Nepal’s key agenda in the UN meeting
Nepal will present its positions and policies on a broad range of national, regional, and global issues at the ongoing 79th session of the United Nations General Assembly (UNGA), according to top officials.
In a recent address to Parliament, Prime Minister KP Sharma Oli outlined his intentions for the UN forum. “Nepal has its own policies, viewpoints, and challenges, along with our achievements,” he said, emphasizing his commitment to sharing Nepal’s progress and challenges with the global community while seeking international cooperation where necessary.
Prime Minister Oli is set to travel to New York this week to participate in the annual UN meeting. Officials indicate that he will spotlight Nepal’s key political milestones, including the 2015 Constitution and its defining features. Oli will also outline Nepal’s vision of democracy, making the distinction between democracy and anarchism.
Oli will also reaffirm Nepal’s foreign policy fundamentals, particularly its emphasis on relations with neighboring countries. In his Parliament address, Oli reiterated that Nepal’s foreign relations are guided by the principle of “amity with all, enmity with none.” He added that Nepal’s foreign policy is anchored in the UN Charter, non-alignment, non-interference in internal political affairs, and a firm stance against external interference.
Nepal is also expected to express its concerns regarding the ongoing Russia-Ukraine war and conflicts in the Middle East. Additionally, climate change will feature prominently in Oli’s address to the UN assembly, with the prime minister planning to raise awareness about its impact on Nepal’s Himalayan region. “I will draw attention to the link between melting Himalayan glaciers and rising sea levels,” Oli said, stressing that this is not just a regional issue but a global concern.
UN Secretary-General Antonio Guterres last year expressed alarm over the effects of climate change on Nepal, noting that it faces severe impacts due to the climate crisis. “Nepal is one of the countries suffering the most, and other South Asian nations may soon face similar threats from receding glaciers,” Guterres said in a 2023 address to Nepal’s Parliament. “What is happening in this country as a result of climate change is an appalling injustice and a searing indictment of the fossil fuel age.”
On the sidelines of the UNGA, Prime Minister Oli will attend the “Summit of the Future: Multilateral Solutions for a Better Tomorrow,” focusing on securing a sustainable future for humanity and the planet. The prime minister plans to present Nepal’s views on critical issues, including the protection of children and the environment. He will also address the challenges faced by small island nations due to rising sea levels, linking them to the broader issue of climate change impacting mountainous countries like Nepal.
Preserving ecosystems will be another priority for Oli at the UN. He told Parliament that he plans to discuss the interconnectedness of mountain and ocean ecosystems, underscoring the need for global cooperation in environmental preservation. Additionally, Prime Minister Oli is expected to participate in discussions on drug-related problems, a growing concern for Nepal, though he did not elaborate on specific details.
Prime Minister Oli assured Parliament that all his statements at the UN would be made public, and he pledged to provide a detailed report to lawmakers upon his return. “I want to assure the honorable members that after my return, I will report to the House about everything I did and said. All my statements will be available to the media—nothing will be kept secret,” Oli said.
Local governments: Hotspots for corruption
Separate studies conducted by Nepal’s anti-corruption agencies reveal that local governments have become hotspots for corruption. Reports by the Commission for the Investigation of Abuse of Authority (CIAA) and the Office of the Auditor General (OAG) show that corruption at the local level is on the rise, yet no serious efforts have been made to address it.
Nepal’s 2015 Constitution granted local governments greater rights and resources, with the goal of bringing services closer to the people. However, corruption has reached alarming levels. In its 34th annual report (2023/24) submitted to President Ram Chandra Poudel, the CIAA painted a grim picture, showing widespread corruption across state mechanisms, with local governments accounting for a significant portion.
Over the past year, 38.91 percent of the complaints received by the CIAA from the public were related to local governments, followed by 15.79 percent involving the education sector. The Auditor General’s 2022/23 report also highlighted local governments as the most corrupt. Audits covering Rs 1.13575trn across 746 local governments uncovered discrepancies totaling Rs 35.67bn. The data shows a consistent increase in complaints related to local and educational institutions. Currently, there are 753 local governments in Nepal.
After investigating complaints, the CIAA files cases with the Special Court. However, the Special Court often acquits defendants in corruption cases. According to CIAA spokesperson Nara Hari Ghimire, the CIAA has succeeded in 68.81 percent of the cases it filed. In the past year, the CIAA has appealed 92 Special Court decisions to the Supreme Court.
In terms of corruption cases filed in 2023/24, government officials lead the list with 520 cases involving civil servants, followed by 106 cases against elected representatives, 148 against nominated officials, and 32 against political appointees. Additionally, 739 cases have been filed against other individuals, such as accountants, intermediaries, and organizational staff. The hierarchy of cases includes six secretaries, 30 joint secretaries, 82 undersecretaries, 202 section officers, and 200 assistant-level officials.
Most cases involve the illegal acquisition of benefits, with 58 such cases filed last year. Other cases include 48 for bribery, 34 for fake educational certificates, 33 for the loss of public property, 13 for revenue leakage, 11 for illegal wealth acquisition, and four miscellaneous cases.
The OAG report also outlines common issues in local governments, including excessive and unauthorized spending on travel, fuel, mobile phones, vehicles, and hospitality, as well as hiring advisors. Local officials reportedly spent over Rs 185.32m on such expenses in 2022/23. Furthermore, 171 local units spent Rs 91.5m on the salaries and facilities of personal secretaries, while 424 units spent Rs 6.92bn on contract staff.
A key mechanism used by local governments is consumer committees. Rule 97 of the Public Procurement Regulations, 2007, states that these committees should handle only labor-intensive work that does not require machinery, tools, or equipment. Despite this, 302 local bodies spent Rs 2.99bn through consumer committees for 3,314 construction projects involving machinery. Rule 97(10) also prohibits consumer committees from engaging construction companies, yet 122 local units approved cost estimates for 1,173 projects to be carried out by consumer committees, paying Rs 700.9m in total.
According to Section 20 of the Audit Act, 2018, the accounts of local units must be audited by the Office of the Auditor General. However, the OAG report found that many local bodies have failed to conduct audits. Despite multiple reports and studies, corruption continues to rise, suggesting that anti-corruption agencies are failing to effectively monitor activities at the local level.
Four years ago, the CIAA conducted a 15-district survey to assess public perception of corruption. Of the 3,000 respondents, 67.6 percent reported that corruption had increased at the local level, and 14.9 percent admitted to paying bribes to officials. Respondents noted that corruption worsened after the formation of local units in 2017.
UML roadmap for 2027 elections
The ruling CPN-UML, which has decided to contest the next election independently, has unveiled a roadmap aimed at solidifying its position as a dominant political force. Following the 2022 national elections, where the party emerged as the second-largest political force, it launched the “Mission 2084” campaign, focused on strengthening the party for the next national elections that will take place in 2027. Even after returning to power in July, the party has maintained its focus on internal organization and strategic planning.
Senior UML leaders identify two primary challenges ahead: the potential alliance between the Nepali Congress (NC) and the CPN (Maoist Center) and the rise of new political parties and independent leaders. Additionally, they note that youth, once a core constituency, are increasingly shifting their support to emerging political forces. In response, the UML leadership has directed all party committees to develop policies and programs aligned with Mission 2084, with a particular emphasis on reactivating all party structures to attract younger voters. As part of this initiative, the party has decided to organize a youth summit to introduce its policies and programs to the next generation.
The UML is also pursuing a strategy to attract cadres and leaders from the CPN (Unified Socialist) and the Maoist Center, while deprioritizing unification with smaller communist parties. The party’s emphasis is on strengthening its ranks by drawing in members from rival groups rather than forming alliances. To mobilize youth effectively, UML will utilize its party structures and organize more initiatives like the youth summit to re-engage the younger demographic. Like other parties, the UML faces internal disputes in several districts, and to address this, it has formed a special panel to resolve conflicts and minimize divisions within the party. During the 2022 elections, internal disputes contributed to losses in several constituencies—a situation the party is determined to avoid in the upcoming elections.
Since becoming party chairperson in 2014, KP Sharma Oli has largely succeeded in preventing the rise of powerful factions within the UML. His key rival, Madhav Kumar Nepal, left the party in 2021 to form a separate group, and Bhim Rawal, who was once a vocal critic of the party’s leadership and contested for the post of party chairperson, has now been stripped of major responsibilities within the UML. Despite these internal challenges, the UML remains committed to improving government and parliamentary performance. Two months into the Oli-led government, however, criticism has already surfaced regarding its effectiveness. To counter this, the party has decided to leverage social media more actively, recognizing that younger parties are capitalizing on its growing influence, while the UML still relies heavily on traditional publicity methods.
Under an agreement with the Nepali Congress (NC), Prime Minister Oli is set to hand over leadership to NC President Sher Bahadur Deuba. Once the transition occurs, UML leaders plan to fully concentrate on the 2027 elections. According to them, the NC and UML have agreed not to form an electoral alliance with the Maoist Center, although concerns remain that the NC could align with the Maoists ahead of the polls. UML leaders are confident, however, that if the three major parties—NC, UML, and the Maoist Center—compete separately, UML is poised to emerge as the largest party, owing to its robust organizational structure.
Speaking at a recent public event, Oli expressed optimism that the UML could secure a majority in the 2027 elections, noting that the Maoist Center has been steadily losing voter support and may struggle to maintain its status as a national party. The key competition, he said, is between the NC and UML, with all three communist factions—UML, CPN (Unified Socialist), and the Maoist Center—sharing a similar voter base.
Moreover, the rise of the Rastriya Swatantra Party (RSP) in the 2022 elections has posed a significant threat to both the UML and NC. Many voters from both parties supported RSP candidates as a protest against their respective leaderships. This trend is a growing concern for the established parties, as they seek to curb the rise of new political forces like the RSP and independent figures such as Kathmandu Mayor Balendra Shah, who have captured the youth vote. The emergence of new political parties signals a gradual decline in support for traditional parties, even though they remain the largest in terms of overall representation. Now, all political parties are working to revamp their organizations, with the 2027 elections in sight.
The week that was
This week, the Nepali Congress and CPN-UML coalition formed a task force to develop the government’s common minimum program (CMP), a positive step, though albeit delayed. Once the CMP is finalized, it will provide a clear direction for the coalition government, serving as a guiding document for ministers across party lines, many of whom are currently unclear about their priorities. The CMP could also help reduce growing tensions between the NC and UML.
The two parties also agreed to begin discussions with stakeholders on constitutional amendments. Amending the 2015 Constitution, which was promulgated amid violence in the Madhes region, remains a sensitive political issue, drawing both internal and external attention. The Madhes-based parties are also preparing to clarify their stance on the amendments. According to NC General Secretary Gagan Kumar Thapa, one of the CMP’s key elements will be the constitutional amendment, which aims to strengthen federalism, inclusive democracy, and proportional representation.
How the constitution amendment process will unfold in the run up to the 2027 national elections remains uncertain. NC and UML appear to be seeking changes to certain provisions, including the electoral system, which is likely to lead to strong opposition from progressive forces. Managing these issues will be challenging.
As major parties gear up for constitutional amendments, the royalist Rastriya Prajatantra Party (RPP) is preparing street protests, demanding the restoration of the monarchy and Nepal as a Hindu state. RPP Chairperson Rajendra Lingden also met with former King Gyanendra Shah this week.
In another story this week, the newly-appointed Chief of Army Staff, Ashok Raj Sigdel, outlined his priorities, focusing on national security, military diplomacy, internal reforms within the Nepali Army, and addressing delays in major infrastructure projects like the Kathmandu-Tarai Fast-Track.
Also this week, Rastriya Swatantra Party (RSP) Chairperson Rabi Lamichhane, who is under scrutiny for his alleged involvement in a fund embezzlement of a financial cooperative, admitted for the first time that media outlets, including his own Gorkha Media, misused the funds. Lamichhane also faced protests from embezzlement victims in Pokhara. Earlier, the RSP leader and former Home Minister was questioned for several hours by a parliamentary committee investigating his involvement in the cooperative scam.
It is said Lamichhane has sought protection from Prime Minister KP Sharma Oli against potential legal actions.
Meanwhile, Nepali Congress leader Dhanraj Gurung has also been implicated in the cooperative scandal. He has expressed his willingness to face a parliamentary inquiry.
This week, NC, UML, and the Maoist party showed a rare unity to challenge Kathmandu Metropolitan City’s decision to extend the no-construction zone along riverbanks by an additional 20 meters. Prime Minister Oli has called for a review of the Supreme Court’s decision, reigniting his ongoing dispute with Kathmandu Mayor Balendra Shah.
CPN (Maoist Center) Chairperson Pushpa Kamal Dahal continued to garner attention this week, as he is on a tour of the country, aiming to strengthen the party’s organizational base. Dahal is under pressure to solidify his party’s position after NC and UML opted not to form a pre-election alliance. He has also cautioned NC and UML against constitutional amendments that could undo “progressive agendas” enshrined in the 2015 Constitution.
Talks about the Nepal-India Eminent Persons’ Group (EPG) report resurfaced in national politics this week, with Prime Minister Oli once again urging Indian Prime Minister Narendra Modi to receive it. Former Prime Minister Baburam Bhattarai also raised the issue.
Another significant political development this week concerned Deputy Speaker of the House of Representatives Indira Rana Magar, who could face impeachment for allegedly misusing her letterhead to request the US Embassy in Kathmandu to arrange visa interview dates for individuals not associated with her office. The ruling NC and UML are preparing to impeach Rana Magar. Rana Magar’s party, RSP, along with the Maoist Center and CPN (Unified Socialist), are expected to oppose the impeachment effort.
The 79th session of the United Nations General Assembly kicked off in New York this week, with the resolution of conflicts as one of its main priorities. Prime Minister Oli is preparing to attend the assembly, marking his first international trip since assuming office. Oli, who will be accompanied by Minister for Foreign Affairs Arzu Rana Deuba, is expected to lay out Nepal’s position on regional and international issues during his address to the UN. The prime minister is also expected to hold bilateral meetings with various world leaders, including his Indian counterpart Modi, on the margins of the UN meeting.
Bipul Pokhrel, the president of the Federation of Nepali Journalists (FNJ), resigned this week, just ahead of the federation’s planned elections. The FNJ has long been grappling with internal disputes over membership distribution. Pokhrel’s resignation has added to the conflict and uncertainty within the federation.
Also this week, Deputy Prime Ministers and other ministers signed a performance agreement with Prime Minister KP Sharma Oli outlining key tasks and goals for the current fiscal year. The agreement was signed and exchanged during a program held on Thursday at the Office of the Prime Minister and the Council of Ministers in Singha Durbar. A similar agreement was also signed between the Prime Minister and the Chief Secretary of the Government of Nepal.
The performance agreement aims to support the national vision of ‘Prosperous Nepal, Happy Nepali’ by ensuring timely completion of infrastructure projects and improvements in service delivery. However, while such agreements are routinely signed by new prime ministers, their implementation often falters due to frequent changes in ministers and the transfer of secretaries.
PM Oli joins global leaders at 79th UNGA
The 79th session of the United Nations General Assembly began on Tuesday with the resolution of conflicts as one of its main priorities. Dennis Francis, president of the 78th General Assembly, handed over the gavel to his successor, Philemon Yang. Yang, Cameroon’s candidate, who was elected as president of the 79th General Assembly in June, took the oath and assumed office.
Nepal Prime Minister KP Sharma Oli and Foreign Minister Arzu Rana Deuba are attending the high-level UN meeting to lay out Nepal’s position on regional and international issues, including the reform of the UN itself. Additionally, according to officials at the Ministry of Foreign Affairs, Nepal will prominently highlight the climate change issues with special emphasis on glacier melting in the mountains and its effects, to draw international attention. Prime Minister Oli is also expected to call the concerned parties to end the ongoing Russia-Ukraine war and Israel-Palestine war.
During his stay in New York, Oli is also likely to hold bilateral meetings with the heads of state and government of neighboring countries, including Indian Prime Minister Narendra Modi and other world leaders. This will be Oli’s first foreign trip abroad since he became prime minister in July. Officials are working on the possible meeting between Oli and Modi on the margins of the UN assembly.
Nepal is also preparing to organize a meeting of SAARC foreign ministers as an attempt to revive the stalled SAARC process. As the current chair of SAARC, Nepal shoulders the responsibility of taking efforts to five fresh momentums. However, the chances of the revival of SAARC appear slim due to the current hostilities between India and Pakistan and the Taliban government in Afghanistan, which is being isolated by the international community.
Prime Minister Oli will also highlight the achievement made by Nepal in the transitional justice process. Nepal’s parliament has endorsed the amendment bill on transitional justice which has been welcomed by the international community including the UN.
Along with addressing the UN Assembly, Prime Minister Oli will attend the Summit of the Future which will be organized in New York on Sept 22-23. The summit aims to address the critical challenges and gaps in the global governance exposed by the recent global shocks. According to the UN, this summit aims to reaffirm comments to the Sustainable Development Goals (SDGs) and UN Charter while enhancing cooperation and laying the foundations for a reinvigorated multilateral system.
According to the UN: “The Summit will result in a negotiated pact for the future, an action-oriented document aimed to bolster global cooperation and adapt to current challenges effectively for the benefit of all and for the future generation.” The summit will issue a pact for future statements at the end of the meeting. The key actions that the UN has are the following points.
Sustainable development and financing for development
- We will take bold, ambitious, accelerated, just and transformative actions to implement the 2030 Agenda, achieve the Sustainable Development Goals and leave no one behind.
- We will place the eradication of poverty at the center of our efforts to achieve the 2030 Agenda.
- We will end hunger, eliminate food insecurity and all forms of malnutrition.
- We will close the SDG financing gap in developing countries.
- We will ensure that the multilateral trading system continues to be an engine for sustainable development.
- We will invest in people to end poverty and strengthen trust and social cohesion.
- We will strengthen our efforts to build peaceful, just and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels and uphold human rights and fundamental freedoms.
- We will achieve gender equality and the empowerment of all women and girls as a crucial contribution to progress across all the Sustainable Development Goals and targets.
- We will strengthen our actions to address climate change.
- We will accelerate our efforts to restore, protect, conserve and sustainably use the environment.
- We will protect and promote culture and sport as integral components of sustainable development.
- We will plan for the future and strengthen our collective efforts to turbocharge the full implementation of the 2030 Agenda for Sustainable Development by 2030 and beyond.
International peace and security
- We will redouble our efforts to build and sustain peaceful, inclusive and just societies and address the root causes of conflicts.
- We will protect all civilians in armed conflict.
- We will ensure people affected by humanitarian emergencies receive the support they need.
- We will promote cooperation and understanding between Member States, defuse tensions, seek the pacific settlement of disputes and resolve conflicts.
- We will fulfill our obligation to comply with the decisions and uphold the mandate of the International Court of Justice in any case to which our State is a party.
- We will accelerate the implementation of our commitments on women, peace and security.
- We will address adverse climate and environmental impacts that could contribute to the onset or escalation of conflict.
- We will adapt peace operations to better respond to existing challenges and new realities.
- We will address the serious impact of threats to maritime security and safety.
- We will pursue a future free from terrorism.
- We will prevent and combat transnational organized crime and related illicit financial flows.
- We will steadfastly advance our efforts to achieve the goal of a world free of nuclear weapons.
The pact also includes the actions in the areas of science, technology and innovation and digital cooperation; youth and future generation and transforming global governance. This document is regarded as a blueprint for the problems that the world is facing today.
Addressing the opening session of UNGA, Yang outlined a vision of unity in diversity and calling for deeper international cooperation to tackle a host of global challenges, including climate change, escalating conflict, and a slowdown in sustainable development. UN Secretary-General António Guterres also addressed the opening of the session, highlighting the urgency of collective action to confront a world “in trouble.”
He praised Yang for his vision and leadership, pledging his full support to unite the diverse member states around common goals. “From day one, the United Nations has been the place for multilateral solutions—grounded in collaboration, dialogue, diplomacy, and the UN Charter,” he said.
The opening of the 79th session also marks the first time the State of Palestine was seated among Member States at the General Assembly, following the adoption of resolution ES-10/23 at the tenth emergency special session earlier this year.
That resolution also set forth additional rights for the State of Palestine’s participation in Assembly meetings, but not the right to vote or put forward its candidature to UN Main Organs such as the Security Council or the Economic and Social Council (ECOSOC). The additional rights and privileges do not confer membership to the State of Palestine, which requires a specific recommendation from the Security Council.
Key highlights
- Opening of the 79th session: Sept 10
- General Debate: Sept 24-28
- Summit of the Future: Sept 22-23
- High-level plenary session on sea level rise: Sept 25
- High-level plenary meeting to commemorate and promote International Day for the Total Elimination of Nuclear weapons: Sept 26
- High-level meeting on antimicrobial resistance: Sept 26
Are NC and UML serious about amending the Constitution?
A key point in the seven-point agreement signed by Nepal’s two largest political parties, Nepali Congress (NC) and CPN-UML, in early July is amendments to the Constitution. However, almost two months after forming a powerful coalition, no specific details have emerged about the proposed amendments.
Both domestic and international observers are eager to know what changes NC and UML intend to make to the 2015 Constitution. It’s also unclear whether the two parties are fully aligned on the amendments. Neither NC nor UML has begun internal discussions on the specifics of the amendment. The issue of constitutional amendment carries different meanings for various political groups. The CPN (Maoist Center), which was ousted from power, has accused NC and UML of attempting to roll back the constitution's progressive provisions.
Maoist leaders, including Chairperson Pushpa Kamal Dahal, frequently claim that NC and UML want to weaken progressive elements of the Constitution. For royalist parties like Rastriya Prajatantra Party (RPP), constitutional amendment means removing the constitutional monarchy and reestablishing Nepal as a Hindu state. On the other hand, for the Maoists, amendment is about granting more rights to marginalized communities. It is up to NC and UML to initiate discussions on potential changes, though recent remarks by senior leaders hint that one major focus could be the electoral system.
Senior leaders of both NC and UML argue that the current electoral system—combining first-past-the-post (FPTP) and proportional representation (PR)—contributes to political instability, as it makes it difficult for any one party to secure a majority. However, this proposal faces opposition from Maoist, Madhesi, and smaller parties, who see any changes to the electoral system as undermining the country’s inclusive political framework. Major parties are pushing for raising the electoral threshold to limit the number of smaller parties in Parliament, while small parties argue this is a move toward a two-party system.
Currently, only the parties securing a minimum of three percent in the House of Representatives and 1.5 percent in the provincial assembly of the total valid votes under the PR category are allocated PR seats. Parties that have seats both in FPTP and PR seats are eligible to become the national party.
In the 2022 national elections, only a few parties, including NC, UML, the Maoists, and newer parties like Rastriya Swatantra Party and Janamat Party, managed to cross the three percent vote threshold required to secure PR seats. Many smaller parties, such as CPN (Unified Socialist) led by former Prime Minister Madhav Kumar Nepal, failed to meet the threshold and could not get the national party status.
There are also rumors that NC and UML want to remove secularism from the Constitution, but the parties have remained silent on the issue. Voices within NC are calling for the party to support the reinstatement of Nepal as a Hindu state through constitutional amendment. However, amending the Constitution is a complex issue. Once initiated, all political forces will likely push for their own agendas, making consensus difficult.
NC Chief Whip Shyam Ghimire emphasized the need for a common consensus among political parties. Madhes-based parties, like the Loktantrik Samajbadi Party (LSP) led by Mahantha Thakur, are closely monitoring the constitutional amendment process. LSP has formed a three-member committee under Laxman Lal Karna to consult with other parties on constitutional changes that address Madhesi issues. The committee has been tasked with the responsibility of preparing a comprehensive report on the Madhes issues they want to address by amending the Constitution.
The ruling coalition has agreed to hold all-party discussions on constitutional amendments. In a meeting on Monday, ruling party leaders, including those from NC and UML, stressed the need to amend the constitution in a way that gains broad consensus among all political parties. According to leaders, top leaders of the ruling parties are of the view that the Constitution should be amended to make it more refined and universally acceptable. Besides NC and UML, the ruling coalition also consists of Janata Samajbadi Party and Loktantrik Samajbadi Party.
UML Chief Whip Mahesh Bartaula said that at Monday’s meeting, the parties agreed that there should be comprehensive discussions to amend the constitution. Opposition parties, especially the Maoist Center, have been accusing the NC and UML of trying to revert to the 1990 constitution through constitutional amendments. NC Chief Whip Shyam Kumar Ghimire said that the parties in the ruling coalition will push for maximum consensus from parties and stakeholders for the constitutional amendment.
A two-thirds majority in both the House of Representatives and the National Assembly is needed to amend the Constitution. This means the ruling coalition needs to secure the support of at least 184 lawmakers in the 275-members House of Representatives. NC and UML have a combined 167 lawmakers. UML lawmaker Top Bahadur Rayamajhi is suspended, while Speaker Devraj Ghimire, who is from UML, can only vote in case of a tie. This means NC and UML need the support of 18 more lawmakers.
They plan to seek support from parties like Rastriya Prajatantra Party (14), Janamat Party (6), Janata Samajbadi Party (5), Loktantrik Samajbadi Party (4) and Nagarik Unmukti Party (4), among others. Although the coalition looks comfortable in the lower house, the equation is not so favorable in the National Assembly. The UML-NC coalition needs the support of at least 40 members in the 59-members upper house. CPN (Maoist Center) is the largest party in the National Assembly with 17 seats, while NC and UML have 16 and 10 seats, respectively. NC and UML need the support of 14 other lawmakers for any amendment to the constitution to pass through the upper house. Likewise, NC President Sher Bahadur Deuba also called for unity among ruling parties.
Managing differences in NC-UML coalition
Two months after the formation of the new government under the coalition of CPN-UML and Nepali Congress, a cross-party committee has been set up to create a common program. The committee members are Bishnu Rimal and Pradeep Kumar Gyawali from the UML and Prakash Sharan Mahat and Gagan Kumar Thapa from the NC.
This decision to draft a common minimum program comes after extensive talks between Prime Minister and UML Chairperson KP Sharma Oli and NC President Sher Bahadur Deuba. The current coalition is also supported by four fringe parties, Janata Samajbadi Party, Loktantrik Samajbadi, Nagarik Unmukti Party and Janamat Party, the latter of which has not joined the Cabinet. Both UML and NC leaders acknowledge that a common policy should have been developed shortly after the power-sharing agreement was signed. Now, even after two months, it appears that there has been little meaningful dialogue about the coalition’s priorities.
The only official agreement between the UML and NC so far is a brief seven-point document signed by Oli and Deuba on July 1 midnight. According to NC leader Mahat, the core elements of the coalition’s program focus on good governance, economic development, and constitutional amendments, but little progress has been made. Despite earlier promises to advance constitutional amendments, there have been no discussions on this issue.
Without a unified policy document, differences between the parties are becoming more visible. For instance, Prime Minister Oli and Foreign Minister Arzu Rana Deuba differ on foreign policy. Rana has stated that Nepal will only implement China’s Belt and Road Initiative (BRI) after thorough consultations, a stance she has communicated to Beijing. Oli and Deuba are also not on the same page on matters relating to India. If the coalition fails to establish common positions on major foreign policy issues, it could lead to tensions. Similar divisions have emerged within key ministries, such as Home Affairs led by the NC and Finance led by the UML.
Over the past two months, no significant disputes have arisen between the NC and UML, but the absence of a common minimum program has left ministers unable to effectively carry out their duties. Last week, NC President Deuba publicly stated that there are no fundamental differences between the two parties on key national issues. He acknowledged that while they remain political competitors, any disputes will be resolved through dialogue and negotiation.
In another recent development, both parties have agreed not to form an electoral alliance with the CPN (Maoist Center) in the upcoming elections, which has fostered a sense of trust within the coalition. However, Oli and his supporters claim that both internal and external forces are already conspiring to remove him from power. Leaders from both parties recognize that managing potential conflicts between them will be a major challenge. A few days back, speaking at a party meeting, Oli expressed frustration that the NC is not fully defending the government, and some fear that anti-Deuba factions within the NC may not support the coalition.
Notably, NC General Secretaries Thapa and Bishwa Prakash Sharma, and senior leader Shekhar Koirala have openly criticized the government for its failure to improve public services and address corruption scandals. They have also launched efforts within the NC to prevent Deuba from becoming Prime Minister again. There are fears that internal dynamics of NC could pose a threat to the sustainability of the current government.
During a recent NC Central Working Committee meeting, Sharma urged Deuba to refrain from seeking the prime ministership, but Deuba dismissed the suggestion. The UML is closely monitoring these developments within the NC. In recent months, the government has struggled to operate effectively, and this slow pace has caused frustration within both the NC and UML. Despite ambitious agendas, many ministers are finding it difficult to deliver results, while the main opposition, the Maoist Center, is threatening to hit the streets against the government.
Nepal-India relations under Oli government
It has been nearly two months since CPN-UML Chairperson KP Sharma Oli assumed office as prime minister for the fourth time. His first foreign visit will be to New York to attend the 79th United Nations General Assembly (UNGA). While the UNGA is a routine gathering of world leaders, it provides opportunities for Prime Minister Oli to hold significant bilateral meetings on the sidelines, provided the Ministry of Foreign Affairs takes a proactive approach.
Traditionally, Nepal’s prime ministers have commenced their foreign visits with a trip to India, but there are precedents of attending multilateral meetings first. This time, however, Prime Minister Oli has not yet received an invitation from India to visit New Delhi, which deviates from past practices where Nepali prime ministers were invited soon after, or even before, assuming office. Instead, Foreign Minister Arzu Rana Deuba has repeatedly stated that preparations for Indian Prime Minister Narendra Modi’s visit to Nepal are underway. Minister Deuba has already handed over the formal invitation from Prime Minister Oli to Modi.
Unlike his previous tenures, Prime Minister Oli has been relatively quiet about his foreign policy priorities, especially concerning India. Over the last decade, he has been vocal about various unresolved issues with India, and his relations with New Delhi have been strained, particularly after the 2015 blockade. As a result, foreign policy observers are keenly watching how Prime Minister Oli will engage with India this time. There were speculations that New Delhi was not eager to see Oli return as prime minister. However, a noticeable change is that Oli has been less confrontational on contentious issues with India, addressing them more subtly than in the past.
One such issue is the report prepared by the Eminent Persons’ Group (EPG), which Prime Minister Oli has been raising in a more measured tone. The submission of the EPG report appears to be a priority for him in discussions with India. During his official visit to India last year, former prime minister Pushpa Kamal Dahal chose not to raise the EPG issue, citing concerns that it could disrupt the improving bilateral relationship. Likewise, when Foreign Minister Deuba visited New Delhi recently and met with Indian Foreign Minister S Jaishankar and Prime Minister Modi, the EPG report was not discussed. The EPG was formed in 2016 and completed its work in 2018, with an understanding that the report would be submitted to both prime ministers. However, India has reportedly conveyed through various channels that the EPG matter is closed.
Despite this, Prime Minister Oli continues to publicly highlight the issue. Recently, while unveiling a book by former minister Kamal Thapa, he reiterated that India should accept the EPG report. Similarly, at the launch of another book by Surya Nath Upadhyay, Oli repeated his stance, saying, “We have not had the opportunity to receive and submit the EPG report. There was no delay on Nepal’s side. Perhaps India will find an appropriate time to receive the report.” His repeated statements suggest that the EPG report is a major focus for him in his dealings with India.
The EPG was established by the Oli-led government in 2016, following a four-month-long Indian blockade, with four members from each country. The expert panel was tasked with offering insights on bilateral issues, including revising the 1950 Peace and Friendship Treaty. While other major parties like the Nepali Congress, CPN (Maoist Center), and Madhes-based parties have distanced themselves from the EPG issue, the UML continues to push it. Senior UML leader Rajan Bhattarai has also spoken publicly on the matter. In official discussions, representatives from the NC and Maoists tend not to raise the issue, while Madhes-based parties have rejected the report, arguing that it was drafted without their representation. It remains unclear how India will respond if Oli brings up the EPG report in official talks.
On the issue of the border dispute concerning Kalapani, Lipulekh and Limpiyadhura, Oli has been less vocal this time, although he mentioned it in Parliament. In 2020, under Oli’s leadership, Nepal issued a new political map that included these territories. In recent years, both countries have agreed to resolve the matter through diplomatic channels without politicizing it.
Oli has suggested that the issue could be settled through open and candid discussions at the highest political levels, emphasizing the importance of direct dialogue between the two countries. In recent years, top-level talks between Nepal and India have increasingly focused on economic development and partnership. The growing cooperation in power trade is often highlighted as a significant achievement in the bilateral relationship.