Nepal’s New Prime Minister Balendra Shah ‘Balen’ and the Three Major Challenges Facing the New Government

Image source, Getty Images
Senior leader of the Rastriya Swatantra Party and parliamentary party leader Balendra Shah ‘Balen’ has been appointed as Nepal’s Prime Minister under Article 76(1) of the Constitution, announced the Office of the President.
Despite the unprecedented mandate that the government under Balen’s leadership has received, experts note that meeting the public’s expectations will require overcoming significant challenges.
A former chief secretary emphasized that the government should initially focus on issues that directly affect the public, stating, “Since many things have deteriorated, there is ample opportunity for improvement.”
A political analyst highlighted that with the new government’s large mandate, voter expectations are high, and the greatest challenge will be to prevent citizens’ trust from eroding.
Following attacks by Israel and the United States on Iran, heightened tensions in the Middle East have put the government in a position where immediate actions on migration, remittances, fuel supply, and inflation are necessary, according to informed sources.
Citizen Expectations and Their Addressing
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The elections following the Gen Z movement in Bhadra demanding good governance and an end to corruption displaced long-standing ruling parties and brought the Rastriya Swatantra Party to power.
The Rastriya Swatantra Party emphasized integrity and good governance as top priorities in its election manifesto, pledging to establish an ethical state and promote online service delivery.
Additionally, the party has plans to form a high commission to end politicization within state structures and conduct property investigations of public officials.
With nearly two-thirds of the members of the House of Representatives belonging to this party, experts say this government has an opportunity to work in a new way.
Former Chief Secretary Bimal Koirala stated, “There is ample opportunity. Much has deteriorated; any improvement would be beneficial. It is not difficult to remove existing flaws. The public demands efficient service delivery. If the government commits to solving issues, this opportunity can be well-utilized.”
He added, “The system is process-oriented but needs significant reforms in the bureaucracy to become result-oriented. Resistance may be expected when working in new ways, and I regard this as a challenge.”
Highlighting issues such as delays in completing development projects and escalating costs, he advised the new government to prioritize and advance implementation accordingly.
Image source, Reuters
Political scientist Lokraj Baral acknowledged that the Rastriya Swatantra Party’s large mandate also carries major challenges, saying, “There are high public aspirations, and fulfilling all will be difficult.”
He added, “A large mandate brings great challenges. Disappointment may emerge quickly. Implementing policies effectively and maintaining public trust will be the major hurdles.”
Baral also pointed out that the implementation of the report by the commission led by Gauribahadur Karki, investigating the violence and damage during the Gen Z movement, could become another challenge for the new government.
Middle East Conflict and Its Multifaceted Effects
The new government took office while millions of Nepali workers are employed in the Gulf and Middle Eastern countries amid the heightened tensions following the March attacks on Iran by the US and Israel.
Govt statistics show that approximately 2,900 Nepalis travel abroad daily for foreign employment, with remittances from these workers accounting for more than 26 percent of Nepal’s GDP.
Officials from the Ministry of Foreign Affairs estimate nearly 2 million Nepalis are working in Gulf and Middle Eastern countries.
Migration expert Meena Paudel noted, “Global political conditions have increased anti-migration sentiment, which could reduce employment opportunities.”
She added, “Youth hope for more job openings, but this will not be possible without well-managed systems at home. About 2 million Nepali workers remain abroad.”
Image source, Reuters
She emphasized, “The global market is contracting and opportunities are declining. Creating 500,000 jobs will be extremely challenging.”
The unsettled conditions in the Gulf and Middle East, key destinations for Nepali workers, compound these challenges further, she noted.
She also highlighted increased labor market pressure and the risk of youth becoming victims of human trafficking.
The Rastriya Swatantra Party manifesto aims to shift Nepal from a remittance-dependent economy to a production and export-oriented economy within five years.
The Middle East crisis has raised concerns about fuel supply disruptions affecting overall logistics and driving inflation higher.
Power Politics and Unity Within RSP
Image source, RSP/Facebook
After the 2079 BS elections, the Rastriya Swatantra Party became the fourth largest political force in the House of Representatives. Its swift rise in popularity has surprised many.
Analysts attribute this rise to RSP bringing former Kathmandu mayor Balendra Shah into the party as its future prime minister candidate following the Gen Z movement.
Political scientist Baral pointed out that internal unity within RSP will play a crucial role in the government’s success.
He said, “The level of unity within the party is uncertain. Due to the large mandate, the party comprises diverse individuals. How coordination between the chairman and the prime minister will be managed is hard to predict at this stage.”
During the previous parliamentary term, some leaders including RSP chairman Ravi Lamichhane held government roles, but the lack of experience in running a single majority government presents added challenges, analysts comment.
Baral noted, “It is easier to speak from the outside, but managing bureaucracy and coordinating with everyone while in government is a major challenge. Since the prime minister and all members are new, this difficulty is even greater.”
What Needs to Be Done to Make Change Possible?
Former Chief Secretary Bimal Koirala stated that in parliamentary politics, outcomes cannot be determined by mere arithmetic.
He explained, “No matter the numbers, results don’t come from arithmetic alone. The dedication, determination, and honesty of those working are essential. Change is possible only if these exist.”
Koirala added that when political leadership arrives with high morale, it also motivates the bureaucracy. “If bureaucratic management improves and the government’s vision is clear, participation increases and transforms into new social energy and economic capital.”
Before the elections on Falgun 21, some analysts predicted that Nepal’s mixed electoral system might not yield a clear majority for any party.
Now, after many years, a strong government has emerged, with close attention focused on its policies and performance.
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