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Dersenish Aresandiran, Chief Commercial Officer of Airlines for Malaysia Aviation Group, brings over 17 years of experience in both premium and low-cost aviation sectors. He previously served as the Global Head of Revenue Management & Commercial Planning at Malaysia Airlines from March 2018 to July 2021, a period during which the airline achieved record-breaking commercial results for 2019. His distinguished career also includes senior roles at Berjaya Corporation, AirAsia X, and Qatar Airways.

Pratik Ghimire of ApEx conducted an email interview with Dersenish, discussing Malaysia Airlines’ commercial strategy, the Nepali market, and future plans. Excerpts:

How do you define Malaysia Airlines’ commercial strategy today?

At Malaysia Airlines, we continue to make strong strides in expanding our global footprint by strengthening our network, deepening strategic partnerships, advancing sustainability and enhancing the overall travel experience. As we look ahead to 2025 and beyond, our priority is clear: to grow our international presence with new routes, improved connectivity and meaningful collaborations that position Malaysia as the gateway to Asia and beyond. The introduction of the Airbus 330neo (A330neo) is a key milestone in this journey, offering improved fuel efficiency and a refreshed onboard experience that reflects our commitment to comfort and sustainability. 

We are also embracing more innovation into everything we do, from AI-powered marketing through our partnership with Google to digital tools that make travel more seamless and rewarding. Signature offerings such as MHconnect inflight Wi-Fi, Bonus Side Trip, and flexible fare options continue to add additional value for our guests. Above all, we remain focused on delivering our warm Malaysian Hospitality and an exceptional journey, so we can grow sustainably and create long-term value for our customers, partners, and the communities we serve.

How is Malaysia Airlines positioning itself amid growing competition in Southeast Asia? 

Southeast Asia is a dynamic and competitive aviation market, and Malaysia Airlines is positioning itself through three core pillars: network relevance, product excellence, and service differentiation. We are actively strengthening our hub connectivity through Kuala Lumpur, offering seamless access to more than 50 destinations across ASEAN, Northeast Asia, Australasia, and South Asia. Our recent additions such as Da Nang and Chiang Mai, along with increased frequencies to key Australasia cities reflect our proactive approach to capturing leisure, business, and diaspora-driven travel.

On the product front, we continue to invest in fleet modernisation, enhanced in-flight services, and a revamped digital experience. The launch of MHconnect, offering complimentary Wi-Fi across all cabins from 2025, and our push towards AI-driven personalisation are examples of how we’re evolving with customer expectations. What truly sets us apart, however, is our unwavering commitment to Malaysian Hospitality—our brand promise that embodies warmth, professionalism, and attentiveness at every touchpoint of the journey. 

By staying agile, delivering customer-centric value, and forging strong partnerships across the region, Malaysia Airlines is well-positioned to compete and grow sustainably within Southeast Asia’s fast-evolving aviation landscape.

Given the rapid rise of low-cost carriers in the region, how does Malaysia Airlines balance its premium-service heritage with more budget-oriented offerings? 

Malaysia Airlines recognises the diverse needs of travellers in this region, and our approach is to offer choice and flexibility while staying true to our premium service heritage. We’ve introduced a range of fare families, from Value and Basic options designed for simpler travel needs, to Flex and Business Class for those seeking added comfort, baggage allowance, lounge access, and schedule flexibility. This allows us to compete effectively across different segments without diluting the core of what makes us unique—Malaysian Hospitality and full-service reliability.

Additionally, as a member of the oneworld alliance, we offer customers access to a global network of over 900 destinations, frequent flyer benefits, and smoother connections—particularly for long-haul and corporate travellers seeking a premium, consistent experience across partner airlines. Within the Malaysia Aviation Group, our sister airline Firefly helps us serve niche and regional markets, enabling greater connectivity while maintaining distinct customer propositions.

Ultimately, our goal is to deliver value across all fare tiers by offering smart pricing options, service excellence, and seamless global connectivity. By combining the warmth of Malaysian Hospitality with ongoing digital innovation that enhances the entire travel experience, we aim to remain the carrier of choice for both regional and long-haul travellers in an ever-evolving marketplace. 

Are there plans to deepen connectivity between Malaysia and emerging South Asian destinations, including Nepal? 

Nepal remains a strategically important market for Malaysia Airlines, and we are committed to supporting its growing demand for regional and long-haul connectivity. Our current 10 weekly flights from Kathmandu to Kuala Lumpur provide seamless access to a wide network across ASEAN, Northeast Asia, and Australasia. While we continue to monitor evolving demand in Nepal and other emerging South Asian markets, our current focus is on strengthening our ASEAN and ANZ footprint. This includes the recent launch of new services to Da Nang and Chiang Mai, and increased frequencies to key Australasian cities, reflecting strong outbound travel demand from South Asia and the broader region.

We will continue to assess new opportunities and align our network with emerging travel patterns, supported by collaboration with tourism partners and airport stakeholders. Our goal is to ensure Malaysia Airlines remains a reliable and convenient bridge between Nepal and the broader Asia-Pacific region, while delivering exceptional service grounded in Malaysian Hospitality.

How do you assess the current state and growth potential of Nepal’s aviation market? 

Nepal’s aviation market holds significant growth potential, driven by a combination of rising outbound travel demand, growing tourism interest, and infrastructure developments. Over the past few years, we’ve observed a steady increase in Nepalese travellers flying internationally for education, employment, and leisure—particularly to Southeast Asia and beyond. At Malaysia Airlines, we view Nepal as both a valuable standalone market and a strategic gateway for regional connectivity. Our network is well positioned to support this, linking Kathmandu to key ASEAN and Australasian destinations via our hub in Kuala Lumpur. 

We currently operate 10 weekly flights between Kathmandu and Kuala Lumpur, providing seamless onward connectivity to over 50 international destinations across Asia, Australasia, and the Middle East.  As demand continues to evolve, we remain committed to supporting the Nepal market with reliable, full-service operations and are actively exploring opportunities to strengthen collaboration with local stakeholders. 

To what extent is the Nepal route strategically important to Malaysia Airlines in terms of passenger traffic, cargo, or network connectivity? 

Nepal represents a strategically important market for Malaysia Airlines and plays a vital role in strengthening our presence across the South Asia region. The Kathmandu-Kuala Lumpur route serves a diverse mix of passenger segments—including labour and VFR (visiting friends and relatives), leisure travellers and students pursuing education in Malaysia, Australia, and other ASEAN destinations. 

Passenger traffic on this route has seen consistent growth, supported by our current schedule of 10 weekly flights, which provide seamless connectivity to over 50 destinations via our Kuala Lumpur hub. These include key cities across Southeast Asia, Australasia, the Middle East, and beyond. From a cargo perspective, Kathmandu also contributes meaningfully to our belly-hold freight operations, particularly for personal shipments, e-commerce, and essential goods. As cargo demand evolves, we continue to assess opportunities to grow our capabilities in tandem with passenger services.

Overall, Nepal complements our broader network strategy by enhancing our role as a connectivity bridge between South Asia and the wider Asia-Pacific region, reinforcing our commitment to serving this important market with reliability, value, and Malaysian Hospitality.

Nepal is both a major labour-sending country and an increasingly popular tourist destination. What tailored products or services could Malaysia Airlines introduce to serve these two distinct segments more effectively? 

At Malaysia Airlines, we recognise the distinct travel needs of both the labour and leisure segments in Nepal, and we have developed offerings that aim to provide flexibility, affordability, and value. For labour travellers, we work closely with key recruitment agents and partners to deliver a strong value proposition tailored to this segment. Our fare structure is designed to give individual travellers the flexibility to choose based on their travel priorities:

Those seeking to minimise overall travel costs can opt for our value fares. Travellers who require additional baggage allowance, greater flexibility in flight changes, and refund options can choose our flex fares. Additionally, we also offer competitive group fares through our dedicated online group booking portal, making it easier for larger groups to plan and travel with ease.

For leisure travellers, we collaborate with trusted tour operators to develop attractive and affordable travel packages that highlight the appeal of both Nepal and Malaysia. We also offer our Bonus Side Trip program, which allows international passengers flying to Malaysia to add a domestic destination within Malaysia at no extra base fare—ideal for tourists who want to explore beyond Kuala Lumpur. By aligning our products and partnerships with the evolving needs of these two key segments, Malaysia Airlines remains committed to strengthening connectivity and enhancing the overall travel experience for passengers to and from Nepal.

Why is Malaysia Airlines not yet operating flights to Nepal’s newly opened international airports Gautam Buddha International Airport and Pokhara International Airport? Do technical, regulatory, or commercial considerations currently limit service there? 

At present, Malaysia Airlines is focused on consolidating our operations from Kathmandu, where we operate 10 weekly flights to Kuala Lumpur. This allows us to optimise connectivity for Nepalese travellers across ASEAN and Australasia, while serving the continued growth in both labour and leisure segments.

We deeply appreciate the efforts by the Nepali authorities to expand aviation infrastructure, and we welcome their proactive engagement with international carriers. The opening of Gautam Buddha International Airport and Pokhara International Airport marks an important milestone in Nepal’s aviation landscape, and we recognise the long-term potential these airports represent. We continue to closely monitor the operational readiness and commercial viability of these new airports. As part of our ongoing network strategy review, we remain open to exploring future opportunities for expansion into additional points in Nepal when the timing and market conditions are aligned.

Are there ongoing discussions with Nepali authorities or airport operators about launching services to these new gateways? If so, what are the key challenges and timelines? 

While we have not entered into formal discussions at this stage regarding operations to Gautam Buddha International Airport or Pokhara International Airport, we continue to monitor developments at both locations closely. Currently, our priority is to strengthen and optimize our existing 10 weekly services from Kathmandu, while enhancing onward connectivity to ASEAN and Australia via Kuala Lumpur. That said, we value the proactive efforts of Nepali authorities in expanding aviation infrastructure, and we remain open to exploring opportunities at these new airports as and when commercial, operational, and regulatory conditions align.

What digital innovations is Malaysia Airlines adopting to enhance customer experience in an increasingly online booking and travel environment? 

Malaysia Airlines is undergoing a focused digital transformation aimed at elevating the end-to-end travel experience and meeting the evolving expectations of today’s connected travellers. We have invested in a mobile-first website and a user-friendly MH mobile app, enabling customers to book, modify, and manage their trips with ease—from seat selection and upgrades to meal preferences and real-time flight alerts. A major innovation being rolled out is our MHconnect in-flight Wi-Fi platform, which began progressive deployment from January 2025. This service offers complimentary Wi-Fi across all cabins, enabling passengers to stay connected, stream entertainment, and access digital content throughout their flight.

In addition, we are enhancing inflight entertainment systems, introducing digitally curated menus, and refining self-service features at airports to reduce wait times and improve convenience.

Looking ahead, we are investing in AI-driven personalisation to tailor offers and communication, biometric boarding and touchless check-in to streamline airport processes, and predictive service tools that will help us anticipate and respond to passenger needs proactively. Ultimately, these digital innovations are part of our vision to become a truly modern, digitally enabled airline—delivering both cutting-edge conveniences, with the hallmark warmth of Malaysian Hospitality.

Sustainability is a pressing issue in global aviation. How is Malaysia Airlines aligning its operations and fleet plans with environmental targets and carbon-reduction goals? 

Sustainability is at the heart of Malaysia Airlines’ long-term vision. A key pillar of our strategy is fleet modernisation, which enables us to reduce emissions while delivering a better travel experience and stronger operational performance. We are progressively introducing next-generation aircraft such as the Airbus 330neo (A330neo) and Boeing 737-8, both of which offer significantly improved fuel efficiency, lower carbon emissions, and reduced noise footprints. The A330neo, for instance, delivers up to 14 percent greater fuel efficiency than its predecessor and features a refreshed cabin with enhanced comfort and inflight entertainment. The B737-8 enhances economics on short-haul routes while providing a quieter, more comfortable journey for passengers.

Aligned with this vision, we are progressively rolling out MHconnect, our new inflight Wi-Fi platform that offers complimentary unlimited data to all passengers, regardless of cabin class. This initiative is part of our broader commitment to creating a connected, modern travel experience with sustainability at its core.

Our fleet deployment strategy remains agile—ensuring the right aircraft are matched to the right routes to optimise fuel efficiency while staying responsive to shifting market dynamics.

These efforts are underpinned by the Malaysia Aviation Group Sustainability Blueprint, which outlines our pathway to net-zero emissions by 2050, including investment in sustainable aviation fuel (SAF) and operational efficiencies. By combining smart technology, modern aircraft, and our signature Malaysian Hospitality, Malaysia Airlines is charting a thoughtful and ambitious path toward a greener and more responsible future.

How is Malaysia Airlines supporting the evolving needs of business and corporate travellers, particularly in a more flexible and value-driven travel environment?

Business travel today demands greater flexibility, transparency, and value—and MHcorporate is our tailored solution to meet these expectations. Designed specifically for SMEs and corporates of all sizes, MHcorporate provides a streamlined and rewarding travel programme that combines cost efficiency with added convenience. Under MHcorporate, registered companies benefit from special corporate fares, complimentary flight changes, additional baggage allowance, and priority services on selected fare types. The programme is free to join and allows companies to manage their bookings easily via our online portal, giving them visibility and control over their travel spend.

We also recognise that today’s business traveller values productivity and wellbeing. That’s why MHcorporate offers priority check-in, access to value-added options such as lounge access and seat selection and is fully integrated into our broader digital transformation—supporting contactless travel and seamless itinerary management. Importantly, MHcorporate reflects our belief that business travel should not be limited to large organisations. By offering flexible, accessible benefits, we aim to empower more businesses—particularly in emerging markets like South Asia—to travel with confidence while enjoying the hallmark service and hospitality of Malaysia Airlines.

As corporate travel patterns continue to evolve, we remain committed to enhancing MHcorporate with more customisation, better digital tools, and loyalty integration—helping organisations of all sizes optimise their travel while staying connected to growth opportunities across the region and beyond.

With growing travel demand from Kathmandu, what makes Malaysia Airlines the preferred choice for travellers heading to Asia and beyond?

Malaysia Airlines offers a compelling blend of value, service, and connectivity that resonates strongly with travellers from Kathmandu. Customers can enjoy a generous baggage allowance of up to 35kg in Economy Class and up to 50kg in Business Class, making it easier to travel with everything they need—whether for business, study, or family visits.

Once onboard, passengers experience enhanced in-flight service featuring personalised dining through our “Chef on Call” service, along with curated regional flavours under our ‘Best of Asia’ menu. These offerings reflect our commitment to delivering the warmth and care of Malaysian Hospitality. Families travelling with children benefit from the MH Young Explorers Club, which includes perks such as priority check-in, family boarding, child-friendly meals, and engaging activity packs designed to keep young travellers entertained.

Our Enrich loyalty program rewards frequent flyers with exclusive benefits, including an additional five percent off fares for members. For those seeking an elevated experience, MHupgrade gives passengers the opportunity to bid for an upgrade to Business Class or even Business Suite—offering premium comfort at a self-selected price point. Malaysia Airlines’ extensive network provides seamless access to over 70 destinations worldwide, including major international cities such as Melbourne, Tokyo, and Seoul, as well as popular domestic destinations like Kuala Lumpur, Penang, and Johor Bahru. This makes Malaysia Airlines not just a carrier of choice, but a trusted gateway to Asia and beyond.

According to the Birgunj Metropolitan City’s Health Division, at least 71 cases of cholera have been confirmed since Friday, with over 200 patients currently receiving treatment for diarrhea and suspected cholera in various hospitals across the city. Two deaths have been reported among patients suffering from severe diarrhea, though cholera infection has not been confirmed in those cases.

Medical experts suspect the outbreak is linked to contamination of drinking water pipelines with sewage. Samples from 11 affected locations have been collected and sent to the National Public Health Laboratory in Teku, Kathmandu, with test results expected soon.

Hospitals in Birgunj, particularly Narayani Hospital, are struggling to cope with the rising patient load. “Due to a shortage of hospital beds, we have been forced to treat patients on the floors and verandas,” said Dr Uday Narayan Singh, spokesperson for Narayani Hospital. 

The outbreak has particularly affected Birgunj Metropolitan City-11, 12, 13, and 16. With community-level spread confirmed, the municipality has ordered all schools in the city to remain closed for two days (Sunday and Monday) as a precautionary measure.

Minister for Water Supply Pradeep Yadav, who visited Narayani Hospital and other affected areas, acknowledged that sewage contamination in water pipelines may have triggered the outbreak. “Water samples from affected areas have been sent to Kathmandu for testing. Only after the results arrive can we confirm the exact cause,” Yadav said. He assured that the government is fully sensitive to the crisis and that teams with water purification materials, including chlorine solutions such as Piyush, have already been dispatched to Birgunj.

Mayor of Birgunj metropolitan city, Rajesh Man Singh, said the city office has also mobilized local health teams for door-to-door awareness campaigns, water sampling, and immediate intervention since Friday night when the first cluster of cases emerged in Murlitol of ward 12. “Strict monitoring is underway at marketplaces to ensure hygiene in the transport and sale of fish, meat, sekuwa and other animal products.” As part of the campaign, authorities have begun inspecting vendors, who display food items openly, sell products in unhygienic conditions or neglect sanitation standards, with actions being taken against violators.

Officials confirmed that this is the first major cholera outbreak in Parsa district in the past decade. Cholera, caused by the bacterium Vibrio cholerae, spreads through contaminated food and water. Symptoms include acute diarrhea, vomiting, abdominal pain, sunken eyes, dehydration, muscle cramps, and in severe cases, fever.

With patient numbers still rising, health authorities warn that the situation could worsen unless water sources are secured and mass preventive measures are enforced immediately.

The Madhes Provincial Government has supplied medicines and health materials to Narayani Hospital in Birgunj for the treatment of cholera patients. On Sunday, Dr Bipan Kumar Jha, Chief of the Health Division at the Ministry of Health and Population, Madhes Province, and Public Health Officer Santosh Thakur handed over the medicines and supplies to Dr Chumanlal Das, Medical Superintendent of Narayani Hospital. The provincial government has provided 17 types of medicines and materials needed for the treatment of diarrhea and cholera patients through the Parsa District Health Office, Thakur said. He added that the provincial government is committed to controlling the cholera outbreak in Birgunj and is prepared to provide additional medicines and supplies if required.

Meanwhile, Home Minister Ramesh Lekhak has directed security agencies to remain on high alert to support efforts in containing a cholera outbreak that has spread across Birgunj. During a meeting of the Central Security Committee on Sunday, Minister Lekhak instructed the Nepali Army, Nepal Police and the Armed Police Force to remain ready for mobilization if required. “The minister has also instructed preparations to deploy medical teams, including doctors, should the situation worsen,” said Ministry spokesperson and Joint-secretary Anand Kafle after the meeting. 

Environmentalist Ujjwal Upadhyay says the cholera outbreak in Birgunj is a direct impact of climate change. Taking to Facebook, he explained that reduced monsoon rainfall and recurring droughts have dried up water sources, creating an acute shortage of drinking water. As a result, local residents have become dependent on unsafe alternatives, such as jar water that is often not quality-tested. When water quantity declines at the source, the concentration of pathogens increases, making the water more contaminated and heightening the risk of infectious diseases.

According to the World Health Organization (WHO), every individual requires at least 100 liters of safe water per day. When supply falls below this level, the likelihood of waterborne diseases rises sharply.

As tube wells began to dry up one after another, the municipality started supplying water through new PVC pipelines, many of which run alongside sewerage canals. During times of acute shortage, people broke open these pipelines to access water but never repaired them afterward, leaving the system highly vulnerable to contamination.

While open defecation has nearly ended in the city, the lack of safe water has compounded the problem. “The bigger question,” Upadhyay stresses, “is who should bear responsibility and provide compensation for such climate-induced losses and damages caused by the excessive carbon emissions of major powers?”

The World Health Organization (WHO) on Monday announced that Nepal has successfully eliminated rubella, also known as German measles, as a public health problem. This achievement marks a significant step forward in the country’s efforts to protect its population from vaccine-preventable diseases.

Rubella is a highly contagious viral infection that poses a serious threat to pregnant women, as it can lead to miscarriage, stillbirth or severe and lifelong birth defects. The disease, however, is preventable with safe and cost-effective vaccines.

“Nepal’s success reflects the unwavering commitment of its leadership, the persistent efforts of health workers and volunteers, and the unstinting support of engaged and informed communities,” said Dr Catharina Boehme, Officer-in-Charge of WHO South-East Asia. She endorsed the recommendation of the Regional Verification Commission for Measles and Rubella elimination (SEA-RVC), which verified Nepal’s achievement.

The SEA-RVC held its annual meeting from July 22-24, where it reviewed and evaluated data submitted by Nepal’s national verification committee on disease surveillance and immunization coverage rates before recommending verification of rubella elimination.

Nepal is the sixth country in the WHO South-East Asia region to achieve this milestone. The region has prioritized the elimination of measles and rubella as public health problems by 2026. Prior to Nepal, Bhutan, DPR Korea, the Maldives, Sri Lanka and Timor-Leste from the region had eliminated rubella.

“Nepal’s achievement of rubella elimination is yet another testament to the success of the national immunization program, which has long been one of the strongest pillars of our healthcare system,” said Pradip Paudel, Minister for Health and Population. He acknowledged the steadfast support from Gavi and WHO and called on all stakeholders to continue their efforts to ensure no child in Nepal suffers from a vaccine-preventable disease.

Nepal first introduced the rubella-containing vaccine into its immunization program in 2012. Subsequent nationwide campaigns in 2016, 2020, and 2024 helped the country achieve over 95 percent coverage for at least one dose of the vaccine by 2024, despite challenges resulting from the Covid-19 pandemic and the 2015 and 2023 earthquakes.

Innovative strategies, such as ‘immunization months’ and outreach programs to vaccinate missed children, provided additional momentum. Nepal also recently introduced a robust laboratory testing algorithm, the first in the WHO South-East Asia Region, to further strengthen surveillance.

“Congratulations to Nepal for eliminating rubella. This public health achievement is the result of close collaboration between the government, dedicated health workers, partners, and communities,” said Dr Rajesh Sambhajirao Pandav, WHO Representative to Nepal. “WHO is proud to have contributed to this journey and remains committed to supporting Nepal in sustaining this accomplishment.”

The Regional Verification Commission for Measles and Rubella elimination in South-East Asia Region (SEA-RVC) was established in March 2016 to monitor progress toward measles and rubella elimination. The WHO says that the National Verification Committees of countries in WHO South-East Asia Region report on annual progress  made towards achieving the goal of measles and rubella elimination which is then reviewed by SEA-RVC which provides suggestions and recommendations or verify them as achieved the status of measles and  rubella elimination.  

In 2013, the WHO South-East Asia Region set the goal to eliminate measles and control rubella by 2020.  In 2019 the goal was revised to measles and rubella elimination by 2023. In view of setbacks during Covid-19 pandemic, in 2024, member countries agreed to extend the target for elimination of measles and  rubella, aspiring to achieve by 2026.

The United States Department of State’s 2024 Country Report on Human Rights Practices for Nepal gives a bleak report of persisting human rights concerns, citing credible reports of arbitrary killings, torture, arbitrary detention, abridgment of press freedom, and human trafficking. While the government has prosecuted some abuses, it “did not consistently punish officials convicted of human rights abuses,” as per the report published on Aug 12.

While the 2023 report has a very lengthy introduction and numerous appendices and references, this new report only has a single introductory page which is strong on a desire to “decrease the volume of statistical data in the report.” The country reports by themselves are, overall, one-third the length of the previous year.

International media like AP, AFP, CNN and Reuters among others accused the report of having taken a stunning turn with references removed to sexual orientation abuses, and horrid conditions in ally countries played down as a shot at people who have gotten into trouble with US President Donald Trump.

The report has alleviated condemnation of a number of states that have proved to be staunch supporters of the Republican leader, such as El Salvador and Israel, which human rights activists assert have had established records of violations. Rather, the State Department issued an alarm of what it called a sliding trend of freedom of speech in Europe, including the UK, and stepped up its attacks on Brazil and South Africa, both nations with which Washington has been at loggerheads over a myriad of issues.

The report was published months later after Trump officials drastically rewrote an early draft to make it conform to the principles of ‘America First’, government officials said on condition of anonymity with Al Jazeera.

Coming back to Nepal, the report states while the National Human Rights Commission (NHRC) documented no allegations of arbitrary deaths at the hands of security forces during 2024, there were four deaths in prison from January through mid-Aug 2024, reportedly caused by torture, denial of medical attention, and inhumane prison conditions.

One such incident was with Sunil Shahi, who died on 8 April 2024 in the Kailali prison when he was allegedly brutally attacked with an iron rod by prison officials and inmates after a failed attempt to escape. His body showed signs of utmost brutality, and the investigation continues.

The government went on paying the family of Padam Limbu, a protester who succumbed to police injuries in 2023. Limbu, who was declared a martyr, had already been awarded Rs 1.3m in the previous year and was awarded another Rs 500,000 in Feb 2024.

Even though Nepal’s constitution stands up for free expression, journalists have to deal with structural and situational barriers. Ambiguity of the criminal code, defamation legislation, and the Broadcasting and Working Journalist Acts allows selective prosecution and fosters self-censorship.

On 19 Feb 2024, photojournalists protested at Tundikhel when they were not allowed into Democracy Day events organized by the Nepali Army for a last-minute ‘special pass’ requirement.

The report also refers to threats to investigative journalists. Center for Investigative Journalism–Nepal reporter Gopal Dahal was threatened in Dec 2024 by Dharan Sub-metropolitan City Mayor Harka Sampang and his supporters following a critical report.

In July 2024, journalists reporting on a protest against ride-sharing were assaulted by public transit operators. The government took no action about it, the Federation of Nepali Journalists (FNJ) said. Death threats were also leveled against the then-general secretary of the FNJ on stories on smuggling.

The Labor Law of 2017 preserves the freedom to bargain collectively and unionize but is not strong in enforcement, particularly in the informal sector, where over 70 percent of the workers and over 90 percent of the women work. The State Department reports that the Ministry of Labor does not have sufficient inspectors to enforce minimum wage, hour, and occupational safety laws since some of the positions are unfilled.

Although there are fines, they are never imposed in the private sector. Occupational safety enforcement has been referred to as “the most neglected area,” and violations were found in agriculture, construction, mining, transport, and factories.

The study finds routine police practice of arresting individuals before interrogation and coercing them into confession. While the law requires suspects to be taken to court within 24 hours, the Advocacy Forum found that police violated this rule in eight percent of over 1,100 cases it followed.

In perhaps the most high-profile case, Kantipur Media Group chair Kailash Sirohiya was held in May 2024 for suspected misuse of an illegitimate citizenship number. The FNJ termed the arrest as retaliation for Kantipur Daily’s reportage on senior politicians.

Protracted pretrial detention is a concern due to court delay, whereby individuals are at times detained for years before their trial. Preventive detention, for as long as 12 months without being charged, was not used in 2024, according to the report. Although torture is criminalized, the statute of limitations stands at six months, and impunity is the norm. NGOs documented 16 allegations of torture in police detention through mid-Aug 2024, mostly affecting poor and vulnerable individuals. Police reluctance to investigate fellow officers, victim intimidation, and coercive extrajudicial settlements all facilitated impunity.

Marriage before age 20 is illegal, but child marriage remains common, especially among Dalits and Madhesis. Between mid-July and the end of the last fiscal year, the police documented 52 cases. Early marriage still restricts education for girls and exacerbates exposure to domestic violence and trafficking.

Only the pre-1990 Bhutanese and Tibetans are accepted as refugees by the government, whereas the majority of the other estimated 12,000 Tibetan refugees are not documented. Other state refugees like Pakistan, Afghanistan, and Sri Lanka are regarded as irregular migrants despite having been accepted by UNHCR. Exit permits for third-country resettlement charge refugees Rs 1,063 ($8) a day as a fine for ‘illegal stay’. The government has not been issuing Tibetans with new refugee cards since 1995.

Social stigma against unmarried pregnant women, including migrant workers, is also reported. There were no reports of enforced disappearances, though transitional justice under a newly amended Truth and Reconciliation law still has to be put into practice.

The State Department concludes that there has been no essential transformation in the general human rights situation in the country, while documenting ongoing abuses from arbitrary killings to restriction on press freedom and inadequate labor protections.

The report cites “credible reports” of illegal or arbitrary killings, torture, arbitrary detention, limitation of freedom of speech, and trafficking in people, including forced labor. While the government attempted to investigate some of the abuses, the State Department reports that punishment for convicted officials remained sporadic.

It says that while Nepal has a legal system for protecting rights, the enforcement is selective and uneven, and vulnerable groups like journalists, marginalized groups, refugees, and informal workers remain at risk of systemic threats.

Neighbors’ watch

About India, the report said, “The government took minimal credible steps or action to identify and punish officials who committed human rights abuses.” It says the same for Sri Lanka too. 

On Pakistan, it added, “The government rarely took credible steps to identify and punish officials who committed human rights abuses.”

The report flagged “significant human rights issues” in Bangladesh. It says that primarily under the previous government of Sheikh Hasina, there were credible reports of: arbitrary or unlawful killings; disappearances; torture or cruel, inhuman, or degrading treatment or punishment; arbitrary arrest or detention; transnational repression against individuals in another country by the previous government, serious restrictions on freedom of expression and media freedom, including violence or threats of violence against journalists, unjustified arrests or prosecutions of journalists, and censorship; significant restrictions on workers’ freedom of association; violence or threats against labor activists or union members; and significant presence of the worst forms of child labor. 

But the report says the interim government of Muhammad Yunus worked with the United Nations and used both its ordinary justice system and the Bangladeshi International Criminal Tribunal to hold the perpetrators accountable.

For China, the report says genocide and crimes against humanity occurred against predominantly Muslim Uyghurs and members of other ethnic and religious minority groups. However, the government did not take credible steps or action to identify or punish officials who committed human rights abuses, it says.

Every year, thousands of Nepali women traverse borders to seek jobs as the domestic and care workers in Gulf countries. Their hope to lift families from poverty is met with peril, abandonment, and, most heartbreakingly, death. While Nepal’s remittance-driven migration economy flourishes on—constituting over a quarter of national GDP—the women fueling this economy are systematically erased during life and death.

According to Foreign Employment Board, between 2008 and 2024, around 400 Nepali female migrant workers died overseas. And a total compensation payouts during this period was Rs 168m.

Take the case of Hira Bhujel, once a proud Kuwait returnee. Her first migration was legal and empowering; she bought land, built a house, and placed her family above poverty. When a government ban stopped her second migration to work as domestic labor, Bhujel turned to an irregular route. She died of ‘illness’ within months. She was left by her employer, denied medical care, and left by the state because her migration had been ‘illegal’. Her body came back in a coffin. No one helped—not the state, not the anti-trafficking networks, nor even the migration agencies built on the framework of ‘safe migration’.

Her mother says, “Because she worked abroad without a permit, the government turned its back on us. No compensation, no clear answers.” “Women like my daughter are treated as disposable labour. She was sent away without protection, forgotten when they fall ill or die.”

Bhujel’s is a far too familiar story. Nepali authorities have prohibited all women’s migration for domestic work since 2017. Although relaxed partly in 2020, the policy remains founded on restriction and gendered protectionism. In spite of such prohibitions, however, women keep migrating, often through illegal channels, by sheer necessity. But many never return.

Restrictions on women’s migration, purportedly in their interests, are in fact enhancing their vulnerability. They close off formal routes to them, push them into dangerous informal ones, and exclude them from government support when they are in need or dead, say the experts. “Even destination country embassy staff are cripplingly under-resourced, with just seven people dealing with tens of thousands of migrant cases,” experts say. “Bureaucratic hurdles prevent access to welfare budgets, and when corpses need to be repatriated, the families and local communities are often left to pay the bill.”

Kani Sherpa died in 1998 in Kuwait due to alleged abuse by her employers. This sparked public outcry and led to the ban on Nepali women working in the Gulf. The ban, however, was not effective in preventing women from seeking work in the Gulf. Instead, it pushed many to seek illegal channels, leading to further exploitation. 

The failure is structural: no legal acknowledgment, no psychosocial assistance, inadequate diplomacy, and a policy regime criminalizing women’s survival struggles. Migration bans have created a trend of invisibility and punishment, where it is simpler to overlook women’s deaths than to go out of one’s way to save their lives.

As per the report ‘Invisible in life and death: The aftermath of Nepali female migrant domestic workers’ death’ released by Brunel University of London and Women’s Rehabilitation Centre (WOREC), besides financial problems, relatives of the deceased female migrant workers experience critical mental health-related problems. These comprise, but are not limited to, depression, trauma, anxiety, and social isolation. Older parents and children are specifically affected but do not receive any formal psychosocial intervention.

Sabina Oli, longing to remit money home to her sick husband and children, travelled to Kuwait through India with Rs 50,000 borrowed from relatives. She rang home, crying, telling of brutality and cruelty at the hands of her recruiter. And then the calls stopped. Oli died in her sleep due to extreme heat as per her employer. Her family had to raise funds to bring her body back home. No wages, no compensation, no government support followed. Worse, the community ostracized the family for their undocumented migration and withdrew all support.

Similar to Oli, poverty pushed Sanjita Dangi to Saudi Arabia, where she died of alleged suicide. Her body was bruised and scarred, suggesting violence. And yet, no inquiry ensued. Her already indebted husband was socially boycotted. Neighbors who had been standing by the family turned their backs. “My wife would tell me that hard times are only temporary and good days will come. But when I heard about her death, I was devastated,” her husband says.

Nanimaya Nepali too passed away alone in Kuwait. Having endured torture and isolation, she was finally preparing to return home. She was shown her burial through video call—no death certificate, no paperwork, not even a grave marker. The employer claimed that she had tested positive for Covid-19 but there was no official medical report. Her death shattered her family and drove her children into the very same cycle of migration that had taken her life. “We borrowed money hoping to have a better life, and when she died, loans were still here, even the house was locked by the moneylender,” her sister says.

These women are not isolated cases. There are more than 60,000 Nepali women working in the Gulf as domestic workers, estimated in the report, with 48,000 of them working in Kuwait alone. They are largely undocumented, absent from official data, unshielded by bilateral labour agreements, and beneath the radar in public discourse. When they die, their bodies do not return. Their deaths are unrecorded, and their families mourn in secret.

Even when they travel legally, tragedy befalls. Megha Sunar, a legally migrant worker in Oman, had to escape to Kuwait as her employer died and the company said it can’t provide salary anymore. She died in her sleep. There were no further explanations. And because she traveled across borders illegally, the government refused to help with repatriation. Her body came back only when family members and neighbors pooled money. Her husband, who stayed behind to raise two sons, now lives in a day-to-day economic and emotional struggle.

Some, like Manisha Bhandari, faced violence not from employers, but from her husband. He was working abroad in Malaysia. Though their relationship was not healthy, she too migrated to Malaysia for a data entry job. Though she and her husband lived in different cities, they occasionally met, but their relationship was beyond repair. Ten months later, he invited her into his room and murdered her. Her decomposed body was found wrapped in plastic. Her parents, now raising her daughter, received only an insurance payout. There was no mental health support, no institutional care.

Namita Dangol, burdened by her family debt and hopes for her daughter’s future, defied her family’s instructions and emigrated to Cyprus. She sent remittances and stayed in touch initially, but subsequently showed signs of distress, which she concealed from everyone but herself. When she died, legally certified as a suicide, her family was denied closure. Her coffin was sealed, and her death hangs on a cloud of questions. Following her death, a vicious court struggle broke out over the compensation funds. Her husband seized all the power, marrying again within a year and pushing Dangol’s family and daughter aside.

Radha Giri left as a domestic servant to Kuwait, put by an area agent with the assurance of insurance and clearances. A report arrived after just three months that she had passed away. Her battered neck indicated probable strangulation but no inquiry or clarification followed later. The family was given a paltry Rs 50,000 for burial costs by the agent, who was not held responsible. Giri’s husband struggles to cope with grief, turning to daily labor and sometimes alcohol, while their children live apart under relatives’ care. The family received no legal advice, counselling, or government help.

The story of Amrita Sarki illustrates the risks of clandestine migration. Having proceeded to Kuwait without a labor certificate, she worked in domestic service and then ran a small beauty parlour. Two years later, a fellow worker reported her dead. While the authorities ruled her death as a suicide, her family suspect it was a case of murder. With no official help on offer because she was undocumented, her body took months to be brought home through community efforts. Sarki’s death devastated her family’s financial and social standing, bringing stigma and isolation.

Even sanctioned legal migration proved no guarantee of safety for Asmita Kunwar, a victim of sexual harassment and physical abuse at the hands of Kuwait bosses. When she was found dead by hanging, officially an ‘illegal migrant’ since a job change, neither government departments nor embassies helped. Her family had to wait months and pay huge sums to repatriate her body with no benefits or compensation.

A friend recounts the horrible experience of Shreya Nepali, a single mother, who was pestered with constant abuse and sexual harassment. They both were first taken to Saudi Arabia and then to Kuwait to work as domestic workers where their passports were immediately confiscated. Her life there was a nightmare, says her friend. She endured relentless work during the day and suffered sexual abuse from her employer at night. Refusal brought starvation, sometimes lasting days.

“I did not see her for several days. When I inquired, the employer told me she had taken her own life. I was shocked. I strongly believe she was killed for resisting abuse,” her friend says. Her mother too migrated to India and never returned.The family was left in debt and desperation, without assistance or justice as stigma and silence ostracized them from society.

Susmita Thapa, 22, had left Nepal legally from Kathmandu airport to work in Jordan. She was reserved and reliable and aspired to lift her family out of poverty. The initial signs had been encouraging with remittances back home from her domestic work. But life took a dramatic turn for her family in 2018 when they heard about Thapa’s death. The official report was that of suicide, but Sanu Thapa, her mother, simply couldn’t accept it. The body arrived with company representatives and a postmortem report but without a follow-up investigation. Overwhelmed and ill-equipped, the family cremated Thapa’s body without explanation.

The report says that the death of migrant women workers often results in economic devastation due to unrepaid migration loans and lost income. As a result, different members of the family are forced to sell their houses, property and assets and migrate to other locations. The majority of the families fall into debt cycles with exorbitant interest rates, with female-headed households suffering the most. The families face social stigma and blame from their society for having pushed their women through irregular channels while marginalized castes face further exclusion, and the children are likely to be shunned at school.

The specialists suggest eliminating the ban on internal labor migration and having open legal migration routes. “Unconditionally, recognize, register and protect all undocumented migrants in embassies,” they say.

Sushil Acharya, director of the Foreign Employment Board Secretariat, stated that budget constraints have halted the functioning of valuable programs. He stated that the budget received from the Ministry of Foreign Affairs is utilized primarily in running the repatriation of deceased migrant workers and in providing compensation, but the Ministry of Finance has not made additional budget available.

Acharya also committed to accepting the suggestions that flowed through the discussion in a positive manner and proceeded towards their implementation. “Political will is the only way the ban on female migrant workers will be lifted,” he says. “Trade unions also want the ban to be lifted, but they need to pressure their political leaders to act.”

It is clear to everyone, except perhaps for some policymakers who continue to chant the mantra of ‘protecting women’ by restricting their mobility, migration bans on domestic work have not protected women at all. Instead, they have pushed women into using irregular and unsafe routes, easy targets to exploitation. They are thus compelled to either be at the mercy of agents who control their destiny, be voiceless when faced with abuse, or their untimely deaths are dismissed as natural and not subjected to inquiry.

Names of the victims in this story are changed for privacy

Nepal has formulated six strategies to address the challenges that it is set to face once it graduates from the Least Developed Country (LDC) status. Prime Minister KP Sharma Oli informed the National Assembly on Wednesday that all six strategies are in place.

These plans are to be implemented by various committees established to carry out these strategies: a high-level steering committee under the PM, an implementation and coordination committee under the Vice-chairperson of the National Planning Commission, a federal evaluation committee under Chief Secretary, and provincial-level implementation committees under Chief Ministers.

The government plans to reenact and lower a few laws while legislating new ones in a way that will move in harmony and sustainably, Oli said, responding to queries during a discussion in the National Assembly on the post-graduation scenario.

According to Oli, Nepal is working to make its external relations robust by effective diplomatic efforts internationally, strengthening the enforcement of international treaties and gaining international solidarity through bilateral and multilateral relations. He also stated that opportunities are opening for more investment and concessionary credit.

The state government is also geared toward overhauling legislation on public procurement and construction policy, institutional and personal capacity building, and infrastructure and connectivity upgrade to transform Nepal from a landlocked country into a land-linked country. In addition, there are attempts to stimulate value chains through multinational companies.

Oli said that measures have been devised to mitigate the impacts of graduation in the private sector, labor and employment, and trade. All sectors, he added, will be facilitated by the government in making the transition sustainable.

Oli expressed confidence that Nepal’s graduation would raise the nation’s global standing and herald efforts toward self-reliance. “It’s a point of happiness. This shows that Nepal is becoming self-sufficient. Our country rating index will also be better, and the investment climate will be strengthened further,” he added.

He also went on to say that LDC graduation would enhance Nepal’s economic diplomacy by hosting events such as Sagarmatha Sambaad and investment forums. Since bilateral trade and cooperation of Nepal are dominant, the direct impact of the graduation in this sector will be minimal in the short term, he said.

Nepal has been on the UN list of Least Developed Countries since 18 Nov 1971. It has taken 55 years, and the country is graduating in the year 2026. Nepal, the LDC group chair of 45 countries at present, has been undertaking a process for graduation from the LDC status since 2010 through regular plans and programs.

Oli explained that Nepal had progressed in the Economic and Environmental Vulnerability Index and Human Assets Index, as assessed by the UN in 2015, 2018, and 2021. 

He noted that some benefits Nepal derives as an LDC—such as preferential trade from the World Trade Organization, UN special facilities and concessions from bilateral partners such as the EU and World Bank—could be restricted after graduation. The same could be true in the sectors of health and education also.

Referring to challenges such as global warming and natural disasters, Oli said the government has already embarked on diplomacy through the Ministry of Foreign Affairs and initiated a transition plan smoothly through the National Planning Commission. Emphasizing the commitment of the government, he said: “Some claim the government is doing nothing, but this is not true. We are already making significant strides.”

Former President Bidya Devi Bhandari is desperately trying to join CPN-UML, vowing to uphold the ideology of her late husband, Madan Bhandari, who advocated for Nepal’s communists to adapt to multiparty democracy. Some argue that Bhandari’s re-entry is justified, while others say it is inappropriate for a former head of state to rejoin party politics.

The UML has officially refused to renew the party membership of Bhandari, blocking her from rejoining active politics. The party clarified that as per the party statute, only the Central Committee can decide on membership renewal. Since the committee has established that there is no requirement for Bhandari to return to active politics, the question of membership does not arise.

Party chair and Prime Minister KP Sharma Oli has long maintained that it is against the constitution for an ex-head of state to resume partisan politics. He contends that the Constitution of Nepal 2015 does not envision the active political stances taken by a ceremonial head of state, a symbol of national unity and neutrality, even after retirement.

Bhandari, who approved two unconstitutional decisions of the Oli-led cabinet to dissolve the parliament, recently said she is aware that this incident will continue to follow her. She, who endorsed the controversial recommendations for parliament dissolution at Oli’s recommendation, however, says that she was not under any pressure while endorsing it. According to her, she just implemented what the cabinet decided, and followed the constitutional provisions.

Once seen as close political allies—supporting his ambitions and him advancing her profile—the Oli-Bhandari alliance is decidedly over. 

Bhandari’s election in 2015 as Nepal’s first female president presented an image of a neutral head of state in line with Nepal’s constitution. But behind the mask of impartiality lay a fraught relationship with the ruling communist force—and its most dominant leader, Oli.

Let’s revisit the principal flashpoints of the contentious choices of Bhandari while she served as president: the National Assembly process delays, the controversial swearing in of her second term, the two dissolutions of Parliament, and the citizenship and financial-governance ordinance standoffs that pulled her further into partisan controversy. It leads up to the present standoff over UML leadership, explaining how the erstwhile united front has since fragmented under pressures of constitutional interpretation, personal ambition, and shifting political norms.

Shortly after the 2017 general elections, the outgoing government led by Nepali Congress President Sher Bahadur Deuba presented an ordinance for calling the first National Assembly elections. Pursuant to Article 129, these elections had to be held within certain timeframes, yet Bhandari left the ordinance hanging for weeks, delaying the formation of the upper house. She was accused by critics of succumbing to UML pressure to slow a process that was Congress-skewed; Prime Minister Deuba condemned openly ‘undue influence’, and the debate ignited a national uproar over government paralysis.

In a surprising twist, Bhandari ratified the ordinance on 29 Dec 2017—but only after retracting the original proposal and replacing it with the Congress‑sponsored version. This abrupt volte‑face cleared the way for a new government, but did little to assuage concerns about her impartiality. The episode hinted at an emerging modus vivendi: Bhandari would delay until political pressure reached fever pitch, then step in to resolve crises on terms that often advantaged Oli’s party.

Barely weeks into Oli’s premiership, a second test of Bhandari’s resolve emerged. In Feb 2018, Deuba’s government nominated three members to the upper house. Bhandari refused to endorse them, deferring action even after Oli replaced Deuba on Feb 15. Once Oli sent his own slate of nominees, she approved them immediately—effectively dismissing Deuba’s choices without public explanation.

By then, crucial weeks had slipped by, delaying the assembly’s functioning. Legal scholars denounced the move as a violation of Article 79, arguing that the president’s discretion must not be wielded as a partisan weapon. Though no formal penalties followed, the episode further eroded Bhandari’s reputation for neutrality—and cemented her reputation within UML circles as a loyal ally.

When Bhandari took office again in March 2018, she was faced with another constitutional impediment. Her swearing-in by Chief Justice Gopal Parajuli took place just a few minutes after a Judicial Council notification had ostensibly retired Parajuli on the basis of having exceeded the retirement age. Legal appeals soon challenged the validity of the presidency as well, arguing that the oath taken unlawfully invalidated her mandate.

Though the Supreme Court ultimately allowed the challenge to proceed, the controversy underscored the delicate interplay between executive and judicial branches. Critics argued that Bhandari’s eagerness to proceed with the ceremony—despite clear legal questions—revealed a willingness to ignore procedural safeguards whenever political expedience demanded.

The apex of Bhandari and Oli’s controversial partnership came in late 2020. After losing a confidence vote on Dec 20, Prime Minister Oli advised dissolution of the House of Representatives under Article 76 (1), and Bhandari issued the proclamation that same night. The suddenness of the move—announced at midnight, without parliamentary debate—triggered nationwide protests and mass legal challenges. Seven ministers resigned in protest, and constitutional lawyers decried the act as a blatant usurpation of popular mandate.

The Supreme Court in Feb 2021 invalidated the dissolution as unconstitutional, ordering the House to convene. Unfazed, Oli instructed—and Bhandari sanctioned—a second one in May 2021, this time under Article 76 (5). Protests and petitions again followed. On July 12, the court nullified the second proclamation and named Deuba prime minister, rebuking the president for serially signing off on acts unconstitutional.

These back‑to‑back decisions—rubber‑stamped with minimal scrutiny—fractured public trust. Observers chastised the president for sacrificing constitutional fidelity to prop up Oli’s political fortunes, and for ignoring warnings about the humanitarian costs amid a surging pandemic.

Beyond parliamentary maneuvers, Bhandari’s role in citizenship law reforms sparked further debate. In May 2021, during the Covid-19 pandemic and political crisis, she promulgated a citizenship amendment ordinance at Oli’s behest, only to see the Supreme Court stay its implementation as “colourable legislation” bypassing parliament. Oli did so to please his coalition partners.

The turning point was in Aug 2022, when a gender‑equitable Citizenship Amendment Bill passed both houses. Bhandari vetoed it with fifteen recommendations, but when parliament flared up at the unchanged text, she let it lapse by failing to sign it within the 15‑day constitutional deadline. Deuba was the prime minister.  Tens of thousands of children, especially those born to Nepali women and foreign men, remained stateless. Opponents branded the move as a ‘pocket veto’ legally equal to constitutional violation; five top ruling-party officials publicly criticized the move and threatened impeachment.

Bhandari defended her action as maintaining the sanctity of the constitution. Nevertheless, her denial of assent to a democratically passed bill involved her in further charges of abusing presidential discretion for political ends while disguising it with ceremonial facade.

Several additional controversies have marked Bhandari’s presidency, painting a portrait of a head of state who often blurred the line between ceremonial duty and political involvement.

In Oct 2017, when then–Prime Minister Deuba had presented an ordinance on medical education to the House of Representatives, President Bhandari retained it in her custody for nearly three weeks. Her delay had come under widespread public backlash, particularly from civil society and activist Dr Govinda KC. She signed the ordinance only on Nov 10—much beyond executive standards—drawing charges that she had exercised presidential discretion for political reasons.

In Nov 2020, Bhandari once more courted controversy by wading directly into the internal struggle of the then-ruling Nepal Communist Party (NCP). She met with factional leaders such as Pushpa Kamal Dahal, Madhav Kumar Nepal, Bamdev Gautam, and Oli to attempt to mediate a solution to the party’s internal crisis. This was seen as a grave breach of presidential impartiality by analysts, some of whom stated that she behaved more like a political patron than as a constitutional head of state.

In Dec 2020, the Oli Cabinet pushed through an ordinance amending the Constitutional Council Act to allow council decisions with minimal quorum. President Bhandari swiftly approved it, enabling controversial appointments across constitutional bodies bypassing parliamentary hearings. Critics saw this as unchecked rubber-stamping of executive excess.

On 21 Sept 2022, Bhandari made a pre-recorded address to a Chinese-funded Global Security Initiative forum in Beijing in contravention of reportedly advised by Deuba government’s Foreign Ministry. Her presence was strongly condemned for being a breach of diplomatic etiquette and risking Nepal’s tenuous foreign policy balance.

Again in Oct 2022, Deuba was the prime minister and President Bhandari refused to promulgate a government ordinance presented to amend several laws—including the Money Laundering Prevention Act and Foreign Investment Act—that were necessary for Nepal’s compliance with Financial Action Task Force (FATF) deadlines. Her inaction was condemned for suppressing vital anti–money laundering reforms and for exacerbating Nepal’s slowing efforts to deliver international obligations. She is also blamed by critics for Nepal’s Feb 2025 gray‑listing, which affected foreign investment and bank costs.

Finally, in March 2023, she was faulted for allegedly renaming the formal Twitter identity of the President’s Office (@PresidentofNP) to her name (@BidyaDBhandari), stripping it of official verification. The move raised public and institutional ire, as her replacement was barred from occupying the verified cyberspace, which was condemned as misuse of official facilities for individual purposes.

Every episode has eroded the myth of politically neutral presidency and strengthened the image of Bhandari as a partisan official instead of a fair-minded umpire above factional turmoil. The same controversies that plagued her government now fuel suspicions regarding the true motives for her actions. In UML ranks, there is skepticism as to whether her ascent predicts yet another cycle of internal civil strife.

Bhandari’s eight‑year tenure was marked by contradictions: sworn to uphold Nepal’s constitution, yet accused of stretching its limits; cast as the ultimate ceremonial figure, yet wielding real—and often decisive—discretion. Her partnership with Oli brought the promise of stable governance but delivered repeated constitutional crises. Now, as she lays claim to lead the very party she served from the ceremonial chair earlier, Bhandari has to face the record of those standoffs: the dead ordinances, the contested oaths, the dissolutions abhorred by the judiciary, and the citizenship reforms balancing.

The United States has completed a review of foreign aid for the Millennium Challenge Corporation (MCC) portfolio as part of alignment with the Trump administration’s ‘America First’ foreign policy. The new strategy, MCC explained in a press statement, will make the US ‘safer, stronger and more prosperous’. Further details are to follow after the MCC Board decision-making process and other consultations with the US Congress and partner countries.

The $500m MCC Compact is being implemented in collaboration with the government. The government has agreed to add another $197m, making the project’s total cost stand at $747m. The compact will develop Nepal’s transmission network for electricity and highways, promoting national prosperity and regional energy integration.

Earlier, Millennium Challenge Account Nepal (MCA-Nepal) appreciated the US government’s decision to allow continuation of the project under a special exception with the ongoing suspension of larger foreign aid programs.

On Jan 20, US President Donald Trump issued an executive order directing a review of all US foreign aid in accordance with the ‘America First’ policy. This led to a halt in the disbursement of aid from organizations like USAID and MCC for 90 days. Although MCC was exempted at first, its funding was eventually included in the suspension.

However, in March, MCC granted permission for Nepal to continue with essential procurement and office operations. Since then, project implementation has resumed. The MCC Board has already approved an additional $50m in Jan 2025 to address cost overruns in the transmission line component, although both the Nepal cabinet and US Congress are yet to confirm the release of these funds.

Contracts for three substations of Tanahun (Damauli), Nuwakot (Ratmate) and Nawalparasi, as well as for an 18-kilometer transmission line between the New Butwal substation and the Indian border, have been issued. Physical work has already begun in most places.

MCA-Nepal has also tendered for the remaining 297 km of transmission lines and bid evaluations are in the final phase. An earlier tender for 315 km had to be cancelled after bids received were over 60 percent higher than estimated costs.

Implementation of the five-year compact began on 30 Aug 2023. Any unspent money at the close date will be returned to the US government. To date, during fiscal years 2023 and 2024, $471.3m in obligations have been incurred under the MCC Nepal Compact, states ForeignAssistance.gov.

Signed in Sept 2017, the MCC-Nepal Compact took years of politicking, parliamentary ratification finally happening on 27 Feb 2022. At last, after a six-year break since the signing of the agreement, the project was launched officially in Aug 2023.

Though Nepal has already increased its share from the originally agreed $130m to $197m, the additional $50m MCC aid remains uncertain. Whether or not the Trump administration will approve the additional funds and whether or not Nepal’s cabinet will endorse it remains unknown.

Millennium Challenge Corporation (MCC) is a US government agency established by the Congress in 2004 as an independent entity to reduce global poverty through granting time-limited programs of economic growth, poverty reduction and institution building. While the agency’s top priority is development in partner countries, its mission is also designed to promote American interests abroad.

Nepal was eligible for MCC assistance in 2014 and obtained the $500m grant following persistent dialogue. The compact is one of the biggest bundles of US assistance to Nepal ever and is being implemented under MCA-Nepal, an office established under Development Board Act, 2013.