The 5 Key Political Challenges Ahead for Balendra Shah

Nepalese politics has reached another historic turning point. At just 35 years old, senior leader Balendra Shah (commonly known as Balen) of the Rastriya Swatantra Party (RSP) is preparing to assume the role of Prime Minister. Following the parliamentary elections held on February 21, where the RSP achieved nearly a two-thirds majority, Balen’s ascendancy to power is now assured. Prior to the election, when Balen was the mayor of Kathmandu Metropolitan City, a seven-point agreement was reached between him and the RSP, nominating him as the party’s candidate for Prime Minister. The RSP’s surprising victory has granted it the authority to form the government and implement its agenda over the next five years.

This electoral triumph is not merely a shift in Nepal’s political priorities but also reflects the strong desire of the Nepali people for change. Frustrated by the existing practices of ruling parties, the electorate has expressed hope for government reform through new and effective leadership.

Recent public opinion indicates that Balendra and his party have been chosen as capable leaders to steward Singha Durbar for the next five years. The sizable majority won by the RSP was previously considered nearly impossible given Nepal’s constitutional challenges where many parties find it difficult to secure an outright majority over the opposition. While electoral support signals the start of change, it does not guarantee successful governance. To transform this mandate into effective leadership, Balen must pass five crucial tests, which are outlined in detail below.

1. Building an Effective Governing Team

The success of Balen’s five-year term will largely depend on how his cabinet and advisory team perform. He must decide whether to lead this process directly or collaborate closely with RSP Chairman Ravi Lamichhane. Each approach carries its own risks. Forming a cabinet based primarily on party loyalty could reinforce traditional political patterns, whereas including experts without political ties may lead to weak local and national awareness within the administration.

Balen will need to establish this governing structure promptly, as circumstances will not wait for him.

Government ministers and advisors must be well-acquainted with the country’s challenges and possess the capability to implement the policies and programs announced by the party effectively. Moreover, the team must clearly understand recent regional and global political shifts and their geopolitical implications. Any missteps in team selection may cause weaknesses not only early in the administration but throughout its entire duration.

2. Making Wise and Balanced Decisions

Balen is set to face three major demands simultaneously as he assumes the premiership: good governance, public service reform, and job creation. The public expects clear improvements in these areas within the early months of the new government.

Additionally, there is pressure to hold accountable those responsible for the violence and destruction during youth protests on September 8 and 9. There is widespread anticipation for serious investigation of long-standing corruption and for perpetrators to be brought to justice through legal channels. Though valid and legal, these demands carry political risks if not handled cautiously.

Aggressive moves on such sensitive issues could spark confrontations with opposition forces both in parliament and on the streets. Therefore, Balen must prioritize these matters carefully and establish strict enforcement strategies. How he navigates these demands will be critical to his administration’s effectiveness.

3. Strengthening and Reforming Civil Service Administration

Nepal’s civil service and security agencies can either be the engines driving forward Balen’s goals or significant obstacles. This issue is more complex than it appears. Decentralizing power and resources to local and technical levels is not just an administrative change; it is a political decision involving power balance, rights redistribution, and the essence of governance.

Balen’s success depends not only on his decision-making and leadership but also on establishing wise alliances, strategic coordination, and a long-term vision with the civil service. Although the constitution positions the civil service as pivotal to development and service delivery, a historically centralized mindset has weakened it by limiting decision-making authority to higher levels.

Without effective civil service reforms, government policies cannot be implemented successfully. Security and stability are essential priorities that do not occur naturally; they form the foundation for development, a business-friendly environment, and social harmony. Balen must collaborate with these institutions and apply pressure for meaningful improvements without provoking political instability.

4. Managing Relations with Local and Provincial Governments

Winning a working majority is politically difficult, but governing according to public expectations is even more challenging.

This may be the least discussed but among the most critical challenges. The protests on September 8 and 9 caused damage to nearly 300 local governments, including provincial capitals and their institutions. Many provincial governments are struggling to strengthen themselves. These local and provincial bodies deliver services such as health, education, infrastructure, and administration to the people. If Balen’s government neglects these levels, policies formulated at the federal level will fail to reach the population effectively.

The distances between Kathmandu, hill, and remote mountain regions are not only geographical but also institutional. Now is the time for the federal government to prioritize and invest in enhancing the capacities of local and provincial governments rather than delay these efforts.

5. Balancing Relations with Neighboring and Friendly Nations

Situated between two major global powers, India and China, Nepal must maintain balanced relations with both, as well as with Western partners. Balen has inherited the responsibility of managing this delicate diplomatic balance. Any tilt toward one side risks increasing domestic criticism and opposition support.

Within the RSP itself, there are diverse views on foreign policy. A constitutional, well-structured, and impartial foreign policy is not only diplomatically prudent but also essential to keeping the party united and preventing foreign policy from becoming a source of internal conflict.

Enthusiasm Alone Is Not Enough

The fifth challenge ties into all the others. Desiring change and being capable of implementing it successfully are two very different things. Many governments have failed precisely because they could not bridge this gap. Balen carries not just the trust placed in him from outside the political system but also the confidence of a confused populace within. However, if he fails to channel energy and enthusiasm into effective governance, that trust may soon erode.

Ultimately, Nepal is a small landlocked country caught between sensitive geopolitical neighbors and faces its own serious internal challenges. Managing these realities requires not just vision but practical plans, capable partners, an implementable governmental structure, and consistently vigilant leadership. Balen must establish this foundation quickly, as circumstances will not wait for his preparation.

The next five years could represent a rare opportunity for Nepal if Balen turns his majority not simply into a means to retain power but into a tool for genuine transformation. Tasks left unfulfilled by previous governments — reforming the civil service, making services consumer-centric, fostering a culture of real accountability, and adopting a balanced foreign policy focused on national interests — can finally commence.

If these efforts succeed, this period will not merely be a story of government change but a turning point in how the state itself is managed. Yet, this will not happen automatically; it will require sound decisions and strong commitment. Balen and his team must deeply understand their responsibilities and dispel the misconception that winning the election was the hardest task. Winning was not difficult; governing well will be far tougher. The public desires not just new faces in leadership but tangible improvements in their lives. This real test has already begun.

(The author Bhattarai is a visiting research fellow at the Kroc Institute for International Peace Studies, University of Notre Dame, USA. He focuses his studies and research on Nepal’s politics, peace, good governance, and social policy.)