– Anu Maria Joseph
Balen Shah was sworn in as Nepal’s Prime Minister on 27 March after securing a two-thirds majority. Shah’s Rastriya Swatantra Party (RSP) assumed power after the September 2025 deadly protests, which caused the fall of the previous KP Sharma Oli’s fragile government. Shah, a popular rapper, emerged as a charismatic leader and a voice of hope and change for Nepal, ending a prolonged period of political instability. He successfully replaced the traditional political establishment.
One month into power, Shah’s inexperienced government is facing immense pressure from the Gen Z protesters and traditional parties. He faces early optimism marked by high expectations, however, accompanied by challenges, criticisms, protests and controversies. And, the first month is overloaded with many turbulences.
What is new?
During the first cabinet meeting, the new government unveiled the “Good Governance Blueprint 2082,” a 100-point reform agenda. The plan has downsised the ministerial positions to 17. With “Result-Oriented Governance Management” as its core, the new government plans to address the issues of constitutional amendment, relief and rehabilitation of the Gen Z protest victims and a reformation program for Dalits and marginalised people.
It also promised a citizen-centric service by introducing digital governance. Accessibility of government services through a single interface, digital access to documents and early delivery of documents such as passports, citizenship copies and licenses are anticipated.
On anti-corruption, which was the core agenda of Shah’s election campaign, a national anti-corruption action plan has been initiated. Betting apps have been shut down, and an investigation into the assets of high-ranking political officials and employees is promised.
Additional reforms in the sectors of economy, health, education, energy, agriculture, tourism, social security and women empowerment are included in the plan.
The challenges
However, the developments during the first month hint at uneasiness. The new government is facing scrutiny over multiple developments.
Two cabinet ministers resigned before completing 30 days in office. Labour Minister Deepak Sah had to resign over the appointment of his wife to the Health Insurance Board. Home Minister Sudan Gurung resigned over his alleged connection with a businessman under investigation. This has strained the initial impression of the “Super PM” government. The government, which came to power through an anti-corruption slogan, is facing a credibility issue amidst a lack of upright leaders to take up ministerial portfolios.
On 22 April, Nepal’s Speaker of the Parliament accepted the controversial House of Representatives (HoR) Rules 2026. Under which MPs accused of corruption will not be suspended unless they are in judicial custody in cases carrying a sentence of three or more years. The protection of current office holders while attacking political opposition, the majority from the previous ruling elite, appears to be a selective accountability mechanism. It is no different from the practices of the previous government.
The sudden move to ban party-affiliated students and trade unions has angered the traditional parties, especially young supporters. The move has been deemed unconstitutional by many protesters. The young protesters have raised concerns over the likelihood of the new government turning authoritarian.
The Shah government’s demolition drive of illegal settlements along the Kathmandu Valley river banks is facing widespread criticism. The move was intended to reclaim the government land, encroached by the homeless and those connected to the traditional political parties for decades. The move has left over 3000 families homeless. Civil society groups have remarked on the move as inhumane.
Public anger is also mounting over a mandatory customs duty on goods worth over NPR 100, brought from India. Earlier, the threshold was NPR 5000. From salt and cooking oil to medicine and high-value goods, the Nepali border communities rely on Indian markets. The move has brought the unregulated small-trade and people-to-people cross-border connections under strain. This has also increased tensions along the border, especially in the Madhesh region. The residents are reporting disputes with security personnel over everyday items, which they used to carry for free until recently. Meanwhile, on the Indian side, Raxaul, Bairgania, Sonabarsa, Bhitthamode, Madhwapur, Jayanagar, and Kunauli markets have long depended on Nepali customers. Often, transactions were conducted in Nepali currency. The move has put the Indian border markets under economic strain.
Despite campaigning for transparency, PM Balen Shah has not addressed the country or held a press conference after assuming office. With the recent developments, PM Shah’s silence has increased public curiosity and doubts about the performance of the new government.
What does it mean?
Despite being a new party with a lack of administrative experience, the RSP had tremendous public backing. The voters expected swift changes and a new style of governance. The first week was met with high optimism. However, one month into office, the public response is mixed. People have applauded the improvements in administrative efficiency. Government offices have started running on time. They are anticipating policies to address unemployment.
However, at core, the new government appear feeble. While there is a symbolic shift in governance through the 100-point reform agenda, in practice, early response is being shaped by controversies and unmet expectations.
Moreover, there is limited clarity on the new government’s foreign policy. Two major questions remain: How is the new party going to balance its relations with two giant neighbours–India and China? Will RSP be able to maintain a balanced position under geopolitical pressure?
About the author:
Anu Maria is a Non-Resident Fellow at the Subhas Chandra Bose Chair on International Relations, Chanakya University, Bangalore.