Rameshwar Khanal, a seasoned former finance secretary, was appointed as the Finance Minister in the interim government led by Prime Minister Sushila Karki on Sunday.
Khanal, along with two other ministers, was sworn in by President Ramchandra Paudel at Sheetal Niwas a while ago. His appointment comes at a critical juncture as the new government, formed following the ouster of the Oli-led government, has a mandate to hold elections in the next six months.
Prime Minister Karki picked Khanal for the crucial role based on recommendations from Gen Z groups, placing a heavy responsibility on his experienced shoulders. Khanal holds over 31 years of civil service experience, including a tenure as the Finance Secretary.
His return to the same ministry he once resigned from is expected as a move to instill stability. Khanal had resigned from the post of Finance Secretary in 2011 after a dispute with the then Finance Minister, Bharat Mohan Adhikari, over pushing for action in a fake VAT bill scandal.
Most notably, Khanal now faces the unique challenge of implementing the very reforms he recently recommended. A high-level commission chaired by Khanal that submitted a report to the outgoing government on April 11, 2025, suggesting a dozen laws be scrapped and advocating for structural economic reforms in the country.
Commenting on the immense task ahead, a political analyst stated, "Minister Khanal finds himself in a challenging situation. The recommendations from his own commission, which include public spending cuts and abolishing outdated laws, now land on his own desk for execution during a very short and politically fragile tenure."
Born in Palpa in 1956, Khanal holds an MBA from Tribhuvan University. Beyond his bureaucratic career, he boasts 16 years of teaching experience and has held key positions in several major state-owned enterprises, including the Nepal Rastra Bank, Nepal Electricity Authority, and Agriculture Development Bank.
His extensive background makes him a figure widely recognized as someone who understands the intricacies of the nation's economy, a quality desperately needed in the current complex political and economic climate.
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