an international requirement.&nbsp;
Nepal has also not worked on a new assessment report to recommend measures to prevent money laundering since the last report was prepared in 2020.
Nepal will most certainly be on that grey list later this month, and this will negatively impact the country’s reputation on the global stage as well as its foreign investment prospects.&nbsp;
In December, Nepal had received a ‘BB-’ rating from the US credit rating agency Fitch, becoming the second-highest rated country in South Asia, after India. Government officials have been suggesting that this raiting would help attract foreign investment.
As it stands, financial institutions here may bear the brunt of the grey list status. Banks may find it difficult to conduct international transactions, and transaction costs may rise, which will in turn make imports more expensive and hinder exports.&nbsp;
Nepal being on the FATF grey list also means that the government will find it more difficult to obtain financial assistance and concessional loans from donor countries and international organisations. Interest rates on loans taken by Nepal’s government and private financial institutions from abroad will also go up.
Additionally, as soon as Nepal is placed on the grey list, financial institutions will begin to closely monitor transactions made by the <a href="https://nepalitimes.com/editorial/brain-drain-into-brain-gain">diaspora around the world</a>, which will affect Nepali students and <a href="https://nepalitimes.com/here-now/a-long-way-to-europe">migrant workers</a> seeking to open accounts in foreign banks, as well as those <a href="https://nepalitimes.com/editorial/the-new-equaliser">sending remittances back home</a>.&nbsp;
“Any obstacles in the flow of remittance through official channels will spell a disaster for Nepal’s economy,” a government official told us.&nbsp;
Nepal government and relevant authorities must actively try to get out of the grey list as soon as possible. The FATF and APG will give Nepal a year to get off the list of countries at risk, failing which Nepal will be placed on the blacklist and be isolated from the global stage.&nbsp;
Says Bhattarai: “It is not enough to have made laws, we need results. Nepal must be committed to acting against leaders, lobbyists, and those with access and connections involved in criminal financial dealings.”

Black, white and grey

Corruption is conventionally – and misleadingly – measured as a one-dimensional problem. Global corruption indices, including Transparency International’s Corruption Perceptions Index (CPI) and the World Bank’s Control of Corruption Index, assign a single score to countries.&nbsp;
These metrics consistently show that rich countries are ‘very clean’ while poor countries are ‘highly corrupt’. For example, the 2023 CPI ranks the United Kingdom (scoring 71) as the world’s 20th least corrupt country, much cleaner than China (42) and Brazil (36). Most CPI users, including media outlets, companies, and analysts, interpret these numbers as a fact.
But are richer countries really less corrupt than poorer ones? One-dimensional metrics like the CPI obscure the fact that qualitatively different varieties of corruption cannot be reduced to a single score.&nbsp;
These metrics also systematically under-measure the corruption of the rich, which tends to be legalised, institutionalised, and ambiguously unethical, as opposed to corruption of the poor.
In poorer countries, corruption takes clearly illegal and outrageous forms, such as stealing public funds and taking bribes. In rich countries, by contrast, many believe the problem has disappeared.&nbsp;
Read also: <a href="https://nepalitimes.com/editorial/nepal-s-corruption-carousel">Nepal’s corruption carousel</a>, Editorial
In The Quest for Good Governance, Alina Mungiu-Pippidi even concludes that advanced economies have reached an end state of ‘ethical universalism’, where ‘equal treatment applies to everyone’. Britain is ‘the classic historical performer’ in this respect, followed by ‘British empire splinters populated mostly by populations of European descent’. In short, the rich West is clean.
But given the rise of populism in high-income democracies today, much of it a backlash against the outsize advantages enjoyed by the rich and politically connected, 'ethical universalism' seems more illusory than real. As a blistering 2020 exposé by the New York Times revealed, half of UK government contracts for medical supplies during the Covid-19 pandemic went to ‘companies run by friends and associates of politicians' through a special ‘VIP Lane’.
How, then, did the CPI rank the UK as the 20th least corrupt country? The score is based not on surveys conducted internally by Transparency International, but on a combination of various third-party polls. Almost all of these come from Western organisations such as the Economist Intelligence Unit, and they tend to rely heavily on responses from Western business executives.
Moreover, the wording in these surveys is often vague. For example, the World Competitiveness Yearbook, one of CPI’s sources, presents business executives with a crude binary choice: ‘Bribery and corruption: exist or do not exist.’ No wonder the CPI shows that rich countries are ‘very clean’ year after year, even as their ordinary citizens disagree.
Recognising that there were no alternatives to these conventional metrics, despite numerous critiques, I piloted the Unbundled Corruption Index (UCI) which is a perceptions-based metric of corruption that relies on expert surveys.&nbsp;
Read also: <a href="https://nepalitimes.com/news/heads-roll">Heads roll,</a> Nepali Times
However, it unbundles corruption into four distinct varieties: petty theft (extortion by street-level officers), grand theft (embezzlement by politicians), speed money (small bribes to overcome bureaucratic hurdles or harassment), and access money (big payoffs in exchange for exclusive, lucrative privileges such as contracts and bailouts).
While the first three varieties of corruption, the ones endemic in poor countries, are brazenly unlawful and directly harmful, access money might be illegal (as with bribery) or permissible (as with campaign finance). Sophisticated methods of buying privileges may involve entire institutions where no individual is corrupt.&nbsp;
For example, money laundering, for which London is a known hub, can involve moving funds seamlessly across borders through widely respected financial institutions. In the United States, banks collectively spent billions lobbying for lax regulations, leading to the 2008 financial crisis, yet only one banker was indicted.
The UCI uses an original expert survey to rate all four types of corruption. To improve the quality of measurement, I employ stylised vignettes that ask respondents to rate the prevalence of specific representative scenarios rather than overall corruption levels.&nbsp;
In my prototype covering 15 countries each country’s total UCI score appears at the top and is broken down into the four categories of corruption. Now we can compare not only aggregate levels of perceived corruption, but also the type and configuration of corruption across countries.
Read also: <a href="https://nepalitimes.com/editorial/nepal-gets-gold-medal-for-corruption">Nepal gets Gold Medal for corruption</a>, Editorial
One illuminating comparison is between the US and China. The US is less corrupt than China overall, but the gap is narrowest in the category of access money, the dominant type of corruption in both countries. Notably, America’s access-money score is higher than that of lower-income countries like Thailand and Ghana. If we relied solely on bundled scores, we would conclude that the US is clean. But once the scores are disaggregated, we can explain the appeal of populist promises to ‘drain the swamp’.
Even more interesting is that different forms of access money prevail in the US and China. In a comparison based on a vignette about bribe-taking through politicians’ personal networks, China clearly dominates. Yet when we turn to revolving door practices and regulatory capture through lobbying, the US takes the lead.
In short, access to money in the US is primarily institutional, whereas the problem in China is still enmeshed within personal relationships involving bribery and piles of buried cash. China isn’t necessarily more corrupt than the US, but its corruption certainly has a different quality.
Mismeasuring corruption is no mere technicality. Fundamentally, it reinforces the illusory, hypocritical, and often Eurocentric message that high-income countries have achieved a lasting state of ethical purity. In reality, corruption did not necessarily disappear as countries grew richer – rather, it evolved, becoming more sophisticated and imperceptible.
We must continue to fight ‘corruption of the poor’, but by unbundling corruption, capitalist democracies can also direct urgently needed attention toward some of their most pressing problems, including rising inequality, declining public trust in government, and what USAID Administrator Samantha Power calls “modern corruption” (such transnational networks of illicit finance). Overcoming these challenges requires measuring them accurately, rather than pretending they don’t exist. &nbsp;
Read also: <a href="https://nepalitimes.com/news/rot-at-the-top">Rot at the top</a>, Shristi Karki
© <a href="https://www.project-syndicate.org/commentary/corruption-perception-index-does-not-give-the-whole-picture-by-yuen-yuen-ang-2024-03">Project Syndicate</a>
Yuen Yuen Ang, Professor of Political Economy at Johns Hopkins University, is the author of How China Escaped the Poverty Trap - Cornell University Press, 2016) and China’s Gilded Age (Cambridge University Press, 2020).

Mismeasuring corruption lets rich countries off the hook

Nepalis are proud to proclaim that the Buddha was born in Nepal, but the over-development of <a href="https://nepalitimes.com/here-now/telling-the-story-of-buddha-s-lumbini">Lumbini</a> may mean that the nativity site could be struck off the World Heritage Sites listing. &nbsp;&nbsp;&nbsp; Nepal is internationally recognised for its cultural landmarks and their protection, but &nbsp;corruption, commercialisation and over-development are endangering sites like Lumbini and Pashupatinath Temple.&nbsp; World Heritage Sites are designated by UNESCO for their historical, cultural or natural significance, and Nepal has four landmarks in the listing: Kathmandu Valley, Sagarmatha National Park, Chitwan National Park and Lumbini.&nbsp; It is difficult to be struck off the list, but UNESCO can put some landmarks in the List of World Heritage in danger. The spotlight is now on Lumbini and Pashupati because of recent construction. U Thant, the United Nations Secretary-General from Burma who <a href="https://nepalitimes.com/here-now/u-thant-kenzo-tange-and-the-buddhas-birthplace">visited Lumbini in 1977</a>, hired famous Japanese architect Kenzō Tange to devise a masterplan for the site. It has taken nearly 40 years for Tange’s scheme to more or less be put together, but the Lumbini Development Trust (LDT) has been flouting the Tange design. For example, a concrete and glass structure is coming up right next to Mayadevi Temple, an area of unexcavated archaeological significance. More recently, LDT announced that it was <a href="https://nepalitimes.com/news/lharkyal-lama-s-lumbini-inc">leasing out to a private company</a> for 99 years the sacred Ramgram Stupa, 35km east of Lumbini, one of eight sites in the Subcontinent with corporeal remains of the Buddha. &nbsp;&nbsp;&nbsp; The plan was cancelled in January by Parliament’s Public Accounts Committee which also demanded a corruption probe into the Rs7 billion deal to lease 81 hectares around Ramgram for 99 years. The deal was to the Singapore-based Moksha Foundation and its Nepali counterpart The Promised Land, owned by Prime Minister Pushpa Kamal Dahal’s landlord’s son.&nbsp; LDT is now headed by political broker and shady former lawmaker Lharkyal Lama, who was appointed by Prime Minister Dahal despite knowledge about his murky past. &nbsp; Neither the Ministry of Culture nor the Department of Archaeology had prior knowledge of the Ramgram proposal, and this lack of oversight and accountability has further eroded the LDT’s credibility, increasing concern about conflict of interest and political patronage.After the controversy erupted, an LDT executive committee meeting shelved the Ramgram agreement. &nbsp;&nbsp; The Heritage Site listing doubts come just as another ancient Buddha-era settlement of Tilaurakot near Lumbini is about to be added to the UNESCO Heritage List.&nbsp; Meanwhile, in Kathmandu, the Pashupati Area Development Trust (PADT) also faces the risk of having one of Hinduism’s holiest shrines delisted from the World Heritage Sites.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2024032213038_4d830080d521db354a577a999e97d850282dab6cbf6795b04cab76535d1300cc.jpg" data-media-id="editor_3" data-image-id="2024032213038_4d830080d521db354a577a999e97d850282dab6cbf6795b04cab76535d1300cc" data-rendition-name="original" width="1574" height="1000" loading="lazy" alt="Pashupati NT"> </figure>  The reason is similar to what has tainted Lumbini: political interference. LDT and PADT are chaired by the Minister of Civil Aviation and Culture, but are supposed to operate autonomously from the government. The minister has just been replaced by another Maoist confidante of Dahal, Hit Man Tamang. PADT’s director Laxmi Pun was suspended soon after her appointment because she did not meet qualifications for the job. There is also a brewing controversy involving the Digital Copyright Act about the right to film the Ganga Arati evening prayer ritual at <a href="https://nepalitimes.com/here-now/the-healer-of-pashupati">Pashupati</a> by the entertainment company Budha Subba Digital.&nbsp; The company says it signed a deal with PADT, but this is denied by spokesperson Rewati Raman Adhikari whose signature is on the agreement between Budha Subba Digital and PADT. Now, both PADT and Adhikari vehemently deny any ownership or knowledge of such an agreement.&nbsp; “We don’t know how they got the stamp, this is nonsense,” Adhikari told Nepali Times. He added that PADT is working on crowd management at the evening prayers after several near stampedes. &nbsp; Adhikari says the Ganga Arati is not under the jurisdiction of PADT, but organised by a separate entity. He notes that the prayer ritual adopted more than a decade ago is not inherently a part of Nepali culture.&nbsp; Our investigation shows that on 15 June, 2023 former Minister of Tourism and Culture Sudan Kirati signed an agreement permitting the Kirat ethnic group to <a href="https://nepalitimes.com/here-now/life-after-death">bury their dead</a> within the sacred Shleshmantak forest until a permanent burial site was found in three months.&nbsp; Six months have passed but no alternative site has been designated. Nabin Manandhar of Kathmandu Metropolitan Office had no idea about the agreement Kirati signed. Rewati Raman Adhikari also had no idea about an agreement. PADT has already been wracked by a corruption scandal over missing gold used to make a new necklace for the main Pashupati deity. Thapa is facing charges related to corruption in that case which goes back to when K P Oli was Prime Minister in 2021. &nbsp;

Alisha Sijapati

Unholy developments at holy sites

Just two weeks into the new Maoist-led 5-party coalition government, Prime Minister Pushpa Kamal Dahal has found a new best friend in Home Minister Rabi Lamichhane.
So desperate is Dahal to stay on as PM that he has sacrificed his bishop, comrade-at-arms Krishna Bahadur Mahara who is Maoist vice-chair and has given new meaning to his party designation.&nbsp;
Lamichhane is out to show that he has the pluck to go after high profile politicians, and has convinced Dahal that he had to do what he had to do to restore flagging public support.
It was convenient that Lamichhane could use an inquiry commission report implicating Mahara in 60kg of gold being smuggled in from Hong Kong as motorcycle brakes last year, and another 9kg gold a Chinese passenger was caught hiding in a consignment of e-cigarettes in 2022.&nbsp;
Read also: <a href="https://nepalitimes.com/editorial/skeletons-in-the-cabinet-k5x6py1v">Skeletons in the Cabinet</a>, Editorial
Lamichhane met the Prime Minister last Friday, and the two seem to have agreed that Mahara was expendable. Mahara got wind of this, and was caught while trying to escape to India via the Kapilvastu border. He is currently being detained in a hospital in Kathmandu.
Lamichhane is said to be targeting senior opposition Nepali Congress (NC) leaders next, and Mahara’s arrest was necessary to prove that he is not sparing party figures from his own coalition. His predecessor, Narayan Kaji Shrestha who is now Foreign Minister, had selectively gone after UML and NC leaders.&nbsp;
Dahal’s decision to sacrifice Mahara may have been easier because the former House speaker was already a tainted figure, with ties to telecom kickbacks and accusations of syphoning off money meant for ex-guerrillas. &nbsp;There was no probe into either allegation.&nbsp;
In 2010, an audio recording was leaked to the press of him demanding Rs500 million from a Chinese national to buy lawmakers to keep the Maoist coalition intact. Despite this, he became House Speaker in 2017.&nbsp;
Mahara was finally arrested in 2019 after a female staffer of the Parliament secretariat accused him of rape. He resigned as Speaker, but was eventually acquitted by the courts.
Read also: <a href="https://nepalitimes.com/editorial/what-difference-does-it-make">What difference does it make?</a>, Editorial&nbsp;
Former Maoist leader Muma Ram Khanal says this time, too, the case against Mahara may fizzle out. “It could just be another stunt that the Prime Minister is pulling with his Home Minister,” he told our sister publication, Himalkhabar.
As of press time Thursday, it was not clear whether Mahara’s four-day arrest would be extended. The evidence against Mahara that he pressured customs officials to release smuggled gold, and made multiple phone calls to the accused may not be deemed enough by the courts to convict him.&nbsp;
Seeing that Lamichhane may be coming after its own Arzu Rana Deuba and Binod Chaudhary next for their involvement in the fake refugee scandal and the Bansbari land grab, the NC is trying to snare the Home Minister in a case involving the misappropriation of funds from cooperatives to fund a media company Lamichhane co-founded with businessman G B Rai.
Suspiciously, one of Lamichhane’s first acts as Home Minister was to transfer CIB chief Kiran Bajracharya, who was heading the investigation of the cooperatives fraud case. Bajracharya was blamed for her unwillingness to investigate Mahara and others in gold smuggling.
Read also: <a href="https://nepalitimes.com/news/catapulting-to-singha-darbar">Catapulting to Singha Darbar</a>, Kunda Dixit
The NC has threatened to obstruct Parliament unless Lamichhane is investigated in the cooperatives case even though Prime Minister Dahal this week staunchly defended his Home Minister.&nbsp;
If all this was an attempt by the RSP to show that it is serious about curbing corruption, the public does not seem all that convinced. Many see the investigations as vendetta and political drama. The web of corruption is so tangled that every politician has something on another politician, and they all tend to cancel each other out.&nbsp;
Mahara was questioned about his alleged connection with the smuggling racket last year, and his son Rahul has been in police custody since August for his involvement in the case. Other political leaders including incumbent Finance Minister Barsaman Pun, former speaker Onsari Gharti Magar, and Dipesh Pun, son of former vice-president Nanda Bahadur Pun, have all also been accused of being a part of the gold trafficking ring.&nbsp;
Former prime ministers, ministers, and political leaders have been questioned, even detained, for their involvement in cases ranging from the Baluwatar real estate scam to the fake refugee scandal, but they have either been spared completely, released on bail, or the investigations have hit a dead end.&nbsp;
All the leadership seems to care about is to push probes into corruption cases when they are in power and rivals are in the opposition. In that respect, though, Mahara’s detention is an outlier — he has been taken in while his own party boss is Prime Minister.
Read also: <a href="https://nepalitimes.com/editorial/nepal-gets-gold-medal-for-corruption">Nepal gets Gold Medal for corruption</a>, Editorial
Shristi Karki

Nepal’s corruption carousel

In what seems to be a replay of an initiative 13 years ago by the shadowy Asia Pacific Cooperation and Exchange Foundation (APECF) to invest billions in the ‘development’ of <a href="https://nepalitimes.com/here-now/u-thant-kenzo-tange-and-the-buddhas-birthplace">Lumbini</a>, a new scandal has erupted about a lease of the nearby Buddhist shrine of Ramgram to a private entity. The Hong Kong-based <a href="http://www.apecf.org/en/work_projects/lumbini/index.html">APECF</a> purportedly signed an MoU with <a href="http://www.apecf.org/en/work_projects/lumbini/lumbini05.html">a United Nations office in Beijing</a> in June 2011 for the Lumbini Buddist Cultural Special Zone project with the aim of turning it into an international tourist destination having the world’s tallest Buddha statue. The new Ramgram proposal, meanwhile, was pushed by a shady former lawmaker named Lharkyal Lama, who heads the Lumbini Development Trust (LDT) and involved leasing 82 hectares of the sacred site for 99 years to the Singapore-based Moksha Foundation to build hotels and other structures. Interestingly, both projects involve Prime Minister Pushpa Kamal Dahal. The APECF was chaired by Dahal after he resigned as prime minister in 2009 during his first tenure. And the local counterpart of the Moksha Foundation is Promised Land, owned by the son of Dahal’s landlord in Kathmandu. The vice-chair of APECF Xiao Wunan <a href="http://www.apecf.org/en/foundationnews/20230630.html">visited Kathmandu in June</a> last year and met Dahal after which Dahal is said to have offered to support the foundation’s ‘core focus’ of Buddhist culture. The APECF project has been in limbo ever since then UN Secretary General <a href="https://archive.nepalitimes.com/news.php?id=19159">Ban Ki-Moon cancelled a visit to Lumbini</a> to endorse it after geopolitical pressure and the <a href="https://archive.nepalitimes.com/news.php?id=19096">controversy</a> in Nepal, <a href="https://archive.nepalitimes.com/news.php?id=19096">reported by this paper at the time.</a> Then, last week the LDT cancelled the MoU with Moksha Foundation and Promised Land after a directive from the Parliament’s Public Accounts Committee, which also ordered the Commission on the Investigation of Abuse of Authority (CIAA) to probe the deal. Prime Minister Dahal appointed Lharkyal Lama to head LDT in August 2023 despite knowledge about his nefarious past. Proximity to powerful leaders across the political spectrum has allowed Lama to keep being reincarnated despite allegations ranging from <a href="https://nepalitimes.com/editorial/nepal-gets-gold-medal-for-corruption">corruption</a> to sedition.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240221080248_5bc713d63c962d3ad00716a8c4da9eb7e78758d8a96c4a8b20be6af8c0678733.jpg" data-media-id="editor_8" data-image-id="20240221080248_5bc713d63c962d3ad00716a8c4da9eb7e78758d8a96c4a8b20be6af8c0678733" data-rendition-name="original" width="800" height="533" loading="lazy" alt="Lharkyal Lama NT"><figcaption>Lumbini Development Trust vice chair Lharkyal Lama.</figcaption></figure>  “With Gautam Buddha and Maya Devi as my witnesses, I will promise to never denigrate this holy place and to uphold the dignity of Lumbini,” Lama declared after his appointment last year. The story about Ramgram, 35km east of Lumbini, was broken in January by a Kantipur investigation which revealed that Promised Land was owned by Nikesh Adhikari, the son of Sharada Adhikari, Prime Minister Dahal’s landlord. Tourism and Culture Minister Sudan Kirati, who chaired LDT before Lama’s appointment, had previously also attempted to hand over the same land to Moksha Foundation and Promised Land but the deal was blocked by other branches of government, including the Department of Archaeology. Lama tried to bulldoze the agreement despite the objections. One out of the eight relics of Gautam Buddha that were distributed among his disciples was sent to the ancient kingdom of Koliya, where present-day Ramgram stupa is located. Experts have long pushed to <a href="https://nepalitimes.com/here-now/buddha-s-birthday-in-his-birthplace">archaeologically substantiate</a> the site’s history and include it in the World Heritage list. “What they tried to do with <a href="https://archive.nepalitimes.com/news.php?id=7358">Ramgram</a> is heartbreaking,” says Bhairawa-based cultural expert Geetu Giri. “It seems that the Prime Minister has been using Lama and the Lumbini Development Trust as proxies to monetise Lumbini in collusion with cronies.” Lharkyal Lama was hugely controversial even before being appointed to the LDT. Media investigations showed that his citizenship paper states that he was born in Helambu on 28 November 1964, and came to Kathmandu to study Buddhism. Papers made public by Lama in 2016 state that he obtained a Khenpo degree from the Ngagyur Nyingma Institute in Karnataka in 2000, but the institute’s website shows only one person graduated that year and it was not Lharkyal Lama. During the newly post-Panchayat era, Lama was close to powerful Nepali Congress (NC) leader Khum Bahadur Khadka, who himself would go on to be convicted of several counts of corruption in August 2012. In 2001, during his second tenure as Prime Minister, the NC’s Sher Bahadur Deuba appointed Lama chair of the Monastery Management and Development Committee.  <figure><img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20240221080248_7ec49626c0b71a8f2df46c4ab1ac32b6fdf288260e07b22fdff0e5c0de293768.png" data-media-id="editor_11" data-image-id="20240221080248_7ec49626c0b71a8f2df46c4ab1ac32b6fdf288260e07b22fdff0e5c0de293768" data-rendition-name="original" width="568" height="426" loading="lazy" alt="Ramgram stupa NT"><figcaption>Ramgram stupa. Photo: LUMBINI DEVELOPMENT TRUST</figcaption></figure>  Lama then pivoted to the UML in 2007, and was close to Ishwar Pokharel and Amrit Bohara who lined up a proportional representation seat for him in the 2008 Constituent Assembly election. He was appointed state minister for finance by Prime Minister Jhalanath Khanal in 2011 but had to resign just two weeks into office after it was revealed that he possessed two Nepali citizenships, an Indian passport, and a Tibetan refugee ID card. A Home Ministry investigation further revealed his close ties to an emissary of the Dalai Lama and leader of the Free Tibet campaign. The investigation was never completed due to ‘non-cooperation by government agencies’. Lama then left the UML and joined the Maoist party in 2014 and was appointed lawmaker in 2015 despite the Election Commission's objections. Maoist chair Pushpa Kamal Dahal wrote four letters to the Commission on Lama’s behalf. Even Maoist leaders objected to his appointment, but Dahal went ahead with it. Lama was once again investigated by the CIAA in 2016 during his second stint in Parliament after illegal wealth and bullets were discovered inside his bank locker. He spent nine days in custody and was released on a mere Rs60,000 bail. The CIAA filed a case in the Special Court, but Lama was acquitted. Lama’s appointment to the LDT was also heavily criticised from within the Maoist party, but Dahal overruled objections. The Promised Land deal that Lama pushed therefore could have the backing of the highest office in the land. Basanta Bidari, who has worked as an archaeologist at the LDT for 28 years, says that Lama’s tenure has been disappointing but he is not surprised. He says, “There is no need for me to comment on appointments by Dahal and Kirati. We never had any expectations from Lama.” The LDT was established in 1985 to develop and promote the birthplace of the Buddha, and was under the tutelage of the royal palace. But even then there were allegations of misappropriation of funds and lack of progress in developing the nativity site. Four decades on and with multiple changes in government, political interference in Lumbini’s development continues. Meanwhile, the contrast between the heritage site and the surrounding <a href="https://nepalitimes.com/here-now/telling-the-story-of-buddha-s-lumbini">Greater Lumbini region</a> is starker than ever. Says Bhairawa-based observer Ram Bikas Chaudhary: “There are two Lumbinis here, separated by a wall. Inside it is beautiful, prosperous, and peaceful, while the outside is ugly, poor and chaotic.”

Lharkyal Lama’s Lumbini, Inc

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

Nepal is still reeling from the short but violent GenZ moment, and the reverberations are being felt around the world.&nbsp;
As news from the killings and rampage from Nepal on 8-9 September spread through the wire services and social media, in the Philippines, East Timor and even faraway Peru, banners on the streets last week referred to ‘learning lessons from Nepal’. In Ladakh last week, <a href="https://www.aljazeera.com/news/2025/9/25/bloodiest-day-how-gen-z-protest-wave-hit-indias-ladakh-killing-four">protesters set fire to the ruling BJP party office</a> and four people were killed in police firing.&nbsp;
Nepal’s GenZ was praised by <a href="https://www.nytimes.com/2025/09/19/opinion/asia-protest-youth-nepal-bangladesh.html">international commentators</a> for rising up against chronic corruption and impunity, and for achieving the fastest regime change in history. But the youth were also blamed for the arson and vandalism even though the groups said they had no part in it — most &nbsp;foreign media also did not highlight enough the infiltration by radical groups.
“We were not expecting the protests to turn so violent and deadly. On the second day, things escalated so quickly it became difficult to keep track. We were rushing on the groud and making calls to confirm what was happening,” recalls Paavan Mathema of Agence France-Presse (AFP) in Nepal.
The GenZ protest this month was a lesson on the mechanics of social media. Hashtags like #youthagainstcorruption and #nepobaby from Indonesia inspired Nepal’s youth to take to the streets, but events here in turn triggered protests elsewhere. The international news agencies and mainstream global tv channels were not as important in this information cross-pollination.
The movement was organised online and spread quickly in no time, but it was disinformation and fake news that spread faster than facts. The over-simplification by international media was because it had to explain 30 years of political evolution in a country that they mostly ignored in the past, this sometimes tended to be misleading.&nbsp;
While the Oli government’s social media ban of 26 platforms starting 5 September poured oil on the fire that had already been lit by a disparate group of desperate youth, their outrage over decades of corruption and impunity was reaching a breaking point. There was extreme disenchantment with serial politicians recycling themselves in power.&nbsp;
“The ban on social media definitely triggered the protest, but we put a high priority on accuracy and speed during reporting in such times,” explains the Nepal correspondent for Associated Press (AP) news agency in Nepal Binaj Gurubacharya. “Our own safety also becomes a prime concern in times like these, but should not be at an expense of accuracy.”
CRISIS REPORTING
But headlines everywhere including in The New York Times, The Guardian and others that used wire service content initially highlighted the social media ban as the main reason for the protest. They were soon called out by protesters, while <a href="https://institute.aljazeera.net/en/ajr/article/3358" target="_blank">Al Jazeera</a> and its <a href="https://institute.aljazeera.net/en" target="_blank">Media Institute </a>were applauded for more nuanced coverage.
Another positive example of international media supplementing the stories by local journalists was <a href="https://www.france24.com/en/" target="_blank">France 24’</a>s detailed <a href="https://www.france24.com/en/asia-pacific/20250915-nepal-police-protests-violence-kathmandu" target="_blank">forensic analysis</a> of the security forces firing live ammunition at protesters at Parliament on 8 September.&nbsp;
What really went far and wide around the world were dramatic YouTube videos about the violence, and memes on social media. <a href="https://nepalitimes.com/here-now/the-accidental-journalist" target="_blank">A British tourist</a> who filmed street protests did the work of an on-the-ground journalist and got millions of views globally for some of <a href="https://www.youtube.com/watch?v=Slq6zWu9o9w" target="_blank">his YouTube videos</a>.&nbsp;
But some of the misinformation or fake news on social media was also picked up by the mainstream press, like the <a href="https://timesofindia.indiatimes.com/world/south-asia/nepal-violence-ex-pm-khanals-wife-dies-after-house-torched-president-urges-calm-dialogue/articleshow/123791004.cms">wrongly reported death of former Prime Minister Jhalanath Khanal’s wife</a> in an arson attack on their home. A video of the Finance Minister Bishnu Poudel being <a href="https://www.ndtv.com/world-news/video-nepal-finance-minister-chased-through-street-kicked-attacked-9243749">chased and beaten</a> by protesters also turned out to be someone else.&nbsp;
Some international outlets, mainly in India, also fell prey to a fake video that K P Oli had fled to Dubai. Even this newspaper’s online edition had to correct it after wrongly reporting it without verification.&nbsp;
Indian tv channels which did &nbsp;extensive coverage of events in Nepal, with many Nepalis relying on them and believing their content — especially during the protests when Nepal’s main channels went off air as they were being attacked.
All this got out of hand, and protesters in the week after the violence started ridiculing and harassing Indian tv correspondents as they tried to interview talking heads outside the charred Parliament building, or on the streets.
<a href="https://www.newslaundry.com/2025/09/09/foreign-hand-gen-z-data-addiction-5-ways-indian-media-missed-the-nepal-story">Indian media</a> were also the first to accuse US involvement in sparking a ‘colour revolution’ in Nepal. They later claimed that former Nepal Electricity Authority (NEA) chief and now Energy Minister Kulman Ghising and even Kathmandu Mayor Balen Shah have been appointed interim prime minister in Nepal. These were rumours in Nepal, but were reported as news.&nbsp;
“Fact checking is crucial while covering such movements, and since we are telling an important story about Nepal to the world, double checking becomes important as it sets the international narrative,” says Mathema.
“We were constantly double checking numbers and information with concerned authorities and parties to make sure we were accurate, especially as misinformation was rampant,” she adds.
Apart from Indian media, international news agencies got reinforcements of reporters, photojournalists and editors from the region, and other foreign correspondents also flew in when Kathmandu airport was opened after 48 hours.
Adds Mathema: “Sometimes foreign reporters can give a fresh perspective or an angle which we could not see or cover. So their inputs are always helpful.”
In the aftermath of the violence, there were plenty of jokes and memes, clips of protesters dancing, in weird poses and performing martial arts, showcasing the light hearted side of the protests while also <a href="https://nepalitimes.com/here-now/nepal-s-meme-revolution">reaffirming the resilience</a> of people able to bounce back from something so traumatic.
The GenZ clean-up campaigns, neighbourhoods helping restore burnt out police stations and local people’s emotional reaction to the burnt out hulks of government buildings at the city centre also <a href="https://www.scmp.com/week-asia/people/article/3325635/nepals-gen-z-protesters-lead-clean-campaign-after-violent-clashes">made news</a>.
“After the protests, people were quick to gather and clean up public spaces and paint police stations. This is a scene which may not be so common in other countries with similar violence,” adds Gurubacharya. “So it became an important story to also tell the world.”&nbsp;
In less than two days, the world saw a dramatic toppling of a democratic government. With the interim government led by former chief justice Sushila Karki, there is much hope. She has expanded her ministerial cabinet, and the election has been announced for 5 March 2026 but between then and now, a lot remains uncertain.&nbsp;
And Nepal will continue to be watched by national and international media alike until then and after. AP’s Gurubacharya sums it up: “For now, we are taking it one day at a time.”

International spotlight on Nepal

From the echo chambers of social media to neighborhood tea shops, the hot topic two weeks after the GenZ revolt toppled Nepal’s government is whether the country should now have a directly elected prime minister. Although this has been proposed before as a way to end the instability in heads of government chosen by the biggest party or coalition in Parliament, it has found supporters and critics in the aftermath of the protests. As democratic as it sounds, a directly elected executive is not that simple.&nbsp; Nepal’s 2015 Constitution does not allow it, but for a young generation impatient for change, this demand raises critical social, political and constitutional questions. Nepal has seen a multiplicity of systems in the past 45 years: from a partyless absolute monarchy to a constitutional one, a parliamentary democracy and then a federal republic. But they have repeatedly failed to bring stability, good governance or an end to corruption in Nepal. But even though lately they have ensured civil liberties, the public was losing hope for the future, especially the young who could air and amplify their outrage on social media. Unbridled corruption and ideologically mismatched fragile coalitions acting with impunity, led many to conclude that a directly elected prime minister would ensure stability and accountability. ‘We have repeatedly trusted the same political parties, but they have repeatedly broken that trust, so it is no longer possible to trust that system anymore,’ says Miraj Dhungana, popular for the TikTok videos asking young people to go out into the streets to rally against corruption, and seen by many as the ‘original’ representative of Gen Z.&nbsp; In interviews he has stated that it has become necessary for Nepal to have a directly elected executive head through constitutional amendment. Dhungana himself did not participate in the protests after his meeting with pro-monarchist businessman Durga Prasai on 7 September sparked controversy that he as a lackey. Binod Deuba Thakuri of the Nepal Student Union who also participated in the GenZ protests thinks Nepal is institutionally not ready for directly elected prime minister: “Our democracy is not mature yet, our institutions are not strong, and we are vulnerable to social media induced populism.”&nbsp; CONSTITUTION AMENDMENT Amending the Constitution would also open a pandora’s box, with other demands, and should be left to the next legislative body, he adds. In her address to the nation on Friday, Prime Minister Sushila Karki who is a former chief justice also clarified that her interim government does not have the mandate to amend the Constitution to make way for a directly elected head of government, and it should be up to the new legislature and government after the 5 March election.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250919130956_799b2d43dccca73b3bff96e435efc0752203117b2cb219d0073994c0e6f2ee25.jpg" data-media-id="editor_0" data-image-id="20250919130956_799b2d43dccca73b3bff96e435efc0752203117b2cb219d0073994c0e6f2ee25" data-rendition-name="original" width="4160" height="2774" loading="lazy" alt="Constitution Day NT"> <figcaption>Constitution Day address by Prime Minister Sushila Karki on 19th September earlier this month.</figcaption> </figure>  The demand for a directly elected executive head was first raised by Maoist leader Pushpa Kamal Dahal after the 2006 ceasefire. He proposed himself as Nepal’s first executive president ahead of the 2008 Constituent Assembly elections. While the UML did not strongly oppose the idea, the Nepali Congress (NC) stuck to a parliamentary framework. The 2015 Constitution ultimately clinched it for the current parliamentary system. The Constitution stipulates that the process of selecting a prime minister is based on parliamentary strength: the President appoints the leader of the party with a majority in the House of Representatives, or, in the absence of such a majority, a member who can demonstrate majority support. If these efforts fail, provisions exist for coalition or minority governments, and ultimately for the dissolution of the House and fresh elections. The Constitution currently makes no provision for a directly elected prime minister, which means that any attempt to introduce a directly elected executive would first require the careful design of a democratic mechanism to amend the Constitution and set out the procedures for such an election.&nbsp; “There is no legal legitimacy to have the directly elected executive head of the country in the March election, except if political legitimacy surpasses legality but that would mean a new constitution,” explains senior advocate Surendra Kumar Mahato. “Many other institutional arrangements like the appointment of the judiciary, the role of the president, and other check and balance mechanisms would need to be restructured.” Mahato says: “Nepal’s Constitution itself is not at fault — it is the political actors, who have failed to uphold good governance within its framework. Changing systems does not ensure better governance.”&nbsp; Changing the Constitution also needs a broad political consensus, the institutional capacity of the state must be carefully considered to ensure such a new system can function effectively in practice and not simply in theory. Empowering an executive head through direct elections should not come at the expense of accountability or parliamentary oversight, and there should be checks and balances in place. LESSONS FROM ABROAD Sri Lanka’s 2022 Agralaya was fuelled by the anger that the directly executive head turned out to be an authoritarian who backslides on democracy. Under Sri Lanka’s 1978 Constitution, the country adopted a directly elected executive presidency with sweeping powers over the cabinet, appointments, dismissal of parliament, and control over key institutions.&nbsp; Over the years, President Mahinda Rajapaksa removed term limits via the 18th Amendment in 2010, centralised appointment powers, including judges and heads of independent commissions, and used constitutional changes such as the 20th Amendment (2020) to reverse safeguards that limited presidential authority, thereby subordinating the legislature, weakening oversight, and enabling authoritarian control.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250914060932_a96e1046d0b148982b33f2dcbe56f349dc0c20a087e358360eb2dddcfe0b5072.jpg" data-media-id="editor_1" data-image-id="20250914060932_a96e1046d0b148982b33f2dcbe56f349dc0c20a087e358360eb2dddcfe0b5072" data-rendition-name="original" width="4640" height="2610" loading="lazy" alt="GenZ and Aragalaya"> <figcaption>Anti-government protest in Sri Lanka on 13 April 2022 in front of the Presidential Secretariat. Photo: WIKIPEDIA</figcaption> </figure>  Nepal’s multiparty framework upholds an institutional balance where both the governing party and the opposition have defined roles. This parliamentary setup prevents power from being overly concentrated in one individual and ensures accountability through parliament and competing parties. Beyond the neighbourhood, the United States has a directly elected executive system. Donald Trump exemplifies how direct electoral mandate can fracture institutional check mechanisms. He has leveraged his power to attack judges, frame political opponents, turn legal defeats into rallying points for his supporters, often using pliant media platforms to reinforce the idea that institutional checks impeded the popular will. In Nepal, there is a risk that a directly elected prime minister could bring up a populist media savvy messiah who could use public grievances to get to power and consolidate it. Social media can be mobilised and easily saturated with posts to fuel a political narrative of choice.&nbsp; In the past, former prime minister K P Oli’s ‘digital army’ has been lobbied on his behalf on social media. Even without an ‘IT sena’, it is not unusual for governments to collaborate with social media platforms as seen in the US and India.&nbsp; In Nepal, a directly elected prime minister would raise the stakes, turning the battle for votes into a battle for attention online, where a leader who wins the algorithm also wins the elections, just as Kathmandu Mayor Balen Shah demonstrated in 2022 with support from groups like MRR and RONB. The Balen Phenomenon started in social media trickled to the ballot box.&nbsp; The digital space mas ensure that it is not trendy to dislike Balen. Comments that are critical of the Kathmandu Metropolitan City’s treatment of street vendors or of the mayor himself are met with backlash from supporters. Or, if the comments did not get any likes, the algorithms filtered them out as ‘not relevant’.&nbsp; The conversation of Shah often centred on his emotive responses and sentiments, generating strong engagement online. Meanwhile, policy debates received comparatively less attention.&nbsp; “Choosing a leader directly through an election means that we are vulnerable to populism and undermining of the democratic process, accountable institutions,” says Thaukri. Political activist Pradip Gyawali admits that the GenZ revolt was an example of how social media is a powerful tool to organise and disseminate information. But there are risks posed by disinformation and fake news online.&nbsp; “More media and political literacy among the people before the election in March is crucial to control the damage social media could do to influence voter behaviour,” he says.&nbsp; Beyond social media, online news increasingly relies on sensational, click-driven headlines to attract readers in a competitive digital market. A recent survey showed that 82.6% of GenZ (16- 24) rely on Facebook for news and 51.4% on YouTube.&nbsp; Nepali people with higher education seemed to engage with news more (99.1%) than illiterate individuals at 52.1%. Byte-sized headline-only journalism is leaving readers to their own devices, and vulnerable to media infiltration by IT cells.&nbsp; With social media actively shaping the course of elections, and news consumption, debates about changing the Constitution or the system of governance yet again may not ensure the demands for corruption free governance is met. Instead, strengthening media and political literacy among voters is key to prepare for the elections in March. Ayusha Chalise is a communication and development scholar specialising in how politics is experienced in the digital space.

Nepal's democracy keeps doubting itself

The word for ‘development’ in Nepali is bikas. The world for destruction is binas. &nbsp; The two words not only rhyme, but replacing just one consonant gives it an opposite meaning. It also demonstrates how easily what we think is <a href="https://nepalitimes.com/editorial/development-destruction-yt3t1yhu">‘Development’ can be destructive</a>.&nbsp; University libraries in Nepal and around the world are stacked with hundreds of books dissecting ‘development’. They can be divided broadly into at least two types: some authors define development as a moral imperative to improve living standards of people in the underserved parts of the world, mostly in the Global South.&nbsp; Others critique development either as being an ‘industry’, or as a continuation of the western colonial project that imposes dependency and corruption, perpetuates the donor-recipient hierarchy, and ends up disempowering intended beneficiaries. Somewhere in between are books by experts who have tried to find a middle path with concepts like ‘sustainable human development’, ‘people’s participation’ or ‘public-private partnership’. But even the staunchest proponents of traditional development models will admit that all is not well, somewhere along the line we lost our way. Peter Sutoris and Uma Pradhan have dared to take the bull by the horns to find a new path to ‘reimagine’ development, and explore new templates to confront a world wracked by interconnected crises of conflict, inequality, environmental decay and climate breakdown. Their book Reimagining Development: Bold Directions Towards a Thriving World lays out a roadmap for countries like Nepal as they try to fix what went wrong. Billions of dollars were poured into Nepal’s ‘development’ over the past seven decades, but the country is littered with the carcasses of failures like the rusted abandoned tractors from the Rapti Valley Development Project 65 years ago. To be sure, there have been catalytic success stories along the way. It is not a coincidence that whatever has worked well in Nepal since 1990 has the word ‘community’ in it — things fall into place when local groups are given ownership to decide what they need, and allowed to decide what they need to do.&nbsp; Some examples in the book include <a href="https://nepalitimes.com/banner/reviving-nepals-community-forestry-success-story">Nepal’s community forestry project</a>, which Sutoris and Pradhan cite as an example of the kind of possibilities needed to reimagine development for a ‘thriving world’. Local communities were handed control to manage their natural resources, revive traditional conservation practices, and assert command over their own destiny. Nepal’s community forestry program together with the Local Self Governance Act that decentralised power to elected local bodies in the 1990s was the best example of how development can be a political act to ensure an equitable future, while conserving nature. Sutoris and Pradhan write: ‘Substantial evidence from Nepal indicates that community forestry enhances forest protection and regeneration … Village Development Committees that had adopted community forestry recorded a 77% increase in forested area, compared to a 13% increase in the villages without community forest.’&nbsp; Peter Sutoris was born in the former Czechoslovakia that saw the 1968 Prague Spring uprising and the Velvet Revolution of 1989. Uma Pradhan is from Nepal, which has witnessed successive People’s Movements in 1980, 1990, 2006 and earlier this month in 2025. &nbsp; ‘It was perhaps because of these experiences of witnessing the remaking of the world in the wake of the end of the Cold War that we come to this book with a strong belief that even the most rigid collective trajectories can and do change,’ the authors write in their introduction. Their book has three parts. The first one dissects the Development Industry and the model of perpetual ‘growth’. (Interestingly, the word ‘growth’ is used in medicine to signify malignancy.) The authors propose re-centering the stories of beneficiaries and their lived experiences which have been pushed to the margins in ‘project’ design of mainstream Development with a capital ‘D’. &nbsp; The book defines development with a lowercase ‘d’ as a more democratic bottom-up approach. Capital ‘D’ Development on the other hand involves ‘developers’ wanting to ‘develop’ societies, replicating the wasteful, unsustainable growth path of the industrialised countries. &nbsp; The book’s second section examines the tension between sweeping international concepts of development, and how it is not quite relevant to the reality of rural areas of countries like Nepal. The prevailing notion that development ‘aid’ flows mostly from cash rich countries to cash poor ones ignores the fact that it mostly takes from the poor in rich countries to give to the rich in poor countries. After all, the Global South also includes the underserved parts of the Global North.&nbsp; RETHINKING PROGRESS The Development Industry does ‘develop’ certain segments of the economy, just not so much the sections it is supposed to uplift. The <a href="https://nepalitimes.com/here-now/usnoaid">cancellation of USAID</a> this year vacated hundreds of rented offices and houses in Kathmandu, consultants and contractors became jobless, and even Nepal’s domestic airlines lost business.&nbsp; The third part of this book imagines what ‘A Thriving World’ can look like if we listened more to indigenous communities and their knowledge of the stewardship of nature, adopted best practices about inclusive and decentralised decision-making, and explores examples of ‘degrowth’ and ‘postgrowth’ to address unsustainable consumerist, extractivist economics, and the climate crisis. Sutoris and Pradhan admit that these concepts are not new. Practitioners have questioned the top-down model for decades, but their book Reimagining Development takes a fresh, non-conventional approach to bridging the best of the ‘old’ development discourse with a ‘new’ imagining that transcends entrenched positions. The authors cite Buddhist mindfulness techniques, the concept of ‘radical humility’ and the idea of deep time to zoom out for a fresh perspective on a novel development paradigm to ‘think about humanity’s position in the world’. ‘Ultimately, this book is likely to disappoint both the proponents and critics of development,’ the authors admit. ‘The proponents might view the arguments we put forward as too esoteric and not attuned to what can realistically be achieved. The critics might be dismayed by our &nbsp;unwillingness to dispose of the concept of development altogether and by our attempts to give credit to the Development establishment where credit is due. Our aim, however, is not to please either camp.’ The authors do not want to throw the baby out with the bathwater. However, the obsolete way of forcing soft states to adopt the path of linear modernisation and infinite growth so they can ‘graduate’ to a higher per capita income bracket must be rethought. Alternative models are available to confront the momentous crises facing people and the planet.&nbsp; Nepal’s <a href="https://nepalitimes.com/here-now/nepal-s-historic-youth-dissensus">GenZ protesters this month rose up</a> against corruption and bad governance. But underlying it was a failure of the development path that the country has chosen, which contributed to wanton destruction of ecosystems, the unequal allocation of &nbsp;benefits, and corruption that ensured both over- and under-development.&nbsp; Nepal’s young idealists may not have been able to articulate it in the language of academic discourse, but on social media platforms they have discussed a post-development era to reexamine and reimagine development, accountability, embedded ethnocentric hegemony, and an in-built structural inequality in the system.&nbsp; These lines from Sutoris and Pradhan’s book could almost be word-for-word from the GenZ manifesto: ‘Development encompasses not only financial prosperity but social justice, environmental sustainability, and the more plural development pathways that respect the world’s diverse cultural, historical, political, and social contexts.’&nbsp; Indeed, instant global connectivity through social media platforms has meant that socio-political movements elsewhere in the world impacted on young Nepalis, just as the events in Nepal this month are now influencing youth globally.&nbsp; These lines from Reimagining Development were written before the September Uprising in Nepal, but were a warning of things to come: ‘The current moment feels different. Perhaps due to the global nature of many of the contemporary movements facilitated by social networks, perhaps due to the movements’ sheer scale, or perhaps as a result of the multitude of challenges faced by the world, the feeling in the air seems to be that accumulated critiques of Development are more pressing than ever. If development is to remain a historical moment, it must reinvent itself and finally listen to the voices from below.’ &nbsp; Kunda Dixit is the author of Dateline Earth: Journalism As If the Planet Mattered, and publisher of Nepali Times.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025092704094_b795907f8fa9a5ec67508e683e7a65737c6c237ca5482425bcbe5ee6254bb3f0.jpg" data-media-id="editor_4" data-image-id="2025092704094_b795907f8fa9a5ec67508e683e7a65737c6c237ca5482425bcbe5ee6254bb3f0" data-rendition-name="original" width="1136" height="702" loading="lazy" alt="Development book details"> </figure>

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