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    5. Why Does Nepal Provide Rs 1 Million Compensation for Protest Deaths?
    Published July 31, 2026
    By Share Gyan

    Why Does Nepal Provide Rs 1 Million Compensation for Protest Deaths?

    The government's decision to provide Rs 1 million compensation to families of those killed in politically sensitive incidents has become an established practice, but it is based on policy decisions rather than a legal mandate.

    https://api.peridot.com.np/news_thumbnails/thumbnail-1785498099150.jpgWhy Does Nepal Provide Rs 1 Million Compensation for Protest Deaths?

    The recent agreement between the government and the families of those killed in the Dewanganj unrest in Sunsari, which includes Rs 1 million (10 lakh) in compensation for each victim's family, has once again drawn attention to Nepal's long-standing practice of providing financial assistance in politically sensitive deaths. While such compensation has become routine in cases involving protests, police shootings, or civil unrest, there is no law in Nepal that requires the government to provide Rs 1 million in such incidents. Before the 2006 People's Movement (Jana Andolan II), compensation amounts varied significantly, with families often receiving around Rs 100,000, or even less, depending on the nature of the incident and the government's discretion. The practice changed after the 2006 People's Movement, when the government led by Girija Prasad Koirala decided to provide Rs 1 million to the families of those declared martyrs. Since then, the amount has gradually become an unofficial benchmark in cases of deaths linked to political movements, security incidents, and public unrest, including the Madhesh movement and the Balkumari incident. However, unlike compensation for natural disasters—which follows predefined government guidelines—payments in political cases continue to rely on Cabinet decisions rather than statutory provisions. Policy experts argue that Nepal now needs a clear legal framework to ensure consistent and equitable compensation across similar incidents, instead of relying on ad hoc political decisions.

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