Chaitra 28, 2081 (April 10, 2025), Lalitpur — A joint discussion program on the theme "Intergovernmental Relations in the Context of Federalism" was held at the Nepal Administrative Staff College, Jawalakhel, Kathmandu.

The chief guest of the program, Hon. Prithvi Subba Gurung, Minister for Communications and Information Technology and Spokesperson of the Government of Nepal, emphasized the need to make the Inter-Provincial Council more effective. Acknowledging that fiscal federalism remains relatively weak, he justified the call for stronger leadership from provincial officials and stated the government's consideration to reduce the number of ministries at both federal and provincial levels. He stressed the need for regular meetings of the Inter-Provincial Council and emphasized the establishment of a permanent secretariat for the Council. According to him, issues in intergovernmental relations should be addressed through this forum. He also urged for the immediate implementation of the 29 points of consensus reached on federalism implementation, speedy passage of laws within the exclusive jurisdiction of the provinces, and increased efficiency to accelerate economic growth. Furthermore, he underlined that local governments must prioritize effective service delivery.

The special guest, Hon. Ajay Kumar Chaurasiya, Minister for Law, Justice, and Parliamentary Affairs, described federalism as an inclusive and governance-oriented system, stating that it has helped marginalized castes, classes, regions, and genders secure their rights. He expressed optimism that, if weaknesses in the system are addressed and zero tolerance for corruption is ensured, Nepal's federal model could become one of the best in the world. He also criticized any rhetoric or attempts to weaken federalism or seek alternatives to federalism. The event was further enriched by the presence of Hon. Ramhari Khatiwda, Member of the House of Representatives and Chairperson of the Parliamentary Committee on State Affairs and Good Governance, Honorable Sonam Gyaljen Sherpa, Chairperson of the Federalism Enablement and National Concerns Committee, and Hon. Suraj Chandra Lamichhane, Minister of Internal Affairs and Law. Additionally, the program benefited from the constructive engagement of Mr. Narulal Chaudhary, General Secretary of the Municipal Association of Nepal (MuAN) and Mayor of Ghorahi Sub-Metropolitan City. Ghanshyam Giri, the Mayor of Chandragiri Municipality, spoke on local governance, while Dr. Khimlal Devkota, Chairperson of the Federalism and Localization Center and former MP, presented on intergovernmental relations

This event marked the culmination of a series of engagements that began with dialogues with the Chief Ministers of all seven provinces. These interactions aimed to gather their feedback, learn from their experiences, and understand their perspectives on the status, functioning, and intergovernmental relations between provincial, federal, and local governments.

The distinguished participants collectively emphasized their unwavering commitment to strengthening intergovernmental relations, urging key stakeholders in influential positions to actively facilitate smoother collaboration between federal, provincial, and local governments. Their shared vision highlighted the critical need for coordinated efforts to make federalism more effective and responsive to citizens' needs.

The program commenced with introductory remarks by Prakash Pantha, former Member of the National Assembly and Executive Director of FLC. Mr. Gopal Krishna Neupane, Executive Director of PCGG Bagmati Province, delivered the welcoming address, formally inaugurating the event. Key findings from FLC’s discussions with the seven Chief Ministers were presented by Dilkumari Thapa Rawal (Parbati), and Prahlad Lamichchane former Member of Parliament and Constituent Assembly Member, respectively, and FLC members.

Notable participants included Bagmati Province’s ministers, including Madu Kumar Shrestha, and Deputy Speaker Apsara Chapagai, alongside former ministers and members of parliament. Representing local governments were numerous mayors, deputy mayors, and rural municipality chairpersons and vice-chairpersons from across the country. Senior bureaucrats added further weight to the gathering, including Uday Raj Sapkota, Secretary of the Ministry of Law, Justice, and Parliamentary Affairs; Kali Prasad Parajuli, Acting Secretary of the Ministry of Federal Affairs and General Administration; and Mahadev Pantha, Chief Secretary of Bagmati Province.

The welcome remarks were delivered by Gopal Krishna Nupane, Executive Director of the Provincial Center for Good Governance. The program was moderated by Prakash Pantha, Executive Director of the Federalism and Localization Center and former Member of Parliament. This report is prepared by Mr. Mohd Ayub, Political Economy Analyst at FLC.