Cabinet Clears Path for Major Reforms: Health Aid, Civil Service and Infrastructure Decisions

Kathmandu, Nepal, 29th September

Cabinet Takes Major Decisions on Health, Laws and Development

The Government of Nepal made several major decisions during the Council of Ministers meeting held in Kathmandu on Tuesday, September 29, 2026, approving foreign health assistance, infrastructure-related forest land use, legal reforms and senior government appointments. The decisions were announced by government spokesperson and Education and Sports Minister Sasmit Pokharel, with the aim of improving public health services, supporting development projects and updating existing laws.

Nepal Accepts USD 20.7 Million Health Grant

The Cabinet approved the acceptance of USD 20.7 million in grant assistance from the United States government for improving Nepal’s health sector.

The decision was made following a proposal from the Ministry of Finance. The government said the assistance will support health-related improvement programs and strengthen services in the sector.

Forest Land Approved for Infrastructure Projects

The Cabinet also approved the use of national forest areas for several development and security-related projects.

The approved projects include:

• Kamal–Dhalkebar–Pathalaiya section of the East-West Highway

• Garjang Khola Small Hydropower Project

• Balefi Khola Hydropower Project

• Construction of training schools, units and Border Out Posts (BOPs) for the Armed Police Force Nepal

The decision allows these projects to move forward while using government-owned forest land under legal procedures.

Three Important Bills Heading to Parliament

The Cabinet approved the registration of three major amendment bills in the Federal Parliament.

The approved bills include:

• Federal Civil Service Bill amendment and integration proposal

• Animal Slaughterhouse and Meat Inspection Act, 2055 amendment bill

• Rights of Persons with Disabilities Act, 2074 amendment bill

These bills are expected to move through parliamentary discussions before becoming law.

Two Senior Officials Promoted to Secretary Level

The Cabinet approved the promotion and appointment of two joint secretaries to the position of Gazetted Special Class Secretary.

The appointments include:

• Awas Shrestha Karna — promoted as Secretary and appointed as Chief Secretary at the Office of the Chief Minister and Council of Ministers, Gandaki Province.

• Dr. Jagadishwar Karmacharya — promoted as Secretary and appointed to the Ministry of Energy, Water Resources and Irrigation.

The government said the appointments were made to strengthen administrative leadership.

Government Explains Cholendra Shamsher Rana Situation

During the press briefing, spokesperson Sasmit Pokharel said former Chief Justice Cholendra Shamsher Rana was not arrested or taken into government custody.

He said Rana was moved to a safe location after his family requested security support due to safety concerns.

Government Plans Return of Domestic Sports Leagues

Addressing the sports sector, Minister Pokharel said the government is preparing to restart domestic leagues after a long gap.

He said the absence of regular domestic competitions has affected players, and the government is working to strengthen the foundation of Nepal’s sports sector.

The government also said sports infrastructure development is underway at 27 locations across Nepal.

Why These Cabinet Decisions Matter

The latest Cabinet decisions cover multiple areas, including health funding, infrastructure expansion, legal reform, public administration and sports development.

The Federal Civil Service Bill, in particular, could bring major changes to Nepal’s government administration if passed by Parliament, while infrastructure and health decisions are expected to support long-term public services and development projects.