The government’s decision to dismiss Kulman Ghising, the managing director of Nepal Electricity Authority (NEA), has triggered widespread public anger. Opposition parties—and even senior leaders from ruling coalition partners—have condemned the move, with only the CPN-UML standing firmly behind the unpopular decision. Protests have erupted both in the Parliament, where opposition lawmakers voiced dissent, and on the streets, where Ghising’s supporters gathered in solidarity.
Ghising has now approached the Supreme Court, seeking an interim order for his reinstatement. Over the past decade, he gained recognition for his role in ending Nepal’s chronic power cuts, though critics argue that increased electricity imports from India were the real solution—a point echoed by Energy Minister Deepak Khadka in the parliament last week.
Meanwhile, royalist forces are rallying for the restoration of the monarchy and the Hindu state, with a major protest planned in Kathmandu’s Tinkune area. Initially led by businessman Durga Prasai, the movement has since gained backing from various royalist groups, including the Rastriya Prajatantra Party (RPP), which had initially hesitated. RPP Chairman Rajendra Lingden has announced plans for an indefinite nationwide protest starting in April. Former King Gyanendra Shah, offering tacit support, recently visited Gorkha, where he was greeted by enthusiastic crowds. In response, opposition groups, including the CPN (Maoist Center)-led Samajbadi Morcha, are preparing counter-demonstrations, raising concerns of potential clashes.
In diplomatic developments, Prime Minister KP Sharma Oli is set to make a historic visit to Thailand—the first by a Nepali head of government since the two nations established diplomatic ties in 1959. Oli will attend the 6th BIMSTEC Summit (April 1-5), where leaders are expected to adopt the BIMSTEC Vision 2030, a blueprint for regional cooperation. On the sidelines, he is likely to meet Indian Prime Minister Narendra Modi, their first encounter since last year’s UN General Assembly. Notably, there has been little discussion in Kathmandu about Oli’s long-pending official visit to India, with Foreign Minister Arzu Rana Deuba remaining silent on the matter.
On the development front, the US government has permitted a partial resumption of Millennium Challenge Corporation (MCC) projects in Nepal, which had been paused during a review of foreign assistance under the Trump administration. While the review remains ongoing, select activities under the Nepal Compact can proceed, though officials caution that this does not guarantee full approval. Nepali authorities remain hopeful, citing bipartisan US support for the MCC.
The government has also renewed its demand for social media companies to register in Nepal or face bans, requiring them to appoint local representatives, grievance officers and compliance monitors. So far, only TikTok and Viber have complied.
Economically, Nepal has made notable progress in reducing poverty, nearly eradicating extreme poverty—a success largely driven by remittances, according to a recent World Bank report. However, the country’s economic growth remains sluggish, averaging just 4.2 percent since 1996, lagging behind regional peers due to low productivity, declining exports, and industrial stagnation. With limited domestic job opportunities, youth migration for foreign employment continues unabated.
In international forums, Nepal’s presence at China’s Boao Forum for Asia (March 25-28) will be low-key, with Ambassador Krishna Prasad Oli representing the country instead of high-level officials. Meanwhile, the Trump administration has signaled a tougher stance against Chinese influence in the Indo-Pacific, with US Defense Secretary Pete Herseth outlining an updated strategy that builds on the 2017 Indo-Pacific framework while adapting to current geopolitical realities.
