Rameshwor Khanal Day 2 — Finance Minister sets focus on jobs, austerity
Rameshwor Khanal sets focus on jobs, austerity in Day 2 as Finance Minister
BCANP News Desk
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Kathmandu, Nepal
On his second day as Nepal’s Finance Minister, Rameshwor Prasad Khanal reaffirmed his commitment to austerity — refusing ministerial quarters, vehicles, or security — and signaled that youth unemployment will be the central focus of his agenda. He also indicated that economic policy under the interim government will emphasize credibility and accountability ahead of the March 2026 elections.
Timeline (Sept 16, 2025)
- Morning remarks: Khanal confirmed he will maintain his decision to reject official perks and rely on basic pay only.
- Policy signal: He identified tackling youth unemployment as the “primary challenge” for the ministry, given that one-fifth of young Nepalis are jobless.
- Fiscal approach: Early ministry briefings suggested preparation of an austerity-driven fiscal plan that balances reform with immediate relief.
Decisions & Quotes
- On perks: “I will not take residence, vehicles, or personal security. My service is for reform, not privilege,” Khanal reiterated.
- On priorities: He stressed creating job opportunities for youth while stabilising fiscal discipline during the transition period.
Why it matters
By repeating his refusal of perks and framing unemployment as his top priority, Khanal has reinforced the interim cabinet’s reformist tone. These moves resonate with protesters’ demands for accountability and tangible economic relief. The approach also sets expectations for Nepal’s pre-election fiscal roadmap.
Background
Khanal is a veteran economist and former Finance Secretary. On Day 1 he was sworn in as Finance Minister and immediately announced he would forgo all perks and privileges tied to the position.
The interim cabinet, led by PM Sushila Karki, was formed on Sept 15 after youth-led protests forced leadership changes. Elections are scheduled for March 5, 2026.
What’s next
- Drafting of an interim fiscal framework that outlines spending limits and priority programmes.
- Early consultations with economic reform experts and the Election Commission to ensure fiscal credibility during polls.
- Public updates expected on youth employment programmes in coming weeks.
