In 1951, the Nepali monarch ended the century-old system of rule by hereditary premiers and instituted a cabinet system of government. Reforms in 1990 established a multiparty democracy within the framework of a constitutional monarchy. An insurgency led by Maoists broke out in 1996. The ensuing 10-year civil war between Maoist and government forces witnessed the dissolution of the cabinet and parliament and assumption of absolute power by the king in 2002. Several weeks of mass protests in April 2006 were followed by several months of peace negotiations between the Maoists and government officials, and culminated in a late 2006 peace accord and the promulgation of an interim constitution. Following a nationwide election in April 2008, the newly formed Constituent Assembly (CA) declared Nepal a federal democratic republic and abolished the monarchy at its first meeting the following month. The CA elected the country's first president in July. Between 2008 and 2011 there were four different coalition governments, led twice by the United Communist Party of Nepal-Maoist, which received a plurality of votes in the 2008 CA election, and twice by the Communist Party of Nepal-United Marxist-Leninist (UML). After the CA failed to draft a constitution by the May 2012 deadline set by the Supreme Court, then Prime Minister Baburam BHATTARAI dissolved the CA. Months of negotiations ensued until March 2013 when the major political parties agreed to create an interim government headed by then Chief Justice Khil Raj REGMI with a mandate to hold elections for a new CA. Elections were held in November 2013, in which and the Nepali Congress won the largest share of the seats in the CA and in February 2014 formed a coalition government with the second place UML and with Nepali Congress President Sushil KOIRALA as prime minister
deforestation (overuse of wood for fuel and lack of alternatives); contaminated water (with human and animal wastes, agricultural runoff, and industrial effluents); wildlife conservation; vehicular emissions
landlocked; strategic location between China and India; contains eight of world's 10 highest peaks, including Mount Everest and Kanchenjunga - the world's tallest and third tallest - on the borders with China and India respectively
several previous; latest entered into force 15 January 2007 (interim); note -a Constituent Assembly (CA) elected in 2008 to draft and promulgate a new constitution was unsuccessful and was disolved in mid-2012; a new CA was elected in late 2013 and the parties have committed to promulgating a new constitution by mid-February 2015 (2014)
chief of state:
President Ram Baran YADAV (since 23 July 2008); Vice President Paramananda JHA (since 23 July 2008)
head of government:
Prime Minister Sushil KOIRALA (since 11 February 2014)
cabinet:
Prime Minister Koirala on 25 February 2014 appointed the cabinet ministers; the cabinet is dominated by the Nepali Congress and the Communist Party of Nepal-United Marxist-Leninist
elections:
president elected by Parliament; term extends until the new constitution is promulgated; president elected on 21 July 2008 (next election NA)
election results:
Ram Baran YADAV elected president by the Constituent Assembly in second round; Ram Baran YADAV 308 votes, Ram Jaja Prasad SINGH 282
unicameral Constituent Assembly (601 seats; 240 members elected by direct popular vote, 335 by proportional representation, and 26 appointed by the Cabinet (Council of Ministers); note - interim government Chairman REGMI convened Nepal's second Constituency Assembly on 22 January 2014
elections:
last held on 19 November 2013 (next to be held NA)
election results:
percent of vote by party - NC 26%, CPN-UML 24%, Unified Communist Party of Nepal (Maoist) 15%, Rastriya Prajatantra Party Nepal 7%; other 26%; seats by party - NC 196, CPN-UML 175, UCPN(M) 80, Rastriya Prajantantra Party Nepal 24, other smaller parties 100; note - 26 seats filled by the new Cabinet have not yet been appointed
highest court(s):
Supreme Court (consists of the chief justice and up to 14 judges
note - Nepal's judiciary was restructured under its 2007 Interim Constitution
judge selection and term of office:
the Supreme Court chief justice appointed by the prime minister on the recommendation of the Constitutional Council; other judges are appointed by the prime minister on the recommendation of the Judicial Council; judges serve until age 65
note:120 political parties participated in the 19 November 2013 election and the 30 parties listed below were elected to serve in the Constituent Assembly
Akhanda Nepal Party [Kumar KHADKA]
Communist Party of Nepal-Marxist Leninist [C.P. MAINALI]
Communist Party of Nepal-Unified Marxist-Leninist or UML [Jhalanath KHANAL]
Communist Party of Nepal (United) [Chandra Dev JOSHI]
Dalit Janajati Party [Bishwendra PASHWAN]
Federal Socialist Party [Ashok RAI]
Jana Jagaran Party Nepal [Lok Mani DHAKAL]
Khambuwan Rastriya Morcha-Nepal [Ram Kumar RAI]
Madhesi People's Rights Forum-Democratic [Bijay Kumar GACHCHADAR]
Madhesi People's Rights Forum-Nepal [Upendra YADAV]
Madhesi People's Rights Forum-Republican [Raj Kishore YADAV]
Madhes Samata Party Nepal [Meghraj SAHANI]
National Madhes Socialist Party [Sharat Singh BHANDARI]
Nepal Pariwar Dal [Ek Nath DHAKAL]
Nepal Workers and Peasants Party [Narayan Man BIJUKCHHE]
The Communist Party of Nepal - Maoist (CPN-M); note - this party split from the UCPN(M) in June 2012,opposed the November 2013 elections, and is not represented in the current Constituent Assembly
other:
a variety of groups advocating regional autonomy such as the Federal State Limbuwan Council in far eastern Nepal
red with a blue border around the unique shape of two overlapping right triangles; the smaller, upper triangle bears a white stylized moon and the larger, lower triangle displays a white 12-pointed sun; the color red represents the rhododendron (Nepal's national flower) and is a sign of victory and bravery, the blue border signifies peace and harmony; the two right triangles are a combination of two single pennons (pennants) that originally symbolized the Himalaya Mountains while their charges represented the families of the king (upper) and the prime minister, but today they are understood to denote Hinduism and Buddhism, the country's two main religions; the moon represents the serenity of the Nepalese people and the shade and cool weather in the Himalayas, while the sun depicts the heat and higher temperatures of the lower parts of Nepal; the moon and the sun are also said to express the hope that the nation will endure as long as these heavenly bodies
note:Nepal is the only country in the world whose flag is not rectangular or square
Nepal is among the poorest and least developed countries in the world, with about one-quarter of its population living below the poverty line. Nepal is heavily dependent on remittances, which amount to as much as 22-25% of GDP. Agriculture is the mainstay of the economy, providing a livelihood for more than 70% of the population and accounting for a little over one-third of GDP. Industrial activity mainly involves the processing of agricultural products, including pulses, jute, sugarcane, tobacco, and grain. Nepal has considerable scope for exploiting its potential in hydropower, with an estimated 42,000 MW of commercially feasible capacity, but political uncertainty and a difficult business climate have hampered foreign investment. Additional challenges to Nepal's growth include its landlocked geographic location, persistent power shortages, underdeveloped transportation infrastructure, civil strife and labor unrest, and its susceptibility to natural disaster. The lack of political consensus in the past several years has delayed national budgets and prevented much-needed economic reform, although the government passed a full budget in 2013.
state operates 2 TV stations as well as national and regional radio stations; roughly 30 independent TV channels are registered with only about half in regular operation; nearly 400 FM radio stations are licensed with roughly 300 operational (2007)
joint border commission continues to work on contested sections of boundary with India, including the 400 sq km dispute over the source of the Kalapani River; India has instituted a stricter border regime to restrict transit of Maoist insurgents and illegal cross-border activities
refugees (country of origin):
15,0000-20,000 (Tibet/China) (2013); 29,813 (Bhutan) (2014)
IDPs:
up to 50,000 (remaining from ten-year Maoist insurgency that officially ended in 2006; figure does not include people displaced since 2007 by inter-communal violence and insecurity in the Terai region) (2013)
stateless persons:
800,000 (2011); note - in 2007-2008 the government distributed 2.6 million citizenship certificates to the 3.4 million people without one; the remaining 800,000 without citizenship certificates are not necessarily stateless, and the UNHCR is working with the Nepali Government to clarify their situation; lesser numbers of Bhutanese Hindu refugees of Nepali origin (the Lhotsampa) who were stripped of Bhutanese nationality and forced to flee their country in the late 1980s and early 1990s - and undocumented Tibetan refugees who arrived in Nepal prior to the 1990s - are considered stateless