Kathmandu, Nepal — Political parties and candidates in Nepal have begun opening separate bank accounts to comply with new rules aimed at ensuring transparency in election spending, the Election Commission has said.

The move comes ahead of the upcoming elections scheduled for 21 Falgun under the Nepali calendar. According to Election Commission Joint Secretary Yagya Prasad Bhattarai, a total of 454 candidates and four political parties have so far informed the Commission about the opening of dedicated bank accounts for election-related transactions.

In total, 3,406 candidates — representing both political parties and independent contenders — are contesting the election.

New Directive for Financial Transparency

The requirement follows the approval of the “House of Representatives Member Election Campaign Bank Account (Operation and Management) Procedure, 2082” issued on Magh 20. The directive mandates that all financial contributions received and campaign expenses incurred during the election period must be routed through a separate bank account.

Officials say the measure is designed to make campaign financing more economical and transparent.

The Commission has also instructed political parties to submit their election manifestos by Falgun 3. So far, three parties have complied.

Legal Provisions and Restrictions

Under Section 21 of the Election Offences and Punishment Act, 2017, candidates or their representatives are prohibited from influencing voters by offering gifts, cash, rewards, donations or any other inducements during the election period.

Similarly, Section 27 of the same Act bars political parties, candidates or their representatives from receiving financial assistance from government bodies, public institutions or non-governmental organisations in violation of existing laws during campaign activities.

Spending Limits and Monitoring

The Election Commission has set spending ceilings ranging from 2.5 million to 3.3 million Nepali rupees per constituency, depending on geographical factors. These limits were published in the Nepal Gazette on October 17, 2022.

Once a separate account is opened, all previous campaign-related transactions must be transferred into that account. Candidates are required to close the account within 35 days of submitting their final expenditure details.

The Commission’s monitoring mechanism will regularly review income and expenditure through these accounts. District-level Treasury and Controller Offices have been designated to oversee compliance.

Officials say the new measures are intended to ensure disciplined, transparent and credible elections in line with the Election Code of Conduct, 2082.