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The Asian Development Bank (ADB) predicts that Nepal’s economy is set to achieve a growth rate of 4.3 percent in fiscal year 2024, signifying a significant improvement compared to the previous fiscal year when the country’s economic growth rate was limited to only 1.9 percent. In a similar vein, the ADB report forecasts a decrease in the annual average inflation to 6.2 percent in 2024 from 7.7 percent in 2023.

While a reduction in inflation would be beneficial, at present, it is close to eight percent. The economic downturn and inflation have impacted individuals from various walks of life, particularly students from outside the Kathmandu Valley pursuing higher education here. Pratik Ghimire from ApEx spoke with these working students to understand the challenges they face due to inflation.

Sushila Tamang, Nuwakot

As a working student in Kathmandu, I face the challenge of an increasing cost of living. My landlord has recently expressed the intention to raise the room rent, which adds to my financial burden. I’ve communicated with my landlord, urging them to consider the impact of inflation on my already tight budget. The rise in prices of groceries and various necessities has made it increasingly difficult for me to make ends meet.

While I empathize with my landlord’s situation and acknowledge the economic crisis affecting many, I believe there must be alternative solutions besides raising the rent. It’s essential for both parties to find a balance that ensures fair treatment and sustenance. I hope my landlord and others facing similar circumstances can explore options that don’t further strain the already challenged finances of individuals like myself. In addition, I call upon the government to address this issue promptly, as it affects numerous working students and individuals trying to navigate the financial complexities of living in Kathmandu. Finding a resolution will contribute to a more sustainable and equitable living situation for all.

Yuvraj Chaudhary, Dhanusha

Recession serves as a valuable life lesson for students, especially since many rely on their parents for financial support. I am among those students. This means that my peers and I face a double impact, affecting both our parents and ourselves. In many families, it’s evident that they are barely managing and making sacrifices to afford their children’s education. In some unfortunate cases, students are forced to abandon their studies due to financial constraints.

In response to rising prices, I have started embracing more cost-effective and sustainable alternatives. Many other students are also increasingly turning to digital copies (PDFs) of books and opting for laptops or tablets instead of traditional paper notebooks, which have become more expensive. Moreover, I am seeking out affordable food options, shifting away from fast food for breakfast and dinner. One positive aspect of this is that even undergraduates who used to frequent tea stalls for tea and smoking are striving to improve their habits.

Shristi Bista, Kailali

Living and pursuing education in Kathmandu comes with its own set of financial challenges, effectively doubling the financial burden as my family has to manage both expenses back home and here for my education. This situation has taken a significant emotional toll on me, recognizing the strain it places on families already managing tight budgets. Sustaining a livelihood in Kathmandu has become an immense struggle.

It’s been five years since my arrival in Kathmandu, and I immediately started working to support myself. However, over these years, my salary has seen only a minimal increment, barely keeping up with the soaring inflation rate, which has surged around triple. This presents a dire dilemma for a working student like myself, making it increasingly difficult to manage finances adequately.

I constantly worry about being able to fulfill my financial responsibilities towards my family, who have made significant sacrifices to provide me with a good education. The burden of inflation adds an extra layer of stress, making me ponder how much easier life would be without these financial constraints caused by rising prices. Finding a way to navigate this financial tightrope is an ongoing challenge, and I remain hopeful for better days ahead. The inflation has hit me emotionally.

Shasank Sekhar Neupane, Jhapa

I have now lived in Kathmandu for six years. For myself, I am a student who also works a part-time job to support my daily necessities. The inflation that is soaring day by day is the main reason I have recently found it arduous to support myself here in Kathmandu.

I have a lot of issues with room rent, internet costs, and bus fares because of the rising inflation as a student living in Kathmandu. Keeping costs under control while working with a tight budget has gotten more and more challenging. The cost of internet usage has dramatically increased, while the rent for a quality room has risen. It is now much more expensive to use public transport, which makes it more difficult for me to manage my education.

I’ve attempted to lower my costs by adopting various simple measures, avoiding meet-ups, and outdoor foods, and switching to a slower-speed internet, but it still feels difficult. The fact that everything’s costs are increasing daily, and I have so little money to spend on other necessities, is frustrating. This is not unique to me; several of my acquaintances who are also having financial difficulties have made similar comments.

Bungatun Rai, Khotang

I live with SOS Village, and all of my expenses are borne by them. So, I don’t have to face the consequences of inflation directly. But I’ve witnessed numerous fellow students grappling with the impacts of both inflation and the prevailing economic crisis. A close friend of mine used to save a portion of his earnings in cooperatives every month. However, with the crisis in full swing, a significant number of these cooperatives have collapsed. With inflation on the rise and our savings slipping out of our control, how can students like us endure these challenging circumstances?

As students, this economic turmoil poses a serious threat to our financial stability and overall well-being. We find ourselves in a precarious situation, struggling to find viable solutions to survive these trying times. The collapse of cooperatives, which were once considered a reliable avenue for saving and investment, only adds to our financial distress.

Rajnesh Shrestha, Dhading

Due to rising inflation, the lives of students have become increasingly challenging. This surge in prices has affected essential expenses like food, housing, transportation, and daily necessities, making it harder for students to make ends meet. Despite stagnant income levels, expenses keep mounting. For instance, the tuition fees for engineering students have more than doubled from Rs 700,000 to Rs 800,000 five years ago to now over Rs 1.5 million. Additionally, the cost of study materials has also surged, making it difficult for students to afford materials essential for fostering new ideas or innovations.

When students move to Kathmandu from outside, they often need to purchase everything required to establish a livelihood since they don't have their own accommodation. Financially disadvantaged students often need to work part-time, which unfortunately affects their academic pursuits. Shockingly, some students are working for wages lower than the government-mandated minimum wage, even after attaining a graduate level of education. These circumstances force students to seek opportunities abroad for sustenance after investing heavily in their education. Consequently, the population of youth and students in rural areas has declined due to this exodus.

Dibyadristi Lama, Makawanpur

I am a working student. Thankfully, I don’t place any financial burden on my family. However, the impact of inflation has become a noticeable factor, occasionally causing my expenses to surpass my earned income. This situation forces me to reach out to my parents for financial assistance, a circumstance that I view with a tinge of disappointment. I wish to spare my parents from the strain of added financial responsibility, especially given their residence in a rural setting. Nevertheless, there are times when I must set aside my reservations and request aid to manage my expenses adequately.

My situation is relatively better. It’s disheartening to witness the challenges faced by some of my friends. They, too, grapple with the effects of inflation, particularly evident in the doubled bus fares that make it difficult for them to visit their hometown. Consequently, they’re forced to endure the emotional burden of being unable to be present for their family members when they are sick. The economic dynamics at play in our lives have indeed reshaped the way we navigate our personal and familial obligations.

Binod Bista, Doti

As a student, I’ve encountered numerous challenges stemming from inflation, which have significantly influenced my daily routine. From the moment I begin my day to when I retire for the night, the effects of inflation are palpable. Upon waking up, my first encounter with inflation occurs when I purchase vegetables, witnessing a twofold increase in prices for essential kitchen items. Throughout the day, the impact persists as I utilize public transportation, observing the elevated fares for bus rides. Late into the evening, following my night class, I rely on ride-sharing services since public buses are not available at that hour. However, even these alternative transportation options have seen price hikes due to the escalating costs of petroleum products, further adding to the financial strain caused by inflation.

Inflation has taken a toll on my mental well-being as well. In my area, there have been three instances of looting recently. A significant factor driving people toward such criminal acts is the struggle to sustain livelihood in Kathmandu. I worry about the possibility of becoming a victim of such looting incidents myself. It has impacted me psychologically.

Bishnu Maya Shrestha, Tanahu

Many students, driven by the aspiration to pursue education, venture to Kathmandu. However, the fundamental requisites of sustenance, namely lodging and food, become paramount regardless of the academic pursuit. Sadly, a few of my friends from Far West Nepal had to abandon their education in Kathmandu due to the overwhelming financial strain. The escalating inflation forced them to make the painful decision to interrupt their higher studies, illustrating the gravity of the situation.

This crisis demands urgent attention from the government, particularly concerning the welfare of students. Students represent the future of the nation, and any hindrance to their education results in a loss not only for them but also for society and the entire nation. If this pressing issue remains unaddressed, we risk a widespread exodus of intellectual capital, exacerbating the problem of brain drain on a much larger scale. It’s imperative that immediate measures are taken to alleviate the financial burden on students, ensuring a promising future for both them and the nation.

Bibek Pariyar, Sunsari

As a music student, I’ve recently relocated to Kathmandu, and it’s only been a couple of months. To pursue my passion and sustain myself, I perform gigs during the night. However, a recurring issue is that event organizers occasionally offer compensation in the form of food and beverages, a practice I find unsatisfactory. On a public level, inflation seems to play a central role in managing public affairs through financial means.

Another pressing concern is the alarming rise in incidents of theft and burglary. Returning home late at night from gigs feels increasingly unsafe due to this prevalent issue. Sadly, I’m left with no alternative but to face this risk. I suspect that inflation contributes to the surge in criminal activities, possibly aggravating the situation. Addressing these multifaceted challenges requires a comprehensive approach that encompasses economic stability, public safety, and fair compensation for individuals like myself, trying to make a living while pursuing their passions.

Preparations for the Indra Jatra are a vibrant and culturally rich affair that begins well in advance of the main event. The annual traditional festival begins on Bhadra Shukla Chaturdashi, according to the Nepali calendar. The main festival of Indra Jatra falls on September 28 this year.

The festival involves colorful masks and costumes. Tej Bahadur Chitrakar and Narendra Chitrakar seem busy painting the masks of deities including the ‘Halchok Bhairav’ and ‘Dee: Pyakhan’ dance mask, as well as ‘Pulukisi’ (white elephant). These masks are an essential part of the festival’s cultural performances, including the famous Lakhe.

Temples, shrines, and historic sites around the Kathmandu Valley are being given a makeover with repainting, and adorned with colorful decorations to create a festive atmosphere.

The neo-classical palace also known as Gaddi Baithak is also being given a facelift. Gigantic chariots, each dedicated to a specific deity like Kumari, Bhairav, and Ganesha, are kept outside the Gaddi Baithk ahead of the festival.

The performers, often from the local communities, have started practicing the traditional dances associated with different gods, goddesses, and demons for the festival.

Indra Jatra was started by King Gunakamadeva to commemorate the founding of Kathmandu city in the 10th century. The celebrations are held according to the lunar calendar.

As Indra Jatra approaches, the enthusiasm and excitement become palpable. The festival not only celebrates Nepal’s rich cultural heritage but also brings the community together in a spirit of unity and devotion.

It’s a time when locals and visitors can immerse themselves in the vibrant colors, rituals, and traditions that define Nepal’s unique cultural identity.

One of the recommendations made by the Nepal-India Eminent Persons’ Group (EPG) report prepared in 2018 is regulation of existing open borders between the two countries. While the report has not been made public, some of its drafters say they have suggested regulating the porous border between Nepal and India with a string of approaches, such as use of identity cards, installation of cutting-edge technology and strategic control of border crossings.

The previous leadership of the Nepal Army had also suggested the government to regulate the borders with India, albeit without offering any specifics. Besides several communist parties and left-leaning experts have long been advocating for controlling the Nepal-India border  

Yet, amidst these discussions, the corridors of power have remained eerily silent. The government and major political parties of Nepal are yet to give the border regulation issue a serious consideration. Some communist parties have touched upon the topic in their election manifestos, but they have not ventured beyond this electoral commitment in the form of proper deliberation.  

The debate on Nepal-India border regulation does not stop there. Even the Supreme Court has waded in with its order to the government to regulate the open border. 

A few years ago, advocates Chandra Kanta Gyawali, Bimal Gyawali, Liladhar Upadhaya, and border expert Budhi Narayan Shrestha had filed a case demanding a court order to regulate the border between Nepal and India—their primary concern being the surge in cross-border crimes.

It took almost two years for the top court to come up with the full-text of its order which directs the government to take essential actions based on existing national and international laws for the management and regulation of the Nepal-India border.  

The 25-page  document has explained in detail about the border management system, shedding light on some international experiences as well. According to the court’s order, there are three types of border management systems in the world: open border, regulated border, and closed border.  

Advocate Gyawali, one of the petitioners, proclaims that this ruling has turned a political quagmire into a legally binding obligation. The Supreme Court has unequivocally called upon the government to take the reins in hand, directing them to manage and regulate the cross-border movement, citing national and international laws as their guide.

To control criminal activities, protect Nepali territory, facilitate smooth transit process, and uphold Nepal’s independence, sovereignty and national integrity, the court has directed the government to manage and regulate the open border on the basis of past treaties and agreement. It has also ordered the government to sign additional treaties and agreements with India, if needed, on the basis of mutual equality, respect, and cooperation.

To meet this challenge head-on, the court encourages the adoption of technology – drones and CCTV cameras – for a secure, seamless border. Language training for border personnel and the issuance of identification cards for travelers are also recommended.

Moreover, diplomatic overtures to India are prescribed to clarify disputed border areas, ensuring that future disputes do not disrupt the harmony between the two neighboring nations. 

The court has directed the government to give continuity to the tasks related to the installation of new border pillars and restoration of missing ones, as well as evacuation of settlers from the no-man’s land areas.

Arguing that criminal activities, unchecked human trafficking, drug trade, and counterfeiting were thriving in the border areas, the petitioners had demanded for a robust border security and monitoring mechanism. They had argued that the absence of record-keeping had further compounded these challenges. 

Their plea? Revision of treaties, mandatory ID cards for border crossers, and meticulous record-keeping by the government.

In response to the petition, the Office of the Prime Minister and the Council of Ministers had said that border management falls within the purview of the executive branch.

“In its previous rulings, the Supreme Court has explicitly stated that decisions regarding the nature and type of relationships to maintain with other countries rest with the sovereign country. Such matters fall under the jurisdiction of the state's executive branch,” it said. “The government is actively and earnestly addressing these concerns to ensure the security and interests of the nation and its citizens through diplomatic channels and other appropriate means.”

It added: “People of both countries have traversed this border without hindrance for centuries. EPG formed by the two countries are studying treaties and agreements. Likewise, officials of both countries are holding regular meetings on border management.”

At the time, the Ministry of Home Affairs also issued its own rebuttal.  “Six immigration offices have been opened along the Nepal-India border for management of movement of people and goods between the two countries. Likewise, the Eminent Persons’ Group having experts from both countries are holding discussion on different treaties between the two countries including the 1950 Treaty,” it said. 

“The two countries have been holding meetings under minister, secretary and high-ranking official level on a regular basis to address border management and control crimes, smuggling, human trafficking, use of counterfeit currency, movement of drugs and narcotics.”

Aadvocate Liladhar Upadhyay says: "Now, government has responsibility to implement the mandamus of the Supreme Court. Regulating border is equally important for India to control various kinds of crimes by taking benefit of open cross border between the two neighbouring countries."

The Ministry of Foreign Affairs and the Ministry of Defence had also joined the chorus for the dismissal of the petition. They too cited cooperative initiatives, joint measurements, and border pillar deployment, and the EPG initiative, asserting that unilateral decisions are not the answer.

However, the report prepared by EPG is gathering dust and chances of its acceptance by India appears slim. 

Nepal-India border management issue has been overshadowed by the map row that erupted in 2020. There was no official response from the Ministry of Home Affairs and Ministry of Foreign Affairs regarding the latest court order. 

Prime Minister Pushpa Kamal Dahal emphasized on the importance of collective action in tackling global challenges through peaceful means and diplomatic dialogue.

Addressing the UN General Assembly on Thursday, he highlighted Nepal’s unique position as regards climate change, saying that even with low emissions, vast forested areas that help preserve biodiversity, Nepal “suffers unfairly from climate crisis.”

“This kind of mismatch must be addressed,” the Prime Minister said, urging a mechanism to compensate countries making a positive difference in greening the planet.

“On our part, Nepal remains fully committed to the Paris Agreement and achieving its goals, having set an ambitious target of reaching a net-zero scenario by 2045,” he added.

Reshaping global governance and reforming multilateral institutions was overdue, Prime Minister Dahal said, urging meaningful engagement and representation of least developed, landlocked developing, and small island developing nations in the process.

“Only a more inclusive, fair and representative international financial architecture can be an antidote to the deep-rooted inequities and gaps,” he added.

The Prime Minister also advocated for the reform of the UN Security Council, emphasizing the need for representation, transparency, and accountability. He urged revitalizing the General Assembly and the Economic and Social Council, granting them greater roles.

Prime Minister Dahal said that currently as the Prime Minister and a co-signatory of the 2006 Comprehensive Peace Accord, which ended the armed conflict, he has been making “serious efforts” to build consensus and complete the task of transitional justice and conclude Nepal’s home-grown peace process.

In the transitional justice process, “there will be no blanket amnesty for serious violations of human rights,” he affirmed, adding: “The ultimate objective is to establish an enduring peace in the country and foster harmony in society through peace, justice, and reconciliation.”

He went on to note that Nepal is focused on sustaining socio-economic growth and development, and that it will be graduating from the status of Least Developed Countries (LDCs) by 2026.

“We are in the process of finalizing the smooth graduation strategy,” he said, highlighting that Sustainable Development Goals (SDGs) form the center of Nepal’s development vision and priorities.

PM Dahal urged greater international support through development and technical assistance, as well as foreign direct investment to overcome shocks induced by the COVID-19 pandemic, climate change and geo-political tensions.

The Nepali leader called for the shift in the current trajectory of global affairs, away from geopolitical competition, power polarization, and economic nationalism. Instead, he urged the international community to refocus on shared objectives of peace, prosperity, and progress.

“It is time to build trust, promote partnership and collaboration, and work in solidarity when the world is facing the challenges of unprecedented scale and nature,” he said.

Source: UN