From June onwards in 2025, Nepal continued to grapple with chronic political instability, marked by fragile coalitions and frequent government changes. Protests from 8 to 13 September, sparked by widespread corruption and a social media ban, escalated into nationwide violence, claiming at least 74 lives, injuring hundreds, and causing extensive damage to public infrastructure, including the Parliament, Ministries, Supreme Court and political party offices. The former Prime Minister resigned amid chaos; Parliament was dissolved under Article 61(4) of the Constitution, and an interim government led by the former Chief Justice was appointed to conduct elections on 4 March 2026. Prison breaks, curfews, and army deployment underscored the state crisis. Earlier, pro-monarchy clashes in March 2025 highlighted police overreach. These crises, combined with Nepal’s impending Least Developed Country (LDC) graduation in 2026 and recent funding shrinkage, have severely disrupted CSO operations, eroded public trust, and shrunk civic space amid heightened surveillance and regulatory uncertainty.