Has the Finance Minister Conducted Group Interviews with Executive Directors for Deputy Governor Selection?

20th Shrawan, Kathmandu – The position of Deputy Governor at Nepal Rastra Bank has remained vacant for five months.

Legally, the government appoints the Deputy Governor based on the Governor’s recommendation. Previously, Governor Dr. Bishwanath Paudel recommended four candidates for two Deputy Governor posts, but the government appointed only Kiran Pandit. Finance Minister Dr. Swarnim Wagle preferred only one appointee at that time. It is said that the second appointment was delayed as Minister Wagle had not yet found a candidate he trusted.

Minister Wagle has now initiated an unprecedented practice by holding collective meetings directly with the executive directors of the central bank for the first time in history.

Moreover, before beginning discussions on Wednesday, Wagle reportedly told participants, “We have to recommend a Deputy Governor,” according to one executive director who attended.

Under the Nepal Rastra Bank Act, the authority to recommend Deputy Governors lies with the Governor. However, Minister Wagle has indicated a clear signal that he intends to consult all executive directors to identify a candidate he trusts.

“I needed to meet with you because one of you will have to be recommended for the position of Deputy Governor,” the minister reportedly said. “So rather than whether I know you or not, I called everyone to hear their views and understand their opinions.”

There are 18 executive directors at Nepal Rastra Bank, all of whom are legally qualified for the Deputy Governor role according to the Bank Act.

A Ministry of Finance official said that under the pretext of soliciting feedback on economic and financial sector challenges and solutions, Minister Wagle is conducting unscheduled preliminary interviews with all 18 executive directors.

On Wednesday, Minister Wagle summoned the 18 executive directors to the ministry at 9:30 a.m. He heard 12 viewpoints that morning and, citing a cabinet meeting, summoned the remaining six directors in the evening. According to the minister, all executive directors have now visited the Ministry of Finance.

“If this process were a kind of examination for the Deputy Governor position, it would have been good!” one executive director remarked. “But it’s unclear what should or should not be done.”

Both Deputy Governor positions at Nepal Rastra Bank had been vacant since Falgun 25, 2082 (March 9, 2026). Following Governor Prof. Dr. Paudel’s recommendation, the government appointed then-executive director Kiran Pandit as Deputy Governor on Chaitra 24, 2082 (April 7, 2026).

Minister Wagle stated that among Governor Paudel’s recommendations, candidates who did not have broad consensus or were not accepted by power centers were excluded.

He also indicated that another Deputy Governor will soon be appointed as a capable, politically neutral individual. However, after five months without finding a suitable candidate, the minister has summoned all executive directors to the Ministry of Finance.

Section 16 of the Nepal Rastra Bank Act 2058 (2001) outlines the appointment process for the Deputy Governor, stipulating that the government decides the appointment by council resolution upon the Governor’s recommendation.

The same provision requires the Governor to nominate twice the number of candidates as vacant Deputy Governor posts based on merit.

Some analysts interpret the Finance Minister’s involvement in recommending names for Deputy Governor as government interference in the central bank’s jurisdiction.

The Act also states that an appointed Deputy Governor is considered officially retired from bank service and serves as a member of the Nepal Rastra Bank Board of Directors.

Traditionally, one Deputy Governor was appointed based on seniority and the other on merit. However, under former Governor Mahaprasad Adhikari, both appointees were junior executive directors, a precedent that the current government has also followed.