Digital Rights Weekly/Year 2/Issue 28

Jul 14, 2023

MoICT Emphasized Social Media Platform Regulation
Minister for Communications and Information Technology, Rekha Sharma, has announced plans to take concrete measures aimed at improving the conduct of social media platforms. During a National Assembly meeting, she addressed questions regarding the budget and stated that the ministry is actively working towards promoting digital literacy and bringing social media platforms under legal regulations. Additionally, the ministry intends to formulate an electronic data protection policy to ensure secure storage and usage of electronic data. Minister Sharma further mentioned that preparations are underway to integrate cyber security concerns and present the national cyber security policy to the Council of Ministers.

Tech Giants Start Paying Taxes in Nepal
Nine prominent digital service providers, such as Google, LinkedIn, Facebook, and TikTok, have made their maiden tax payments in Nepal. Although these companies do not have physical offices in Nepal, they have been offering services through digital platforms. The Internal Revenue Department (IRD) reported collecting more than Rs 90 million in revenue from these companies. According to IRD, these companies have paid 13 percent Value Added Tax (VAT) and 2 percent Digital Service Tax (DST) on the fees collected from Nepali users. The government introduced the Digital Service Tax last year through the Financial Act.

Start-ups Left in Limbo as Promised Funds Fail to Materialize
The Department of Industry had invited start-ups to submit business proposals by 19 April, promising funding of up to Rs2.5 million at a low interest rate. Out of the 425 proposals received, only 212 were approved. However, with the fiscal year ending on July 16, the pledged amount of Rs 250 million has not been released, casting doubt on the scheme’s implementation for this year. Start-ups feel deceived by the government, as the similar scheme announced by the National Planning Commission in 2020 had also failed to materialize. Despite the government’s budget statement allocating Rs1.25 billion for start-up support in the next fiscal year, concerns linger regarding its execution.

Substantial Increase in Fixed Broadband Usage
The Nepal Telecommunication Authority (NTA) has released Management Information System (MIS) report indicating a significant rise in the number of people using fiber internet in Nepal. The report highlights a notable increase of 2,340,178 users of fixed broadband within the span of one year, from Baisakh 2079 to Chaitra 2079. The data shows that the number of internet users utilizing fixed broadband in Nepal reached 93,42,890 in Baisakh 2079, which further surged to 1,16,83,068 users by Chaitra 2079. This upward trend in the adoption of fiber internet underscores the growing popularity and reliance on fixed broadband connectivity in the country.

Rapid Surge in QR Payments and Transactions in Nepal
The Nepal Rastra Bank (NRB) released its monthly payment system index for Jestha 2080, revealing that the total value of transactions using QR payments reached Rs 28.76 billion. This amount shows a notable increase of Rs 2.25 billion compared to Baisakh, where QR payments totaled Rs 26.51 billion. The data also indicates a positive trend in the number of transactions conducted through QR codes. In Baisakh, there were 8,587,224 QR transactions, which grew to 9,509,249 transactions in Jestha. This signifies a growth of 922,025 transactions within just one month.

Lekbesi Municipality Initiates Information and Data Management Act
Lekbesi Municipality in Surkhet is all set to introduce an Information and Data Management Act. This act aims to establish a system for gathering and handling information and data. In a collaborative initiative between Lekbesi Municipality and Digital Rights Nepal, the municipality organized a program to engage stakeholders and gather their feedback and suggestions regarding the Act. The purpose of this legislation is to efficiently manage records within the municipality and facilitate the collection, processing, analysis, and storage of essential social, economic, and cultural data required for local development.

KMC Introduces Communications and Information Bill
Kathmandu Metropolitan City (KMC), has introduced Communications and Information Bill 2080, to ensure efficient communication management, data collection, open data, freedom of thought and expression, and the right to information. The bill primarily covers publication, broadcasting, and advertising management. Key topics addressed in the bill include media registration and regulation, human resource and internal communications management, development and promotion of journalism, advertising oversight, implementation of the right to information, and data management. The bill also includes provisions related to publication and broadcasting records, issuance of press passes, utilization of information centers, websites, emails, and social media, spokespersons, security of media organizations and personnel.

Butwal Sub-Metropolitan City Introduces AI Chatbot for Enhanced Service Delivery
Butwal Sub-Metropolitan City in Nepal has implemented an AI chatbot to streamline and simplify their service delivery processes. The official launch took place during a program held on 9 July. The chatbot is accessible through the messenger feature on the sub-metropolitan city’s official Facebook page. By integrating artificial intelligence, the chatbot provides information about various services, facilities, and relevant details offered by the sub-metropolitan city. This initiative by the sub-metropolitan city aims to facilitate the promotion of the right to information and enhance overall accessibility for service seekers.

YouTube, Facebook, and TikTok Dominate Internet Traffic in Nepal
A recent report by the Nepal Network Operators Group (NPNOG) reveals that YouTube, Facebook, and TikTok account for nearly 60 percent of the internet traffic in Nepal. The research highlights the immense popularity of these platforms among internet users in the country. Specifically, TikTok contributes 18.6 percent, Facebook accounts for 19.6 percent, and Google represents 20.2 percent of the total internet traffic in Nepal. The data underscores the significant influence and usage of these platforms within the Nepalese online community.

Booked for Online Banking Fraud
A man, identified as Mohammad Mojahed Miya, 21, from Morang, has been apprehended for allegedly defrauding a bank account by falsely posing as a bank employee and requesting an OTP code. Initial investigations reveal that he scammed five individuals for Rs 1,112,840. Miya has been handed over to the District Police unit in Teku for further investigation into the cheating case. Recently, there has been an increase in incidents of online banking fraud in Nepal. Digital Rights Nepal has released an informative video on the topic of online banking fraud.

Publication

ICT Policies and Implications on Digital Rights: South and Southeast Asian Context
EngageMedia has released a research report titled “ICT Policies and Implications on Digital Rights: South and Southeast Asian Context.” The report reveals that the current laws in the studied countries have vague provisions that can be exploited by authorities to suppress free speech. These policies also pose risks of increased state surveillance and excessive government powers without proper independent oversight. The report includes a specific section on Nepal developed by Digital Rights Nepal. Read more here: ICT Policies and Implications on Digital Rights: South and Southeast Asian Context

DRAPAC23 Public Outcomes Report: Advancing Digital Rights in the Asia-Pacific region
The public outcomes report for the Digital Rights Asia-Pacific Assembly (DRAPAC23) is published. In May 2023, the Assembly successfully gathered more than 500 attendees from 35 different countries to foster knowledge-sharing, collaboration, and momentum surrounding digital rights. The participants represented diverse sectors of civil society, including digital and human rights advocates, journalists, media creators, artists, designers, technologists, youth advocates, and representatives from marginalized communities. To access and review the public outcomes report: https://engagemedia.org/2023/drapac23-public-report/

Opportunities

Strengthening Feminist movements 2023-24 call for Grants application!!
Women’s Fund Asia is launching its grantmaking program, called Strengthening Feminist Movement (SFM), which aims to support activists, groups, and networks advocating for women, girls, trans, and intersex rights. The program targets initiatives operating at the local, subnational, and national levels across various Asian countries.
To apply: https://www.womensfundasia.org/SFMCall/

Digital Rights Weekly is a week-based update on Digital Rights and ICT issues, that happened throughout the week, compiled and analyzed from the digital rights perspective by Digital Rights Nepal (DRN). DRN is a not-for-profit initiative dedicated to the protection and promotion of digital rights, including the right to online freedom of expression and association, online privacy, access to information, and related issues such as internet governance, cyber laws/policies, and cyber securities in Nepal.