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Nepal’s Policy and Programme 2083/84: Priority to the Digital Transformation, AI and E-Governance
Nepal’s Policy and Programme for FY 2083/84, presented by President Ramchandra Paudel before the Federal Parliament on May 11, 2026, outlines a 100-point agenda centered on political stability, economic reform, good governance, and institutional modernization. A major focus of the framework is digital transformation, artificial intelligence (AI), innovation, and technology-driven governance as key pillars of a transparent, efficient, and knowledge-based state.
The policy prioritizes modernization of the economy through digital systems and information technology. It proposes integrating economic transactions into digital platforms to promote a cashless and transparent economy while reducing revenue leakage (Point 3). The government also seeks to transform Nepal’s remittance-dependent economy into a knowledge- and service-based economy through digital trade, remote work, ICT-enabled services, and value-added digital industries (Points 9–10). In a significant policy shift, the IT sector has been declared a national strategic industry, with commitments to promote software exports, cloud computing, cybersecurity, green computing, and AI computation exports (Point 11). The framework further envisions digital parks, data centers, and public digital infrastructure to position Nepal as a regional technology hub.
The policy also emphasizes expanding Nepal’s digital economy and innovation ecosystem. Measures include improving telecommunications infrastructure, reducing the digital divide in remote areas, modernizing radio frequency management, and promoting startup ecosystems through initiatives such as the “Startup Nepal Portal” and industrial IT parks (Points 13 and 74). Digital content industries, including film, photography, documentaries, and digital media, are also recognized as economic sectors, while foreign investment in IT, innovation, education, and digital infrastructure will be promoted through economic diplomacy (Points 76 and 88).
Artificial intelligence and emerging technologies feature prominently throughout the framework. The government proposes integrating AI, data analytics, cloud systems, and cybersecurity into governance, infrastructure, and public administration. AI-based traffic systems, GPS tracking, digital fines, and smart cameras will be used to improve urban transport and road safety (Point 66). Drones, helicopters, and advanced technologies will support disaster preparedness and emergency response (Point 71), while drones and satellite technologies will also be used for forest fire control and environmental monitoring (Point 24).
Cybersecurity and digital law enforcement are another major focus. Specialized investigation units will address cybersecurity threats, financial crimes, and digital fraud (Point 80). Border management will incorporate facial recognition, automated surveillance, drones, night-vision cameras, and integrated digital border systems (Point 81). In education, AI-based learning systems, digital infrastructure, virtual classrooms, and open learning materials will be expanded across schools and universities (Point 46).
E-governance and digital public service delivery form a central pillar of the policy. Under a national Digital Governance Blueprint, the government plans to establish integrated digital infrastructure, including e-cloud systems, interoperability standards, digital procurement, and data governance mechanisms (Point 73). A key reform is the development of interoperable government databases based on the principle of “enter once, use everywhere,” enabling citizens to access multiple services through a unified digital ecosystem (Point 93). The government also plans to integrate at least 100 public services into a single “Nagarik App.”
The proposed “One Identity Card Policy” would link citizenship, banking, health, education, and social security services through a unified national identity system (Point 94). Public services will increasingly rely on digital signatures, online systems, E-KYC mechanisms, centralized vetting systems, and real-time grievance management platforms to improve accountability and reduce corruption risks (Point 79). The framework also emphasizes digitized procurement, digital audits, governance indicators, and technology-driven anti-corruption systems, alongside strengthening data-driven policymaking and digital monitoring mechanisms within public institutions (Points 65, 96, and 97).
Sectoral digitalization is proposed across agriculture, tourism, labor, education, health, environment, and disaster management. AgriTech systems, digital payments, insurance digitization, and digital land administration will modernize agriculture (Points 14, 15, 18, and 20). Tourism reforms include fully digital tourist visa systems, e-gates at airports, and integrated digital tourism services (Points 36 and 37). The labor sector will introduce legal frameworks for remote work, digital employment systems, digital skill passports for returning migrant workers, and digital labor inspection systems (Points 41 and 42). Telehealth platforms, disease surveillance systems, automated weather stations, early warning systems, and integrated citizen alert applications are also prioritized (Points 32, 56, 77).
Overall, the policy reflects Nepal’s significant shift toward a digitally governed, AI-enabled, and data-driven state. However, the success of this agenda will depend on effective implementation, institutional accountability, technical capacity, and sustained political commitment. Nepal has historically struggled to translate ambitious policies into practice due to weak implementation mechanisms and governance inefficiencies.
At the same time, the growing use of AI systems, centralized databases, digital identity systems, and surveillance technologies raises serious concerns relating to privacy, freedom of expression, data protection, cybersecurity, and broader digital rights. Without comprehensive safeguards and strong data protection laws, digital expansion may increase risks of exclusion, misuse, surveillance overreach, and violations of fundamental rights. Therefore, alongside digital modernization, Nepal must ensure that its laws, policies, and governance frameworks remain transparent, democratic, rights-respecting, and accountable. |
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Two Recent Incidents Raise Concerns Over Press Freedom in Nepal
This week, two separate incidents have raised serious concerns over press freedom in Nepal.
In the first case, former MoCIT minister and Rastriya Swatantra Party MP Jagdish Kharel allegedly threatened to shut down Rajdhani Daily over its news reports, and also filed a complaint with the Cyber Bureau. The Federation of Nepali Journalist condemned the remarks as unconstitutional and inappropriate for a lawmaker, warning against misuse of state authority to intimidate the media. In the second case, a court issued an interim order directing Beemapost.com and its editor to remove news articles related to former CNI President Vishnu Agrawal, triggering concerns over judicial overreach and media censorship. The Federation stressed that such grievances should be addressed through Press Council Nepal rather than direct takedown orders. The Federation has expressed serious concern that both incidents reflect growing pressure on media institutions and may undermine constitutionally guaranteed press freedom. Concerns Over Company Registrar Call Center
The Office of the Company Registrar has launched an AI-based 24-hour call center to assist citizens with company-related services. However, concerns have emerged that the system may expose citizens’ personally identifiable information (PII) to foreign servers and third-party systems, raising serious privacy and data sovereignty risks.
Although officials claim the AI system uses secure government-approved servers within Nepal, experts warn that integration with foreign AI and cloud platforms may still expose data to external processing. Concerns remain over transparency, data storage, retention policies, and security safeguards, particularly as the system handles sensitive corporate information. Legal analysts also point to possible conflicts with Nepal’s privacy and cybersecurity laws, highlighting broader gaps in AI governance and the need for stronger accountability and data protection safeguards. 27 Charged in e-GP System Hacking and Procurement Fraud Case
A case has been filed in Kathmandu District Court against 27 individuals, including former minister Bikram Pandey, for allegedly hacking and manipulating the Public Procurement Monitoring Office (e-GP) system. The accused are alleged to have created a backdoor in the system, altered contract details, used fake identities, and conducted illegal Bitcoin transactions to influence procurement bids in exchange for commissions. The case, filed by the Government Attorney’s Office based on a CIB investigation, is under the Electronic Transactions Act, 2006 and Organized Crime Prevention Act, 2013. Five accused are absconding, and the investigation continues. National ID Card Services Resume After 10-Day Disruption
The Department of National ID and Civil Registration has resumed national identity card services from May 13 after a 10-day suspension caused by technical issues. Director Kamal Prasad Pandey said the National Identity Management Information System had been under repair, which temporarily affected new enrolment and identity number verification. He confirmed that the system has now been restored and services are back to normal. CIB Probes Major Telecom Asset Scam Involving Smart Telecom and Ncell
The Central Investigation Bureau (CIB) has collected key documents from Ncell headquarters as part of an ongoing investigation into alleged large-scale financial irregularities in Nepal’s telecom sector. The case centers on the illegal auction and sale of Smart Telecom’s government-controlled assets after its license was automatically canceled in 2080 due to non-payment of dues. Under law, these assets were supposed to remain under government control, but were allegedly auctioned by Nepal Investment Mega Bank and sold to Ncell. Several individuals, including former Smart Telecom chairman Sarvesh Joshi, NIMB CEO Jyotiprakash Pandey, and others, have been arrested in connection with fraud, abuse of authority, and criminal breach of trust in this case. |
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Building Responsible Digital Voices: Workshop for Content Creators and Influencers On 13 May 2026, Digital Rights Nepal (DRN), in collaboration with Visible Impact, successfully conducted a Workshop for Content Creators and Social Media Influencers on Digital Rights and Safety. The workshop convened young content creators and social media influencers to critically reflect on the content they produce, the audiences they reach, and the responsibilities inherent in their digital influence.
Throughout the program, participants engaged in substantive discussions on core digital rights, privacy and data protection, ethical content creation, misinformation, hate speech, technology-facilitated gender-based violence (TFGBV), and Nepal’s cyber legal framework. The session concluded with participants formulating actionable commitments to contribute toward safer, more responsible, and rights-respecting online spaces.
The initiative reaffirmed the importance of empowering digital actors to uphold online safety and integrity, recognizing that the future of a safer internet is shaped by those who actively create and influence it. |
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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. |
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