Customer Logins

Obtain the data you need to make the most informed decisions by accessing our extensive portfolio of information, analytics, and expertise. Sign in to the product or service center of your choice.

Customer Logins

My Logins

All Customer Logins
S&P Global S&P Global Marketplace
Explore S&P Global

  • S&P Global
  • S&P Dow Jones Indices
  • S&P Global Market Intelligence
  • S&P Global Mobility
  • S&P Global Commodity Insights
  • S&P Global Ratings
  • S&P Global Sustainable1
Close
Discover more about S&P Global’s offerings
Investor Relations
  • Investor Relations Overview
  • Investor Presentations
  • Investor Fact Book
  • News Releases
  • Quarterly Earnings
  • SEC Filings & Reports
  • Executive Committee
  • Corporate Governance
  • Merger Information
  • Stock & Dividends
  • Shareholder Services
  • Contact Investor Relations
Languages
  • English
  • 中文
  • 日本語
  • 한국어
  • Português
  • Español
  • ไทย
About
  • About Us
  • Contact Us
  • Email Subscription Center
  • Media Center
  • Glossary
Product Login
S&P Global S&P Global Market Intelligence Market Intelligence
  • Who We Serve
  • Solutions
  • News & Insights
  • Events
  • Product Login
  • Request Follow Up
  •  
    • Academia
    • Commercial Banking
    • Corporations
     
    • Government & Regulatory Agencies
    • Insurance
    • Investment & Global Banking
     
    • Investment Management
    • Private Equity
    • Professional Services
  • WORKFLOW SOLUTIONS
    • Capital Formation
    • Credit & Risk Solutions
    • Data & Distribution
    • Economics & Country Risk
    • Sustainability
    • Financial Technology
     
    • Issuer & IR Solutions
    • Lending Solutions
    • Post-Trade Processing
    • Private Markets
    • Risk, Compliance, & Reporting
    • Supply Chain
    PRODUCTS
    • S&P Capital IQ Pro
    • S&P Global Marketplace
    • China Credit Analytics
    • Climate Credit Analytics
    • Credit Analytics
    • RatingsDirect ®
    • RatingsXpress ®
    • 451 Research
    See More S&P Global Solutions
     
    • Capital Access
    • Corporate Actions
    • KY3P ®
    • EDM
    • PMI™
    • BD Corporate
    • Bond Pricing
    • ChartIQ
  • CONTENT
    • Latest Headlines
    • Special Features
    • Blog
    • Research
    • Videos
    • Infographics
    • Newsletters
    • Client Case Studies
    PODCASTS
    • The Decisive
    • IR in Focus
    • Masters of Risk
    • MediaTalk
    • Next in Tech
    • The Pipeline: M&A and IPO Insights
    • Private Markets 360°
    • Street Talk
    SEE ALL EPISODES
    SECTOR-SPECIFIC INSIGHTS
    • Differentiated Data
    • Banking & Insurance
    • Energy
    • Maritime, Trade, & Supply Chain
    • Metals & Mining
    • Technology, Media, & Telecoms
    • Investment Research
    • Sector Coverage
    • Consulting & Advisory Services
    More ways we can help
    NEWS & RESEARCH TOPICS
    • Credit & Risk
    • Economics & Country Risk
    • Financial Services
    • Generative AI
    • Maritime & Trade
    • M&A
    • Private Markets
    • Sustainability & Climate
    • Technology
    See More
    • All Events
    • In-Person
    • Webinars
    • Webinar Replays
    Featured Events
    Webinar2024 Trends in Data Visualization & Analytics
    • 10/17/2024
    • Live, Online
    • 11:00 AM - 12:00 PM EDT
    In PersonInteract New York 2024
    • 10/15/2024
    • Center415, 415 5th Avenue, New York, NY
    • 10:00 -17:00 CEST
    In PersonDatacenter and Energy Innovation Summit 2024
    • 10/30/2024
    • Convene Hamilton Square, 600 14th St NW, Washington, DC 20005, US
    • 7:30 AM - 5:00 PM ET
  • PLATFORMS
    • S&P Capital IQ Pro
    • S&P Capital IQ
    • S&P Global China Credit Analytics
    • S&P Global Marketplace
    OTHER PRODUCTS
    • Credit Analytics
    • Panjiva
    • Money Market Directories
     
    • Research Online
    • 451 Research
    • RatingsDirect®
    See All Product Logins
Same-Day Analysis

Abolition of Monarchy Ushers In New Political Era for Nepal

Published: 29 May 2008
Nepal’s Constituent Assembly yesterday agreed to abolish the country’s long-standing monarchy, thereby honouring a key demand of the Maoists and allowing for the peace process to proceed.

Global Insight Perspective

 

Significance

The abolition of the monarchy was the first task faced by the new Constituent Assembly, constituting a key step in terms of moving ahead with the peace process.

Implications

The overwhelming vote in favour of the removal of the king highlights the emergence of a solid republican consensus in Nepal, constituting a positive starting point as the government seeks a viable institutional framework to guide this transition.

Outlook

However, key challenges loom, including agreement on the formation of a new coalition government, the rewriting of the constitution, and various security issues.

Abolishing Nepal's Long-Standing Monarchy

The newly elected Constituent Assembly late last night moved to abolish Nepal’s 240-year-old monarchy, declaring the country a republic. It thereby honoured a key demand of the Communist Party of Nepal-Maoist (CPN-M), which won a surprise victory in last month’s Constituent Assembly election (see Nepal: 25 April 2008: Election 2008: Maoist Reform Agenda to Be Circumscribed Following Solid Election Victory). This in turn paved the way for the implementation of the December 2007 agreement on abolishing the monarchy made by the ruling Seven Party Alliance (SPA). The new Maoist-dominated Constituent Assembly held its first assembly this week, which saw an overwhelming 560 delegates voting in favour of a resolution to end the country’s long-standing monarchy, and only four being opposed. King Gyanendra has now been given 15 days to leave his Narayanhity palace in the capital, Kathmandu, which is to be turned into a national museum. The palace has so far refrained from reacting to the resolution.

Tension has been high in recent days as the Constituent Assembly moved to vote on the sensitive issue, with a series of small-scale bombings having been carried out against pro-republican targets over the past days (see Nepal: 27 May 2008: Nepalese Government Steps Up Security Ahead of Abolition of Monarchy). Pro-monarchist parties and hard-line Hindu groups have previously warned of violence if the government would proceed with plans to remove the king. However, no major incidents have occurred after authorities strengthened security in the capital, which saw thousands celebrating in the streets as the government declared a three-day national holiday to mark the birth of the new republic.

A Key Step in the Peace Process

The way was paved for the abolition of Nepal’s monarchy after the SPA bowed to Maoist demands in December last year, thereby allowing the peace process to move ahead, with last month’s election being the culmination of this. The implementation of the decision already made was meanwhile assured with the CPN-M’s landslide win in the polls. This came as a surprise to Nepal’s traditional political establishment and the international community alike, signalling an impending overhaul of the established political order, with the abolition of the monarchy being the first concrete step in this direction.

Nepal's Troubled Monarchy

King Gyanendra came to power in 2001 after his brother and a number of his close relatives were killed by then crown prince Dipendra, tarnishing the monarchy’s reputation. This was further undermined when the new king dismissed the government and took absolute power in 2005—a move that, however, spurred mass protests against him the following year, forcing him to capitulate. The king was subsequently forced to accept popular sovereignty, reinstate parliament, and allow the SPA to implement its roadmap for peace and democracy, with the government and Maoist rebels concluding a formal ceasefire in May 2006, marking the beginning of the peace process.

A Gradual Process

The unmaking of Nepal’s monarchy has been undertaken gradually by the SPA, with various symbolic moves preceding the outright abolition of the monarchy. This includes the crucially important removal of the king as the head of Nepal’s army, the writing of a new national anthem, removing the call for allegiance to the throne, and the substitution of his picture with an image of Mount Everest on Nepalese banknotes.

Outlook and Implications

The abolition of the monarchy was the first task faced by the new Constituent Assembly, constituting a key step in terms of moving ahead with the peace process. The overwhelming vote in favour of the removal of the king highlights the emergence of a solid republican consensus in Nepal, although the country’s traditionally dominant party the, Nepali Congress (NC), was long opposed to such a move. This is a positive foundation as Nepal’s government commences its search for a viable institutional framework to guide this transition. The next challenge will be that of rewriting Nepal’s constitution, allowing for a new institutional framework to be established for the political sphere. However, a number of obstacles remain for the new government. A key one has been that of agreeing on the formation of a new government, with traditionally dominant parties resisting the emergence of the Maoists as the country’s new largest party. However, it has now been agreed that CPN-M leader Prachanda will take the key post as prime minister, with a ceremonial presidency also being created to allow for more viable power-sharing arrangements between the various parties. However, it remains to be seen who will fill this post, with a decision expected within a week before the new government moves to address other key questions vital to instituting a viable peace. These include the question of demobilisation and reintegration of Maoist fighters, security problems in the south, and societal reconciliation after a decade of civil war (see Nepal: 9 May 2008: "Maoism with Nepalese Characteristics": The Post-Election Landscape).
Related Content
  • Country Intelligence
{"items" : [ {"name":"share","enabled":true,"desc":"<strong>Share</strong>","mobdesc":"Share","options":[ {"name":"facebook","url":"https://www.facebook.com/sharer.php?u=http%3a%2f%2fwww.spglobal.com%2fmarketintelligence%2fen%2fmi%2fcountry-industry-forecasting.html%3fid%3d106596758","enabled":true},{"name":"twitter","url":"https://twitter.com/intent/tweet?url=http%3a%2f%2fwww.spglobal.com%2fmarketintelligence%2fen%2fmi%2fcountry-industry-forecasting.html%3fid%3d106596758&text=Abolition+of+Monarchy+Ushers+In+New+Political+Era+for+Nepal","enabled":true},{"name":"linkedin","url":"https://www.linkedin.com/sharing/share-offsite/?url=http%3a%2f%2fwww.spglobal.com%2fmarketintelligence%2fen%2fmi%2fcountry-industry-forecasting.html%3fid%3d106596758","enabled":true},{"name":"email","url":"?subject=Abolition of Monarchy Ushers In New Political Era for Nepal&body=http%3a%2f%2fwww.spglobal.com%2fmarketintelligence%2fen%2fmi%2fcountry-industry-forecasting.html%3fid%3d106596758","enabled":true},{"name":"whatsapp","url":"https://api.whatsapp.com/send?text=Abolition+of+Monarchy+Ushers+In+New+Political+Era+for+Nepal http%3a%2f%2fwww.spglobal.com%2fmarketintelligence%2fen%2fmi%2fcountry-industry-forecasting.html%3fid%3d106596758","enabled":true}]}, {"name":"rtt","enabled":true,"mobdesc":"Top"} ]}
Filter Sort
  • About S&P Global Market Intelligence
  • Quality Program
  • Email Subscription Center
  • Media Center
  • Our Values
  • Investor Relations
  • Contact Customer Care & Sales
  • Careers
  • Our History
  • News Releases
  • Support by Division
  • Corporate Responsibility
  • Ventures
  • Quarterly Earnings
  • Report an Ethics Concern
  • Leadership
  • Press
  • SEC Filings & Reports
  • Office Locations
  • IOSCO ESG Rating & Data Product Statements
  • © 2025 S&P Global
  • Terms of Use
  • Cookie Notice
  • Privacy Policy
  • Disclosures
  • Do Not Sell My Personal Information