History
Major Political Instability in Nepal: Key Events Explained
Nepal has changed its political system three times in seven decades. Understanding the sequence of events makes the country’s frequent changes of government much easier to follow.

Before 1990: the Panchayat system
From 1960 Nepal was governed under the partyless Panchayat system, introduced after King Mahendra dismissed the elected government of B. P. Koirala and banned political parties. Political activity continued underground through parties in exile and student movements at home.
The system concentrated power in the palace and in a hierarchy of councils, while development spending and political representation were tightly controlled. Pressure for change built through the 1980s, including a referendum on the system in 1980 that kept the Panchayat arrangement in place.
1990: the People's Movement
In early 1990, a coalition of parties led the Jana Andolan - the People’s Movement - with strikes, demonstrations and marches across the country. The protests were met with force and casualties, and the movement eventually brought an end to the Panchayat system.
The result was a constitutional monarchy with a multiparty parliamentary system and a new constitution in 1990. Elections in 1991 produced a government led by the Nepali Congress. It was the first real opening of Nepali politics in three decades, but it also began a period of unstable coalition politics and frequent changes of government.
1996 to 2006: the Maoist insurgency
In 1996 the Communist Party of Nepal (Maoist) launched an armed insurgency, beginning in the mid-western hills with attacks on police posts. Over the following decade the conflict spread across most of the country, with substantial casualties on all sides.
The insurgency also produced internal displacement, disrupted schools and development projects, and strained the state’s security forces. In 2001 the country was left shocked by the killing of King Birendra and several members of the royal family, which further destabilised the political system.
A state of emergency was declared in 2001 and remained a defining feature of the period, with civil liberties restricted and political leaders frequently detained.
2002 to 2006: dissolution and royal rule
In 2002 the prime minister dissolved parliament and fresh elections were repeatedly postponed, leaving the country governed by appointed governments. In 2005 King Gyanendra assumed executive power directly, arguing that the political parties had failed to hold elections or end the insurgency.
The takeover backfired. The parties and the Maoists reached an understanding in India in 2005 and launched a joint movement, and in April 2006 mass protests - the second Jana Andolan - forced the king to restore parliament. The House of Representatives then moved to curb royal powers.
2006 to 2008: peace agreement and the republic
A Comprehensive Peace Agreement signed in November 2006 formally ended the decade-long insurgency, and the Maoists joined an interim government and an interim legislature. Elections to a Constituent Assembly were held in 2008.
The first sitting of the Constituent Assembly abolished the monarchy and declared Nepal a federal democratic republic in 2008. The king became a private citizen, and the palace was converted into a museum.
2008 onwards: constitution-writing and federalism
Writing the constitution proved slower than expected. The first Constituent Assembly failed to produce a draft and was dissolved; a second was elected in 2013 and promulgated the constitution in September 2015.
The 2015 constitution established a federal structure with seven provinces and three tiers of government: federal, provincial and local. Its promulgation was followed by protests in the Tarai region over federal boundaries and representation, and by a border blockade that disrupted fuel and supplies for months - an event with lasting economic consequences.
From 2017 onwards, federal, provincial and local elections were held, and local governments took on responsibilities that had previously sat with the centre. Coalition politics did not disappear, however. Governments have continued to change frequently, and the practical business of implementing federalism - budgets, civil service, revenue sharing - remains a central political issue.
Why instability has been persistent
Four factors recur across the whole period: a fragmented party system that makes stable majorities difficult, disagreement over the balance of power between the centre and the provinces, a persistent urban-rural divide in political voice, and frequent turnover of senior personnel, which slows long-term policy.
Understanding these patterns is more useful than memorising dates. It explains why Nepal has had many governments in a short time, and why major reform - in education, agriculture or public administration - tends to arrive slowly.
Frequently asked questions
When did Nepal become a republic?
Nepal was declared a federal democratic republic in 2008 by the first Constituent Assembly, which also abolished the monarchy.
How long did the Maoist insurgency last?
The armed insurgency ran from 1996 until the Comprehensive Peace Agreement of November 2006, about ten years.
This article is general information about Nepal. Requirements, dates and prices change - always confirm the current position with the relevant official source.