Governor Appointment Stalled: Political Tug-of-War and Legal Hurdles Delay Process

The government has yet to appoint the 18th Governor of Nepal Rastra Bank, even though the term of the 17th Governor, Maha Prasad Adhikari, ended on April 4. The appointment process has been stalled due to political bargaining and legal complications.

Although the ruling coalition partners, CPN-UML and Nepali Congress, had agreed to appoint Dr. Gunakar Bhatt as the new Governor, a supplementary writ challenging his qualifications has reached the Supreme Court. The case, scheduled for today under Justices Hari Prasad Phuyal and Tek Prasad Dhungana, was again deferred for the fifth time without a hearing.

Meanwhile, Bhatt's resignation from his post as Executive Director of Nepal Rastra Bank has not yet been approved. Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel has instructed Acting Governor Neelam Dhungana Timilsina to approve the resignation. However, there is speculation that Dhungana, who is also a contender for the Governor's post, is intentionally delaying the approval.

On Saturday evening, Prime Minister KP Sharma Oli, Congress President Sher Bahadur Deuba, Finance Minister Paudel, and Home Minister Ramesh Lekhak met to settle the issue and move the appointment process forward.

In the meantime, opposition parties, including the CPN (Maoist Centre) and Rastriya Swatantra Party, have demanded immediate appointment of the Governor. Maoist MP Madhav Sapkota accused the government of being influenced by corporate houses and middlemen in the appointment process, and called for a response from the Prime Minister in Parliament. Similarly, Rastriya Swatantra Party MP Manish Jha criticized the ruling coalition for "intellectual bankruptcy" over the delay.

According to the Nepal Rastra Bank Act 2058, the process to appoint a new Governor should be completed and made public at least one month before the position becomes vacant. However, despite Maha Prasad Adhikari’s term ending more than a month ago, the government has failed to fulfill this legal requirement, exposing its inefficiency and political entanglement.