Corruption and impunity are closely intertwined issues—each reinforcing the other—and they pose serious constraints to policy reform and effective governance across the entire Nepali government. Over decades, corruption and impunity have been legitimized by a pervasive culture of collusion throughout society, and they have become deeply embedded within the state. This kleptocratic network, which spans the public, private, and criminal spheres, operates to secure personal enrichment and exert control over institutions.
As Nepal transitions to a new federal system, resistance to change within political parties and bureaucracies often stems from a reluctance to disturb this entrenched kleptocratic network. At the same time, the pervasiveness of corruption and impunity undermines equitable resource allocation and erodes the state’s legitimacy. Persistent abuses of authority and high-level scandals contribute to growing public dissatisfaction with the new political order, destabilizing the state and increasing vulnerability to internal and external threats.
Addressing accountability in the public policy sphere requires attentiveness to reducing discretionary space and informal arrangements in public administration, while focusing investment in institutions of restraint—those tasked with upholding the rule of law, including the judiciary.