Kathmandu: After prolonged negotiations and back and forth proposals, three popular figures of the country’s alternative political space Rabi Lamichhane, Balendra (Balen) Shah and Kulman Ghising have signed a unity deal.
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Energy Minister Ghising on
Monday agreed to join Lamichhane’s RSP with an understanding to hold second
rank as a vice-chair in the new party.
RSP chair Lamichhane and Anup
Kumar Upadhyay, chairman of the Ujyalo Nepal Party, which is backed by Ghising,
signed a seven-point deal to unify the two parties. Kathmandu Mayor Balendra
Shah was the witness during the signing event.
Though Minister Ghising had
not held any office bearer position in the Ujyalo Nepal Party, Monday’s
agreement with Lamichhane has clearly stated that Ghising will be a
vice-president of the RSP. There are two other vice-presidents–DP Aryal and
Swarnim Wagle–in the RSP.
The Lamichhane-Ghising
agreement was reached a day after Kathmandu mayor Shah and his team joined the
RSP.
The agreement was finalised
late Monday at the Kamalpokhari residence of former RSP lawmaker Ashim Shah. A
draft, prepared earlier in the day, was signed after the three sides reached a
compromise on the most contentious issue—proportional representation
seat-sharing.
According to party insiders,
Ujyalo Nepal Party patron Ghising agreed to join the unified party with a 17
percent share in the PR list. Though Ghising had initially demanded 30 percent,
negotiators say he ultimately agreed on 17 after negotiation with Lamichhane
and Shah.
The breakthrough was made
possible reportedly after Sudhan Gurung of the Council of Gen Z intervened
earlier in the day, personally bringing Ghising from Baudha—where he had been
preparing a separate PR list—to the venue where Lamichhane and Shah were in
talks.
The three leaders will fight
the election under the RSP’s election symbol. While Lamichhane will be the
party chief, Shah will be projected as the new unified force’s prime
ministerial candidate if the party emerges as the leading force from the March
5 parliamentary elections.
RSP leaders said they were
working to submit the merged PR list to the Election Commission before the
midnight deadline.
For weeks, efforts to unify
with Ghising had repeatedly collapsed over disputes concerning leadership
positions, party name and election symbol.
In one of his visible actions
after being elected Kathmandu mayor from the 2022 local polls, Balendra (Balen)
Shah tried to remove illegal structures and settlements on the Bagmati
riverbank at Thapathali.
Mayor Shah’s attempt,
however, led to tense confrontations between the city police and residents of
the informal settlements. At the time, Mayor Shah openly accused the Home
administration under then-home minister Balkrishna Khand of non-cooperation.
A few months later, in
November 2022, there were federal and provincial elections. Sidelining
established political parties, the Rastriya Swatantra Party (RSP), which had
positioned itself as a force for alternative politics, emerged as the fourth-largest
party in the federal parliament.
Not only that, on December
25, 2022, the party joined the government led by CPN (Maoist Centre) chair
Pushpa Kamal Dahal, backed by the CPN-UML, securing the powerful deputy prime
minister and home minister position. Party chair Rabi Lamichhane assumed that
office.
Within days of Lamichhane
taking charge, Mayor Shah visited the home ministry on January 10, 2023 to seek
support for the resolution of the long-standing squatter settlement issue.
However, the home ministry under Lamichhane made it clear that it could not
provide immediate security assistance to deploy bulldozers and clear the
Thapathali riverbank settlements. The ministry responded, albeit indirectly,
that it could not help the Kathmandu Metropolitan City (KMC) by bypassing legal
procedure.
Although the initial attempt
at cooperation between Mayor Shah and Lamichhane failed, the political equation
appears to have changed. On Sunday morning, Lamichhane and Mayor Shah reached a
seven-point agreement to work together in the House of Representatives election
scheduled for March 5, with Mayor Shah and his group set to formally join the
RSP.
RSP chair Lamichhane, who was
in judicial custody for almost nine months in connection with a cooperative
fraud case, was released on bail on December 19.
Just three days after his
release, Lamichhane met Shah on December 22 for more than six hours. This
marked the first direct meeting between the two leaders in the wake of the
September Gen Z movement that built pressure on alternative political forces to
unite and contest the forthcoming elections together.
Less than a week after that
initial meeting, Lamichhane and Mayor Shah have inked the deal to jointly
contest the upcoming elections, signalling a significant realignment of Nepal’s
political space.
Under the agreement, RSP
chair Lamichhane will continue as the party’s central chair, while Mayor Shah
will be the party’s parliamentary leader if he wins the election. The RSP will
go to the polls with Shah as its prime ministerial candidate.
The agreement further
reiterates that the RSP’s core principles, leadership structure, the party
flag, and election symbol (bell), will remain unchanged. It also invites other
reform-oriented and committed political forces, groups and individuals to rally
around the party under this framework.
The document makes specific
reference to youth-led movements, including the Gen Z protests of September 8
and 9, which it says reflected wider frustration with prevailing political
practices. The parties have pledged to translate such demands into concrete
political action.
Shishir Khanal, who led the
RSP dialogue team tasked with forging unity between the two sides, said talks
with Mayor Shah’s camp began after the Gen Z movement reshaped the political
landscape.
According to Khanal, Mayor
Shah had made it clear that he would support an alternative political party but
only one that genuinely embraced the Gen Z movement and its achievements. It
was on this basis, Khanal claims, that the RSP approached Shah’s side for
discussions.
“Over time, as it became
clear that Mayor Shah himself was preparing to enter national politics, our
dialogue gained momentum,” Khanal told the Post.
Dialogue with Mayor Shah’s
group began while the party chair was still in Nakkhu prison. “At the time, our
main challenge was how to make the talks effective while the chair was in
custody,” Khanal said. “That challenge eased considerably once he was
released.”
In this period, he adds, the
RSP also held talks with other alternative forces, including the Ujyalo Nepal
Party (UNP), which is backed by former Nepal Electricity Authority managing
director Kulman Ghising who currently is the minister for energy in the interim
government, among others.
Multiple efforts to tie a
knot with the UNP bore no fruit. Both RSP and Shah teams blame UNP patron
Ghising’s ‘rigid’ demands.
“The contentions with Ghising
were over party name, leadership and party symbol,” Khanal claimed. “When he
was not ready to compromise, multiple efforts to bring him on the same page
failed.”
Ultimately, Khanal said, a
seven point agreement was reached with Mayor Shah on Sunday morning, paving the
way for the two sides to move forward together.
As the personal relationship
between party chair Lamichhane and Mayor Shah grew warmer, the two sides agreed
to be part of a single political party, Khanal claims. He also added that the
agreement was reached without any substantive discussion on ‘quid pro quo’
arrangements.
When two parties sit for
negotiations, there is definitely a bone of contention, Khanal said, sharing
the internal issues during the time of negotiation. “One of the key struggles
for us was what kind of position we can offer Mayor Shah should we induct him
into our party, and how we arrange the power-sharing modality.”
Mayor Shah said that he is
not keen on any party position; he would simply be a central committee member,
Khanal told the Post.
“Once he showed that
generosity, as a party we also felt the need to honor that by offering him the
candidacy for future prime minister. Despite being a central committee member,
he will be second-in-command of party meetings.”
Bhoop Dev Shah, a member of
Mayor Shah’s personal secretariat who took part in the negotiations with the
RSP, also supports Khanal’s claims. Shah adds that, from their side, the
agreement largely centred on placing certain individuals in the party secretariat
and central committee on an immediate basis, and that there was no other
understanding.
The core of the agreement is
laid out in the seven-point deal itself. Beyond that, Bhoop Dev Shah said both
sides first reached an understanding on how to move forward on ideological
ground by embracing the Gen Z movement and upholding the spirit and substance
of the constitution.
During the negotiations, Shah
explains, considerable time was spent discussing how to restructure the party.
The agreement was to retain the RSP’s existing organisational framework while
also allowing room for expansion for capable individuals joining the party.
However, any such expansion would be carried out in phases rather than all at
once.
For the time being, Shah
said, the party’s ideological foundation rests on respecting the mandate of the
Gen Z movement.
“What we need right now is
not abstract ideological debates over systems of governance or constitutional
theory,” he said. “The clear mandate at present is a democratic way forward holding
elections, ensuring good governance, and accelerating development. On these
priorities, the two sides are fully aligned.”
The period of intensified
dialogue between the RSP and Mayor Shah coincided with a politically charged
moment, when a majority of lawmakers from the two largest parties in the dissolved
House of Representatives the Nepali Congress and the CPN-UML filed petitions at
the Supreme Court seeking the House’s reinstatement. Asked whether a sense of
political anxiety or “fear psychology” pushed the two sides towards unity, Shah
firmly rejects the idea.
While Shah dismisses that
interpretation outright, RSP leaders acknowledge that the broader political
developments may have played some role in encouraging unity—though they insist
the agreement was not solely a product of fear-driven calculations.
As the unity took shape, two
major questions emerged.
The first concerns the RSP’s
long-standing defence of party chair Lamichhane’s past controversies. Since its
formation, the party has spent nearly three years treating Lamichhane’s
personal legal troubles as an attack on the party itself. The question now is
whether Mayor Shah, upon joining the RSP, will also defend Lamichhane’s case,
which remains under judicial consideration.
Shah’s personal secretary
makes their position clear they consider the court’s verdict to be final and
have no intention of defending or politicising a sub judice matter. “In cases
that are before the court, we accept the court’s decision as final,” he said.
Meanwhile, the atmosphere at
the RSP’s central party office in Banasthali on Sunday afternoon was visibly
energetic. The buzz among party leaders and cadres rivalled the enthusiasm seen
in 2017 when the CPN-UML and the then Maoist Centre decided to contest elections
together.
Samiksha Baskota, who
recently led the merger of the Bibeksheel Sajha Party into the RSP, argued that
with Mayor Shah joining, the RSP had now become the sole pole of alternative
politics in the country.
Yet comparisons with past
political mergers inevitably arise. Much like KP Sharma Oli and Pushpa Kamal
Dahal co- chairs of the Nepal Communist Party (NCP) formed through the UML Maoist
unification Lamichhane and Mayor Shah are two distinct personalities with
sharply different political styles. This raises the natural question of whether
such contrasting figures can jointly lead a party.
From Mayor Shah’s side, Bhoop
Dev Shah strikes an even starker note. He said neither side has the luxury of
splitting after unification. “If this unity were to collapse at some point,” he
argues, “it would mean both Mayor Shah and Lamichhane would be forced into a
position whereby leaving the country is the only option.”
They held hours-long meetings
as they were under pressure to seal the deal on Monday, the deadline given by
the Election Commission to submit the proportional representation list.

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