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Three prime ministers, 10 premierships. Why is Sudurpaschim still Nepal’s poorest province?

From Kathmandu Post · () English

Summarized and contextualized by DistantNews.

At a glance

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  • Sudurpaschim province, despite producing influential prime ministers, remains Nepal's poorest region with the highest poverty rate at 34.16 percent.
  • The province's human development index is below the national average, and its per capita income is significantly lower than Nepal's overall.
  • Chronic political instability and disputes over budget allocations, including allegations of middlemen involvement, hinder development despite rich natural assets.

Sudurpaschim province, a region that has produced some of Nepal's most influential political leaders and prime ministers, paradoxically ranks as the country's poorest. Persistent political disputes and weak human development indicators have prevented meaningful progress, leaving residents frustrated that their political representation has not translated into development.

Recent data underscores the province's struggles. The Fourth Nepal Living Standards Survey (2022-23) revealed Sudurpaschim has Nepal's highest absolute poverty rate at 34.16 percent. Furthermore, six local units within the province are among the country's 10 poorest, according to a government report. The Human Development Report 2024 places the province's Human Development Index at 0.601, lagging behind the national average of 0.622. Economic data from Nepal Rastra Bank's Dhangadhi office shows Sudurpaschim's annual per capita income at $1,179, considerably lower than Nepal's national average of $1,513.

Analysts and local leaders attribute the province's lagging development to a combination of limited federal investment and chronic political instability within the provincial government. This instability is starkly illustrated by recurring budget crises. Two years ago, Sudurpaschim began the fiscal year without an approved budget, leading to a three-month paralysis. The upcoming fiscal year's budget faces similar hurdles, with coalition partner CPN-UML refusing to endorse it in its current form, demanding amendments despite being part of the governing coalition.

Political bargaining over budget allocations has become a regular feature in Sudurpaschim. Opposition parties frequently accuse ministers and lawmakers of distributing small development projects to reward party supporters. Allegations of middlemen influencing budget decisions surface annually without leading to formal investigations. "The budget has been prepared after development schemes were sold through middlemen," stated Khagraj Bhatta, parliamentary party leader of the main opposition Nepali Communist Party. "Even the UML, which is in government, says the budget must be revised. With so many irregularities, we will not allow it to pass in its present form."

Despite these challenges, Sudurpaschim possesses significant natural assets, including fertile plains, the vast Shuklaphanta National Park, and renowned tourist destinations like Badimalika, Ramaroshan, Khaptad, and Budhinanda, alongside the Api and Saipal Himalayan ranges. Tourism entrepreneur Bhim Bahadur believes these resources hold immense potential if development challenges are overcome.

The budget has been prepared after development schemes were sold through middlemen. Even the UML, which is in government, says the budget must be revised. With so many irregularities, we will not allow it to pass in its present form.

— Khagraj BhattaParliamentary party leader of the main opposition Nepali Communist Party, commenting on the stalled budget deliberations.
DistantNews Editorial

Originally published by Kathmandu Post. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.