सँगालो : नेपालको समसामयिक राजनीतिक लेखहरु
Collection of Articles on Nepal's Contemporary Politics
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Sunday (2026/3/8)
'Grand Design' in Nepal’s Politics: Balen’s Rise, the Gen-Z Revolt, and the Game of External Powers
1. Background: A Carefully Planned Rise
The series of developments that have taken place in Nepal’s politics over the past three years are not merely coincidences; rather, numerous indications have emerged confirming that they are the outcome of a serious and long-term “grand design.” In 2022, Balendra Shah (Balen) emerged as the Mayor of Kathmandu, a rapper-engineer with no political background, and the way he was “branded” nationally and internationally raised many questions.¹ This rise was the result of youth frustration and digital propaganda, which challenged the established political parties.² Recent studies show that youth movements in Nepal have accelerated political change, but the role of external influence and populist strategies has been significant.³ Balen’s international branding appeared to be orchestrated, showing the interest of Western media.⁴ Digital machinery also played an important role—events such as the “Creator Mela” organized by the U.S. Embassy with the active participation of the Mayor of Kathmandu Metropolitan City, along with Facebook algorithms, created an “echo chamber” that energized the youth.⁵ This victory highlights the impact of youth participation on Nepal’s political development.⁶
2. The Link Between the ‘Gen-Z’ Revolt and External Investment
The protest of Bhadra 23, 2082, referred to as the “Gen-Z revolt,” has been reported by international media to have received direct investment from American institutions. This revolt took the lives of 76 people and brought down a government that had halted U.S. military agreements such as the SPP.⁷ Research shows that youth movements are often driven through digital platforms, where the influence of foreign training is present.⁸ This revolt transformed Balen into a national hero and accelerated his political journey.⁹ The destruction that occurred during the protests and the police repression were turned into political tools, successfully implementing a strategy to displace established political parties.¹⁰ The rise of RSP in the 2026 (2082) election is the result of this investment, increasing the risk of turning Nepal into a battlefield similar to the “Ukraine model.”¹¹
3. The Balen–RSP Nexus: From Insults to Power
Although Balendra Shah had previously insulted RSP and Rabi Lamichhane, calling them a “thief government” and saying “go to hell,” his eventual agreement with the same party through a 7-point deal to become a candidate for Prime Minister confirms that his “independent” image was merely a façade. The agreement of Poush 14 positioned Balen as a new Prime Minister to be elected from Jhapa-5. This agreement was part of a strategy, under the supervision of external powers, to bring the “new forces” together in one place.
Internal Disruption Within the Camp: Figures such as Miraj Dhungana, a “Gen-Z leader” who previously supported Balen, are now opposing both Balen and RSP and have come out in support of Gagan Thapa, indicating internal conflict and instability within this emerging power bloc.¹²
4. Strategic Interests: A Front Against BRI
The strongest evidence that Balendra Shah’s political objectives are not limited to internal reform but are connected to geopolitical interests lies in his election manifesto.
Boycott of the BRI Project: Balen removed the “Nepal-China Friendship Industrial Park,” currently under construction in Jhapa, from his manifesto. This project is considered a “red line” for India and the United States. By removing it, Balen has made it clear whose signals he may be following.
The Shadow of SPP: Military agreements such as the State Partnership Program (SPP), which were not possible through the old political parties, now face the possibility of being implemented through a two-thirds government led by Balen. This shift may push Nepal toward stronger American influence and risk triggering tensions with China and India.¹³
5. Conclusion: The Emerging Danger and a ‘Battleground’
The current election results have brought RSP close to a two-thirds majority, and Balen becoming Prime Minister now appears almost certain. However, this transformation seems likely to bring not stability but greater geopolitical conflict within the country. On one side is the expansion of American influence, and on the other are the security concerns of China and India, raising the risk that Nepal could soon become a geopolitical “battleground.” This “grand design” could place Nepal’s sovereignty at risk.¹⁴
In summary, it can be said:
“This transformation is not merely the result of domestic anger against misgovernance and corruption carried by old political forces; rather, it represents the successful execution of a ‘grand design’ woven for years in external centers. Conscious citizens must now seriously examine the internal objectives of this ‘new force’ and the impact it may have on national integrity.”
Bibliography
Magar, R. B. P. (2025). Political culture and democratic transition after Gen Z movement in Nepal. Rajarshi Janak University Research Journal.
Thapa, M. (2025). Populist Wave in Nepalese Politics: Communitarianism, Republic Citizenship, Utility and Personalization of Politics. Journal of Political Science, NepJOL.
Acharya, A. (2024). Influence of Youth Engagement on Nepal's Political Evolution. Interdisciplinary Journal of Management and Social Sciences.
Arafat, M. Y. (2025). Reflections from Uprising: The Role of Youth and Social Media in Political Movements in Nepal and Indonesia. Journal Tirta Pustaka.
Gyawali, S. (2025). A Structural Analysis of Nepal's Maoist Movement and Gen-Z Struggles through a Large-Scale and Long-Run Perspective. NPRC Journal of Multidisciplinary Research, NepJOL.
Gautam, D., Sapkota, S., & Baral, K. (2025). Digital Activism and Crisis in Nepal: Examining Gen-Z Movements and the Decline of Tourism. Kalika Journal of Multidisciplinary Studies, NepJOL.
Thapa, M. (2025). The Populist Surge: Analyzing its Global Dimensions and Implications for Democratic Governance. Journal of Political Science, NepJOL.
O'Neill, T. (2020). Youth Political Engagement and Democratic Culture in Republican Nepal. Himalaya.
Subedi, D. B. (2025). Transitional Nepal May Face Real Dangers from Rising Religious Populism. Populism Studies.
Mishra, M. K., & Dubey, S. (2026). Nepal’s Parliamentary Elections: A Hope for a Stable and Prosperous Nepal. VIF India Journal.
Resnick, D. (2024). Political Process: Public Opinion, Attitudes, Parties, Forces, Groups and Elections. International Political Science Abstracts.
Various authors (2025). Geopolitical crosscurrents in Nepal's youth politics. APLN Analysis (adapted from journal-style geopolitical studies).
Various (2025). Youth movements in South Asia: Nepal's Gen Z in comparative perspective. Asia Pacific Foundation / Journal contexts.
Various (2025). Nepal's 2025 Uprising in International Context. ResearchGate geopolitical analysis.
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Friday (March 6, 2026)
The ‘Populism’ of New Leadership and Nepal’s Geopolitical Trap: A Dissection of the Rise of Balen Shah
1. Background: Hunger for Change or a Strategic Experiment?
The recent Gen Z movement in Nepalese politics and the wave of a so-called “new force” built upon it is not merely a coincidence. History shows that when traditional political forces in a country become weak and discredited, external actors often promote celebrity figures as political messiahs.
A striking similarity can be observed in the timeline and style of the rise of Volodymyr Zelenskyy in Ukraine and Balen Shah in Nepal. Both individuals entered politics from artistic backgrounds, mobilized youth through strong anti-corruption rhetoric, and gained support from Western institutions.
This raises an important question: Is Balen Shah truly an alternative for good governance in Nepal, or is he a “Zelenskyy-model figure” prepared by international actors to open a China-front strategy within Nepal? To answer this question, it is necessary to closely examine his tenure at Kathmandu Metropolitan City and the institutions surrounding his political rise.
Recent academic studies indicate that youth movements in Nepal have accelerated political change, but external influence and populist strategies have also played a significant role.¹ ² Balen Shah’s rise began with the 2022 mayoral election, in which he defeated established political parties by capitalizing on youth frustration and the strategic use of social media.³ This victory highlighted the growing influence of youth participation in Nepal’s political evolution.⁴
2. The Reality of Performance: ‘Digital’ Fans but ‘Failure’ on the Ground
Although Balen Shah presented himself as an engineer who understands systems and governance, available data suggests a different reality. His tenure as Mayor of Kathmandu Metropolitan City has remained controversial.
One major concern is the failure to utilize the municipal budget effectively. A large portion of the annual budget allocated for capital expenditure has remained unused. Funds intended for development projects remained frozen while citizens experienced little improvement in basic urban services. Such financial underutilization raises serious questions about administrative capacity.⁵
Pre-election promises regarding transport management and sustainable waste management also remain largely unresolved. These issues were central to his campaign rhetoric, yet Kathmandu continues to face the same problems.
Critics have also raised concerns about the humanitarian implications of certain municipal actions. Evictions of squatters and street vendors without adequate rehabilitation or alternative arrangements have been widely debated. Such actions have led some observers to describe the governance style as heavy-handed or authoritarian in nature. The question therefore arises: when governance claims to represent reform and accountability, who bears the social cost when the livelihoods of the poor are disrupted?
Research on populist leadership in developing democracies suggests that populist figures often mobilize youth and public anger to gain power but frequently struggle to deliver effective governance afterward.⁶ ⁷ Weaknesses in service delivery and project implementation during Balen Shah’s tenure have been cited by critics as examples of the limitations of populism in practice.⁸
3. The Mirror of Facts: Declining Performance Indicators of Kathmandu Metropolitan City
Statistical indicators further illustrate the challenges faced by the metropolitan administration under Balen Shah’s leadership. Kathmandu Metropolitan City has reportedly dropped to the fourth position among metropolitan cities in terms of overall performance nationwide.
Capital expenditure has remained particularly low, with less than twenty percent of the allocated development budget reportedly utilized. At the same time, financial audits have pointed to additional irregularities amounting to approximately NPR 780 million within a single year.
Another issue concerns unauthorized travel expenditures. Foreign trips conducted without prior approval from the relevant federal ministry reportedly resulted in irregularities amounting to approximately NPR 5.6 million. Governance evaluations have also suggested low scores in areas such as service delivery and project execution.
4. The Mask of Good Governance and the Question of Financial Irregularities
Balen Shah rose to prominence with the slogan of corruption-free governance. However, reports of financial irregularities during his tenure have raised questions about whether the reality matches the rhetoric.
Financial audits indicating large outstanding irregularities and recovery obligations within the metropolitan administration suggest that internal financial management remains a challenge.⁹
Controversies have also emerged regarding foreign travel conducted without prior approval from the federal government. Such incidents have been interpreted by critics as an attempt to place personal authority above institutional procedures and the rule of law.¹⁰
Furthermore, comparative evaluations of metropolitan cities have placed Kathmandu in a relatively weak position despite its portrayal in public discourse as a model of reform.¹¹ Studies of populism also indicate that such political movements often promote personalized leadership and political narratives rather than strong institutional governance.¹²
This leads to a broader public debate: if transparency and financial discipline cannot be fully ensured at the municipal level, how would similar leadership perform at the national level where budgets are vastly larger and administrative complexity is far greater?
5. Fear of Becoming a Pawn in Geopolitical Strategy
Another dimension of debate surrounding Balen Shah’s rise concerns geopolitics. Some analysts have questioned whether the involvement and support of Western institutions around emerging youth-driven political movements in Nepal may have strategic implications.
The debate is sometimes linked to discussions surrounding the proposed State Partnership Program, which the United States has sought to introduce in Nepal in the past. Analysts argue that populist leadership structures can sometimes make it easier for external powers to advance strategic partnerships.¹³
Others warn that increased alignment with Western institutions could unintentionally draw Nepal into broader strategic competition between global powers, particularly between the United States and China.¹⁴ Such concerns have led some commentators to ask whether Nepal could risk becoming a geopolitical battleground similar to Ukraine.
Academic discussions on youth political movements in Nepal also suggest that international influence can sometimes shape domestic political activism and narratives.¹⁵ ¹⁶
6. Coincidence or Strategic Experiment? The “Zelenskyy Model” Comparison
Observers have occasionally compared the political trajectories of Volodymyr Zelenskyy and Balen Shah. Both emerged from outside traditional political systems and relied heavily on public dissatisfaction with established political parties.
Zelenskyy rose to power as a comedian and television personality who campaigned strongly against corruption and political elites. Similarly, Balen Shah emerged as a rapper and engineer who criticized traditional political parties and mobilized support through social media and youth networks.
Some analysts have also noted that organizations such as the National Endowment for Democracy and the International Republican Institute have historically supported democratic activism in many countries, including youth political engagement. Critics argue that such involvement sometimes intersects with geopolitical interests, although supporters view these programs as part of broader democracy-promotion initiatives.
Whether these parallels represent genuine similarities or merely superficial comparisons remains a matter of debate. However, the comparison itself reflects growing concern among some analysts about the geopolitical implications of emerging populist leadership models.
7. Warning: The Risk of Belonging Nowhere
History provides many examples of political figures who were supported by external powers during moments of political transition but later found themselves isolated once strategic priorities shifted.
If emerging political leaders in Nepal were ever to prioritize external agendas over the country’s long-standing policy of non-alignment and internal stability, the long-term consequences could be severe. Nepal’s geopolitical location between major powers makes such decisions particularly sensitive.
Ultimately, citizens must evaluate leadership not merely by public image or emotional appeal but by long-term conduct, institutional commitment, and policy outcomes. Political enthusiasm driven by frustration with old systems is understandable, but responsible democratic decision-making requires careful scrutiny of both rhetoric and results.
If we fail to examine these factors critically, a single emotional political choice could potentially shape the nation’s future in ways that are difficult to reverse. Data may reveal weaknesses in governance, yet strong narratives and international attention can sometimes create an illusion of success.¹⁷
Bibliography
Magar, R. B. P. (2025). Political Culture and Democratic Transition after Gen Z Movement in Nepal. Rajarshi Janak University Research Journal.
Thapa, M. (2025). Populist Wave in Nepalese Politics: Communitarianism, Republic Citizenship, Utility and Personalization of Politics. Journal of Political Science, NepJOL.
Acharya, A. (2024). Influence of Youth Engagement on Nepal's Political Evolution. Interdisciplinary Journal of Management and Social Sciences.
Arafat, M. Y. (2025). Reflections from Uprising: The Role of Youth and Social Media in Political Movements in Nepal and Indonesia. Journal Tirta Pustaka.
Gyawali, S. (2025). A Structural Analysis of Nepal's Maoist Movement and Gen-Z Struggles through a Large-Scale and Long-Run Perspective. NPRC Journal of Multidisciplinary Research, NepJOL.
Gautam, D., Sapkota, S., & Baral, K. (2025). Digital Activism and Crisis in Nepal: Examining Gen-Z Movements and the Decline of Tourism. Kalika Journal of Multidisciplinary Studies, NepJOL.
Thapa, M. (2025). The Populist Surge: Analyzing its Global Dimensions and Implications for Democratic Governance. Journal of Political Science.
O’Neill, T. (2020). Youth Political Engagement and Democratic Culture in Republican Nepal. Himalaya Journal.
Subedi, D. B. (2025). Transitional Nepal May Face Real Dangers from Rising Religious Populism. Populism Studies.
Mishra, M. K., & Dubey, S. (2026). Nepal’s Parliamentary Elections: A Hope for a Stable and Prosperous Nepal. VIF India Journal.
Resnick, D. (2024). Political Process: Public Opinion, Attitudes, Parties, Forces, Groups and Elections. International Political Science Abstracts.
Resnick, D. (Various). Research on populism and youth in developing democracies.
Various Authors (2025). Geopolitical Crosscurrents in Nepal's Youth Politics. APLN Analysis.
Various Authors (2025). Youth Movements in South Asia: Nepal's Gen Z in Comparative Perspective. Asia Pacific Foundation / Journal sources.
Various Authors (2025). Hidden Politics behind the Gen-Z Movement in Nepal. ResearchGate.
Various Authors (2025). Generation Z's Protest and Political Transformation in Nepal. International Journal of Multidisciplinary Research.
Various Authors (2025). Nepal's 2025 Uprising in International Context. ResearchGate Geopolitical Analysis.
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Monday (2026-3-2)
My Political Journey, Analysis of Current Circumstances, and the Upcoming Election: The Anxiety of a Conscious Citizen
1. That Smoke-Filled Room and Today’s Light
I remember a time about 55 or 56 years ago. My place for doing homework and studying was the upper floor of a house with a thatched roof. When I would start reading and writing, hunched over a straw mat in front of a small oil lamp (tuki), even a slight gust of wind would blow out the light. Frustrated, I completed my school years by studying at the home of my close friend, Bishwanath-ji. Growing up in such a background, with the support of my family and the grace of God, I became the first in my family to cross the highest threshold of higher education. After spending 13 years abroad—7 years in Japan and 6 years in the USA—for study and research, I returned to my motherland to serve it, even renouncing the Green Card I received immediately upon arriving in America. Iowa State University did not want to let me go and allowed me to continue my research, writing, and publication work from Nepal while receiving the same benefits as in the US for three years. However, nine years after returning from America, I lost my 27-year-old son due to health reasons. Until then, I had never been active on Facebook, but since then, I have been occasionally sharing health awareness materials and uploading them to my personal website, Explore Ikigai.
2. The Infatuation with Leftism and the Illusion of the Rise of 'New' Forces
While studying in school, I began interacting with my neighbor and teacher, Bishnu Ghimire Sir, who taught me about Marxist theory. Whenever I had a little free time, I would go to his house and translate English picture stories of Liu Hulan—a child hero of the Chinese Revolution—into Nepali with beautiful handwriting to distribute among my peers. My involvement deepened as I helped underground leaders who visited his house move to safe shelters late at night. The study of Marxist philosophy took deep root in my young mind. It feels like just yesterday when, at the age of 13 during the 1936 BS (1979 AD) Referendum, I was printing litho pamphlets written by my own hand on stencil paper and giving speeches calling to boycott the "deceptive and fraudulent" referendum. That political attachment continued uninterruptedly. However, since returning to Nepal from America, witnessing the unstable political fluctuations, the scramble of major parties for power, and their collusion with anyone to serve their interests, my disappointment reached its limit. When the leftist force—which the Nepali people had trusted with nearly a two-thirds majority—was shattered by the ego and arrogance of a single prominent leader, I stopped renewing my party membership and chose to remain neutral.
When a party emerged claiming to be a "new and independent" force, hope began to rise in my heart as well. As a conscious citizen who is well-educated and returned home after a long stay abroad to do something for the country, I thought about joining politics as a light for the new force in the upcoming '84 general elections. While I was making plans without even consulting my family, those dreams were shattered. The party I had hoped in, after winning a small number of seats and becoming the fourth force, prioritized the hunger for the Ministry of Home Affairs over raising a strong voice in the opposition. Eventually, the party leadership itself ended up in jail due to scandals involving dual passports, dual citizenship, and cooperative fraud.
3. Secret Investigation Reports of Powerful Commissions and Withdrawal of Serious Cases
The discontent brewing among the youth against corruption and for good governance was poured onto the streets. At Maitighar Mandala, young students in school and college uniforms were surrounded and pushed toward sensitive prohibited areas by bullet-bikers wearing black t-shirts with "TOB" or "Tibetan Origin of Blood" written in large letters. This led to a pre-planned mayhem and shooting. On the other hand, using that as an excuse, looting, arson, and the escape of thousands of prisoners—including party leaders—from jail occurred the next day, leaving me stunned.
After the interim government formed a powerful commission to investigate the movement, even after finishing the statements and writing the report, the fact that the report was not made public startled me further. Subsequently, money laundering cases against 100 individuals were withdrawn in a single decision. The High Court of Butwal overturned a Supreme Court decision that prohibited release on bail, and the party chairman was released after paying millions of rupees as the liability for the cooperative fraud. Furthermore, an overnight agreement was reached between the party and a so-called "Gen-Z leader"—the same person who had publicly insulted everyone with "Fu** Fu**" months ago—wherein they claimed ownership of the Gen-Z movement in the first point of their agreement. Seeing leaders of the Barbara Foundation, who have been nurturing Tibetans in Nepal, being made ministers, I continued to remain indifferent to politics and elections, posting only health materials on social media.
4. Events and Articles that Shook My Mind
My perspective shifted drastically after I read a warning from a Chinese author with access to government levels, shared by political analyst Mahadip Pokhrel. The author, Pu Yu Hai, wrote that on January 29, this interim government provided a "distinguished diplomatic protocol" and high security to Rimpoche, the representative of a Tibetan religious leader, to help him return to India. Meanwhile, just one week prior, a Chinese government delegation had to hear "Free Tibet" slogans at the airport. He wrote: "Nepal says 'One China Policy' with its mouth but encourages anti-China activities in practice. If Nepal does not stop such activities, apologize, or expel those involved, it will face serious consequences." Confirming this, the Chinese Embassy in Nepal issued a demarche to the Ministry of Foreign Affairs seeking an explanation. After spending a week investigating this incident and the warning, several terrifying facts emerged one after another.
5. The 'Grand Design' Behind the Scenes and Successive Facts
While the Prime Minister of Nepal was in China signing the BRI agreement, he did something no other Nepali head of government had done: held bilateral talks with Russian President Putin to develop relations and participated for the first time as a Nepali head of government in the military parade at Tiananmen Square. As China emerges as the second major power challenging US dominance, an extremely autocratic, stubborn, and imperialistic individual has risen to leadership in America. This leadership has cut funding for agencies like USAID and is dedicated to establishing the Dalai Lama in the autonomous region of Tibet, while attacking countries like Venezuela and Iran. In this context, it is impossible to estimate what strategy the US might use to establish a base camp in Nepal against China.
On the other hand, a figure with no political background who emerged three years ago as the Mayor of Kathmandu has done little notable work. Instead, he used dozers to evict squatters without providing alternatives and suppressed low-income citizens on the sidewalks. Before fulfilling promises like waste management with processing and solving traffic problems "in a snap," he was listed among the "Top 100 Mayors" of the world and was highly praised by The New York Times. Despite not being able to spend even 20% of his budget and having 780 million rupees in irregularities (with 280 million needing to be recovered), he forgot his stature as a Mayor to engage in social media brawls with the Prime Minister and Chief Justice. When his wife’s Kathmandu Metropolitan vehicle was checked by traffic police according to the rules, his outburst—"I will set Singha Durbar on fire"—was celebrated on social media.
Furthermore, a party meeting in Janakpur last August decided that this government should not be allowed to rule until 2084 and an environment for mid-term elections must be created. Many members of the US Youth Council are in that same party. Former mayors and former Home Ministers, also members of the Council, are now candidates for Prime Minister, standing in constituencies like Jhapa-5 just to defeat Oli at any cost. Additionally, despite the government issuing public notices for months to register platforms like Viber and TikTok, giants like Facebook refused to comply. The government's decision to regulate social media provided a huge boost to the forces that had long been preparing to establish a government favorable to them.
6. The Bloodshed of Bhadra 23 and 'Discord' Training
Using the social media regulation as a pretext, youth who cannot survive without social media were agitated through posts on platforms like Discord. On Bhadra 23, new IDs were created to call students in school and college uniforms to the front of the mass at Maitighar Mandala. The crowd was agitated to break into the prohibited area of the Parliament building, breaching the gates and walls, and attacking the police. In self-defense, police were forced to fire, resulting in the deaths of 19 youths. Visuals circulated on social media of motorcycle riders wearing "TOB" t-shirts with pistols tucked in their waists, inciting the crowd.
The Prime Minister and Home Minister were then portrayed as having directly ordered the "slaughter of innocent children." Several leaders who are now candidates in the Falgun 21 election were directly involved in those protests. That same force succeeded in getting their party chairman out of Nakkhu Jail, only for him to return after widespread protests. America, wanting to keep India (which has good relations with Russia for oil) under its influence and desiring a military presence in Nepal to weaken its rival China, succeeded in implementing the MCC agreement. While such aid was cut elsewhere after Trump came to power, it continued in Nepal. Failing to secure the strategic SPP agreement through old parties, it became necessary to bring a "new force" to power. Through the Barbara Foundation and Youth Council, billions were invested to train youth via Discord on how to make petrol bombs in glass bottles. These were used on Bhadra 24 to burn national treasures, historical documents, and case files at Singha Durbar and the Supreme Court. It is no coincidence that after such destruction, the government fell, and people from the Youth Council and Barbara Foundation were made Prime Minister and Ministers, who then resigned six months early to become candidates.
7. Upcoming Danger: Nepal Toward Becoming a Battlefield
Even if this so-called "new force" wins a majority due to the current electoral wave desired by America, they cannot pass laws like the SPP or amend the constitution because they have zero representation in the National Assembly. This will lead to further conflict and destruction, providing a pretext for the US to enter Nepal. To prevent this, India’s RAW might initiate a military intervention through the open border, and China, which has repeatedly warned the interim government, will not remain silent. I am restless with the worry that my beloved motherland might become a massive battlefield in the near future.
8. Conclusion
In such a situation, although my political faith and trust wavered due to the faint hope that the so-called new force might do something for the country, I have no doubt now. My vote will go to the only force and party that has remained as unshakable as a Satisal tree to protect the national integrity of the country and has enabled proud Nepalis to hold their heads high in the world. This force is hidden from no one's eyes. I hope this upcoming election is completed peacefully, and the new government will publish the investigation commission’s report immediately without distortion, punish all those responsible, eradicate corruption from its roots, and not allow the country’s sovereignty and integrity to be compromised by the dictates of foreign powers.
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Crisis over Nepal's Economic Sovereignty: Policy Corruption and FATF Surveillance
Preface: Financial Governance and National Existence
A nation's true strength lies not only in its geographical boundaries or military power, but in the transparency and good governance of its financial system [1]. Nepal currently stands at a critical juncture where the conflict between internal 'policy corruption' and international financial standards is taking the form of a national crisis [2]. 'Cleanliness' and 'ethics' are absolutely indispensable in national life, but the current political and economic landscape indicates a journey in the opposite direction [3]. In recent developments, in February 2025, the FATF placed Nepal on the 'Grey List', which has increased the threat of economic isolation, rising transaction costs, and a decline in foreign investment [4]. This situation has arisen from incidents of cooperative fraud, money laundering, and political interference, which have weakened Nepal's financial system.
Policy Corruption: A New Form of Institutional Crime
'Policy Corruption' is far more lethal than traditional corruption (Personal Bribery). In this, high-ranking state officials amend laws themselves to benefit power centers or business houses close to them [5]. This trend is clearly visible in Nepal: between 2022 and 2025 (2079-2082 BS), decisions were made to withdraw cases related to cooperative fraud due to political pressure, such as charges of money laundering and organized crime against certain high-profile political figures [6]. This has created a situation of 'State Capture,' where policymaking itself is misused for private interests [7].
Dismissal of Cases and Immunity: Placing nearly 100 major cases related to Money Laundering on hold under the pretext of political pressure or 'lack of evidence' gives a clear signal of 'State Capture' in Nepal [5]. For instance, in 2025, the CIAA filed land irregularity cases against 92 individuals, including a former Prime Minister, but delays in implementation have been observed [8].
Interference in Constitutional Bodies: Political appointments in investigative bodies and their inability to work independently have increased the risk of Nepal becoming a 'Safe Haven' for financial criminals [6]. The 2024 APG evaluation exposed weaknesses in Nepal's money laundering control, which includes the embezzlement of billions belonging to 7.1 million cooperative victims [9].
Policy corruption has increased Illicit Financial Flows, with an estimated annual average of $567 million USD exiting Nepal [10]. This increases economic inequality and obstructs development.
Technical Surveillance by FATF and APG and Nepal's Status
When the Financial Action Task Force (FATF) and the Asia Pacific Group (APG) conducted a 'Mutual Evaluation' of Nepal's financial health, they provided 40 technical recommendations [1]. In the 2023 MER (Mutual Evaluation Report), Nepal showed low effectiveness in 7 out of 11 Immediate Outcomes [4].
Legal Lacuna: The delay in amending the Money Laundering Prevention Act according to international standards (FATF Standards) has led the global community to question Nepal's intentions [7]. In February 2025, Nepal fell onto the 'Grey List', increasing money laundering risks [3].
Monitoring of PEPs: Nepal's legal implementation regarding the investigation of assets of 'Politically Exposed Persons' (PEPs) and the monitoring of their financial transactions has been found to be extremely weak [1]. This has fostered high-level corruption, such as political protection in cooperative fraud [6].
In the APG's 2024–2025 annual report, Nepal was re-evaluated in the FUR (Follow-Up Report), but risks persist [2]. This has pushed Nepal toward the risk of the 'Dark Grey List' or 'Black List' [9].
The Dreadful Economic Cost of the 'Grey List'
If Nepal remains listed on the FATF 'Grey List', it will shake the very foundation of our economy [8]:
Banking Isolation: Foreign banks will place Letters of Credit (LC) issued by Nepali banks under 'high risk,' making import-export trade expensive and cumbersome [7]. Since being placed on the 'Grey List' in 2025, transaction costs have increased [4].
Cuts in Foreign Aid: Agencies like the World Bank and IMF will add stringent conditions to concessional loans and grants provided to Nepal, which will directly affect development and construction [9]. Remittance, which contributes 25% to Nepal's GDP, will be affected [10].
Remittance Crisis: Money sent by Nepalis in foreign employment will face many obstacles when coming through banking channels, which will increase illegal transactions like Hundi [10]. This promotes the shadow economy [5].
The 'Grey List' reduces foreign investment, which impacts employment and development [8].
Geo-political Security and Illicit Financial Flows
Nepal's financial instability is not just our internal matter; it is also linked with the security of neighboring nations and world powers [7].
Fear of Terrorist Financing: Power nations fear that international criminals might use Nepal's soil to transport money (Money Laundering) due to the lack of financial transparency [4]. In 2024, the APG mentioned this in Nepal's risk assessment [2].
Influence of Black Money: The increasing use of 'black money' in politics is pushing honest entrepreneurs out of competition, which has spoiled the industrial environment [5]. The incidents of cooperative fraud are examples of this [6].
Policy corruption has increased illicit flows, leading to billions of dollars exiting Nepal [10].
Paths to Solution and the 'Ikigai' Approach
To overcome this crisis and make Nepal a respected nation on the international stage, it is already late to take the following steps:
Creation of Autonomous Bodies: The Department of Money Laundering Investigation must be completely freed from political interference and developed as a powerful and independent constitutional body [5].
Digital Transparency: Every major economic transaction and asset detail should be linked to a digital system and brought under the scope of public monitoring [8].
Ethical Leadership: Only honest leadership based on the 'Ikigai' path can uproot this policy corruption [3]. It is necessary to strengthen the CIAA [6].
Additional measures include strict monitoring of PEPs, legal amendments, and increasing international cooperation [1].
Conclusion
Nepal is no longer in a position to run merely on assurances. Avoiding the FATF 'Black List' is not just a technical success; it is the final battle to save our national existence and economic sovereignty [2]. If we do not take strict steps against policy corruption today, tomorrow's generation will suffer through a bankrupt and internationally defamed nation. Immediate reform is necessary to exit the 'Grey List' [4].
Bibliography
FATF. (2024). Anti-money laundering and counter-terrorist financing measures: Nepal Mutual Evaluation Report. Paris: FATF/APG Publication.
APG. (2025). Annual Report 2024-2025. Sydney: APG Secretariat.
Bhusal, T.P. (2016). Corruption and Illicit Financial Flows in Nepal. Tribhuvan University Journal, 30(2), 217-228.
Pokharel, G. (2024). A Study on the Threats of Financial Crimes in Nepal. Cambridge Open Engage.
Gocher, T. (2024). Corruption in Least Developed Countries and ESG (Responsible) Investment: Standard Chartered Bank in Nepal. Journal of Financial Regulation and Compliance.
Liu, T. (2021). The Dark Side of Transparency in Developing Countries: The Link Between Financial Reporting Practices and Corruption. International Journal of Accounting Information Systems, 41.
IMF. (2024). 2024 Article IV Consultation - Staff Report for Nepal. Washington DC: International Monetary Fund.
World Bank. (2023). Nepal Development Update: Restoring Real Sector Resilience. Washington, DC.
Pyakurel, U. (2024). Remittance and Shadow Economy: A Threat to Nepal's Financial Integrity. Journal of South Asian Studies.
Bhattarai, P. (2023). The Nexus Between Business Elites and Political Leadership in Nepal. Journal of Foreign Affairs.
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Contempt of Court and Cooperatives Victims' Tears: Justice or Judicial Setting?
Introduction
Recent developments in Nepal's judicial system have raised serious questions about the rule of law. Attempts to grant immunity to defendants in cooperative fraud cases, the tendency of lower courts to ignore Supreme Court orders, and political interference are shattering the credibility of the judiciary. In this article, an in-depth investigation into the emotional and financial pain of cooperative victims, evidence of judicial "setting," and its long-term impact is presented. Based on facts obtained from recent news (2025–2026) and peer-reviewed social science journals, this analysis emphasizes the weaknesses of the justice system and the tears of the victims. Cooperative fraud has affected more than 7.1 million common citizens, involving the embezzlement of billions of rupees [1]. This is not merely a legal issue, but rather a crisis of social justice and mental health.
Cooperative Fraud Developments and Judicial Deviation
In recent days, political interference in Nepal's cooperative fraud cases has become clearly visible. For instance, in cases against certain high-profile individuals, the Office of the Attorney General decided to withdraw organized crime and money laundering charges, a move that the Kaski District Court has temporarily halted [2]. The Supreme Court has demanded justification for this decision, which has increased suspicions of judicial setting [3]. When lower courts violate Supreme Court orders, it is a contempt of the judicial hierarchy. Research shows that such deviations decrease public trust, resulting in increased social instability [4]. The number of cooperative victims has reached 7.1 million, with billions of rupees looted from cooperatives such as Surya Darshan, Swarnalaxmi, and Supreme [5]. These incidents have increased the risk of depression, anxiety, and suicide among victims, as proven by psychological studies [6].
Emotional Pain of Victims and Social Impact
The tears of cooperative fraud victims are not just a reflection of financial loss, but of emotional crisis. According to one study, financial fraud causes symptoms such as PTSD (Post-Traumatic Stress Disorder) in victims, where it was found that 40% of victims have contemplated suicide [7]. In Nepal, even when cooperative victims protest in the streets, they remain in a state of not receiving justice, which has increased social inequality [8]. Political parties are accused of granting immunity to defendants to manage 'black money' for elections [9]. This shows the misuse of the justice system through 'setting,' resulting in a situation where only the poor end up facing punishment. International reports have depicted political interference in Nepal's judiciary as a form of corruption, which violates human rights [10]. Incidents such as victims' weddings being cancelled or lack of medical treatment have created an emotional void in society.
Evidence of Judicial Setting and Solutions
Evidence of judicial setting is clear: when lower courts violate the Supreme Court's orders, it is a sign of corruption [4]. The Auditor General's report has exposed the failure of cooperative regulation [5]. Emotionally, the tears of the victims show the emptiness of the justice system. For a solution, judicial reform is necessary: increasing transparency, stopping political interference, and adopting victim-centered justice processes [10]. If such deviations continue, Nepal's democracy will be at risk.
Conclusion
Cooperative fraud and judicial setting are challenging Nepal's justice system. The tears of the victims speak to the necessity of justice, which is supported by scientific research. Now, civil society, media, and international organizations must remain vigilant.
Bibliography
Acharya, B. (2025). Legal Framework and Judicial Responses to Cooperative Fraud in Nepal: A Case Study Analysis. Academia.edu.
Nepal Rastra Bank. (2025). Cooperative Sector Crisis: Macroeconomic Implications and Policy Failure. Nepal Rastra Bank Report.
Human Rights Watch. (2025). Nepal: Justice for Sale? The Rise of Political Influence in the Judiciary. Human Rights Watch Journal.
Transparency International Nepal. (2026). Special Study on Corruption within the Lower Courts of Nepal. Transparency International Report.
World Bank. (2025). Legal and Judicial Environment for Financial Sector in Nepal. World Bank Discussion Paper.
El-Rufai, N. (2023). Combating Corruption in Nepal: A Human Rights Based Approach. SSRN Journal.
Paudel, R. (2025). Governance of Co-operative Societies in Nepal: A Case Study of Makawanpur District. ResearchGate.
International Commission of Jurists. (2026). Upholding Judicial Integrity in South Asia: Focus Nepal. ICJ Journal.
Nepal Bar Association. (2026). White Paper on Judicial Corruption and Interference in Transitional Governance. Nepal Bar Association Bulletin.
OSCE. (2025). Discussion Paper on Transnational Crime and Corruption. OSCE Report.
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Kathmandu’s 'Populism' and Governance Failure: From the Dust of the Streets to the Dreams of Singh Durbar
Introduction: The Trade of Dreams and the Gap of Reality
Kathmandu Metropolitan City is not just a local government; it is the governance mirror of Nepal. The current leadership, which emerged three years ago with the slogan of "Change," showed the people dreams of waste processing, traffic management, and a Digital Kathmandu; however, today that has remained limited only within the frames of 'Facebook and TikTok.' Governance Capacity is measured by budget expenditure and results, not by slogans. However, the current state of the Metropolis has academically confirmed how 'Populism' becomes a factor in governance failure [1].
Introduction: The Trade of Dreams and the Gap of Reality
Kathmandu Metropolitan City is not just a local government; it is the governance mirror of Nepal. The current leadership, which emerged three years ago with the slogan of "Change," showed the people dreams of waste processing, traffic management, and a Digital Kathmandu; however, today that has remained limited only within the frames of 'Facebook and TikTok.' Governance Capacity is measured by budget expenditure and results, not by slogans. However, the current state of the Metropolis has academically confirmed how 'Populism' becomes a factor in governance failure [1].
Economic Anarchy: A Pitiable Picture of Unsettled Accounts and Budget Implementation
The latest 62nd Annual Report of the Office of the Auditor General has raised serious questions about the financial discipline of Kathmandu Metropolis. The appearance of more than 680 million 200 thousand (68 crore 2 lakh) in unsettled accounts (Beruju)—the highest among the six metropolises—and the inability to carry out Capital Expenditure of the allocated budget at a low percentage (less than 20%, or ranging from 10–44% in recent years) clearly exposes the administrative incompetence of the leadership [2][3]. A frozen budget means the snatching away of the citizens' right to development. Haphazard wasteful spending, contracts made by bypassing legal processes, and millions of amounts given in the name of consultants to close associates are turning the Metropolis into a hub of financial corruption [4].
3. Infrastructure and Waste Management: Three Years of Zero Significant Progress
During the election, tall claims were made about processing waste with 'Japanese technology' and making Kathmandu's streets according to European standards. But even today, the tears of the people of Bancharedanda have not been wiped away, nor has a long-term solution for Kathmandu’s waste been found. The unorganized expansion of 'footpaths' and the parking prohibition carried out in the name of traffic management have displaced small entrepreneurs, while the daily life of common people has become even more arduous. For leadership that cannot build a single waste processing center in three years and cannot even manage traffic lights, talking about taking the reins of the country is nothing but a political 'joke' [5][6].
4. Some Positive Progress but Weak Performance in Overall Evaluation
Although there has been progress in some sectors, the Metropolis has received low marks in the overall governance evaluation. For example, works such as dust-free roads (about 55 km), installation of street lights (more than 5,000), recovery of land by removing some illegal structures, and collection of millions of rupees from fines/penalties have taken place. These efforts have made some contribution to the improvement of the city. However, remaining at the very bottom (44.97 points) among all metropolises in the national evaluation shows a huge deficiency in infrastructure, public services, and administrative effectiveness. These positive aspects have not been able to cover the long-term problems (e.g., waste, traffic, budget implementation) [7][8].
5. Candidacy for Prime Minister: A Plot to Hide Governance Incompetence Behind 'Glamour'
The leadership, proven unsuccessful in local government, resigning from the post of Mayor to become a candidate for the post of Prime Minister signals the dominance of 'Celebrity Culture' in Nepal's politics. From the perspective of political science, it is not only ridiculous but also dangerous for a person who cannot run a small geographical unit to try to run the entire country’s economy, foreign policy, and security strategy. This is merely an attempt to satisfy the hunger for power by playing with the sentiment of the people. Is Nepal now to become merely a laboratory for those who go 'viral'? [1][9].
6. Conclusion: Citizen's Wisdom and the Upcoming Election
Learning a lesson from Kathmandu's failure, should we now hand over the entire country into the hands of a 'Populist' or search for leadership that delivers results? This is the fundamental question of today. Instead of punishing those who produce 680 million in unsettled accounts and misuse the people's taxes, if we hand over the leadership of the country as a reward, it is certain that Nepal's condition will also become bankrupt like some island nation. The upcoming election is not just an opportunity to choose an individual; it is a chance to choose between 'noise' and 'results' [10].
References:
Muller, J. W. (2025). What is Populism in Developing Democracies? Context of Nepal’s Urban Leadership. Academic Press.
Office of the Auditor General, Nepal. (2026). 62nd Annual Report: Local Level Analysis. Kathmandu. (68 crore 2 lakh unsettled accounts in Kathmandu Metropolis.)
Ministry of Finance. (2024/25). Mid-term Review of National Budget and Local Level Performance. (Capital expenditure low.)
Transparency International Nepal. (2026). Corruption Perception Index at Local Level: Focused on Kathmandu Metropolitan City.
Tribhuvan University Press. (2025). Urban Governance in Nepal: Challenges of the 21st Century. (Waste management failure.)
Asian Development Bank (ADB). (2025). Nepal’s Urban Infrastructure: Funding vs. Implementation Gap.
National Evaluation Reports and Media Analysis (2026). (44.97 points, progress in dust-free roads, etc., but overall weak.)
Various Media Reports (2026). (Fine collection, removal of illegal structures, etc.)
The Kathmandu Post. (2026). Editorial: From Mayor to Prime Minister - The Dangerous Path of Celebrity Politics. (Resignation and candidacy.)
Nepal Policy Institute (NPI). (2026). The Economic Cost of Incompetent Local Governance: A Study of Metropolises.
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Interim Government's 'Policy Corruption': Who Gave the Authority to Grant Impunity to 100 Convicted Individuals?
When a government entrusted with the sacred mandate to conduct elections suddenly transforms overnight into a mechanism for whitewashing criminals, the soul of democracy weeps. This interim government, born from the blood of the Gen-Z movement in Ashwin 2082 and currently led by former Chief Justice Sushila Karki, has taken a recent step that risks turning Nepal into a "safe haven for criminals" in the eyes of the international community [1]. The decision to withdraw cases against nearly 100 influential figures facing serious money laundering charges is not a mere administrative procedure—it is a ruthless assault on the nation's moral fabric. This move has dropped organized crime and money laundering charges from fraud cases in Nepal's cooperative sector, implicating names such as Rastriya Swatantra Party (RSP) Chairman Ravi Lamichhane, fugitive accused G.B. Rai (Gitendra Babu Rai), former DIG Chhabilal Joshi, and others [2].
The very foundation of this interim government lies in the people's anti-corruption movement. Last Bhadra, the Gen-Z-led protests claimed 76 lives, leading to the fall of the KP Oli government and the formation of this interim administration under Sushila Karki [3]. Yet, within just six months, it has inverted its mandate by adopting a policy of exonerating criminals. With the general election slated for Falgun 21 approaching, this decision etches a dark chapter into Nepal's political history.
1. Election Donations and the Unethical Transaction of Case Withdrawals
No interim government holds constitutional authority to enact long-term policy decisions. However, as the Chaitra 21 election nears, the government's rush to launder "black money" belonging to agents of powerful nations and major business houses into white has cast serious doubt on the election's impartiality [4]. Investigations reveal that most individuals whose cases were withdrawn have pledged substantial donations to both "new" and "old" political forces in the upcoming polls. Is this election to be decided by the people's votes or by criminals' laundered funds?
This decision was issued by Attorney General Savita Bhandari under Prime Minister Karki's directive. She instructed the removal of organized crime and money laundering charges in pending cases across Kaski, Rupandehi, Kathmandu, and Parsa district courts [5]. These include fraud cases involving Swarnalaxmi Cooperative (39 individuals), Supreme Savings and Credit Cooperative (22 individuals, including Ravi Lamichhane), Sano Paila Cooperative (29 individuals), and others, where billions of rupees were embezzled [6]. Evidence shows that Ravi Lamichhane alone authorized the expenditure of Rs 480 million from Sahara Chitwan Cooperative funds through a single signature (via 814 checks routed through Gorkha Media accounts), yet the organized crime and money laundering charges against him have already been withdrawn [7].
The deal is transparent: these "dons" who amassed billions through cooperative frauds are now donating election funds to sustain the ruling power. The Nepal Bar Association has condemned this as a "violation of law and procedure" [8]. Opposition parties have labeled it outright "treason."
2. FATF’s ‘Grey List’ and Nepal’s Economic Death Sentence
The international financial watchdog, the Financial Action Task Force (FATF), had already placed Nepal under warning. In February 2025, Nepal was grey-listed due to deficiencies in regulation, investigation, and prosecution in high-risk sectors like cooperatives, real estate, and banking [9]. At this critical juncture, withdrawing 100 cases guarantees pushing Nepal from the Grey List toward the Black List [10].
Black-listing would halt Letters of Credit (LC), block foreign aid, and devalue ordinary Nepalis' remittances to pennies. FATF's February 2025 plenary placed Nepal under "Increased Monitoring," mandating completion of seven action items: risk assessment, supervision of high-risk sectors, Money or Value Transfer Services (MVTS) controls, improved investigation capacity, enhanced prosecution, asset seizure, and targeted financial sanctions [11]. This decision directly undermines all of them.
Nepal endured the Grey List from 2009–2014 and required immense effort to exit [12]. The present move will damage Nepal's standing at the FATF plenary in Mexico in February 2026. Finance Minister Rameshwar Prasad Khanal called for "collective efforts" to exit the list, yet the government has chosen the opposite path [13]. Is this patriotism or national betrayal?
3. 'Black Money' Concealed Behind the Mask of Politics
The withdrawal list includes numerous middlemen who hold top political leaders in their pockets. Nullifying years of evidence gathered by the Department of Money Laundering in a single cabinet meeting represents the ugliest spectacle in Nepal's judicial history [14]. It demoralizes honest, tax-paying industrialists and institutionalizes the "loot if you can" culture. This decision prioritizes the interests of dons and brokers over national sovereignty.
Historically, cooperative fraud in Nepal has deep roots. In 2024 alone, 1,200 individuals were fugitives with red corner notices issued [15]. In Ravi Lamichhane's case, the Central Investigation Bureau recommended organized crime and money laundering charges, but political pressure led to their withdrawal [16]. Granting impunity to fugitives like G.B. Rai dismantles the rule of law.
4. Legal Violations and Judicial Intervention
This decision breaches Section 116(2)(a) of Nepal's Criminal Procedure Code 2074, which prohibits withdrawing money laundering and organized crime cases [17]. The Supreme Court issued a show-cause notice to the Attorney General's Office, and the Kaski District Court has stayed the withdrawal process [18]. This constitutes "policy corruption," which senior advocate Yubaraj Paudel has described as "the murder of law and order" [19].
5. Public Reaction and Civil Society's Role
The Nepal Bar Association, civil society, and opposition parties are gearing up for protests [20]. The Gen-Z youth—who birthed this government through their movement—now feel profoundly betrayed. #StopPolicyCorruption is trending on social media. If uncorrected, calls to boycott the election may follow.
6. Conclusion: Citizens' Silence Equals National Destruction
If we fail to raise this question today, tomorrow no criminal in Nepal will respect the law. Warning a government that colludes with criminals under the guise of elections is the urgent need of the hour. We must demand: What benefit has the country gained from withdrawing these 100 cases? Or is this merely a carve-up of power? Unless corrected before the upcoming election, citizens will realize this poll is not for change, but to grant legitimacy to criminals.
This "policy corruption" has gravely weakened Nepal's democracy. Citizens, rise! Fight for good governance!
Bibliography
[1] OCCRP, "Nepal Court Seeks Explanation for Dropping Money Laundering Case Against Ex-Home Minister," January 21, 2026. https://www.occrp.org/en/news/nepal-court-seeks-explanation-for-dropping-money-laundering-case-against-ex-home-minister
[2] Ekantipur, "Nepal, which is on the 'grey list' of money laundering, risks being placed on the 'black list'," January 18, 2026. https://ekantipur.com/news/2026/01/18/en/nepal-which-is-on-the-grey-list-of-money-laundering-risks-being-placed-on-the-black-list-43-17.html
[3] Reuters, "Nepal panel to probe violence during anti-graft protests that killed 74," September 21, 2025. https://www.reuters.com/world/asia-pacific/nepal-panel-probe-violence-during-anti-graft-protests-that-killed-74-2025-09-22/
[4] Kathmandu Post, "Attorney general directs withdrawal of organised crime and money laundering charges against RSP chair Lamichhane," January 14, 2026. https://kathmandupost.com/national/2026/01/14/attorney-general-s-office-directs-withdrawal-of-organised-crime-and-money-laundering-charges-against-rsp-chair-lamichhane
[5] The Himalayan Times, "Money laundering, organised crime charges against all accused dropped," January 17, 2026. https://thehimalayantimes.com/nepal/money-laundering-organised-crime-charges-against-all-accused-dropped
[6] Ekantipur, "Nepal, which is on the 'grey list' of money laundering, risks being placed on the 'black list'," January 18, 2026. https://ekantipur.com/news/2026/01/18/en/nepal-which-is-on-the-grey-list-of-money-laundering-risks-being-placed-on-the-black-list-43-17.html
[7] Onlinekhabar English, "Cooperative fraud case: Rabi Lamichhane spent Rs 480 million with sole signature in Sahara Chitwan scam," February 5, 2025. https://english.onlinekhabar.com/cooperative-fraud-case-rabi-lamichhane-spent-rs-480-million-with-sole-signature-in-sahara-chitwan-scam.html
[8] Nepal News, "Nepal Bar objects govt decision to withdraw case of RSP President Lamichhane."
[9] FATF, "Jurisdictions under Increased Monitoring - 21 February 2025." https://www.fatf-gafi.org/en/publications/High-risk-and-other-monitored-jurisdictions/increased-monitoring-february-2025.html
[10] ACAMS, "FATF grey lists Nepal: Potential economic implications," January 12, 2026.
[11] FATF Nepal Page. https://www.fatf-gafi.org/en/countries/detail/Nepal.html
[12] Nepali Times, "Black, white and grey," February 12, 2025.
[13] Rising Nepal, "Finance Minister calls for collective efforts to withdraw Nepal from FATF Gray List," January 28, 2026.
[14] MyRepublica, "Bid to withdraw cases against Lamichhane may hit all money laundering, organized crime cases pending in courts," January 17, 2026.
[15] BBC Nepali, "रवी लामिछाने : कस्तो अवस्थामा सहकारी ठगी, सङ्गठित अपराध र सम्पत्ति शुद्धीकरणमा मुद्दा चल्न सक्छ?," December 18, 2024.
[16] South Asian Voices, "Nepal's Political Dysfunction: Corruption, Exclusion, and Transactionalism," December 5, 2025.
[17] Khoj Samachar, "Government Withdraws Money Laundering Charges in Cooperative Scam: Right Decision or Legal Mistake?," January 17, 2026.
[18] Kathmandu Post, "Kaski court halts withdrawal of organised crime and money laundering case against Lamichhane," February 16, 2026. https://kathmandupost.com/national/2026/02/16/kaski-court-halts-withdrawal-of-organised-crime-and-money-laundering-case-against-lamichhane
[19] OCCRP (as cited in [1] above).
[20] Facebook posts and news from Nepal Bar Association, January 2026.
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Military Diplomacy's 'Soft Power' or Footprint of Diplomatic Imbalance?
A Calm, Evidence-Based Analysis on the 263rd Nepal Army Day Event at Tundikhel
Author: Dr. Krishna Prasad Woli
Social media amplification—viral photos and videos of the US band in particular—sparked intense debate ahead of the scheduled March 5th elections following the 2025 Gen Z-led political upheaval (1). Critics interpreted the selective foreign presence as evidence of a tilt toward Western/Indo-Pacific alignments, while defenders viewed it as standard military diplomacy (1). Notably absent was any Chinese military band or cultural contingent, despite robust Nepal-China defence ties (2). Many online portals and social media accounts are twisting this issue to generate views, outrage clicks, and attention. As an intellectual exercise, this article aims to clarify the facts, place the event in its proper historical and diplomatic context, and separate routine cooperation from sensational narratives.
1. What Actually Happened at Tundikhel
On 15 February 2026 (Falgun 3, 2082 BS), coinciding with Maha Shivaratri and the 263rd establishment anniversary of the Nepali Army (Army Day), President Ram Chandra Paudel presided over the ceremony at Sainik Manch, Tundikhel (3)(4). The programme included the traditional military parade, feu-de-joie salute, combat skill demonstrations, and joint performances by military bands from Nepal, India, the UK (Brigade of Gurkhas), and the US (3)(5). President Paudel presented “Tokens of Remembrance” to the foreign band chiefs (3).
The Nepali Army has consistently described such foreign band participation as a routine feature of long-standing army-to-army cultural exchange programmes (3)(6). The event was public, attended by high dignitaries including the Vice President and Prime Minister, and broadcast live.
2. The Root of the Shared Musical Tradition
The visible harmony among Nepali, Indian, and British bands stems from a shared historical legacy (7). Following the Anglo-Nepalese War (1814–1816), Gurkha soldiers joined British and later Indian forces, where brass and pipe bands evolved—merging Western military instrumentation with Nepali rhythmic elements (7).
The US Army band’s participation, while more recent, relies on technical compatibility (5). Joseph Nye’s soft power concept explains why such exchanges matter: military bands function as non-coercive “musical ambassadors” that foster goodwill and build long-term affinity (8).
3. China’s Engagement: Hard Power Prominent, Soft Power Less Visible
Nepal maintains strong operational (“hard power”) military ties with China. The fifth “Sagarmatha Friendship 2025” joint exercise was held in Kathmandu in September 2025 (2)(9). These drills focus on counter-terrorism and disaster relief and align with broader connectivity goals under the Belt and Road Initiative.
However, no Chinese military band appeared at Tundikhel 2026. This creates a public-diplomacy asymmetry: China’s cooperation is robust in security domains but less prominent in high-visibility ceremonial events (2).
4. Beyond Tundikhel: The Displacement of Chinese Cultural Presence
This asymmetry is mirrored in local governance. For years, the Kathmandu Metropolitan City (KMC) and the Chinese Embassy jointly organized the Chinese New Year/Spring Festival celebrations (14). However, in early 2026, due to the rigid stance of the city's leadership, this landmark cultural event was denied its traditional venue in the city center (14)(15). Citing administrative pretexts, the KMC forced the celebration outside the Ring Road to the dusty periphery for the first time (14). This local-level friction, contrasted with the national-level embrace of Western military bands, suggests a deepening "diplomatic snub" that alienates a primary neighbor while prioritizing distant power centers (15)(16).
5. Nepal’s Hedging Strategy in a Polarised Region
Nepal’s official policy remains non-alignment and equi-proximity (10). Since 2022, Kathmandu has practised hedging: ratifying the US MCC, advancing BRI projects, and preserving relations with India (1)(10). In the charged atmosphere following the 2025 Gen Z-led protests, the optics of Tundikhel and the KMC's cultural displacement can easily be amplified into narratives of a strategic “tilt,” even if no formal policy shift has occurred (1)(10).
6. Context of Populist Leadership and Domestic Failures
This focus on optics occurs amid domestic frustrations. The leadership of Kathmandu Metropolis by a 'populist' figure—who claimed to resolve city issues "with a snap of fingers"—failed to address critical municipal issues like audit irregularities (beruju), waste management, and traffic chaos (11)(13). Public audits have flagged significant financial irregularities, totaling millions of rupees, during this tenure (11).
Furthermore, emerging political faces implicated in massive cooperative frauds—where billions of ordinary citizens' savings were diverted—now aspire to national leadership (12)(13). These individuals, currently facing trial or bail proceedings in district courts, often use social media 'hype' to divert attention from their legal entanglements (12)(13).
7. Real Risks and Practical Suggestions
The Tundikhel event is officially routine (3)(6). Nevertheless, selective visibility risks feeding perceptions of imbalance in a buffer-state context. Constructive steps could include:
Extending reciprocal invitations to Chinese cultural units for future ceremonies.
Articulating transparent defence-diplomacy guidelines to distribute engagements more evenly.
Reversing the trend of marginalizing neighbor-state cultural events at the municipal level.
Conclusion: Clarity Over Hype
The performances at Tundikhel 2026 were rooted in history, yet the uneven visibility highlights Nepal’s core challenge: sustaining credible hedging amid great-power competition. Long-term independence requires equilibrium across cultural and security domains, grounded in facts rather than social media hype.
References
South Asian Voices. (2026). Political Flux in Nepal: Strategic Adjustments by India and China.
China Military Online. (2025). China-Nepal “Sagarmatha Friendship 2025” joint training.
Rising Nepal Daily. (2026, Feb 15). President observes Army Day in Tundikhel.
Xinhua. (2026, Feb 15). Nepal holds celebratory parade to mark 263rd Army Day.
The Himalayan Times. (2026, Feb 15). Joint performances by foreign military bands.
Peoples' Review. (2026, Feb 15). Nepal Army celebrating Army Day.
Brigade of Gurkhas History. (2025). Summary of British and Indian Gorkha records.
Nye, J. S. (2004). Soft Power: The Means to Success in World Politics.
Kathmandu Post. (2025, Sep 7). Joint Nepal-China military drill begins.
Johny, E. (2025). Foreign policy strategies of Nepal: bandwagon or hedging.
Office of the Auditor General. (2025/26). Audit reports on KMC municipal irregularities.
Wikipedia. (2025-26). Cooperative scandal in Nepal (Rupandehi, Kaski, Chitwan cases).
Kantipur/Republica. (2026). Court proceedings and bail demands in cooperative fraud trials.
The Kathmandu Post. (2026). Relocation of Chinese Spring Festival outside Ring Road.
Diplomatic Diary. (2026). The Cost of Cultural Friction in Kathmandu's Local Governance.
Annapurna Post. (2026). Editorial: Maturity in Neighborhood Relations.
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Nepal’s Gen-Z Movement: Why is the Investigation Commission Report Being Hidden? Explosive Concerns of a Patriotic Citizen
Author: Dr. Krishna Prasad Woli
Introduction: The Pain of Returning and Concern for the Nation's Future
I left the technology of Japan and the advanced universities of America to return and serve my motherland. After 13 years of life abroad, I returned to Nepal with a dream in my heart—a Nepal that offers justice and opportunity to its youth.
But today, when I remember last August’s Gen-Z Movement, my eyes well up with tears. My patriotic heart grows cold seeing the streets stained with the blood of 76 innocent youths, government buildings in flames, and mothers still crying out for justice.
Did we shed blood for this kind of "change"? Was the sacrifice of our younger generation merely for a new power grab? Today, as the Interim Government repeatedly postpones the release of the Gen-Z Movement's Investigation Commission report, I am forced to ask as an ordinary citizen—Why? For whom? Why is there such a massive conspiracy to turn my country’s future into a toy for foreign powers? This article is my explosive concern, intended to touch the heart of every patriotic Nepali.
The Gen-Z Movement: A Youth Revolution and the Price of Blood
On August 23 and 24 (September 8-9, 2025), a new chapter was written in Nepal's history. Gen-Z youth took to the streets against social media bans and rampant corruption. What started as a peaceful movement turned violent due to the state's use of excessive force. Seventy-six young people lost their lives to police bullets, most of whom were under the age of 28 [1].
This movement did not just topple the government of Prime Minister KP Sharma Oli and lead to the burning of the Parliament building; it shook the very foundations of Nepali politics. The youth raised their voices against the luxurious lives of "Napo Babies" and the state's kleptocracy.
But what happened after the movement? Following the formation of the government, Interim Prime Minister Sushila Karki formed an investigation commission led by former judge Gauri Bahadur Karki. Its mandate: to investigate the violence, suppression, and vandalism during the movement [2].
I believed this commission was created for the justice of the youth. But today, as the report is repeatedly delayed, a question arises—Are we selling the blood of our youth for political interests?
Repeated Extensions of the Commission: A Game to Hide the Truth?
The commission was originally given a three-month deadline. However, on Poush 3, it was extended by one month. On Phagun 9, it was extended again by 25 days. And now, for the third time, the deadline has been pushed beyond Phagun 21 (March 5, 2026) [3].
The government claims this is to ensure the "election environment is not disturbed." But which election is this? The one where some leaders of the Gen-Z movement have formed new parties and become candidates?
This commission is investigating the vandalism, the burning of national heritage sites, and the involvement of certain youth leaders. If the report mentions names with evidence, those individuals could face imprisonment. Yet, these very individuals are now contesting elections under new political banners. Is this merely a coincidence? My patriotic soul says—this is not a coincidence; it is a massive conspiracy [4].
Pressure from Three International Human Rights Organizations: Why is the Government Silent?
Three major international human rights organizations—Human Rights Watch (HRW), Amnesty International, and the International Commission of Jurists (ICJ)—are jointly exerting pressure. On February 12, 2026, they issued a joint statement saying:
"Release the commission's report immediately. If this is hidden like past commissions, the cycle of impunity will continue in Nepal" [5].
These organizations have issued a clear warning to the Nepal government: hiding the investigation into 76 deaths and billions in damages is a violation of human rights. Yet, the Interim Government has prioritized the elections over listening to these voices. Does this government belong to the youth, or to foreign powers?
Why is the Report Being Hidden? My Investigative Conclusion
Through deep study, I have reached this conclusion: this report is being hidden because it implicates several prominent leaders of the Gen-Z movement. The commission possesses evidence that these individuals were responsible for burning national heritage, vandalism, and spreading violence. If the report is made public, they will go to jail, and the "new political force" will be weakened [6].
A "major international power" (Western nations) is pressuring the government. They supported the Gen-Z movement as a "democratic revolution." Now, if these youth leaders go to jail, their "pro-Western" agenda will be impacted. Therefore, the government has been instructed—the report must not be released [7].
This is not a guess; the facts speak for themselves. The commission has taken statements from former PM Oli, the Home Minister, and Police Chiefs, but it has not fully investigated the leaders of the movement [8].
Impact on the Election: National Integrity at Risk
The election scheduled for Phagun 21 (March 5, 2026) is the most sensitive in Nepal’s history. If the commission's report is released before the election, candidates from the new parties will fall into controversy. But if it is hidden, the youth will feel cheated. In either case, national unity is fragmented [9].
I believe foreign powers are playing this game. They want to keep Nepal unstable to fulfill their own interests. By using our younger generation, they are weakening Nepal’s sovereignty.
Conclusion: Shall We Wake Up Now? Let the Voice of Patriots Ring Out
I am a patriotic citizen. I left life abroad and returned to Nepal because I love my country. But today, when I see the sacrifice of 76 people being sold for political gain, my blood boils.
Let us all stand together and raise our voices against this injustice. Gen-Z youth, do not let your blood go in vain. Interim Government, do not hide the truth. And to all patriotic Nepalis, let us not allow our Nepal to become a foreign battlefield.
Long live the motherland! Long live youth power!
Bibliography
[1] Human Rights Watch. (2025, November 19). Nepal: Unlawful Use of Force During 'Gen Z' Protest. https://www.hrw.org/news/2025/11/19/nepal-unlawful-use-of-force-during-gen-z-protest
[2] Wikipedia. (2026). 2025 Nepalese Gen Z protests. https://en.wikipedia.org/wiki/2025_Nepalese_Gen_Z_protests
[3] ETV Bharat. (2026, February 9). Tenure Of Nepal's Gen Z Protest Probe Commission Extended By Another 25 Days. https://www.etvbharat.com/en/international/tenure-of-nepal-gen-z-protest-probe-commission-extended-by-another-25-days-enn26020905870
[4] Kathmandu Post. (2026, February 11). The Weight of Truth. https://kathmandupost.com/editorial/2026/02/11/the-weight-of-truth
[5] Human Rights Watch. (2026, February 12). Nepal: Publish Reports on Violent Crackdowns on Protests. Joint statement with Amnesty International and ICJ. https://www.hrw.org/news/2026/02/12/nepal-publish-reports-on-violent-crackdowns-on-protests
[6] BBC Nepali. (2026, February). चुनाव 'बिथोलिन नदिन' जाँचबुझ आयोगको म्याद थप (Probe Commission Extended not to disturb election). https://www.bbc.com/nepali/articles/c05vg7jveyyo
[7] Harvard T.H. Chan School of Public Health. (2025, November 17). The 2025 Gen Z Uprising in Nepal: A Three-Part Analysis. https://hsph.harvard.edu/atrocity-prevention-lab/news/the-2025-gen-z-uprising-in-nepal-a-three-part-analysis/
[8] Kathmandu Post. (2025, December 17). High-level inquiry seeks extra month to probe Gen Z protest crackdown. https://kathmandupost.com/national/2025/12/17/inquiry-commission-seeks-extra-month-to-probe-gen-z-protest-crackdown
[9] Council on Foreign Relations. (2026). After Gen Z Protests, Bangladesh and Nepal Head to the Polls. https://www.cfr.org/articles/after-gen-z-protests-bangladesh-and-nepal-head-to-the-polls
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Nepal: A Land of Peace or a New Battlefield for Superpowers? Explosive Concerns of a Conscious Citizen
Author: Dr. Krishna Prasad Woli
Background: The Pain of Returning and the Ruins of a Dream
Who am I? I am that Nepali who performed the difficult penance of study and research for 7 years within the technology and culture of Japan. I am that Nepali who, after working for 6 years at a prestigious university in the United States, renounced a 'Green Card' to return home with the sacred goal of contributing to my own country. Even if I haven't been able to achieve something extraordinary on my own soil, I am a conscious citizen living by preparing public health materials and sharing the pain of a personal family tragedy.
This return was not easy. I left the clean streets of Japan, the advanced labs of America, and a life of daily convenience to return to Nepal. Why? Because I had a dream in my heart—a Nepal that could look at its children with pride. A Nepal whose name the world views with respect.
But today, when I think of my country's future, my heart grows cold. My eyes well up. Is this the Nepal we envisioned? Is our country truly on a path to preserving its existence, or are we unknowingly becoming a dangerous battlefield for foreign power nations? [1]
Janani Janmabhumishcha Swargadapi Gariyasi!
(Mother and Motherland are greater than Heaven!)
This question is not just mine; it belongs to every patriotic Nepali. Today, through this article, I am sharing my explosive concerns with you—not in favor of any political party, nor against any religious leader or foreign power. I speak merely as an ordinary citizen in whose blood the love for Nepal flows.
Abnormal Activity: A Startling Beginning
Following the political crisis after the recent 'Gen-Z' movement, an interim government was formed under the leadership of Sushila Karki with a single-point mandate to hold House of Representatives elections within six months. After the formation of this government, a new hope was ignited in Nepal. The youth thought—now change will come, corruption will decrease, and national integrity will be strengthened. But immediately after the appointment of this government, an incident occurred that startled me for the first time.
The fact that a congratulatory message from the Tibetan spiritual leader, the Dalai Lama, arrived first—as if to a head of state—was not a normal diplomatic matter. [2] Did you notice the gravity of this? In a matter linked to a neighbor's sensitivity, what was this 'silent acceptance' by the interim government signaling?
This incident raised a question in my mind—have we not learned from history? Nepal was always known as a 'Land of Peace.' Our ancestors made the Principles of Panchsheel the foundation of their lives. But today, as the clash between global power nations intensifies, we are caught in the middle. My concern is this: if we cannot protect our sovereignty, what will the coming generation say to us?
January 29: That Mysterious Incident at Tribhuvan Airport
As time passed, suspicions began to prove true. On January 29, 2026, an incident occurred at Tribhuvan International Airport (TIA) in Kathmandu that shook the very roots of Nepal-China diplomatic relations. When Kyabje Jonang Gyaltsab Rinpoche, a representative of the Tibetan spiritual leader Dalai Lama, landed in Kathmandu, he was welcomed by the Government of Nepal with "Official Diplomatic Protocol" and high security. [3]
Looking at the history of the last 30–40 years, examples of giving "State Honors" or formal security to representatives of the Dalai Lama are extremely rare and exceptional. Past governments, for fear of irritating China, used to keep such visits secret or dismiss them as "purely religious." However, this incident in 2026 crossed those old 'Red Lines.'
I believe this incident was not just a religious visit. It was a signal—that Nepal is taking a new turn in its foreign policy. But is this turn in the right direction or the wrong one? My patriotic heart says—we have already lost our balance. When a small country cannot maintain balance between great powers, its very existence falls into risk.
Pu Yu Hai's Warning and Chinese Outrage
Immediately after this incident, influential Chinese author and intellectual Pu Yu Hai published a serious warning article in 'Dragon Media.' Attacking Nepal's "double character," he argued that giving government honors to the Dalai Lama's representative was an assault on China's sensitivity. He warned in clear words—if Nepal does not stop such activities, it will have to face serious "consequences." [4]
This warning was not just the opinion of one writer, but rather a stern diplomatic message from Beijing. Shortly after, the Chinese Embassy in Kathmandu issued a 'Demarche' to the Ministry of Foreign Affairs demanding an explanation. China has defined this as a "security breach" and a "betrayal of friendship." Some Chinese media outlets have even given symbolic threats that cross-border railways and economic assistance projects could be "reconsidered." [5]
I could not sleep all night after hearing this warning. China is our neighbor, our trading partner, and a supporter of our development. But if we ignore their 'Core Interest' (Tibet), we are hitting our own feet with an axe. My concern is that such incidents are turning Nepal into a 'Buffer State'—one used by power nations according to their own interests.
Interim Government's Immaturity and Violation of Panchsheel
The question arises—why is a government mandated to hold elections within six months working against the "Principles of Panchsheel" and the "One China Policy," which are considered the pillars of Nepal's foreign policy? The main point of Panchsheel is 'non-interference in each other's internal affairs.' [6]
The government has tried to escape by calling this a "technical or administrative error." Although the Ministry of Home Affairs claimed it was unaware, under whose orders were the VIP lounge and government escorting used at the airport? Failing to understand a neighbor's sensitivity at such a critical time is considered "immaturity" in the diplomatic field. This has pushed the "Trust Deficit" with China to an extreme point. [7]
I believe this government has received power from the youth movement. But power means responsibility, not negligence. If we forget Panchsheel, our history will not forgive us.
The 'Proxy War' of Power Nations in Nepal
But this incident is only a beginning. Something else is cooking deep inside. What do the increasing activities of organizations like the Barbara Foundation and the US Embassy Youth Council in Nepal signify? Is Nepal becoming an arena for the power clash between China and the USA? [8]
There is ongoing criticism that people associated with the Barbara Foundation have influence in this government formed after the movement last August. Some analysts have even gone as far as calling it a "shadow government run by Western powers." On the other hand, the US Embassy Youth Council is expanding its network across all 77 districts, targeting 900,000 new young voters.
China feels that these youth networks are being used to bring "pro-Western" forces to power in Nepal, which could add challenges to China's security. [9]
Currently, two styles of power demonstration are happening in Nepal:
USA: Wants to establish a hold over the intellectual and youth classes through foundations, the Youth Council, and projects like the MCC.
China: Is using "Warning Diplomacy" through coordination with security officials and writers like Pu Yu Hai.
This is a proxy war. And the field is our Nepal. It saddens me to see this—our youth, who shed blood in the Gen-Z movement, are being used by foreign powers for their own interests.
Conclusion: Shall We Wake Up Now or Not?
Successful people in the world, like Bill Gates, often say—"The progress of any country depends on its policy stability." But the increasing activity of external organizations in Nepal has not increased policy stability; it has only increased "polarization."
Our country is no longer just a 'yam between two boulders'; signs suggest it is becoming a geopolitical playground for China and America. The interim government, with its 6-month mandate, is facing the highest external pressure in history. [10]
As a patriotic citizen, I want to ask—are we ready to surrender our sovereignty into the hands of foreigners? Will the upcoming elections on March 5 (Phagun 21) belong to the Nepali people or to foreign powers?
I believe Nepalis will wake up. Our history has taught us—we are a small country, but our self-respect is great. Let us all join together to make this battlefield a garden of peace. May my love for my country never diminish.
Long live the motherland!
Bibliography
[1] Woli, K.P. (2026). Personal reflection on return from abroad and national concern. Explore Ikigai Blog. https://exploreikigai.com/about-myself
[2] Tibetan Review. (2025, September 13). Dalai Lama wishes success for Nepal's interim Prime Minister. https://www.tibetanreview.net/dalai-lama-wishes-success-for-nepals-interim-prime-minister/
[3] myRepublica. (2026, February 5). Visit of Tibetan Buddhist leader draws scrutiny amid China concerns. https://myrepublica.nagariknetwork.com/news/visit-of-tibetan-buddhist-leader-draws-scrutiny-amid-china-concerns-78-73.html
[4] Pu, Y.H. (2026, January 31). Activities Against China in Nepal Are Not Merely Political Dissent; They Are State Policy. Dragon Media. https://eng.dragonmedia.com.np/activities-against-china-in-nepal-are-not-merely-political-dissent-they-are-state-policy/
[5] Peoples' Review. (2026, February 4). Activities against China: Political dissent or state policy? https://mypeoplesreview.com/2026/02/04/activities-against-china-political-dissent-or-state-policy/
[6] Kathmandu Post. (2026, February 11). The Weight of Truth. https://kathmandupost.com/editorial/2026/02/11/the-weight-of-truth
[7] Dragon Media. (2026, February 2). Diplomatic warning or strategic pressure? Madan Regmi's serious message. https://eng.dragonmedia.com.np/diplomatic-warning-or-strategic-pressure-madan-regmis-serious-message-regarding-pu-yu-hais-article-on-china/
[8] Kathmandu Post. (2025, September 24). What you should know about Barbara Foundation. https://kathmandupost.com/national/2025/09/24/the-controversy-surrounding-barbara-foundation
[9] Border Lens. (2025, October 3). American hand in Nepal's Gen-Z revolt? https://www.borderlens.com/2025/10/03/american-hand-in-nepals-gen-z-revolt-following-the-money-and-reading-the-signs/
[10] Council on Foreign Relations. (2026). After Gen Z Protests, Bangladesh and Nepal Head to the Polls. https://www.cfr.org/articles/after-gen-z-protests-bangladesh-and-nepal-head-to-the-polls
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