KATHMANDU: In a week marked by diplomatic outreach, shifting political tides, and institutional developments, Nepal found itself navigating a complex web of domestic priorities and international engagements.
From Prime Minister KP Sharma Oli’s participation in a global finance conference in Spain to former President Bidya Devi Bhandari’s dramatic return to frontline politics, events over the past week have highlighted the ongoing recalibration of power, governance, and public accountability in the country.
Amidst these headline moments, critical legislative progress, corruption cases, diaspora outreach, and educational setbacks underscored both the promises and perils shaping Nepal’s current trajectory.
Prime Minister Oli’s Global Diplomacy and Domestic Messaging
Prime Minister KP Sharma Oli’s departure for Spain to attend the UN’s Fourth International Conference on Financing for Development marked a significant diplomatic engagement for Nepal. His address at such a forum reinforces Nepal’s continued advocacy for development financing, climate justice, and equitable global economic governance.
Symbolically, the launch of his WhatsApp channel just ahead of this trip seems like a strategic move to maintain domestic visibility and reinforce a populist image—showcasing tech-savvy outreach while abroad.
This international engagement comes as the ruling coalition attempts to maintain internal balance amidst policy disagreements, particularly over budget and governance.
Bidya Devi Bhandari’s Political Reentry: A Calculated Move
The dramatic return of former President Bidya Devi Bhandari to active politics and the CPN (UML) fold was the week’s most charged political development. Her emotional rhetoric and invocation of Madan Bhandari’s legacy during the People’s Multi-Party Democracy seminar signal a carefully timed comeback, potentially aimed at reshaping the UML’s internal power dynamics. This move could also help the party consolidate conservative-nationalist sentiments and mobilize its base ahead of potential electoral realignments.
Her return could reignite factionalism within UML, or conversely, serve as a unifying symbol—depending on how leadership under PM Oli responds.
Legislative Momentum: Budget and Beyond
The passage of the Appropriation Bill 2025 has ensured that the federal budget, worth Rs 1.964 trillion, is now actionable. However, the rejection of all 23 expenditure cut motions signals a highly centralized approach to fiscal governance, leaving limited room for dissenting voices within Parliament. The Energy Minister’s pledge to generate 28,500 MW in a decade is ambitious, but success will hinge on investor confidence, regional cooperation, and regulatory clarity—especially with ongoing debates on “take-or-pay” provisions.
Meanwhile, the delays in local budget presentations, especially Kathmandu Metropolitan City’s failure to present its fiscal plan, expose deeper structural dysfunctions. The clash between Mayor Balendra Shah and the federal-appointed Chief Administrative Officer exemplifies tensions in Nepal’s federalism model—between elected local leadership and centrally appointed bureaucrats.
Anti-Corruption Efforts: Symbolism vs. Substance
The Special Court’s decision to release former PM Madhav Kumar Nepal on Rs 3.5 million bail in a land corruption case raises important questions. While the move indicates judicial action on high-profile corruption, critics argue that bail, without firm adjudication, risks reinforcing a culture of impunity.
Similarly, the CIAA’s filing of a corruption case against 16 PADT officials over crematorium procurement signals institutional attempts to tackle financial misconduct. Yet the timing of these prosecutions—amidst high political stakes—also invites scrutiny over the selective application of anti-corruption laws.
Social and Educational Developments
The release of the SEE results, with over 169,000 students not receiving a GPA, sheds light on systemic weaknesses in Nepal’s education system. Delays caused by the teachers’ protests reflect broader dissatisfaction in the public sector. The huge disparity in GPA outcomes, combined with the increase in exam takers, underscores the urgency for curriculum reform and better resource distribution across schools.
Foreign Policy and Diaspora Engagement
Foreign Minister Arzu Rana’s visit to the FAO Conference and the launch of the Shram Sansar App mark important steps in reorienting Nepal’s foreign policy around diaspora data and welfare. The app’s focus on registering undocumented workers and offering them legal support reflects a more realistic approach to managing foreign labor migration—one of Nepal’s economic lifelines.
The rescue of 35 Nepali youths from forced labor in India further validates the need for real-time diaspora tracking mechanisms and better consular responsiveness. These issues directly intersect with Nepal’s broader migration diplomacy and labor rights agenda.
Political Maneuvering and Opposition Dynamics
Maoist Centre chair Pushpa Kamal Dahal’s reassurance to Rabi Lamichhane and the RSP appears to be an effort to prevent political fragmentation in opposition ranks amid the growing rift over the visit visa scam. Dahal’s remarks, combined with backchannel coalition meetings, suggest attempts to preserve long-term alliances while managing short-term parliamentary optics.
Judiciary Intervenes in Ride-Sharing Debate
The Supreme Court’s decision to stay the suspension of the Gandaki Province’s Ride Sharing Regulations presents a precedent-setting moment in Nepal’s regulatory landscape. This move strengthens the judicial oversight of provincial executive actions and affirms citizen-centric mobility solutions against entrenched transport monopolies.
Conclusion: A Week of Transition and Tension
Last week in Nepal was characterized by a blend of high-stakes diplomacy, political reconfigurations, and governance challenges. PM Oli’s international engagement contrasted with unresolved domestic tensions—ranging from local budget dysfunctions to corruption allegations and policy friction within the ruling coalition.
Meanwhile, Bidya Bhandari’s reentry into politics, the SEE results’ revelations, and the growing relevance of tech-based diaspora tools reflect a country navigating both institutional fragility and reformist aspirations.
In essence, Nepal stands at a crossroads where symbolism and substance must converge—for foreign policy credibility, domestic governance effectiveness, and democratic resilience.
Comment