Nepali Congress Faces Imminent Split Amid Heightened Internal Strife

The Nepali Congress, Nepal's oldest democratic party, is on the verge of a formal split due to deepening internal power struggles. A divisive special convention has sparked legitimacy controversies and parallel faction activities within the party. Recent statements by Khadka have intensified political friction, leading to preparations for disciplinary action and a Supreme Court case. This internal turmoil signals significant instability ahead of the March 5 national elections, likely affecting voter confidence and party dynamics. Investors should watch these developments closely, as political shifts can influence economic policies and market sentiment in the short to medium term.

• Nepali Congress's internal rift escalates, signaling possible major political realignment ahead of national elections.