Government reduces ministries to 18 and assigns functions

Balen cabinet new

Balen cabinet new


KATHMANDU: The government has reduced the number of ministries to 18 and also restructured their portfolios. Along with the reduction, several ministries have been renamed, and their functions, departments, offices, and committees have been clearly divided.

Exercising the authority granted under Article 82(1) of the Constitution of Nepal, the Council of Ministers has issued the “Government of Nepal (Allocation of Business) Rules, 2083”, defining the division of responsibilities among ministries.

Prime Minister Balendra Shah has retained the Ministry of Defense, Ministry of Home Affairs, and Ministry of Science, Technology and Innovation under his direct leadership.

List of new ministries

  1. Office of the Prime Minister and Council of Ministers
  2. Ministry of Finance
  3. Ministry of Industry, Commerce and Supply
  4. Ministry of Energy, Water Resources and Irrigation
  5. Ministry of Law, Justice and Parliamentary Affairs
  6. Ministry of Agriculture, Forest and Environment
  7. Ministry of Home Affairs
  8. Ministry of Foreign Affairs
  9. Ministry of Infrastructure Development
  10. Ministry of Land Management, Cooperatives, Federal Affairs and General Administration
  11. Ministry of Women, Children, Gender and Sexual Minorities and Social Security
  12. Ministry of Youth, Labour and Employment
  13. Ministry of Defence
  14. Ministry of Science, Technology and Innovation
  15. Ministry of Education and Sports
  16. Ministry of Information and Communication
  17. Ministry of Culture, Tourism and Civil Aviation
  18. Ministry of Health and Food Safety

Ministry-wise functions

1. Office of the Prime Minister and Council of Ministers

Key responsibilities include:

  • Cabinet affairs and implementation of decisions
  • Overall direction, control and coordination of government operations
  • Formulation and monitoring of national policies, periodic plans and strategies
  • Governance reform and good governance policies
  • Monitoring of treaties and agreements
  • Federal system coordination and inter-provincial affairs
  • Human rights protection and anti-corruption policy implementation
  • Parliamentary session management (summoning and prorogation)
  • Oversight of constitutional bodies (CIAA, PSC, Election Commission, etc.)
  • National security coordination and foreign/security affairs oversight
  • Disaster management coordination
  • IT policy, cybersecurity, AI governance and digital government
  • Public institutions under PMO supervision
  • Residual governmental functions not assigned elsewhere

2. Ministry of Finance

Main functions:

  • Economic policy formulation and financial regulation
  • Budget preparation and fiscal management
  • Monetary policy and banking regulation
  • Foreign exchange management
  • Public debt, grants and aid coordination
  • Tax policy, administration and revenue collection
  • Customs and excise management
  • Financial risk management and auditing systems
  • Capital markets and insurance regulation
  • Intergovernmental fiscal transfers
  • Public enterprises financial oversight
  • Anti-money laundering policies
  • Management of pension funds, investment funds and reserves
  • Oversight of Nepal Rastra Bank-related coordination
  • National-level financial institutions and commissions

3. Ministry of Industry, Commerce and Supply

Responsibilities include:

  • Industrial policy and regulation
  • Industrial zones, parks and SEZs
  • Foreign investment and technology transfer
  • Company registration and industrial licensing
  • Mining and mineral policy coordination
  • Intellectual property rights (patents, trademarks)
  • Trade policy and export promotion
  • Import management and supply regulation
  • Trade agreements (WTO, SAFTA, BIMSTEC, etc.)
  • Market regulation, price control and consumer protection
  • Petroleum import, pricing and supply management
  • Logistics, dry ports and trade infrastructure
  • Standards, quality assurance and accreditation

4. Ministry of Energy, Water Resources and Irrigation

Functions:

  • Water and energy resource policy and regulation
  • Hydropower development and electricity transmission
  • River basin and irrigation system planning
  • Renewable energy promotion
  • Inter-basin water transfer projects
  • Large-scale multipurpose water projects
  • Electricity trade and cross-border power agreements
  • Flood control and disaster-related water management
  • Energy infrastructure investment
  • Rural irrigation and water systems coordination
  • Hydrological data and research

5. Ministry of Law, Justice and Parliamentary Affairs

Key responsibilities:

  • Drafting laws, ordinances and regulations
  • Parliamentary bill management
  • Legal advice and litigation involving the government
  • Judicial system coordination
  • Treaty legal review and international legal disputes
  • Publication of laws and government gazette
  • Human rights and legal aid policies
  • Coordination of constitutional bodies related to justice
  • Legal reform and codification
  • Alternative dispute resolution systems

6. Ministry of Agriculture, Forest and Environment

Functions include:

  • Agricultural policy and food security
  • Livestock and fisheries development
  • Agricultural research and biotechnology
  • Pest and epidemic control in agriculture
  • Forestry management and conservation
  • National parks and wildlife protection
  • Climate change and carbon emission management
  • Biodiversity conservation
  • Environmental pollution control
  • Weather forecasting and hydrology services
  • Soil, seed and fertilizer regulation
  • Rural development and agro-industrialization

7. Ministry of Home Affairs

Responsibilities:

  • Internal security and law and order
  • Police administration and coordination
  • Citizenship and immigration
  • Disaster management
  • Prison and detention management
  • Election management support
  • Arms and explosives regulation
  • Refugee and border management
  • Anti-drug enforcement
  • National identity and civil registration
  • Interpol coordination
  • Human rights protection
  • Border security and international crime control

8. Ministry of Foreign Affairs

Functions:

  • Foreign policy implementation
  • Diplomatic relations and embassies
  • Consular services and passports/visas
  • Protection of Nepali citizens abroad
  • International treaties and agreements
  • Economic and development diplomacy
  • Coordination with foreign missions in Nepal
  • Non-resident Nepali affairs
  • Diplomatic protocol and representation
  • International organization relations

9. Ministry of Infrastructure Development

Key functions:

  • Transport infrastructure (roads, railways, metro systems)
  • Urban development and housing policy
  • Water supply and sanitation infrastructure
  • Public buildings and federal infrastructure
  • Road safety and vehicle standards
  • Alternative transport systems (ropeways, waterways, etc.)
  • Urban planning and waste management
  • National reconstruction projects
  • Drinking water and sewerage systems
  • Inter-provincial infrastructure coordination

10–18 (Summary of remaining ministries)

Due to extensive scope, remaining ministries cover:

  • Cooperative, federal affairs and civil administration
  • Social protection and inclusion programs
  • Youth development and labour migration management
  • Defence and military administration
  • Science, innovation and research development
  • Education and sports governance
  • Media, communication and ICT regulation
  • Tourism, culture and aviation management
  • Public health and food safety systems

Each ministry is assigned detailed sector-specific regulatory, policy, institutional, and operational responsibilities as defined in the official allocation rules.

Fiscal Nepal |
Friday May 15, 2026, 03:28:11 PM |


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