Nepal

Over a decade ago, and following a lengthy civil war, Nepal’s political parties agreed to change the country’s unitary system of government to a federal system. After years of discord and stasis, the country’s Constituent Assembly successfully passed a new constitution in September 2015, which mandates establishing three equal tiers of government: federal, provincial, and local. Now, the country’s leaders must deliver on those promises of the Constitution.

CIPE and its partner Samriddhi, The Prosperity Foundation, a well-respected Nepali think tank, are working to make sure that federalism is effectively implemented in Nepal, and delivers effective governance for citizens. Local government can make policy decisions more responsive to citizens, decentralization can facilitate entrepreneurship, and pro-growth competition can emerge among provinces. In this way, successful implementation of federalization can underpin the success of democracy in Nepal in the long-term. Therefore, CIPE and Samriddhi are working to guide the process of federalization and devolution of economic policymaking, as well as setting up local civil society organizations that can hold newly-established provincial governments accountable for implementation of promised reforms.

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Additional Resources

• Democracy that Delivers #265: The Impact of the COVID-19 Pandemic in Nepal   
• Helping Federalism Deliver on Its Promise: The Case of Motorbike Licenses in Nepal  
• The Importance of ‘Where’ in Revitalization Strategies for Nepal — Part 4
• The Importance of ‘Where’ in Revitalization Strategies for Nepal — Part 3  
• COVID-19 and Tourism in Nepal: Opportunities for New Pathways  
• Economic Reforms for Economic Prosperity: There is no Alternative to Speedy Reform
• COVID-19 and Remittance Flows in Nepal: Potential Turning Point for Development  
• Accelerating Private Sector Reform
• Re-engineering the Supply Chain in Nepal
• The Importance of ‘Where’ in Revitalization Strategies for Nepal — Part 2
• Stalling the Pandemic of Corruption  
• Democracy That Delivers #215: Akash Shrestha on Nepal’s Post-COVID19 Recovery Plans  
• The Importance of ‘Where’ in Revitalization Strategies for Nepal — Part 1: Mapping a Pandemic from Global to Local  
• Democracy that Delivers #201: Economic Impact of COVID-19 on Nepal’s Economy   
• Democracy That Delivers #190 – Deependra Chaulagain on Federalism and Entrepreneurship in Nepal  
• Democracy That Delivers #181 – Narayan Adhikari on Fighting Corruption in Nepal with the Accountability Lab
• Nepal: Shifting Gear from South to North