Race for Nepal Rastra Bank governor heats up as appointment looms

KATHMANDU: With the appointment of the new Nepal Rastra Bank (NRB) governor drawing near, a fierce lobbying battle has erupted among ambitious contenders from the ruling coalition of the CPN-UML and Nepali Congress. Though no final decision has been made on which party will secure the coveted post, aspirants from both factions have intensified their efforts, knocking on the doors of party leaders to bolster their candidacies.

The pool of hopefuls is diverse, ranging from serving CEOs of commercial banks and current secretaries to retired bureaucrats, former NRB employees, and even ex-chief secretaries. Sources say the lobbying has reached fever pitch, with candidates leveraging their political affiliations to gain an edge. Meanwhile, the simultaneous jostling for promotions and leadership roles within the Nepal Police has delayed the NRB decision, as coalition leaders grapple with power-sharing arrangements across key institutions.

Prime Minister KP Sharma Oli (UML) and Congress President Sher Bahadur Deuba have yet to finalize their pick, leaving the field wide open. Despite the lack of clarity, aspirants aligned with both parties are pulling out all the stops. Congress-leaning candidates appear particularly aggressive, with some directly approaching Deuba at his residence, while others appeal to secondary leaders to build momentum. UML hopefuls, however, have been quieter, banking on Oli’s preference for trusted allies, though they’ve recently ramped up their outreach.

Among the frontrunners is NRB board member Rabindra Pandey, who reportedly enjoys Deuba’s goodwill due to a longstanding relationship. This has rattled competitors, prompting counter-lobbying to block his ascent. Critics, including Nabil Bank CEO Gyanendra Dhungana, argue Pandey’s age makes him unsuitable, with Dhungana actively courting Congress MPs, ministers, and Deuba confidants to press his own case. Other Congress-linked names in the race include Bankers’ Association Chairman and Machhapuchhre Bank CEO Santosh Koirala, as well as former Chief Secretary Rajendra Kishor Chhetri.

Within the NRB, Executive Director Gunakar Bhatt has been projected as a strong candidate by advocates of merit-based leadership, though he has shied away from aggressive campaigning. “The bank needs capable leadership, but I’m not running around for it,” Bhatt has reportedly said. Meanwhile, legal requirements mandate that at least one NRB deputy governor—either Bam Bahadur Mishra or Nilam Dhungana—be recommended. Dhungana, bolstered by her regional ties to Oli, is not only a likely nominee but also a contender for the top job.

UML aspirants, initially discouraged by rumors that Congress had secured the post, have re-entered the fray as uncertainty persists. The party’s quieter approach reflects Oli’s tendency to favor personal loyalty over public lobbying. Other notable candidates include National Planning Commission member Prakash Shrestha, outgoing Finance Secretary Ram Prasad Ghimire, and retired NRB Executive Director Dev Kumar Dhakal.

Former NRB Deputy Governor Shivaraj Shrestha, former IBN CEO Sushil Bhatta, ADBL CEO Govinda Gurung, Prabhu Bank CEO Ashok Sherchan, and ex-National Commercial Bank executive Kiran Kumar Shrestha are also in the mix, intensifying their outreach.

While leaders insist there’s no rush—citing time before the term ends—insiders at the Finance Ministry say the selection committee’s “talent hunt” is a formality. “It’ll come down to political chits in the end,” an official remarked. As the clock ticks, Nepal’s financial helm remains up for grabs in a high-stakes political tug-of-war.